DOL awards $3.98M IT support contract to Alesig Consulting LLC for technology services

Contract Overview

Contract Amount: $3,978,526 ($4.0M)

Contractor: Alesig Consulting LLC

Awarding Agency: Department of Labor

Start Date: 2024-02-29

End Date: 2025-09-30

Contract Duration: 579 days

Daily Burn Rate: $6.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: ORDER ISSUED TO PROVIDE INSURANCE TECHNOLOGY SUPPORT SERVICES (ITSS) FOR THE DEPARTMENT OF LABOR (DOL) OFFICE OF CHIEF INFORMATION OFFICER (OCIO).

Place of Performance

Location: MANASSAS, PRINCE WILLIAM County, VIRGINIA, 20111

State: Virginia Government Spending

Plain-Language Summary

Department of Labor obligated $4.0 million to ALESIG CONSULTING LLC for work described as: ORDER ISSUED TO PROVIDE INSURANCE TECHNOLOGY SUPPORT SERVICES (ITSS) FOR THE DEPARTMENT OF LABOR (DOL) OFFICE OF CHIEF INFORMATION OFFICER (OCIO). Key points: 1. Contract provides essential IT support for the DOL's Office of the Chief Information Officer. 2. Alesig Consulting LLC, a new entrant to federal contracting, secured this award. 3. The contract duration is approximately 19 months, indicating a medium-term need. 4. The award was made under full and open competition, suggesting a robust bidding process. 5. The primary service category is 'Other Computer Related Services', a broad IT function. 6. This contract represents a modest investment within the broader federal IT spending landscape.

Value Assessment

Rating: fair

The contract value of $3.98 million over 19 months is moderate for IT support services. Benchmarking against similar IT support contracts is challenging without more specific service details. The pricing structure, based on labor hours, can lead to cost variability. However, the full and open competition suggests that pricing was likely scrutinized by multiple bidders, potentially leading to a competitive rate.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters a competitive environment. A competitive process is expected to drive down prices and ensure the government receives the best value for its investment in IT support services.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure IT services at the most favorable price point, preventing potential overpayment.

Public Impact

The Department of Labor's Office of the Chief Information Officer will receive enhanced technology support. Improved IT infrastructure and services are expected to benefit DOL employees and operations. The contract supports IT services within the federal government's administrative functions. The primary impact is on the efficiency and effectiveness of DOL's internal technology operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited track record for Alesig Consulting LLC in federal contracting requires monitoring performance.
Labor hour pricing can introduce cost uncertainty if not managed closely.
The 'Other Computer Related Services' category is broad, requiring clear performance metrics to ensure specific needs are met.

Positive Signals

Awarded through full and open competition, indicating a potentially competitive price.
Contract duration of 19 months allows for sustained support and relationship building.
Focus on essential IT support for a critical government function (OCIO).

Sector Analysis

The federal IT services market is vast and highly competitive, with agencies constantly seeking support for their complex technological needs. Contracts for IT support services, particularly those involving general computer-related services, are common across all departments. This contract for the Department of Labor falls within the broader category of IT professional services, which includes areas like system administration, network support, and help desk services. Spending in this sector is driven by the need to maintain legacy systems, modernize infrastructure, and implement new digital solutions.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. Alesig Consulting LLC's status as a small business is not specified, but the award itself does not appear to be part of a targeted small business initiative. Further analysis would be needed to determine if subcontracting opportunities exist or if Alesig Consulting LLC is itself a small business.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Labor's contracting officers and program managers within the OCIO. Performance will be monitored against the terms and conditions of the delivery order, including service level agreements and reporting requirements. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

IT Support Services
Computer Systems Design Services
IT Professional Services
Cloud Computing Services
Cybersecurity Services

Risk Flags

New Contractor Performance Risk
Scope Definition Risk (Broad Service Category)
Cost Overrun Risk (Labor Hour Pricing)

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $4.0 million to ALESIG CONSULTING LLC. ORDER ISSUED TO PROVIDE INSURANCE TECHNOLOGY SUPPORT SERVICES (ITSS) FOR THE DEPARTMENT OF LABOR (DOL) OFFICE OF CHIEF INFORMATION OFFICER (OCIO).

Who is the contractor on this award?

The obligated recipient is ALESIG CONSULTING LLC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $4.0 million.

What is the period of performance?

Start: 2024-02-29. End: 2025-09-30.

What is the specific nature of the 'Other Computer Related Services' being provided under this contract?

The contract specifies 'Other Computer Related Services' (NAICS code 541519), which is a broad category encompassing IT services not elsewhere classified. This typically includes services such as IT support, help desk operations, system administration, network management, and potentially specialized IT consulting. Without further details from the contract award or performance work statement, the exact scope remains general. However, given it's for the OCIO, it likely involves maintaining and supporting the department's internal IT infrastructure, user support, and potentially assisting with IT project implementation or maintenance.

What is Alesig Consulting LLC's prior experience with federal contracts, particularly within the Department of Labor?

Based on the provided data, Alesig Consulting LLC appears to be a relatively new entrant to federal contracting, as this is an 'ORDER ISSUED TO PROVIDE INSURANCE TECHNOLOGY SUPPORT SERVICES (ITSS)'. The data does not indicate prior significant federal contract history for this specific entity. Further investigation into federal procurement databases would be necessary to confirm their complete federal contracting footprint. Their performance on this initial contract will be crucial in establishing a track record with the Department of Labor and other federal agencies.

How does the awarded price of $3.98 million compare to similar IT support contracts awarded by the Department of Labor or other federal agencies?

Comparing the $3.98 million award for approximately 19 months of IT support services requires context regarding the scope and complexity of services. Federal IT support contracts can range significantly in price based on the number of users supported, the criticality of the systems, and the specific services rendered (e.g., help desk, network administration, cybersecurity). Without a detailed breakdown of labor categories, hours, and specific deliverables, a direct price comparison is difficult. However, for a medium-sized agency component like the DOL OCIO, this value appears within a reasonable range for comprehensive IT support over that period, especially given it was competitively procured.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for IT support services, KPIs and SLAs would focus on metrics such as help desk response times, issue resolution rates, system uptime, and user satisfaction. These are usually detailed in the Performance Work Statement (PWS) or Statement of Work (SOW) attached to the contract. The Department of Labor's contracting officers and program managers would be responsible for monitoring Alesig Consulting LLC's adherence to these performance standards throughout the contract period.

What is the potential impact of this contract on the IT workforce within the Department of Labor?

This contract primarily impacts the IT workforce by outsourcing specific technology support functions to Alesig Consulting LLC. This could potentially reduce the need for certain in-house IT support staff or allow existing DOL IT personnel to focus on higher-level strategic initiatives, system development, or specialized tasks rather than routine support. The extent of this impact depends on whether the contract supplements or replaces existing internal capabilities. It may also influence the types of skills the DOL seeks to retain internally versus contract out.

Industry Classification

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

Solicitation ID: 1605TA-24-Q-00029

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 8315 ROUTE 29 # 650, FAIRFAX, VA, 22031

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $3,978,526

Exercised Options: $3,978,526

Current Obligation: $3,978,526

Actual Outlays: $3,978,526

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F0576W

IDV Type: FSS

Timeline