Task order for housing system modernization awarded to Phoenix Oversight Group LLC for $3M

Contract Overview

Contract Amount: $2,999,023 ($3.0M)

Contractor: Phoenix Oversight Group LLC

Awarding Agency: Department of Agriculture

Start Date: 2025-08-29

End Date: 2026-10-04

Contract Duration: 401 days

Daily Burn Rate: $7.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TASK ORDER 001 - RD SINGLE FAMILY HOUSING CONTINUED MODERNIZATION OF THE GUARANTEED UNDERWRITING SYSTEM (GUS) 2

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22201

State: Virginia Government Spending

Plain-Language Summary

Department of Agriculture obligated $3.0 million to PHOENIX OVERSIGHT GROUP LLC for work described as: TASK ORDER 001 - RD SINGLE FAMILY HOUSING CONTINUED MODERNIZATION OF THE GUARANTEED UNDERWRITING SYSTEM (GUS) 2 Key points: 1. The contract focuses on modernizing the Guaranteed Underwriting System (GUS), a critical component for rural housing finance. 2. The chosen vendor, Phoenix Oversight Group LLC, has been awarded this task order under a broader contract. 3. The contract duration is 401 days, indicating a medium-term project. 4. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 5. The award was made under full and open competition after exclusion of sources, suggesting a specific justification for limited competition. 6. The North American Industry Classification System (NAICS) code 541519 points to 'Other Computer Related Services', aligning with the system modernization objective.

Value Assessment

Rating: fair

Benchmarking the value of this specific task order is challenging without more context on the overall contract it falls under and the specific modernization deliverables. The $3 million price tag for 401 days of service needs to be evaluated against the scope of work and the complexity of modernizing a financial underwriting system. Comparisons to similar IT modernization projects within the Department of Agriculture or other federal agencies would be necessary to determine if this represents good value for money. The firm fixed-price nature provides cost certainty, but the overall value hinges on successful system enhancement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the initial contract vehicle may have been competed broadly, this specific task order had a limited number of bidders, likely due to specific requirements or a pre-existing contract structure. Further details on the justification for excluding other sources would be needed to fully assess the competitive landscape for this particular task order.

Taxpayer Impact: Limited competition can sometimes lead to higher prices for taxpayers if the pool of potential bidders is restricted without adequate justification. It necessitates careful review to ensure fair pricing and prevent potential overspending.

Public Impact

The primary beneficiaries are likely the Rural Housing Service and its staff who will utilize the modernized Guaranteed Underwriting System. The services delivered include the continued modernization of a critical IT system, aiming to improve efficiency and effectiveness in rural housing loan processing. The geographic impact is nationwide, as the Rural Housing Service supports housing initiatives across the United States. Workforce implications include potential upskilling for IT staff involved in the modernization and improved tools for loan officers and underwriters.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition type warrants further investigation to ensure no viable competitors were unfairly excluded.
The specific modernization goals and success metrics for the GUS system are not detailed, posing a risk to performance evaluation.
Reliance on a single vendor for a critical system modernization could create long-term dependency and potential vendor lock-in.

Positive Signals

The firm fixed-price contract structure provides cost predictability for the government.
The modernization of the GUS system is a necessary step to improve operational efficiency and service delivery for rural housing programs.
The task order is part of a larger contract, suggesting a structured approach to vendor selection and management.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on software development and modernization. The market for government IT services is substantial, with agencies continually seeking to upgrade legacy systems. Comparable spending benchmarks for similar system modernization projects within federal agencies can vary widely based on complexity, scope, and the specific technologies involved. The Department of Agriculture's investment in modernizing its underwriting systems is crucial for supporting its mission of rural development.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary consideration for this specific task order. There is no indication of a small business set-aside. Subcontracting opportunities for small businesses are not explicitly mentioned, and their impact on the small business ecosystem would depend on the specific work allocated to subcontractors, if any. Further review of the parent contract might reveal subcontracting plans.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Agriculture's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract type, requiring the contractor to deliver specified outcomes. Transparency is facilitated through contract award databases, though detailed performance reports may not always be publicly available. The Inspector General's office for the Department of Agriculture would have jurisdiction for audits and investigations if any issues arise.

