GAO Awards $3.74M Cloudflare Contract to Panamerica Computers, Inc. for Other Computer Related Services

Contract Overview

Contract Amount: $37,400 ($37.4K)

Contractor: Panamerica Computers, Inc.

Awarding Agency: Government Accountability Office

Start Date: 2026-04-15

End Date: 2027-04-14

Contract Duration: 364 days

Daily Burn Rate: $103/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PURPOSE OF THIS ACTION IS TO PROCURE CLOUDFLARE.

Place of Performance

Location: LURAY, PAGE County, VIRGINIA, 22835

State: Virginia Government Spending

Plain-Language Summary

Government Accountability Office obligated $37,400 to PANAMERICA COMPUTERS, INC. for work described as: THE PURPOSE OF THIS ACTION IS TO PROCURE CLOUDFLARE. Key points: 1. Contract awarded for Cloudflare services, a critical component for web performance and security. 2. Panamerica Computers, Inc. secured the award, indicating potential market concentration or specific capabilities. 3. The contract's value is moderate, but the specific services procured warrant scrutiny for efficiency. 4. The sector is IT services, specifically cloud infrastructure and related support.

Value Assessment

Rating: fair

The contract value of $3.74M over one year appears reasonable for enterprise-level cloud services. However, without specific service level agreements and usage metrics, a precise pricing assessment against similar contracts is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, suggesting a competitive bidding process. This method aims to ensure fair pricing and access to the best value for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it should drive a fair market price for essential cloud services.

Public Impact

Ensures continued access to Cloudflare services for government operations. Supports critical online infrastructure and security for government agencies. Potential for improved web performance and user experience for government-facing platforms.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of detailed service scope in provided data.
  • Potential for vendor lock-in with specific cloud solutions.
  • Dependence on a single vendor for critical infrastructure.

Positive Signals

  • Awarded through full and open competition.
  • Contract duration provides stability for service delivery.
  • Fixed-price contract offers cost predictability.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on cloud-based solutions. Spending benchmarks for similar cloud service procurements vary widely based on scale and specific features, but $3.74M for a one-year term is within a typical range for enterprise solutions.

Small Business Impact

The provided data does not indicate whether small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The involvement of the Government Accountability Office (GAO) suggests a level of oversight, potentially related to bid protests or reviews. The contract's structure and performance should be subject to standard government procurement oversight mechanisms.

Related Government Programs

  • Other Computer Related Services
  • Government Accountability Office Contracting
  • GAO, Except Comptroller General Programs

Risk Flags

  • Potential for uncompetitive pricing if specific features are unique.
  • Risk of service disruption if vendor performance is inadequate.
  • Cybersecurity vulnerabilities associated with cloud services.
  • Dependence on a single provider for critical web infrastructure.

Tags

other-computer-related-services, government-accountability-office, va, delivery-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Government Accountability Office awarded $37,400 to PANAMERICA COMPUTERS, INC.. THE PURPOSE OF THIS ACTION IS TO PROCURE CLOUDFLARE.

Who is the contractor on this award?

The obligated recipient is PANAMERICA COMPUTERS, INC..

Which agency awarded this contract?

Awarding agency: Government Accountability Office (GAO, Except Comptroller General).

What is the total obligated amount?

The obligated amount is $37,400.

What is the period of performance?

Start: 2026-04-15. End: 2027-04-14.

What specific Cloudflare services are being procured, and how do they align with the agency's mission requirements?

The provided data only states 'Cloudflare' as the purpose. A detailed breakdown of specific services (e.g., CDN, WAF, DDoS protection, DNS) and their associated service level agreements (SLAs) is crucial. Understanding the alignment with agency mission requirements ensures that the procured services directly support operational needs and are not extraneous.

How does the per-unit cost of these Cloudflare services compare to industry benchmarks for similar government or commercial contracts?

Without specific usage metrics and detailed service tiers, a direct per-unit cost comparison is challenging. Benchmarking would require analyzing pricing for comparable Cloudflare enterprise plans or equivalent services from competitors, considering factors like bandwidth, features, and support levels. This comparison is vital for assessing value for money.

What measures are in place to ensure the effectiveness and security of the Cloudflare services throughout the contract period?

Effectiveness and security rely on robust SLAs, regular performance monitoring, and adherence to government cybersecurity standards. The contract should include provisions for incident response, vulnerability management, and regular security audits. The agency's internal oversight and Panamerica Computers' compliance are key to ensuring these measures are upheld.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - SECURITY AND COMPLIANCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 05GA0A26Q0021

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1386 BIG OAK RD, LURAY, VA, 22835

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $187,000

Exercised Options: $37,400

Current Obligation: $37,400

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD02B

IDV Type: GWAC

Timeline

Start Date: 2026-04-15

Current End Date: 2027-04-14

Potential End Date: 2031-04-14 00:00:00

Last Modified: 2026-04-10

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