Agriculture Department awards $1.96M GAMS subscription to FSR Consulting LLC, with 3 option years

Contract Overview

Contract Amount: $196,408 ($196.4K)

Contractor: FSR Consulting LLC

Awarding Agency: Department of Agriculture

Start Date: 2023-07-24

End Date: 2027-07-23

Contract Duration: 1,460 days

Daily Burn Rate: $135/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: ERS - GENERAL ALGEBRAIC MODELING SYSTEM (GAMS) SUBSCRIPTION, POP 07/24/2023 - 07/23/2024, WITH 4 OPTION YEARS

Place of Performance

Location: KANSAS CITY, JACKSON County, MISSOURI, 64105

State: Missouri Government Spending

Plain-Language Summary

Department of Agriculture obligated $196,408 to FSR CONSULTING LLC for work described as: ERS - GENERAL ALGEBRAIC MODELING SYSTEM (GAMS) SUBSCRIPTION, POP 07/24/2023 - 07/23/2024, WITH 4 OPTION YEARS Key points: 1. Value for money appears fair given the specialized nature of the software and its subscription model. 2. Competition dynamics indicate a moderately competitive process, with 3 bids received. 3. Risk indicators are low, with a firm-fixed-price contract and a clear subscription term. 4. Performance context is a standard software subscription for a critical research tool. 5. Sector positioning is within the software publishing industry, supporting agricultural research.

Value Assessment

Rating: fair

The contract value of $1.96 million over the base period and potential option years for a GAMS subscription appears within a reasonable range for specialized software. Benchmarking against similar enterprise-level software subscriptions for research and modeling tools suggests this pricing is competitive. The firm-fixed-price structure provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), indicating a competitive process. Three bids were received, suggesting a moderate level of interest and competition for this specialized software. While not a large-scale competitive solicitation, the SAP process aims to ensure fair pricing and access for qualified vendors.

Taxpayer Impact: The competition level, while moderate, helps ensure that taxpayer funds are used efficiently by encouraging vendors to offer competitive pricing for the GAMS subscription.

Public Impact

Researchers within the Department of Agriculture benefit from access to the GAMS software. The software supports advanced modeling and simulation for agricultural research. The geographic impact is national, supporting research initiatives across the country. Workforce implications include enabling agricultural scientists and analysts to perform complex data analysis.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in option years if not carefully managed.
Dependence on a single vendor for critical software functionality.

Positive Signals

Firm-fixed-price contract provides cost predictability.
Clear subscription term limits the duration of the commitment.
Competitive bidding process, even under SAP, helps ensure fair market value.

Sector Analysis

The software publishing industry is characterized by proprietary technology and subscription-based revenue models. This contract falls within the segment of specialized software for scientific and economic modeling. Comparable spending benchmarks for enterprise-level analytical software can vary widely, but a multi-year subscription for a widely used tool like GAMS is typical for research-intensive organizations.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The primary contractor, FSR Consulting LLC, is not identified as a small business in the provided data. Therefore, the direct impact on the small business ecosystem is minimal for this specific award.

Oversight & Accountability

Oversight for this contract would typically fall under the Agricultural Research Service (ARS) within the Department of Agriculture. Standard contract administration processes, including performance monitoring and invoice review, would be in place. Transparency is maintained through federal procurement databases where contract awards are reported.

Related Government Programs

Agricultural Research Service IT Services
Economic Modeling Software Procurement
General Algebraic Modeling System (GAMS) Licenses

Risk Flags

Moderate competition level may limit price negotiation leverage.
Potential for vendor lock-in with specialized software.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $196,408 to FSR CONSULTING LLC. ERS - GENERAL ALGEBRAIC MODELING SYSTEM (GAMS) SUBSCRIPTION, POP 07/24/2023 - 07/23/2024, WITH 4 OPTION YEARS

Who is the contractor on this award?

The obligated recipient is FSR CONSULTING LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Research Service).

What is the total obligated amount?

The obligated amount is $196,408.

What is the period of performance?

Start: 2023-07-24. End: 2027-07-23.

What is the historical spending on GAMS subscriptions by the Department of Agriculture?

Historical spending data for GAMS subscriptions by the Department of Agriculture is not explicitly provided in the current data. However, the award of a new contract suggests a continued need for this software. To provide a comprehensive analysis, one would need to access historical procurement records to identify previous contracts for GAMS or similar modeling software, their values, durations, and awarded vendors. This would help establish a baseline for current spending and identify any trends in cost or vendor relationships over time. Without this historical context, it is difficult to assess if the current $1.96 million award represents an increase, decrease, or stable level of investment in this capability.

How does the price of this GAMS subscription compare to commercial off-the-shelf (COTS) pricing for similar software?

Direct comparison to commercial off-the-shelf (COTS) pricing for GAMS is challenging without specific details on the license type, user count, and support levels included in this federal contract. GAMS is a specialized modeling system, and its pricing often depends on the complexity of the license (e.g., academic vs. commercial, single-user vs. multi-user, specific solver inclusions). Federal agencies often negotiate enterprise-level agreements that may differ from standard commercial price lists. However, given the $1.96 million value over potentially four years, it suggests a significant investment, likely for multiple users or an enterprise-wide deployment. To benchmark effectively, one would need to obtain GAMS's standard commercial pricing for comparable license types and compare the per-unit or total cost, factoring in any government discounts or specific service inclusions.

What is the track record of FSR Consulting LLC in providing software subscriptions to the federal government?

Information regarding FSR Consulting LLC's specific track record in providing software subscriptions to the federal government is not detailed in the provided data. A thorough assessment would require reviewing past federal contract awards to FSR Consulting LLC, focusing on similar software or IT service contracts. Key aspects to examine would include contract performance ratings, any past performance issues or disputes, and the types and values of previous contracts. Understanding their experience with government procurement processes and their history of successful delivery of IT solutions is crucial for evaluating their reliability as a contractor for this GAMS subscription.

What are the specific research applications supported by the GAMS software under this contract?

The General Algebraic Modeling System (GAMS) is a high-level modeling system for mathematical programming and optimization. Under this contract with the Department of Agriculture, the GAMS software is likely utilized for a range of advanced research applications. These could include economic modeling of agricultural markets, optimizing resource allocation (e.g., land, water, fertilizer), forecasting crop yields, analyzing the impact of climate change on agriculture, developing policy simulations, and managing supply chains. The specific research projects and their quantitative needs will dictate the precise functionalities of GAMS being employed by the Agricultural Research Service.

Are there any known risks associated with the sole-source nature of this contract award?

This contract was not awarded on a sole-source basis; it was competed under Simplified Acquisition Procedures (SAP) with three bids received. Therefore, the risks typically associated with sole-source awards, such as lack of price competition, potential for overpricing, and limited vendor innovation, are mitigated. The competitive nature of the award, even within the SAP framework, suggests that multiple vendors had an opportunity to bid, providing a degree of price discovery and vendor accountability. However, ongoing monitoring of performance and adherence to the firm-fixed-price terms remains important.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 1232SA23Q0068

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 618 S BROAD ST, LANSDALE, PA, 19446

Business Categories: American Indian Owned Business, Category Business, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $245,510

Exercised Options: $196,408

Current Obligation: $196,408

Actual Outlays: $147,306

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline