Interior Dept. Spends $8.4M on Software Portfolio Development with Deloitte Consulting
Contract Overview
Contract Amount: $8,454,658 ($8.5M)
Contractor: Deloitte Consulting LLP
Awarding Agency: Department of the Interior
Start Date: 2025-08-21
End Date: 2026-05-30
Contract Duration: 282 days
Daily Burn Rate: $30.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIXED PRICE LEVEL OF EFFORT
Sector: IT
Official Description: THE OVERARCHING OBJECTIVE OF THIS TASK ORDER FOR CONTRACTED SERVICES AND PERSONNEL RESOURCES IS TO DEVELOP AND MAINTAIN AN OPTIMAL PORTFOLIO OF STATE-OF-THE-ART, HIGH VALUE SOFTWARE APPLICATIONS IN A TIMELY AND COST-EFFECTIVE MANNER WHICH PROMOTES IN
Place of Performance
Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852
State: Maryland Government Spending
Plain-Language Summary
Department of the Interior obligated $8.5 million to DELOITTE CONSULTING LLP for work described as: THE OVERARCHING OBJECTIVE OF THIS TASK ORDER FOR CONTRACTED SERVICES AND PERSONNEL RESOURCES IS TO DEVELOP AND MAINTAIN AN OPTIMAL PORTFOLIO OF STATE-OF-THE-ART, HIGH VALUE SOFTWARE APPLICATIONS IN A TIMELY AND COST-EFFECTIVE MANNER WHICH PROMOTES IN Key points: 1. Significant investment in state-of-the-art software applications. 2. Deloitte Consulting LLP is the sole awardee. 3. Contract duration is 282 days. 4. Focus on timely and cost-effective development and maintenance.
Value Assessment
Rating: fair
The fixed-price level-of-effort contract aims for cost-effectiveness. Benchmarking against similar software development contracts is difficult without more detailed scope information, but $8.4M for 282 days suggests a substantial project.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific awardee is Deloitte Consulting LLP, indicating they won the bid.
Taxpayer Impact: Taxpayer funds are being used for critical software development, aiming for long-term value and efficiency in departmental operations.
Public Impact
Enhances government IT infrastructure with modern software. Aims to improve operational efficiency through optimized applications. Supports the Department of the Interior's mission-critical functions. Potential for improved data management and accessibility.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics.
- Potential for scope creep in software development.
- Reliance on a single vendor for critical software.
Positive Signals
- Clear objective for portfolio development.
- Fixed-price contract structure for cost control.
- Focus on state-of-the-art technology.
Sector Analysis
This contract falls under Computer Systems Design Services, a crucial sector for government IT modernization. Spending benchmarks vary widely based on project complexity, but $8.4M for a 9-month effort is significant.
Small Business Impact
The contract was awarded to Deloitte Consulting LLP, a large business. There is no indication of small business participation in this specific task order.
Oversight & Accountability
The contract is a delivery order under a larger agreement. Oversight would typically involve project managers within the Department of the Interior monitoring progress and deliverables against the fixed-price level-of-effort terms.
Related Government Programs
- Computer Systems Design Services
- Department of the Interior Contracting
- Departmental Offices Programs
Risk Flags
- High contract value.
- Fixed-price level-of-effort contract type.
- Sole awardee for this task order.
- Potential for technology obsolescence.
- Cybersecurity risks inherent in software development.
Tags
computer-systems-design-services, department-of-the-interior, md, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Interior awarded $8.5 million to DELOITTE CONSULTING LLP. THE OVERARCHING OBJECTIVE OF THIS TASK ORDER FOR CONTRACTED SERVICES AND PERSONNEL RESOURCES IS TO DEVELOP AND MAINTAIN AN OPTIMAL PORTFOLIO OF STATE-OF-THE-ART, HIGH VALUE SOFTWARE APPLICATIONS IN A TIMELY AND COST-EFFECTIVE MANNER WHICH PROMOTES IN
Who is the contractor on this award?
The obligated recipient is DELOITTE CONSULTING LLP.
Which agency awarded this contract?
Awarding agency: Department of the Interior (Departmental Offices).
What is the total obligated amount?
The obligated amount is $8.5 million.
What is the period of performance?
Start: 2025-08-21. End: 2026-05-30.
How will the 'optimal portfolio' be defined and measured for success?
Success will likely be measured by the successful development and deployment of the specified software applications within the defined timeline and budget. Key performance indicators may include application functionality, user adoption rates, system performance metrics, and alignment with departmental strategic goals. The definition of 'optimal' should be clearly articulated in the contract's statement of work.
What are the specific risks associated with developing and maintaining 'state-of-the-art' software in a government context?
Risks include rapid technological obsolescence, integration challenges with legacy systems, cybersecurity vulnerabilities, and the potential for vendor lock-in. Ensuring continuous alignment with evolving government requirements and security standards is paramount. The government must maintain robust oversight to mitigate these risks throughout the contract lifecycle.
What is the expected return on investment for this $8.4M software development effort?
The ROI is expected through improved operational efficiencies, enhanced data analysis capabilities, and modernization of IT infrastructure, leading to cost savings and better service delivery. Quantifying this ROI will depend on the specific applications developed and their impact on departmental processes and mission outcomes.
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 - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)
Evaluated Preference: NONE
Contractor Details
Address: 1725 DUKE ST, ALEXANDRIA, VA, 22314
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $10,912,874
Exercised Options: $9,094,095
Current Obligation: $8,454,658
Actual Outlays: $3,630,594
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $1,006,699
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSN316201200018W
IDV Type: GWAC
Timeline
Start Date: 2025-08-21
Current End Date: 2026-05-30
Potential End Date: 2026-07-30 00:00:00
Last Modified: 2026-02-10
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