Related Government Programs

Rural Housing Loan Guarantee Program
Guaranteed Underwriting System (GUS)
Federal IT Modernization Initiatives
Department of Agriculture IT Contracts

Risk Flags

Limited competition justification
Lack of detailed performance metrics
Potential for vendor lock-in
Scope of modernization not fully defined

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $3.0 million to PHOENIX OVERSIGHT GROUP LLC. TASK ORDER 001 - RD SINGLE FAMILY HOUSING CONTINUED MODERNIZATION OF THE GUARANTEED UNDERWRITING SYSTEM (GUS) 2

Who is the contractor on this award?

The obligated recipient is PHOENIX OVERSIGHT GROUP LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Rural Housing Service).

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2025-08-29. End: 2026-10-04.

What is the specific scope of work for the 'continued modernization' of the Guaranteed Underwriting System (GUS)?

The provided data does not detail the specific scope of work for the continued modernization of the Guaranteed Underwriting System (GUS). It is identified as 'TASK ORDER 001 - RD SINGLE FAMILY HOUSING CONTINUED MODERNIZATION OF THE GUARANTEED UNDERWRITING SYSTEM (GUS) 2'. To understand the scope, one would need to review the task order's statement of work (SOW). This would typically outline the specific functionalities to be developed, updated, or integrated, the technologies to be used, and the expected outcomes. Without the SOW, it's difficult to assess the complexity, technical requirements, and the true value of the $3 million award.

How does the pricing of this task order compare to similar IT modernization projects within the Department of Agriculture or other federal agencies?

Directly comparing the $3 million price tag for 401 days of service is difficult without a detailed breakdown of the labor categories, hours, and specific deliverables. However, for context, federal IT modernization projects can range significantly in cost. A project of this size, focusing on a critical financial system, could be considered moderate. To benchmark effectively, one would need to identify comparable projects in terms of system criticality (e.g., loan processing, financial management), modernization scope (e.g., re-platforming, feature enhancement, cloud migration), and contract duration. A preliminary assessment suggests the cost per day is approximately $7,479 ($3M / 401 days), which needs to be evaluated against the contractor's proposed labor mix and the complexity of the modernization tasks.

What are the key performance indicators (KPIs) for this modernization effort, and how will success be measured?

The provided data does not specify the Key Performance Indicators (KPIs) or the metrics by which the success of the GUS modernization will be measured. Typically, a Statement of Work (SOW) for such a project would include detailed performance standards and acceptance criteria. These might relate to system uptime, processing speed improvements, reduction in manual workarounds, user satisfaction, security enhancements, or successful integration with other systems. Without these defined KPIs, it is challenging to objectively assess whether Phoenix Oversight Group LLC is delivering the expected value and achieving the modernization goals within the allocated budget and timeframe.

What is the track record of Phoenix Oversight Group LLC in delivering similar IT modernization services to federal agencies?

Phoenix Oversight Group LLC has been awarded this task order, indicating they are a recognized vendor within the federal contracting space. To assess their track record for IT modernization, a review of their past performance on similar contracts would be necessary. This would involve examining past performance evaluations, any reported issues or successes on previous projects, and their experience with government underwriting or financial systems. Information on their specific expertise in modernizing complex legacy systems, particularly within financial or housing sectors, would be crucial for evaluating their capability to successfully execute this task order.

What is the historical spending pattern for the Guaranteed Underwriting System (GUS) modernization or related IT services by the Department of Agriculture?

The provided data pertains to a single task order (001) valued at approximately $3 million. To understand historical spending patterns for GUS modernization or related IT services, one would need to analyze broader contract data for the Rural Housing Service or the Department of Agriculture over several fiscal years. This would involve looking at previous contracts for GUS maintenance, upgrades, or complete overhauls, as well as other IT modernization efforts within the agency. Analyzing this historical data would reveal trends in investment, the types of services procured, and the vendors frequently engaged, providing context for the current award.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 12SAD123R0004

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1010 N GLEBE RD STE 610, ARLINGTON, VA, 22201

Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,999,023

Exercised Options: $2,999,023

Current Obligation: $2,999,023

Actual Outlays: $1,249,593

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 12SAD125D0004

IDV Type: IDC

Timeline