Accenture awarded $2.5M for NWS Cloud Migration Program Management, Technical Leadership, and Support

Contract Overview

Contract Amount: $2,489,646 ($2.5M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Commerce

Start Date: 2026-03-20

End Date: 2027-03-19

Contract Duration: 364 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THIS CALL ORDER PROVIDES PROGRAM MANAGEMENT, TECHNICAL LEADERSHIP, AND ASSOCIATED TRAVEL SUPPORT FOR THE NWS HIVE CLOUD MIGRATION INITIATIVE, INCLUDING OVERSIGHT OF STRATEGIC PLANNING, TECHNICAL IMPLEMENTATION, DEVSECOPS EXECUTION, STAKEHOLDER COORDI

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Commerce obligated $2.5 million to ACCENTURE FEDERAL SERVICES LLC for work described as: THIS CALL ORDER PROVIDES PROGRAM MANAGEMENT, TECHNICAL LEADERSHIP, AND ASSOCIATED TRAVEL SUPPORT FOR THE NWS HIVE CLOUD MIGRATION INITIATIVE, INCLUDING OVERSIGHT OF STRATEGIC PLANNING, TECHNICAL IMPLEMENTATION, DEVSECOPS EXECUTION, STAKEHOLDER COORDI Key points: 1. Contract focuses on program management and technical leadership for a critical cloud migration initiative. 2. The award utilizes a Time and Materials pricing structure, which can present cost variability. 3. Full and open competition was utilized, suggesting a potentially competitive bidding process. 4. The contract duration is approximately one year, indicating a focused scope of work. 5. The National Oceanic and Atmospheric Administration (NOAA) is the primary beneficiary agency. 6. The services provided are essential for modernizing the National Weather Service's (NWS) infrastructure.

Value Assessment

Rating: good

The contract value of $2.5 million for program management and technical leadership over a year appears reasonable given the scope of cloud migration initiatives. Benchmarking against similar IT program management contracts suggests this is within expected ranges. The Time and Materials (T&M) pricing model, while offering flexibility, warrants close monitoring to ensure costs remain aligned with project milestones and deliverables. Without specific performance metrics or detailed cost breakdowns, a precise value-for-money assessment is challenging, but the overall investment seems justified for a critical infrastructure modernization effort.

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 offers. The specific number of bidders is not provided, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings. The agency's decision to use full and open competition suggests confidence in the market's ability to provide qualified contractors for complex IT services.

Taxpayer Impact: Taxpayers benefit from the potential for cost efficiencies and a wider range of innovative solutions that can arise from a competitive bidding process. This approach helps ensure that federal funds are used effectively by selecting the best value offer.

Public Impact

The National Weather Service (NWS) will benefit from modernized cloud infrastructure, potentially leading to improved data processing and dissemination capabilities. The initiative aims to enhance technical leadership and program management for the NWS Hive Cloud Migration. The services support strategic planning, technical implementation, and DevSecOps execution. Stakeholder coordination is a key component, ensuring alignment across various groups involved in the migration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not managed diligently.
The success of the cloud migration is heavily reliant on the contractor's technical expertise and program management capabilities.
Potential for scope creep if project requirements are not clearly defined and controlled.

Positive Signals

Awarded under full and open competition, suggesting a robust selection process.
Focus on critical infrastructure modernization for the National Weather Service.
Contract includes oversight of strategic planning and technical implementation, indicating a comprehensive approach.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a vital component of the broader Information Technology (IT) industry. The IT services market is characterized by rapid innovation and significant government spending on modernization and cloud adoption. The National Oceanic and Atmospheric Administration (NOAA) is a significant consumer of IT services, particularly for managing vast datasets and supporting critical weather forecasting and climate monitoring operations. Comparable spending benchmarks for program management and cloud migration support in federal agencies often range from hundreds of thousands to millions of dollars annually, depending on the complexity and scale of the initiative.

Small Business Impact

This contract does not indicate any specific small business set-aside provisions, nor does it mention subcontracting requirements for small businesses. Given the nature of the services (program management and technical leadership for a cloud migration), it is possible that the prime contractor, Accenture Federal Services LLC, will manage the majority of the work internally. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this specific call order.

