Agriculture Department Procures SCL Logic Upgrade System for Over $217 Million
Contract Overview
Contract Amount: $217,308 ($217.3K)
Contractor: SCL Holdings Inc
Awarding Agency: Department of Agriculture
Start Date: 2020-09-18
End Date: 2026-09-17
Sector: IT
Official Description: SCLOGIC UPGRADE OF SYSTEM
Plain-Language Summary
Department of Agriculture obligated $217,308.04 to SCL HOLDINGS INC for work described as: SCLOGIC UPGRADE OF SYSTEM Key points: 1. Significant investment in system modernization to enhance logical processing capabilities. 2. Competition details are not readily available for this sole-source procurement. 3. Potential risks include integration challenges and vendor lock-in. 4. The contract spans several years, indicating a long-term commitment to the solution.
Value Assessment
Rating: good
The value of $217.3 million for a logic system upgrade appears substantial, reflecting the complexity and scope of the project. Further analysis would be needed to benchmark against similar system upgrades.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This procurement was conducted as a sole-source award, meaning only one vendor was considered. This limits opportunities for competitive bidding and potentially higher costs.
Taxpayer Impact: Taxpayers may not receive the best value due to the lack of competition in this sole-source award.
Public Impact
Improved efficiency in agricultural data processing. Potential for enhanced decision-making through advanced logic systems. Impact on departmental operations and service delivery.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition raises concerns about cost-effectiveness.
- Potential for vendor lock-in with a sole-source provider.
- Risks associated with the long duration of the contract.
Positive Signals
- Modernization of critical IT infrastructure.
- Potential for significant improvements in system performance.
- Commitment to upgrading essential departmental tools.
Sector Analysis
This contract falls within the Information Technology sector, specifically focusing on software and system upgrades for a federal agency. Such procurements are common as agencies strive to maintain and enhance their digital infrastructure.
Small Business Impact
There is no indication that small businesses were involved in this sole-source procurement. Set-aside opportunities were not utilized.
Oversight & Accountability
Oversight will be crucial to ensure the successful implementation and performance of the SCL logic upgrade. The Office of the Chief Financial Officer's involvement suggests financial accountability is a focus.
Related Government Programs
- SCL Logic Upgrade
- System Modernization
- Information Technology Services
Risk Flags
- Sole-source procurement
- Long contract duration
Tags
agriculture-department, it-procurement, system-upgrade, sclogic, sole-source, contract-award, federal-spending, information-technology
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $217,308.04 to SCL HOLDINGS INC. SCLOGIC UPGRADE OF SYSTEM
Who is the contractor on this award?
The obligated recipient is SCL HOLDINGS INC.
Which agency awarded this contract?
Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).
What is the total obligated amount?
The obligated amount is $217,308.04.
What is the period of performance?
Start: 2020-09-18. End: 2026-09-17.
Analysis insight 1
The contract's duration of nearly six years suggests a phased implementation or ongoing support requirements.
Analysis insight 2
Understanding the specific 'logic' being upgraded is key to assessing its impact on departmental functions.
Analysis insight 3
The sole-source nature warrants scrutiny regarding the justification for not seeking competitive bids.