Commerce Dept. awards $34.3M for digital web services, with 1 bidder winning a task order

Contract Overview

Contract Amount: $34,323,402 ($34.3M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Commerce

Start Date: 2020-01-06

End Date: 2021-09-07

Contract Duration: 610 days

Daily Burn Rate: $56.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NEW TASK ORDER FOR DIGITAL WEB SERVICES HYBRID FFP AND T&M

Place of Performance

Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $34.3 million to ACCENTURE FEDERAL SERVICES LLC for work described as: NEW TASK ORDER FOR DIGITAL WEB SERVICES HYBRID FFP AND T&M Key points: 1. The contract value represents a significant investment in digital web services for the U.S. Census Bureau. 2. Competition dynamics for this specific task order appear limited, warranting further investigation into the bidding process. 3. The duration of the contract (610 days) suggests a substantial project requiring sustained effort. 4. Performance context is crucial to understand the effectiveness of these digital web services. 5. This contract falls within the IT sector, specifically computer systems design services. 6. The award method as a delivery order indicates it's part of a larger, potentially pre-competed, contract vehicle.

Value Assessment

Rating: fair

Benchmarking the value of this $34.3 million task order is challenging without more specific details on the digital web services delivered. However, the contract's duration of 610 days suggests a substantial project. Comparing the per-day cost to similar government contracts for web development and IT services would provide better insight into its value proposition. The fixed-price nature of the award offers some cost certainty, but the ultimate value depends on the quality and effectiveness of the delivered services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. However, the data provided does not specify the number of bids received for this particular task order. A high number of bidders typically suggests robust competition, which can lead to better pricing and innovation. Conversely, a low number of bidders might indicate market limitations or specific requirements that narrowed the field.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it promotes a competitive environment that can drive down costs and improve service quality.

Public Impact

The U.S. Census Bureau is the primary beneficiary, receiving enhanced digital web services. These services are expected to support the Bureau's mission in data collection, dissemination, and public engagement. The geographic impact is national, as Census Bureau services are utilized across the United States. Workforce implications may include the need for specialized IT and web development personnel within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders for this task order limits the assessment of competition's impact on price.
The 'hybrid' contract type (FFP and T&M) can introduce cost uncertainty if not managed carefully, especially the Time and Materials portion.
Without performance metrics, it's difficult to assess the true value for money delivered by these digital web services.

Positive Signals

Awarded under full and open competition, suggesting a fair process for vendor selection.
The use of a Firm Fixed Price component provides some cost predictability for the government.
The contract is for essential digital web services, indicating a focus on modernizing government operations.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically under Computer Systems Design Services. The IT services market is vast and highly competitive, with numerous companies offering web development, design, and maintenance. Government spending in this area is substantial, driven by the need to modernize legacy systems, improve citizen engagement, and enhance data management. Comparable spending benchmarks would involve analyzing other federal contracts for similar digital transformation projects within agencies like the Census Bureau or other data-intensive organizations.

Small Business Impact

The provided data indicates that small business participation (ss and sb fields) was not a specific set-aside for this contract. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside. However, the prime contractor, Accenture Federal Services LLC, may engage small businesses as subcontractors, which would contribute to the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Census Bureau's contracting officers and program managers. Accountability measures are inherent in the contract's performance requirements and delivery schedules. Transparency is facilitated through contract databases like FPDS, which record award details. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected.

Related Government Programs

Digital Services
Web Development
IT Modernization
Census Bureau IT Contracts
Computer Systems Design Services

Risk Flags

Potential for cost overruns in the Time and Materials portion of the hybrid contract.
Lack of specific performance metrics makes value assessment difficult.
Limited insight into the number of bidders for this specific task order.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $34.3 million to ACCENTURE FEDERAL SERVICES LLC. NEW TASK ORDER FOR DIGITAL WEB SERVICES HYBRID FFP AND T&M

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 (U.S. Census Bureau).

What is the total obligated amount?

The obligated amount is $34.3 million.

What is the period of performance?

Start: 2020-01-06. End: 2021-09-07.

What specific digital web services are being procured under this task order, and how do they align with the U.S. Census Bureau's strategic goals?

The task order is for 'Digital Web Services Hybrid FFP and T&M'. While the specific services are not detailed in the provided data, they likely encompass the design, development, maintenance, and enhancement of web-based platforms and applications used by the U.S. Census Bureau. These services would align with strategic goals related to improving data dissemination, enhancing public access to information, supporting data collection efforts (e.g., for future censuses or surveys), and modernizing the Bureau's digital infrastructure. Understanding the precise nature of these services is crucial for evaluating their necessity and effectiveness in achieving the Bureau's mission.

How many bids were received for this specific task order, and what does this indicate about the level of competition?

The provided data indicates the contract was awarded under 'FULL AND OPEN COMPETITION' (ct: FULL AND OPEN COMPETITION), which means all responsible sources were allowed to bid. However, the specific number of bids received for this particular task order is not detailed in the abbreviated data. A high number of bids would suggest robust competition, potentially leading to better pricing and more innovative solutions for the government. A low number of bids might suggest that the market for these specific services is limited, or that the requirements were highly specialized, potentially impacting price discovery and the government's leverage in negotiations.

What is the cost per day for this contract, and how does it compare to industry benchmarks for similar digital web services?

The total contract value is $34,323,401.62, and the duration is 610 days. This results in an approximate cost per day of $56,268.00 ($34,323,401.62 / 610 days). Benchmarking this figure against industry standards for digital web services, especially within the federal government context, requires detailed comparison. Factors such as the complexity of the services, the level of expertise required, and the specific technologies involved would influence the appropriate benchmark. Without more granular data on the services provided, a precise comparison is difficult, but this daily rate can serve as a starting point for further analysis against similar government contracts.

What is the track record of Accenture Federal Services LLC in delivering digital web services to the federal government, particularly for agencies like the U.S. Census Bureau?

Accenture Federal Services LLC is a large and established government contractor with a significant history of providing a wide range of IT and professional services to various federal agencies, including the U.S. Census Bureau. Their track record generally includes large-scale system integrations, digital transformation initiatives, and IT modernization projects. Specific to digital web services, they have experience in developing and managing complex web portals, citizen-facing applications, and internal data management systems. A thorough review of their past performance on similar contracts, including client feedback and any documented performance issues or successes, would provide a more comprehensive understanding of their capabilities and reliability for this specific task order.

What are the potential risks associated with the 'hybrid' contract type (FFP and T&M) for this digital web services task order?

The hybrid contract type, combining Firm Fixed Price (FFP) and Time and Materials (T&M), presents a mix of benefits and risks. The FFP component provides cost certainty for a defined scope of work. However, the T&M portion carries inherent risks for the government, primarily related to cost control. If the T&M effort is not meticulously managed, monitored, and justified, costs can escalate beyond initial projections. This requires vigilant oversight from the contracting officer and program team to ensure that labor hours and material costs are reasonable and directly related to the contract's objectives. Scope creep can be a significant risk in the T&M portion, potentially leading to cost overruns if not managed proactively.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

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: $34,341,710

Exercised Options: $34,323,402

Current Obligation: $34,323,402

Actual Outlays: $2,617,950

Subaward Activity

Number of Subawards: 34

Total Subaward Amount: $5,995,709

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F540GA

IDV Type: FSS

Timeline