Oversight & Accountability

Oversight for this contract will likely be managed by the National Oceanic and Atmospheric Administration (NOAA) contracting officers and program managers. The Time and Materials (T&M) contract type necessitates close monitoring of labor hours and costs to ensure adherence to the contract ceiling and prevent cost overruns. Transparency will depend on the agency's reporting practices and the contractor's provision of detailed progress reports. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

NWS IT Modernization Programs
NOAA Cloud Computing Initiatives
Federal IT Program Management Services
DevSecOps Implementation Contracts

Risk Flags

Cost Overrun Risk (T&M Contract)
Technical Complexity of Cloud Migration
Dependency on Contractor Expertise
Scope Creep Potential

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $2.5 million to ACCENTURE FEDERAL SERVICES LLC. THIS CALL ORDER PROVIDES PROGRAM MANAGEMENT, TECHNICAL LEADERSHIP, AND ASSOCIATED TRAVEL SUPPORT FOR THE NWS HIVE CLOUD MIGRATION INITIATIVE, INCLUDING OVERSIGHT OF STRATEGIC PLANNING, TECHNICAL IMPLEMENTATION, DEVSECOPS EXECUTION, STAKEHOLDER COORDI

Who is the contractor on this award?

The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2026-03-20. End: 2027-03-19.

What is Accenture Federal Services LLC's track record with similar cloud migration projects for federal agencies?

Accenture Federal Services LLC has a significant history of supporting federal agencies with IT modernization, cloud migration, and program management. They have been involved in large-scale digital transformation efforts across various departments, including defense, civilian, and intelligence agencies. Their experience often includes managing complex projects, implementing DevSecOps practices, and providing strategic technical leadership. Specific details on past cloud migration projects would require a deeper dive into their contract history and performance reports, but their general profile suggests they are well-equipped for this type of work. Past performance evaluations and contract awards can provide further insight into their capabilities and reliability in delivering similar services.

How does the $2.5 million contract value compare to similar program management contracts for cloud migration initiatives?

The $2.5 million contract value for approximately one year of program management, technical leadership, and support for a cloud migration initiative appears to be within a reasonable range for federal IT projects of this nature. Cloud migration projects are complex and require specialized expertise in strategic planning, technical implementation, and cybersecurity. The cost is influenced by factors such as the scope of services, the number of personnel involved, and the specific technologies being utilized. Benchmarking against similar contracts awarded by agencies like NOAA or other entities within the Department of Commerce can provide a more precise comparison. However, for a critical initiative like the NWS Hive Cloud Migration, this investment level is not unusual.

What are the primary risks associated with this Time and Materials (T&M) contract type for cloud migration support?

The primary risk associated with a Time and Materials (T&M) contract for cloud migration support is the potential for cost overruns if not managed diligently. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual time and materials used, which can lead to unpredictable expenses if the project scope expands or if efficiencies are not maintained. For cloud migration, this could manifest as extended development cycles, unforeseen technical challenges requiring more labor hours, or scope creep. Effective oversight, clear task definitions, and regular performance reviews are crucial to mitigate these risks and ensure the project stays within budget and on schedule. The government must actively manage the contractor's effort to prevent unnecessary labor or resource utilization.

How will the success of the NWS Hive Cloud Migration be measured under this contract?

The success of the NWS Hive Cloud Migration under this contract will likely be measured through a combination of performance metrics and adherence to project milestones. Key performance indicators (KPIs) could include the successful migration of specific applications or data sets to the cloud, achievement of performance targets (e.g., speed, reliability, scalability), adherence to security protocols (DevSecOps), timely completion of project phases, and effective stakeholder coordination. The contract's statement of work and any associated performance work statement (PWS) would detail these specific metrics. Regular progress reports and reviews by NOAA program managers will be essential for tracking performance against these defined objectives and ensuring the overall success of the migration initiative.

What is the historical spending pattern for program management and cloud migration services within NOAA or the NWS?

Historical spending patterns for program management and cloud migration services within NOAA and the NWS indicate a consistent and increasing investment in IT modernization and cloud adoption. Agencies like NOAA manage vast amounts of data and require robust, scalable infrastructure to support critical functions like weather forecasting and climate research. Over the past several years, federal agencies, including NOAA, have prioritized cloud computing initiatives to enhance agility, reduce costs, and improve operational efficiency. Spending on related services, such as program management, technical consulting, and system integration for cloud migrations, has typically ranged from hundreds of thousands to several million dollars annually, depending on the scale and complexity of the projects. This $2.5 million call order aligns with this trend of significant investment in cloud transformation.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Novetta Solutions, LLC

Address: 800 N GLEBE RD STE 300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $2,489,646

Exercised Options: $2,489,646

Current Obligation: $2,489,646

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1305M226A0004

IDV Type: BPA

Timeline