Agriculture awards $2.9M contract for IT services to support Animal and Plant Health Inspection Service

Contract Overview

Contract Amount: $2,915,000 ($2.9M)

Contractor: Koniag Data Solutions LLC

Awarding Agency: Department of Agriculture

Start Date: 2026-01-01

End Date: 2026-12-31

Contract Duration: 364 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: FY26-APH-CI-PQ-2_DME THIS REQUISITION IS FOR US TO FUND A NEW FFP BPA CALL (1 YEAR).

Place of Performance

Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503

State: Alaska Government Spending

Plain-Language Summary

Department of Agriculture obligated $2.9 million to KONIAG DATA SOLUTIONS LLC for work described as: FY26-APH-CI-PQ-2_DME THIS REQUISITION IS FOR US TO FUND A NEW FFP BPA CALL (1 YEAR). Key points: 1. Contract awarded on a Firm Fixed Price basis, indicating clear cost expectations. 2. Full and Open Competition suggests a competitive bidding process was utilized. 3. The contract duration is one year, allowing for agile adaptation to evolving needs. 4. The North American Industry Classification System (NAICS) code 541519 points to a focus on 'Other Computer Related Services'. 5. The awardee, KONIAG DATA SOLUTIONS LLC, will provide services to the Animal and Plant Health Inspection Service (APHIS). 6. The contract is a BPA Call, indicating it's a call against an existing Blanket Purchase Agreement. 7. The contract is not set aside for small businesses, suggesting larger firms were likely involved in the competition.

Value Assessment

Rating: good

The contract value of $2.915 million for a one-year IT services BPA Call appears reasonable given the scope of 'Other Computer Related Services'. Without specific deliverables or performance metrics, a direct comparison to similar contracts is challenging. However, the firm fixed-price structure suggests that the contractor assumes the risk for cost overruns, which is generally favorable for the government. Benchmarking against industry rates for similar IT support services in Alaska would provide further insight into the value proposition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under Full and Open Competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but this method generally fosters a competitive environment. A competitive process is expected to drive down prices and ensure the government receives fair market value for the services procured. The agency's commitment to full and open competition suggests a robust procurement strategy.

Taxpayer Impact: Taxpayers benefit from the potential for lower prices and better quality services due to the competitive nature of this award. The open competition process aims to ensure that public funds are used efficiently and effectively.

Public Impact

The Animal and Plant Health Inspection Service (APHIS) will benefit from enhanced IT services, potentially improving its operational efficiency. The services delivered are categorized under 'Other Computer Related Services', which could encompass a wide range of IT support, maintenance, or development. The contract has a geographic impact in Alaska (ST: AK, SN: ALASKA), suggesting services may be delivered or supported within this region. The contract may have implications for the IT workforce in Alaska, potentially creating or sustaining jobs in the sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the contractor's track record and ensure optimal value delivery.
The broad NAICS code 'Other Computer Related Services' could mask a wide range of service complexities, potentially leading to scope creep if not managed carefully.
The contract is a BPA Call, which relies on the underlying BPA's terms and conditions; the quality and competitiveness of the original BPA are not detailed here.
Limited information on the number of bidders prevents a full assessment of the competitive intensity and its impact on pricing.

Positive Signals

Awarded under Full and Open Competition, suggesting a competitive process that should yield fair pricing.
Firm Fixed Price contract type shifts cost risk to the contractor, providing budget certainty for the government.
The contract is for a defined one-year period, allowing for flexibility and reassessment of needs.
The awardee, KONIAG DATA SOLUTIONS LLC, is a known entity in government contracting, implying some level of established capability.

Sector Analysis

The IT services sector is vast and highly competitive, with government spending often focused on areas like cloud computing, cybersecurity, data analytics, and general IT support. This contract, falling under NAICS code 541519 ('Other Computer Related Services'), likely represents a segment of this broader market. Government agencies frequently procure IT services to maintain and upgrade their systems, support operations, and implement new technologies. Comparable spending benchmarks for IT support services can vary significantly based on geographic location, service complexity, and contract type, but a $2.9 million annual contract for specialized IT services is a common size within federal IT procurement.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'ss': false and 'sb': false. This suggests that the competition was open to all responsible sources, including large businesses. While there is no direct small business set-aside, the prime contractor, KONIAG DATA SOLUTIONS LLC, may potentially engage small businesses as subcontractors to fulfill certain aspects of the contract, depending on the specific service requirements and subcontracting plans. The absence of a set-aside means that opportunities for small businesses to compete directly for this prime contract were not prioritized.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Agriculture's Animal and Plant Health Inspection Service (APHIS) contracting officers and program managers. As a BPA Call, oversight also depends on the governance of the parent BPA. Transparency is facilitated through contract award databases like FPDS. Accountability measures are typically embedded in the contract's performance work statement and terms, with potential for remedies if performance is deficient. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

IT Support Services
Computer Related Services
Blanket Purchase Agreements (BPAs)
IT Services for Agriculture
Federal IT Procurement

Risk Flags

Potential for scope creep due to broad NAICS code.
Short contract duration may impact service continuity.
Reliance on underlying BPA terms and conditions.
Lack of specific performance metrics in provided data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $2.9 million to KONIAG DATA SOLUTIONS LLC. FY26-APH-CI-PQ-2_DME THIS REQUISITION IS FOR US TO FUND A NEW FFP BPA CALL (1 YEAR).

