Commerce Dept Awards $34.3M AWS Call Order to Four Points Technology for Cloud Services
Contract Overview
Contract Amount: $34,283,261 ($34.3M)
Contractor: Four Points Technology, L.L.C.
Awarding Agency: Department of Commerce
Start Date: 2023-12-19
End Date: 2026-05-31
Contract Duration: 894 days
Daily Burn Rate: $38.3K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: AMAZON WEB SERVICES - CALL ORDER 0001.
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 FOUR POINTS TECHNOLOGY, L.L.C. for work described as: AMAZON WEB SERVICES - CALL ORDER 0001. Key points: 1. Significant award for cloud infrastructure services, highlighting reliance on major providers. 2. Competition was full and open, suggesting a competitive bidding process. 3. Risk appears moderate given the established provider and fixed-price contract. 4. Sector is IT services, specifically cloud computing and related support.
Value Assessment
Rating: good
The award amount of $34.3M over approximately 2.5 years suggests a substantial commitment. Benchmarking against similar large-scale cloud service contracts would be necessary for a precise value assessment, but the fixed-price nature provides some cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value offering.
Taxpayer Impact: The competitive bidding process aims to ensure taxpayer funds are used efficiently for necessary IT services.
Public Impact
Supports critical operations of the U.S. Census Bureau, impacting data collection and dissemination. Leverages cloud infrastructure for scalability and flexibility in government IT. Potential for follow-on work or expansion based on performance and agency needs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Reliance on a single vendor for a significant portion of cloud services.
- Potential for cost overruns if scope expands beyond initial call order.
- Cybersecurity risks inherent in cloud computing environments.
Positive Signals
- Awarded through full and open competition.
- Fixed-price contract provides cost predictability.
- Supports a critical government function (Census Bureau).
Sector Analysis
This contract falls within the IT services sector, specifically cloud computing. Spending in this area has grown exponentially as agencies migrate from on-premise infrastructure to cloud solutions for cost savings and agility. Benchmarks vary widely based on service type and scale.
Small Business Impact
While the prime contractor is Four Points Technology, L.L.C., the data does not specify if they are a small business or if subcontracting opportunities for small businesses are included in this call order. Further investigation would be needed to assess small business participation.
Oversight & Accountability
The award was made under a Blanket Purchase Agreement (BPA) Call Order, suggesting it aligns with pre-negotiated terms. Oversight would involve monitoring performance against the contract requirements and ensuring adherence to the fixed-price agreement.
Related Government Programs
- Other Computer Related Services
- Department of Commerce Contracting
- U.S. Census Bureau Programs
Risk Flags
- Vendor Lock-in Potential
- Scope Creep Risk
- Cybersecurity Vulnerabilities
- Performance Degradation
Tags
other-computer-related-services, department-of-commerce, md, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $34.3 million to FOUR POINTS TECHNOLOGY, L.L.C.. AMAZON WEB SERVICES - CALL ORDER 0001.
Who is the contractor on this award?
The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..
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: 2023-12-19. End: 2026-05-31.
What specific AWS services are being procured under this call order, and how do their costs compare to market rates for similar government contracts?
The specific AWS services are not detailed in the provided data. A thorough analysis would require examining the detailed statement of work to identify services like compute, storage, or specialized analytics. Benchmarking these against government-specific cloud pricing agreements (e.g., AWS's existing government contracts or GSA schedules) and commercial equivalents is crucial for validating value for money.
What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this call order, and how will performance be monitored to mitigate risks?
The provided data lacks details on specific KPIs and SLAs. Effective oversight requires defining measurable performance metrics (e.g., uptime, response times, security compliance) and establishing clear SLAs. Regular performance reviews and reporting mechanisms are essential to ensure the contractor meets obligations and to identify any deviations or potential risks early on.
How does the pricing structure of this call order compare to potential alternative cloud solutions or on-premise deployments in terms of total cost of ownership?
The call order utilizes a Firm Fixed Price (FFP) model, offering cost certainty for the defined scope. A comprehensive comparison would involve calculating the Total Cost of Ownership (TCO) for this AWS solution against other cloud providers (e.g., Azure, Google Cloud) and traditional on-premise infrastructure, considering factors like hardware, software, maintenance, personnel, and energy costs over the contract duration.
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) › MANAGEMENT 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: 13221 WOODLAND PARK RD, HERNDON, VA, 20171
Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $401,241,200
Exercised Options: $201,830,000
Current Obligation: $34,283,261
Actual Outlays: $10,899,138
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 1333LB24A00000001
IDV Type: BPA
Timeline
Start Date: 2023-12-19
Current End Date: 2026-05-31
Potential End Date: 2028-05-27 00:00:00
Last Modified: 2026-04-01
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