State Department awards $4.76M contract for IT infrastructure support to JSSA Inc

Contract Overview

Contract Amount: $4,758,043 ($4.8M)

Contractor: Jssa Inc

Awarding Agency: Department of State

Start Date: 2024-08-01

End Date: 2026-09-01

Contract Duration: 761 days

Daily Burn Rate: $6.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: REQUIREMENT FOR CM INFRASTRUCTURE SUPPORT FOR GTM.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20520

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $4.8 million to JSSA INC for work described as: REQUIREMENT FOR CM INFRASTRUCTURE SUPPORT FOR GTM. Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of approximately 2 years (761 days) indicates a medium-term need for services. 3. The primary service category is Custom Computer Programming Services, aligning with IT infrastructure needs. 4. The contract is a Delivery Order, suggesting it's part of a larger Indefinite Delivery/Indefinite Quantity (IDIQ) contract. 5. The contract is for labor hours, which can offer flexibility but requires careful monitoring of effort. 6. The awardee, JSSA Inc., is a single entity, highlighting the need to assess their capacity and past performance.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without knowing the specific services and labor rates involved. The total award amount of $4.76 million over approximately two years suggests a moderate investment in IT infrastructure support. Comparing this to similar contracts for custom computer programming services would require detailed analysis of scope, duration, and labor categories. The use of labor hours allows for flexibility but can also lead to cost overruns if not managed effectively. Without more granular data on the specific tasks and associated rates, a definitive value-for-money assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This typically involves a formal solicitation process where multiple vendors can compete. The number of bidders is not specified, but the 'full and open' designation suggests a robust competitive environment. This approach is generally expected to yield fair market prices and encourage innovation among contractors vying for the award.

Taxpayer Impact: A competitive bidding process like this generally benefits taxpayers by driving down costs and ensuring the government receives the best possible value for its investment. It reduces the risk of overpayment and promotes a more efficient allocation of public funds.

Public Impact

The Department of State benefits from enhanced IT infrastructure support, crucial for its global operations. Services delivered include custom computer programming and IT infrastructure maintenance, ensuring operational continuity. The geographic impact is primarily within the District of Columbia, where the Department of State is headquartered. The contract supports IT professionals and potentially other roles involved in delivering these specialized services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to gauge the effectiveness of the support provided.
The 'labor hours' contract type can lead to cost uncertainty if not closely monitored for efficiency.
Limited information on the specific IT infrastructure components being supported hinders a full risk assessment.

Positive Signals

Awarded through full and open competition, indicating a competitive pricing environment.
The contract duration suggests a stable, medium-term commitment to essential IT services.
The award to a single contractor, JSSA Inc., implies a focused relationship for this specific requirement.

Sector Analysis

This contract falls within the Information Technology sector, specifically Custom Computer Programming Services. The IT services market is vast and highly competitive, with significant government spending allocated to maintaining and upgrading federal IT infrastructure. Contracts like this are essential for agencies to manage complex digital environments, ensure cybersecurity, and support mission-critical operations. Benchmarks for similar IT support contracts vary widely based on scope, complexity, and security requirements, but government spending in this area consistently represents a substantial portion of the federal IT budget.

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 for small businesses arising from a small business set-aside. The primary contractor, JSSA Inc., will be responsible for fulfilling the contract requirements. Analysis of JSSA Inc.'s own small business subcontracting plan, if applicable, would be necessary to understand any indirect impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officer and program managers. They are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance. Regular performance reviews and audits are standard oversight mechanisms.

Related Government Programs

IT Infrastructure Modernization Programs
Custom Software Development Services
Cloud Computing Services Contracts
Cybersecurity Support Contracts
IT Professional Services IDIQ Contracts

Risk Flags

Potential for cost overruns due to labor hours contract type.
Need for robust performance monitoring to ensure efficiency.
Dependence on contractor's technical expertise and capacity.
Risk associated with the specific IT infrastructure components supported (if not fully detailed).

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $4.8 million to JSSA INC. REQUIREMENT FOR CM INFRASTRUCTURE SUPPORT FOR GTM.

Who is the contractor on this award?

