State Department awards $6.9M cybersecurity BPA call to CenterPoint LLC for CISO support

Contract Overview

Contract Amount: $6,895,528 ($6.9M)

Contractor: Centerpoint LLC

Awarding Agency: Department of State

Start Date: 2024-09-30

End Date: 2026-09-29

Contract Duration: 729 days

Daily Burn Rate: $9.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: CISO SUPPORT CYBERSECURITY SUPPORT SERVICES BPA CALL FOR CA CST

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $6.9 million to CENTERPOINT LLC for work described as: CISO SUPPORT CYBERSECURITY SUPPORT SERVICES BPA CALL FOR CA CST Key points: 1. Contract awarded via a Blanket Purchase Agreement (BPA) Call, indicating pre-competed services. 2. Full and open competition suggests a robust bidding process. 3. Time and Materials contract type carries inherent cost escalation risks. 4. Performance period of approximately two years allows for sustained support. 5. Cybersecurity services are critical for protecting sensitive government data. 6. The award amount is modest within the broader federal IT services landscape.

Value Assessment

Rating: good

The award amount of $6.9 million for cybersecurity support services appears reasonable given the two-year performance period. Benchmarking against similar contracts for CISO support and cybersecurity services would provide a more precise value assessment. The Time and Materials pricing structure, while common, warrants close monitoring to ensure cost efficiency and prevent scope creep. Without specific deliverables or labor categories, a detailed per-unit cost comparison is challenging, but the overall value seems aligned with the need for specialized cybersecurity expertise.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, suggesting that multiple vendors had the opportunity to bid. The presence of three bidders indicates a moderate level of competition for this specific BPA call. While more than one bidder is positive, a higher number of proposals could potentially drive prices down further and offer a wider range of technical solutions. The competition level here suggests a fair market approach was taken.

Taxpayer Impact: A full and open competition, even with a moderate number of bidders, is generally favorable for taxpayers as it encourages competitive pricing and ensures that the government receives value for its investment.

Public Impact

The Department of State benefits from enhanced cybersecurity posture and CISO support. Critical government IT systems and sensitive data are better protected. The contract supports the agency's mission to secure its digital infrastructure. Workforce implications include the potential for specialized cybersecurity roles to be filled by CenterPoint LLC personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Risk of cost overruns due to Time and Materials pricing structure.
Potential for vendor lock-in if not managed effectively.
Dependence on a single BPA call for critical cybersecurity functions.

Positive Signals

Awarded through a competitive process, indicating potential for good value.
Cybersecurity services are essential for national security and data protection.
The contract duration allows for continuity of essential services.

Sector Analysis

The federal cybersecurity market is a rapidly growing sector driven by increasing cyber threats and the digitization of government operations. This contract for CISO support services falls within the broader IT services category, specifically focusing on cybersecurity consulting and implementation. Comparable spending benchmarks for cybersecurity support services can vary widely based on scope, duration, and contractor expertise, but agencies consistently allocate significant resources to this area to defend against sophisticated cyberattacks.

Small Business Impact

The provided 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, CenterPoint LLC, will likely manage the execution of the services. Analysis of CenterPoint LLC's own subcontracting practices would be necessary to determine any indirect impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of State's contracting officers and program managers. As a BPA Call, the underlying BPA likely has established oversight mechanisms. Transparency is facilitated through contract award databases. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract's performance or execution.

Related Government Programs

Cybersecurity Services
IT Support Services
CISO Support
Blanket Purchase Agreements (BPAs)

Risk Flags

Time and Materials Contract Type
Potential for Scope Creep
Limited Competition on BPA Call (3 bidders)

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $6.9 million to CENTERPOINT LLC. CISO SUPPORT CYBERSECURITY SUPPORT SERVICES BPA CALL FOR CA CST

Who is the contractor on this award?

The obligated recipient is CENTERPOINT LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $6.9 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-09-29.

What is CenterPoint LLC's track record with federal cybersecurity contracts?

A review of federal procurement data indicates that CenterPoint LLC has a history of securing contracts related to IT and cybersecurity services. While specific details on past performance for CISO support are not immediately available from the provided data, their presence in the federal market suggests experience. Further investigation into their contract history, including past performance evaluations and any reported issues, would be necessary to fully assess their track record. Examining awards from agencies like the Department of State, Department of Defense, or other civilian agencies could reveal patterns in their service delivery and client satisfaction. Understanding their experience with similar contract vehicles, such as BPA calls or task orders under larger IDIQs, would also provide valuable context.

How does the $6.9 million award compare to similar cybersecurity support contracts at the Department of State?

Comparing the $6.9 million award to similar cybersecurity support contracts at the Department of State requires access to a broader dataset of historical awards. However, within the context of a two-year performance period (729 days), this amount suggests a moderate-sized engagement. Cybersecurity support can range from basic IT security maintenance to highly specialized CISO advisory services. If this contract covers comprehensive CISO support, including strategic planning, risk management, and policy development, the value appears reasonable. If it is for more tactical support, the cost per day might warrant closer scrutiny. Benchmarking against contracts with similar scope and duration for CISO advisory roles or advanced cybersecurity services would provide a more definitive assessment of value for money.

What are the primary risks associated with a Time and Materials (T&M) contract for cybersecurity services?

The primary risk associated with a Time and Materials (T&M) contract for cybersecurity services is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for the actual labor hours and material costs incurred. This structure can lead to increased expenditures if project scope is not tightly managed, if contractor efficiency is low, or if there is scope creep. For cybersecurity, where threats and requirements can evolve rapidly, T&M can incentivize longer engagement times rather than efficient problem-solving. Robust oversight, clear task definitions, and strong performance metrics are crucial to mitigate these risks and ensure cost-effectiveness for the government.

How effective are BPA calls in ensuring competitive pricing for specialized IT services like cybersecurity?

Blanket Purchase Agreements (BPAs) are established vehicles that allow agencies to streamline procurement for recurring needs. A BPA call, like the one awarded here, is a specific order placed against an existing BPA. The effectiveness of BPA calls in ensuring competitive pricing depends heavily on how the underlying BPA was initially competed and how the subsequent calls are managed. If the original BPA was awarded through full and open competition with a diverse pool of capable vendors, then subsequent calls can benefit from that established competition. However, if the BPA itself had limited competition or if calls are not actively competed among BPA holders, pricing might not be as optimized as a standalone, full-and-open competition. In this case, with three bidders on the call, it suggests a reasonable level of competition among pre-qualified vendors.

What is the typical duration and value range for federal cybersecurity support contracts?

The duration and value range for federal cybersecurity support contracts can vary significantly based on the specific services required, the agency's needs, and the contract vehicle used. Contracts can range from short-term, project-specific engagements lasting a few months to long-term, comprehensive support agreements spanning several years. Values can range from tens of thousands of dollars for specialized consulting tasks to hundreds of millions or even billions for large-scale cybersecurity modernization programs. This $6.9 million award for a two-year period for CISO support falls within a common mid-range for specialized IT support services, reflecting the ongoing need for expert guidance in cybersecurity.

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

Solicitation ID: 19AQMM20Q0119

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8201 GREENSBORO DR STE 435, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,172,847

Exercised Options: $8,693,726

Current Obligation: $6,895,528

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 19AQMM20A0582

IDV Type: BPA

Timeline