USDA awards $8.4M for IT support, with a $5.7M delivery order to Candor Solutions LLC

Contract Overview

Contract Amount: $8,439,737 ($8.4M)

Contractor: Candor Solutions LLC

Awarding Agency: Department of Agriculture

Start Date: 2022-09-14

End Date: 2026-09-13

Contract Duration: 1,460 days

Daily Burn Rate: $5.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PROVIDE TECHNICAL SUPPORT SERVICES FOR THE DELIVERY OF CONSISTENT, MODERN AND COST-EFFECTIVE BUSINESS SOLUTIONS FOR FSA AND OTHER AGENCY PARTNERS.

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Agriculture obligated $8.4 million to CANDOR SOLUTIONS LLC for work described as: PROVIDE TECHNICAL SUPPORT SERVICES FOR THE DELIVERY OF CONSISTENT, MODERN AND COST-EFFECTIVE BUSINESS SOLUTIONS FOR FSA AND OTHER AGENCY PARTNERS. Key points: 1. Contract provides essential IT support for modern business solutions. 2. Delivery order represents a significant portion of the total contract value. 3. Faced with a sole-source justification, the contract's value and duration warrant scrutiny. 4. The fixed-price contract type aims to control costs for the government. 5. Performance is located in Virginia, impacting the local IT sector. 6. This contract supports the Office of the Chief Financial Officer's operational needs.

Value Assessment

Rating: fair

The total contract value of $8.4M over approximately four years, with a $5.7M delivery order, appears to be within a reasonable range for IT support services. However, without specific details on the scope of services and deliverables, a precise value-for-money assessment is challenging. Benchmarking against similar IT support contracts for federal agencies of comparable size and complexity would provide a clearer picture of whether the pricing is competitive. The firm-fixed-price structure suggests an effort to manage cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a sole-source justification after exclusion of sources. This means that only one contractor, Candor Solutions LLC, was considered for this award. While sole-source awards can be justified for specific reasons, such as unique capabilities or urgent needs, they inherently limit competition. The absence of a competitive bidding process means that the government did not benefit from potentially lower prices or innovative solutions that might have emerged from a broader field of bidders.

Taxpayer Impact: The lack of competition for this contract means taxpayers may not have received the most cost-effective solution available. Without competitive pressure, the pricing may be higher than it would be in a fully competed scenario.

Public Impact

The primary beneficiaries are the Department of Agriculture (USDA) and its partner agencies, who will receive consistent and modern IT business solutions. The contract delivers technical support services crucial for the operation and modernization of agency IT infrastructure. Services are primarily delivered in Virginia, potentially creating or sustaining local IT jobs. The contract supports the agency's financial operations by ensuring reliable IT systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price discovery and potentially increases costs for taxpayers.
Lack of competition may reduce opportunities for other capable IT service providers.
The duration of the contract (up to 4 years) represents a long-term commitment without competitive re-evaluation.

Positive Signals

Firm-fixed-price contract type provides cost certainty for the government.
Contract aims to deliver modern and cost-effective business solutions.
Support services are critical for agency operations and partner agencies.

Sector Analysis

The IT services sector is highly competitive, with numerous firms offering a wide range of technical support and system design capabilities. Federal agencies are significant consumers of these services, often seeking to modernize legacy systems and improve efficiency. This contract for computer systems design services falls within a broad category of IT support that agencies frequently procure. Comparable spending benchmarks for similar IT support contracts within the federal government can vary widely based on scope, duration, and complexity, but typically range from hundreds of thousands to tens of millions of dollars.

Small Business Impact

This contract was not set aside for small businesses, and the awardee, Candor Solutions LLC, is not explicitly identified as a small business in the provided data. The lack of a small business set-aside or subcontracting requirements means that opportunities for small businesses to participate in this contract are limited. This could impact the broader small business IT ecosystem that relies on federal contracts for growth and revenue.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Agriculture's contracting officer and the Office of the Chief Financial Officer. The firm-fixed-price nature of the contract provides a degree of cost control. Transparency is generally maintained through contract databases like FPDS, where basic award information is published. However, the sole-source nature of the award might limit public insight into the justification and negotiation process.

