DOJ's FBI awards $257K for TZ Works Renewal to New Tech Solutions, Inc

Contract Overview

Contract Amount: $257,372 ($257.4K)

Contractor: NEW Tech Solutions, Inc.

Awarding Agency: Department of Justice

Start Date: 2024-05-31

End Date: 2027-05-30

Contract Duration: 1,094 days

Daily Burn Rate: $235/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TZ WORKS RENEWAL

Place of Performance

Location: FREMONT, ALAMEDA County, CALIFORNIA, 94538

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $257,372.11 to NEW TECH SOLUTIONS, INC. for work described as: TZ WORKS RENEWAL Key points: 1. Contract awarded to New Tech Solutions, Inc. for TZ Works Renewal. 2. The contract has a total value of $257,372.11. 3. The contract duration is 1094 days. 4. The contract falls under the 'Other Computer Related Services' category. 5. This is a Delivery Order under a larger contract.

Value Assessment

Rating: fair

The contract value of $257,372.11 for a 3-year renewal of 'TZ Works' software/services appears reasonable given the specialized nature of IT services. Benchmarking against similar IT service contracts would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', indicating a competitive process was used, but specific sources were initially excluded. This method aims for best value while potentially leveraging existing relationships or specialized capabilities.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving a fair price for the services rendered, avoiding potential overpayment associated with sole-source contracts.

Public Impact

Ensures continued operation of 'TZ Works', a system likely critical for FBI operations. Supports a technology service provider, contributing to the IT sector. The renewal provides stability for the FBI's IT infrastructure. Transparency in procurement through full and open competition benefits public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if 'TZ Works' is highly specialized.
Need to ensure ongoing value and performance throughout the contract term.

Positive Signals

Competitive award process.
Fixed-price contract structure limits cost overruns.
Long-term renewal provides operational stability.

Sector Analysis

The IT services sector is vast, with spending benchmarks varying significantly by service type and contract duration. This contract for 'Other Computer Related Services' represents a small portion of the overall federal IT spending, likely focused on specialized software maintenance or support.

Small Business Impact

The data does not indicate if small businesses were involved in this specific award. Further analysis would be needed to determine the extent of small business participation in the broader contract vehicle from which this delivery order was issued.

Oversight & Accountability

The award was made under a competitive process, suggesting some level of oversight. However, ongoing monitoring of performance and adherence to contract terms by the FBI is crucial for accountability.

Related Government Programs

Other Computer Related Services
Department of Justice Contracting
Federal Bureau of Investigation Programs

Risk Flags

Potential for vendor lock-in.
Reliance on a single vendor for critical IT services.
Need for robust performance monitoring.
Ensuring continued relevance and modernization of 'TZ Works'.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $257,372.11 to NEW TECH SOLUTIONS, INC.. TZ WORKS RENEWAL

Who is the contractor on this award?

The obligated recipient is NEW TECH SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $257,372.11.

What is the period of performance?

Start: 2024-05-31. End: 2027-05-30.

What specific functionalities does 'TZ Works' provide to the FBI, and how critical are these to their mission?

'TZ Works' likely provides case management, investigative support, or data analysis tools essential for the FBI's law enforcement and intelligence gathering activities. Its criticality stems from enabling efficient processing of information, tracking cases, and supporting field operations, directly impacting the agency's ability to fulfill its mandate.

What were the specific reasons for excluding certain sources in the 'full and open competition after exclusion of sources' method?

Excluding sources in a full and open competition typically occurs when specific capabilities, past performance, or unique requirements necessitate a narrowed pool of eligible vendors. This could be due to the specialized nature of the 'TZ Works' system, requiring vendors with demonstrated expertise in its maintenance or integration, or to leverage existing successful partnerships.

How does the fixed-price contract structure mitigate risks for the FBI and taxpayers in this IT service renewal?

A firm fixed-price contract establishes a ceiling on the total cost, protecting the FBI and taxpayers from unexpected cost increases due to contractor inefficiencies or scope creep. The contractor assumes the risk of cost overruns, incentivizing efficient performance and delivery within the agreed-upon budget.

Industry Classification

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

Product/Service Code: IT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4179 BUSINESS CENTER DR, FREMONT, CA, 94538

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $348,361

Exercised Options: $257,372

Current Obligation: $257,372

Actual Outlays: $169,034

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SC82B

IDV Type: GWAC

Timeline