Interior Department awards $2.3M for Enterprise Network Support, highlighting IT infrastructure needs

Contract Overview

Contract Amount: $2,347,753 ($2.3M)

Contractor: Emerjence LLC

Awarding Agency: Department of the Interior

Start Date: 2025-02-25

End Date: 2027-02-24

Contract Duration: 729 days

Daily Burn Rate: $3.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: ENTERPRISE SERVICES NETWORK SUPPORT (ESNS) SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20240

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $2.3 million to EMERJENCE LLC for work described as: ENTERPRISE SERVICES NETWORK SUPPORT (ESNS) SERVICES Key points: 1. Contract value of $2.3 million for network support services. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract is a delivery order under a larger contract vehicle. 4. Services are categorized under 'Other Computer Related Services'. 5. The contract duration is approximately two years. 6. The contractor, EMERJENCE LLC, is a new awardee for these services. 7. The contract type is Time and Materials, which can pose cost control challenges.

Value Assessment

Rating: fair

The contract value of $2.3 million for two years of enterprise network support appears reasonable given the scope of IT services. However, the Time and Materials pricing structure warrants close monitoring to ensure costs do not exceed initial estimates. Benchmarking against similar IT support contracts for federal agencies of similar size and complexity would provide a clearer picture of value for money. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This suggests a robust bidding environment. The presence of two bids (no: 2) is noted, which is on the lower side for full and open competition and may warrant further investigation into market dynamics or the complexity of the solicitation. A higher number of bidders typically leads to more competitive pricing.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages multiple vendors to offer their best pricing and services, potentially leading to cost savings.

Public Impact

The Department of the Interior benefits from enhanced and reliable enterprise network infrastructure. Employees within the Department of the Interior will have access to stable and efficient IT network services. The contract supports the operational continuity of critical government functions reliant on IT networks. The IT sector workforce may see indirect benefits through employment opportunities with the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not managed diligently.
The relatively low number of bids (2) in a full and open competition might indicate potential market limitations or specific technical requirements that narrowed the field.

Positive Signals

Awarded under full and open competition, promoting a fair marketplace.
The contract supports essential IT infrastructure for a major federal agency.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on network support and computer-related services. The federal IT services market is substantial, with agencies consistently investing in maintaining and upgrading their network infrastructure to ensure operational efficiency and security. This contract represents a typical expenditure for an agency like the Department of the Interior, aiming to sustain its digital backbone. Comparable spending benchmarks would involve analyzing IT support contracts across various federal agencies for similar network sizes and complexities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The primary contractor, EMERJENCE LLC, will be responsible for delivering the services.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the program office within the Department of the Interior responsible for IT infrastructure. Accountability measures will be defined in the contract's statement of work and performance standards. Transparency is facilitated through public contract databases, though detailed performance reports are typically internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

General Services Administration (GSA) IT Schedule Contracts
Department of Defense Information Network (DoDIN) Operations
Federal Civilian Agency IT Modernization Initiatives

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Limited number of bidders (2) in a full and open competition.
Contractor's specific experience with similar large-scale federal network support needs requires verification.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $2.3 million to EMERJENCE LLC. ENTERPRISE SERVICES NETWORK SUPPORT (ESNS) SERVICES

Who is the contractor on this award?

The obligated recipient is EMERJENCE LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $2.3 million.

What is the period of performance?

Start: 2025-02-25. End: 2027-02-24.

What is the track record of EMERJENCE LLC in providing similar enterprise network support services to federal agencies?

Information regarding EMERJENCE LLC's specific track record in providing enterprise network support services to federal agencies is not detailed in the provided data. A thorough assessment would require reviewing past performance evaluations, contract history, and client references. Federal procurement databases and agency performance information systems would be the primary sources for this analysis. Understanding their experience with similar network complexities, security requirements, and service level agreements is crucial for evaluating their capability to fulfill this contract effectively. Without this historical data, the assessment relies heavily on the competitive bidding process to ensure the selected contractor possesses the necessary qualifications.

How does the per-unit cost of this contract compare to market rates for similar IT network support services?

The provided data does not include specific per-unit cost breakdowns (e.g., hourly rates for different labor categories, cost per device supported). Therefore, a direct comparison to market rates is not feasible with the current information. To conduct such an analysis, one would need to benchmark the contractor's proposed labor rates, overhead, and profit margins against industry standards for IT network support professionals in the Washington D.C. metropolitan area. Additionally, comparing the total contract value against the scope of services (number of users, network devices, uptime requirements) for similar federal or commercial contracts would offer a broader perspective on value for money. The Time and Materials (T&M) nature of the contract means actual per-unit costs will vary based on hours worked and materials used.

What are the primary risks associated with a Time and Materials (T&M) contract for IT network support?

The primary risk associated with a Time and Materials (T&M) contract for IT network support is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours and the cost of materials used. If the scope of work is not clearly defined, or if project management is weak, the contractor may incur more hours or use more materials than initially anticipated, leading to a higher final cost for the government. This necessitates robust oversight, detailed tracking of hours and materials, and strong negotiation skills from the contracting officer to ensure that the effort expended is reasonable and allocable to the contract. Without diligent management, T&M contracts can become significantly more expensive than initially projected.

What is the expected impact of this contract on the Department of the Interior's IT infrastructure performance and reliability?

This contract is expected to enhance and maintain the performance and reliability of the Department of the Interior's enterprise network infrastructure. By providing essential support services, EMERJENCE LLC will likely address issues such as network uptime, speed, security, and responsiveness. The goal of such contracts is to ensure that the IT backbone supporting the department's operations remains robust and efficient, minimizing disruptions and supporting the delivery of government services. The specific impact will depend on the contractor's performance against the agreed-upon service level agreements (SLAs) and the quality of the support provided over the contract's duration.

How does the current award compare to historical spending patterns for enterprise network support within the Department of the Interior?

The provided data offers a single award of $2.3 million for Enterprise Services Network Support (ESNS) services. To compare this to historical spending patterns, one would need access to historical contract data for similar network support services within the Department of the Interior. This would involve analyzing previous contract values, durations, contractors, and the scope of services rendered over several fiscal years. Understanding whether this award represents an increase, decrease, or stable level of investment in network support is crucial. Factors such as agency growth, technological advancements, and shifts in IT strategy could influence historical spending trends and provide context for the current award's significance.

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) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 474 WINDY PINE WAY, OVIEDO, FL, 32765

Business Categories: Asian Pacific American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,061,570

Exercised Options: $2,347,753

Current Obligation: $2,347,753

Actual Outlays: $1,107,524

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA24D00G5

IDV Type: FSS

Timeline