Related Government Programs

IT Professional Services
Computer Systems Design Services
Technical Support Services
IT Modernization Contracts
Agency Financial System Support

Risk Flags

Sole-source award raises concerns about competition and potential cost overruns.
Lack of transparency in the sole-source justification process.
Significant portion of contract value tied to a single delivery order.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $8.4 million to CANDOR SOLUTIONS LLC. PROVIDE TECHNICAL SUPPORT SERVICES FOR THE DELIVERY OF CONSISTENT, MODERN AND COST-EFFECTIVE BUSINESS SOLUTIONS FOR FSA AND OTHER AGENCY PARTNERS.

Who is the contractor on this award?

The obligated recipient is CANDOR SOLUTIONS LLC.

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 $8.4 million.

What is the period of performance?

Start: 2022-09-14. End: 2026-09-13.

What specific technical support services are included under this contract, and how do they align with the goal of delivering modern and cost-effective business solutions?

The contract broadly covers 'technical support services for the delivery of consistent, modern and cost-effective business solutions.' While the specific deliverables are not detailed in the provided data, these services typically encompass a range of IT functions such as system maintenance, help desk support, network management, software updates, cybersecurity measures, and potentially the development or integration of new business applications. The 'modern and cost-effective' aspect suggests a focus on leveraging current technologies and efficient operational practices to improve agency processes and reduce long-term IT expenditures. The effectiveness of these services would be measured by their ability to maintain system uptime, enhance user productivity, ensure data security, and adapt to evolving agency needs within the allocated budget.

What was the justification for awarding this contract on a sole-source basis after exclusion of sources, and what are the implications for price competitiveness?

The justification for a sole-source award after exclusion of sources typically arises when only one responsible source is available or possesses unique capabilities necessary for the requirement. This could be due to proprietary technology, specialized expertise, or a critical need that cannot be met by other vendors within the required timeframe. The implication for price competitiveness is significant: without a competitive bidding process, the government foregoes the opportunity to solicit multiple proposals and negotiate the best possible price. This can lead to higher costs for taxpayers, as the awarded price may not reflect the lowest market rate achievable through open competition. A thorough justification and documentation are crucial to ensure such awards are made only when truly necessary.

How does the $5.7M delivery order compare to the overall contract value and duration, and what does this suggest about the contract's structure?

The $5.7M delivery order represents approximately 67.5% of the total contract value of $8.4M. This indicates that a substantial portion of the work and funding is concentrated within this single delivery order. The contract has a duration of 1460 days (approximately 4 years), with a start date of September 14, 2022, and an end date of September 13, 2026. The significant size of this delivery order relative to the total contract value suggests it likely encompasses the core or most critical IT support services required by the agency. It implies a phased approach to service delivery or a primary block of work being executed under this order, with potentially smaller or follow-on tasks to be defined later within the contract's overall lifespan.

What is Candor Solutions LLC's track record with federal contracts, particularly within the Department of Agriculture or for similar IT support services?

Information regarding Candor Solutions LLC's specific track record with federal contracts, especially within the Department of Agriculture or for similar IT support services, is not detailed in the provided data. To assess their performance history, one would typically examine past contract awards, performance evaluations (such as Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations. A review of federal procurement databases would reveal the extent of their federal contracting experience, the types of services they have provided, and their success rates. Without this information, it is difficult to gauge their reliability and past performance in delivering comparable services.

Are there any comparable IT support contracts awarded by the USDA or other agencies that can serve as benchmarks for the value and scope of this contract?

To establish benchmarks, one would need to identify similar IT support contracts awarded by the USDA or other federal agencies for comparable services (e.g., computer systems design, technical support) to entities of similar size and complexity. Key comparison points would include the total contract value, duration, scope of work, pricing models (firm-fixed-price, time-and-materials), and the level of competition. For instance, contracts for enterprise-wide IT help desk support, network infrastructure management, or application development and maintenance for agencies like the IRS, SSA, or other large cabinet-level departments could serve as benchmarks. Analyzing these comparable contracts would help determine if the $8.4M total value and the $5.7M delivery order for Candor Solutions LLC are within the expected market range for the services rendered.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 12314422Q0111

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 113 E MARKET STREET, SUITE 120, LEESBURG, VA, 20176

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Joint Venture Economically Disadvantaged Women Owned Small Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $8,439,737

Exercised Options: $8,439,737

Current Obligation: $8,439,737

Actual Outlays: $4,858,410

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSN316201200110W

IDV Type: GWAC

Timeline