Who is the contractor on this award?

The obligated recipient is KONIAG DATA SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Animal and Plant Health Inspection Service).

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2026-01-01. End: 2026-12-31.

What is the specific nature of the 'Other Computer Related Services' being procured under this BPA Call?

The provided data indicates the contract falls under NAICS code 541519, 'Other Computer Related Services.' This is a broad category that can encompass a wide array of IT services not specifically classified elsewhere. Examples might include IT consulting, custom software development, IT project management, IT support and troubleshooting, data processing services, or IT infrastructure management. Without a detailed Performance Work Statement (PWS) or Statement of Work (SOW), the precise services are not defined. However, given it supports the Animal and Plant Health Inspection Service (APHIS), these services likely relate to maintaining, enhancing, or supporting APHIS's IT systems, databases, or operational technology crucial for its mission in areas like animal and plant health surveillance, disease control, or regulatory enforcement.

How does the $2.915 million contract value compare to historical spending for similar IT services by APHIS or the Department of Agriculture?

To accurately benchmark the $2.915 million contract value, a detailed analysis of historical spending by the Animal and Plant Health Inspection Service (APHIS) and the broader Department of Agriculture (USDA) on similar IT services (NAICS 541519 or related IT categories) would be necessary. This would involve examining past contract awards for comparable scope, duration, and service types, ideally within the same geographic region if applicable. Without access to this specific historical data, it's difficult to definitively state whether this award represents a high, low, or average cost. However, the firm fixed-price nature and full and open competition suggest an effort to secure value. A comprehensive review would look at trends in IT spending, inflation adjustments, and the specific technological needs of APHIS over time.

What is the track record of KONIAG DATA SOLUTIONS LLC in providing IT services to the federal government, particularly within the Department of Agriculture?

KONIAG DATA SOLUTIONS LLC has a history of contracting with the federal government. To assess their track record specifically for IT services and within the Department of Agriculture, one would need to consult federal procurement databases (like FPDS or SAM.gov). These databases would reveal the types of contracts they have held, their performance history (if publicly available through past performance questionnaires or contract award narratives), and their experience with agencies like APHIS. A positive track record would include successful completion of similar IT projects, adherence to contract terms, and positive past performance reviews. Conversely, any history of contract disputes, performance issues, or significant cost overruns would be a concern. Without direct access to this detailed historical performance data, a definitive assessment of their track record is limited.

What are the potential risks associated with a one-year BPA Call for 'Other Computer Related Services'?

A primary risk with a one-year BPA Call for 'Other Computer Related Services' is the potential for undefined scope creep if the Performance Work Statement (PWS) is not sufficiently detailed or if requirements evolve rapidly. The short duration, while offering flexibility, also means that continuity of service and knowledge transfer might be a concern if follow-on contracts are not secured promptly. Furthermore, the broad NAICS code could mask underlying complexities or dependencies that might not be fully apparent at the outset. If the underlying BPA, against which this call was made, was not competitively sourced or has unfavorable terms, that could also represent a risk. Finally, reliance on a single contractor for a critical year of IT support, even under competition, carries inherent operational risks if the contractor faces financial instability or staffing challenges.

How does the fact that this contract is not a small business set-aside impact the small business ecosystem?

The decision not to set this contract aside for small businesses means that opportunities for small businesses to compete as prime contractors for this specific $2.915 million award were not pursued. This can limit direct prime contracting revenue for small businesses in the IT services sector supporting APHIS. However, it does not preclude small businesses from participating indirectly. The prime contractor, KONIAG DATA SOLUTIONS LLC, may choose to subcontract portions of the work to small businesses, thereby providing them with opportunities. The overall impact on the small business ecosystem depends on the extent to which subcontracting goals are established and met, and whether other, smaller set-aside contracts are available to compensate for the lack of prime opportunities on this particular award.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3800 CENTERPOINT DR, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,915,000

Exercised Options: $2,915,000

Current Obligation: $2,915,000

Actual Outlays: $330,919

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 12639525A0002

IDV Type: BPA

Timeline