Department of Labor awards $5.7M for OCIO lease laptops to Impres Technology Solutions

Contract Overview

Contract Amount: $5,741,712 ($5.7M)

Contractor: Impres Technology Solutions, Inc

Awarding Agency: Department of Labor

Start Date: 2023-03-10

End Date: 2027-03-12

Contract Duration: 1,463 days

Daily Burn Rate: $3.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DELL BPA ORDER #12: OCIO LEASE LAPTOPS

Place of Performance

Location: SANTA FE SPRINGS, LOS ANGELES County, CALIFORNIA, 90670

State: California Government Spending

Plain-Language Summary

Department of Labor obligated $5.7 million to IMPRES TECHNOLOGY SOLUTIONS, INC for work described as: DELL BPA ORDER #12: OCIO LEASE LAPTOPS Key points: 1. Value for money assessed through benchmarking against similar IT hardware leases. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators include contract duration and the nature of IT hardware leasing. 4. Performance context relies on the successful delivery of leased laptops to the OCIO. 5. Sector positioning within IT services, specifically hardware leasing and support.

Value Assessment

Rating: good

The contract value of $5.7 million for leased laptops over approximately four years appears reasonable when benchmarked against similar federal IT leasing agreements. While specific per-unit costs are not detailed here, the firm-fixed-price structure suggests predictable expenses. The comparison to market rates for comparable laptop models and lease terms would provide a more precise value assessment, but the overall scale of the award does not immediately suggest overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but a full and open competition generally fosters a competitive environment, which is expected to lead to more favorable pricing and terms for the government compared to limited or sole-source procurements.

Taxpayer Impact: A full and open competition maximizes the potential for taxpayer savings by encouraging multiple vendors to offer their best pricing and terms, ensuring the government receives competitive value.

Public Impact

The Office of the Assistant Secretary for Administration and Management (OCIO) within the Department of Labor benefits from this contract by receiving necessary leased laptop equipment. The services delivered include the provision and likely maintenance of IT hardware essential for departmental operations. The geographic impact is primarily within California, where the contractor is based and potentially where the laptops will be deployed or managed. Workforce implications include enabling DOL employees to perform their duties with up-to-date technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for rapid obsolescence of leased hardware within the contract duration.
Dependence on a single awardee for timely delivery and potential support.
Need for robust asset management to track leased equipment effectively.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Full and open competition suggests a competitive award process.
Longer contract duration may offer stability for IT planning.

Sector Analysis

The IT hardware leasing market is a significant segment within the broader IT services sector. Federal agencies frequently utilize leasing arrangements for laptops and other equipment to manage refresh cycles, control costs, and maintain access to current technology. This contract fits within the category of IT equipment procurement and leasing, a common practice across government to support operational needs.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Impres Technology Solutions, Inc., is likely a larger entity or a prime contractor that may or may not utilize small business subcontractors. Further analysis would be needed to determine subcontracting opportunities for small businesses under this BPA order.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Labor's contracting officers and program managers responsible for the OCIO. The contract's firm-fixed-price nature simplifies financial oversight. Transparency is facilitated by public contract databases. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

IT Equipment Procurement
Hardware Leasing Services
General Services Administration (GSA) Schedules
Department of Labor IT Modernization Efforts

Risk Flags

Potential for technological obsolescence within the lease term.
Dependence on contractor for timely delivery and support.
Need for clear asset management and return procedures.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $5.7 million to IMPRES TECHNOLOGY SOLUTIONS, INC. DELL BPA ORDER #12: OCIO LEASE LAPTOPS

Who is the contractor on this award?

The obligated recipient is IMPRES TECHNOLOGY SOLUTIONS, INC.

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 $5.7 million.

What is the period of performance?

Start: 2023-03-10. End: 2027-03-12.

What is the specific model and configuration of the laptops being leased, and how do they compare to current market offerings?

The provided data does not specify the exact models or configurations of the laptops being leased under this BPA order. To assess value and relevance, a detailed breakdown of the hardware specifications (e.g., processor, RAM, storage, screen size) would be necessary. This information would allow for a direct comparison against current market offerings from manufacturers like Dell, HP, or Lenovo, and enable benchmarking of the lease cost per unit against prevailing commercial and government rates for similar specifications. Without this granular detail, it's challenging to definitively state if the leased equipment represents the best available technology or the most cost-effective solution for the Department of Labor's needs.

How does the per-unit lease cost compare to purchasing the same or similar laptops outright?

The data does not provide the per-unit lease cost, making a direct comparison to purchasing difficult. However, federal agencies often opt for leasing to manage cash flow, avoid large upfront capital expenditures, and ensure regular technology refresh cycles. While purchasing might offer lower total cost of ownership over a longer period, leasing provides predictability and flexibility, especially for rapidly evolving technology like laptops. A thorough analysis would require calculating the total lease cost over the contract's duration, dividing by the number of units, and comparing this to the depreciated cost of purchasing equivalent hardware, factoring in maintenance and disposal costs for owned assets.

What is the track record of Impres Technology Solutions, Inc. in fulfilling similar federal IT leasing contracts?

The provided data identifies Impres Technology Solutions, Inc. as the awardee but does not detail their past performance history on similar federal contracts. A comprehensive assessment of contractor track record would involve reviewing their performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), identifying previous awards for IT leasing or hardware provision to federal agencies, and examining the scale and complexity of those past engagements. A history of successful, on-time, and within-budget delivery of comparable services would indicate a lower performance risk for this current contract. Conversely, past issues could signal potential challenges.

What are the specific performance metrics and service level agreements (SLAs) associated with this contract?

The provided summary data does not include details on the specific performance metrics or Service Level Agreements (SLAs) for this contract. Typically, IT leasing contracts would outline requirements related to delivery timelines, equipment uptime, response times for technical support or hardware failures, and end-of-lease procedures. The effectiveness of this contract hinges on Impres Technology Solutions meeting these undefined performance standards. Without explicit SLAs, it is difficult to quantitatively measure the contractor's performance or hold them accountable for service quality beyond the basic fulfillment of the lease agreement.

How does the total contract value of $5.7 million compare to the Department of Labor's historical spending on OCIO laptops?

The provided data offers a single contract award value ($5.7 million) but lacks historical spending context for the Department of Labor's OCIO laptops. To compare, one would need to examine previous years' spending on similar procurements, including both leased and purchased equipment. Analyzing trends in spending volume, average contract values, and the mix of leasing versus purchasing would reveal whether this $5.7 million award represents an increase, decrease, or stable level of investment. Understanding this historical pattern is crucial for assessing the significance of this particular award within the agency's broader IT budget and strategy.

What are the potential risks associated with a four-year lease for IT hardware, considering the pace of technological advancement?

A significant risk associated with a four-year lease for IT hardware, particularly laptops, is technological obsolescence. Within this timeframe, hardware capabilities can become outdated, potentially impacting user productivity and the ability to run modern software applications. Furthermore, the Department of Labor might find itself locked into using equipment that is no longer supported by the manufacturer or lacks critical security updates. Mitigating this risk often involves negotiating clauses for early upgrades, ensuring equipment specifications meet future needs, or structuring the lease to allow for more frequent refresh cycles, though this can increase costs.

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 - IT MANAGEMENT

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: 810 HESTERS CROSSING RD, ROUND ROCK, TX, 78681

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,180,740

Exercised Options: $5,741,712

Current Obligation: $5,741,712

Actual Outlays: $4,306,284

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1605TB22A0001

IDV Type: BPA

Timeline