The obligated recipient is JSSA INC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $4.8 million.

What is the period of performance?

Start: 2024-08-01. End: 2026-09-01.

What is JSSA Inc.'s track record with the Department of State and other federal agencies?

Assessing JSSA Inc.'s track record requires reviewing their past performance on federal contracts. This includes examining contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or corrective actions. A positive track record with the Department of State or similar agencies for IT infrastructure support and custom programming services would indicate a lower risk for this new contract. Conversely, a history of poor performance, missed deadlines, or cost overruns would raise concerns about JSSA Inc.'s ability to successfully execute this $4.76 million delivery order. Further investigation into their financial stability and technical capabilities would also be prudent.

How does the $4.76 million award compare to similar IT infrastructure support contracts?

The $4.76 million award for approximately two years of IT infrastructure support (custom computer programming services) is a moderate-sized contract. To benchmark its value, one would compare it against similar contracts awarded by the Department of State or other agencies for comparable services. Key comparison points include the scope of work, the specific technologies supported, the labor categories and hours utilized, and the contract type (e.g., labor hours vs. fixed price). If JSSA Inc.'s proposed labor rates are significantly higher than those seen in comparable contracts for similar skill sets, it could indicate a potential overpricing. Conversely, if the scope is particularly complex or requires highly specialized skills, the price might be justified.

What are the primary risks associated with a 'labor hours' contract for IT support?

Contracts awarded on a 'labor hours' basis, like this one, carry inherent risks primarily related to cost control and oversight. The main risk is that the contractor may not work as efficiently as possible, potentially extending the time required to complete tasks and thereby increasing the overall cost to the government. Without strict monitoring of hours worked and task completion, there's a risk of cost overruns. Additionally, defining and measuring the 'output' or 'value' delivered per labor hour can be more challenging than with fixed-price contracts. Effective risk mitigation requires robust oversight from the government, clear task definitions, and regular performance reviews to ensure efficient use of taxpayer funds.

How effective is 'full and open competition' in ensuring value for taxpayer money in IT services?

Full and open competition is generally considered the most effective method for ensuring value for taxpayer money, especially in dynamic sectors like IT services. By allowing all responsible sources to compete, the government benefits from a wider range of proposals, potentially lower prices due to competitive pressures, and access to innovative solutions. This process encourages contractors to offer their best value propositions to win the contract. However, the effectiveness is contingent on the clarity of the solicitation, the evaluation criteria, and the government's ability to accurately assess proposals. For complex IT services, ensuring that the competition truly drives value requires careful technical evaluation alongside price considerations.

What is the historical spending pattern for Custom Computer Programming Services at the Department of State?

Analyzing historical spending patterns for Custom Computer Programming Services (NAICS code 541511) at the Department of State would reveal trends in contract awards, average contract values, and the prevalence of different contract types (e.g., full and open vs. sole source). Understanding this history can provide context for the current $4.76 million award. For instance, if the Department consistently awards similar-sized contracts for this service, it suggests a stable, ongoing requirement. Significant fluctuations in spending could indicate shifts in IT strategy, budget priorities, or the adoption of new technologies. This historical data is crucial for forecasting future needs and budgeting effectively.

What are the potential implications of this contract being a 'Delivery Order'?

This contract being a 'Delivery Order' implies it is likely issued under a larger Indefinite Delivery/Indefinite Quantity (IDIQ) contract vehicle. IDIQs provide agencies with a flexible way to procure services or supplies over a period, allowing them to issue specific orders (like this one) as needs arise. The implications are that the underlying IDIQ contract likely underwent a competitive process itself, establishing pre-negotiated terms and rates. This specific delivery order then represents a task-specific commitment against that broader framework. It suggests that the Department of State has a pre-existing relationship or framework agreement in place, potentially streamlining the procurement process for this particular requirement.

Industry Classification

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

Solicitation ID: 19AQMM24Q0115

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 1 POSSUM HOLLOW RD, ANDOVER, MA, 01810

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

Financial Breakdown

Contract Ceiling: $5,134,858

Exercised Options: $5,134,858

Current Obligation: $4,758,043

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA22D002V

IDV Type: FSS

Timeline