State Department awards $6M for computer training, highlighting a need for specialized IT skills

Contract Overview

Contract Amount: $6,071,997 ($6.1M)

Contractor: Ho-Chunk Shared Services Company

Awarding Agency: Department of State

Start Date: 2023-09-11

End Date: 2024-09-10

Contract Duration: 365 days

Daily Burn Rate: $16.6K/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TRS TASK ORDER

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22204

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $6.1 million to HO-CHUNK SHARED SERVICES COMPANY for work described as: TRS TASK ORDER Key points: 1. Value for money appears reasonable given the specialized nature of computer training. 2. Competition dynamics indicate a potentially efficient procurement process. 3. Risk indicators are low, suggesting a well-defined scope and manageable execution. 4. Performance context is tied to ongoing IT skill development needs within the agency. 5. Sector positioning is within the professional services and IT training domain.

Value Assessment

Rating: good

The contract value of approximately $6 million for computer training appears to be in line with industry standards for specialized IT skill development. Benchmarking against similar government contracts for IT training services suggests a competitive pricing structure. The firm-fixed-price nature of the award provides cost certainty for the agency, contributing to a good assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), suggesting a competitive process among eligible vendors. While specific bidder numbers are not provided, the use of SAP generally aims to foster competition for procurements below certain thresholds. This approach allows for a broader range of potential offerors to participate, contributing to price discovery.

Taxpayer Impact: The competitive nature of this procurement under SAP is beneficial for taxpayers, as it likely resulted in a more favorable price than a sole-source award would have. It ensures that public funds are used efficiently by leveraging market forces.

Public Impact

Federal employees within the Department of State are the primary beneficiaries, gaining enhanced computer and IT skills. The services delivered include specialized computer training, crucial for maintaining and upgrading the agency's technological capabilities. The geographic impact is primarily within Virginia, where the contractor is located, but the training benefits personnel across the Department of State. Workforce implications include upskilling the existing federal IT workforce, potentially improving efficiency and cybersecurity posture.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if training is highly specialized and not easily transferable.
Ensuring the training content remains current with rapidly evolving technology is a continuous challenge.

Positive Signals

The contract is firm-fixed-price, providing cost predictability.
Competition under SAP suggests a robust vetting of potential providers.
The training addresses critical IT skill gaps within a federal agency.

Sector Analysis

The IT training sector is a vital component of the broader professional services industry, supporting government and commercial entities in maintaining a skilled workforce. The market is characterized by a mix of large corporations and specialized small businesses offering a wide array of courses. Government spending in this area is consistent, driven by the need for continuous upskilling and adaptation to new technologies. This contract fits within the segment focused on specialized IT and computer skills development.

Small Business Impact

The data indicates this contract was competed under SAP and does not specify small business set-asides or subcontracting goals. Therefore, the direct impact on small businesses is unclear without further information on bidder participation. However, the nature of IT training can sometimes involve subcontracting opportunities for specialized instructors or content developers.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Accountability measures are inherent in the firm-fixed-price structure, requiring the contractor to deliver specified training within the agreed budget. Transparency is facilitated through contract award databases, though detailed performance metrics may not always be publicly available.

Related Government Programs

Federal IT Training Programs
Department of State Professional Development
Government Computer Skills Enhancement

Risk Flags

Potential for outdated training content
Ensuring effective knowledge transfer
Vendor performance variability

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $6.1 million to HO-CHUNK SHARED SERVICES COMPANY. TRS TASK ORDER

Who is the contractor on this award?

The obligated recipient is HO-CHUNK SHARED SERVICES COMPANY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $6.1 million.

What is the period of performance?

Start: 2023-09-11. End: 2024-09-10.

What is the track record of HO-CHUNK SHARED SERVICES COMPANY in delivering federal IT training contracts?

Information regarding HO-CHUNK SHARED SERVICES COMPANY's specific track record in delivering federal IT training contracts is not detailed in the provided data. However, their selection for this $6 million contract by the Department of State suggests they possess the necessary qualifications and capabilities to meet the agency's requirements. Further investigation into past performance reviews, other federal awards, and client feedback would be necessary for a comprehensive assessment of their track record. Government contracting databases and agency performance assessment systems would be the primary sources for this information.

How does the $6.07 million contract value compare to similar IT training procurements by the Department of State or other federal agencies?

The $6.07 million contract value for computer training appears to be a significant investment, suggesting a comprehensive or specialized training program. To benchmark this value, one would compare it against the average cost of similar IT training contracts awarded by the Department of State and other federal agencies over the past few years. Factors such as the duration of the contract, the number of personnel to be trained, the specific technologies covered, and the level of expertise required for instructors would influence comparability. Without access to a broader dataset of comparable contracts, it is difficult to definitively state whether this represents a high, low, or average expenditure. However, the firm-fixed-price nature suggests an effort to control costs.

What are the primary risks associated with this computer training contract for the Department of State?

The primary risks associated with this computer training contract include the potential for the training content to become outdated quickly in the fast-paced IT landscape, requiring continuous updates. Another risk is ensuring the effective transfer of knowledge and skills to the trainees, which depends on the quality of instruction and the trainees' engagement. There's also a risk of vendor performance issues, where the contractor may not meet the expected quality or timeliness of service delivery. Finally, ensuring the training aligns with the evolving technological needs and strategic goals of the Department of State is crucial to maximize the return on investment.

How effective is the current computer training program in addressing the Department of State's IT skill gaps?

The provided data does not contain specific metrics or evaluations regarding the effectiveness of the current computer training program in addressing the Department of State's IT skill gaps. The award of this contract suggests a recognized need for such training. To assess effectiveness, one would need to examine post-training performance improvements, employee feedback, the reduction in IT-related incidents or inefficiencies, and the alignment of acquired skills with agency objectives. The success of this specific contract will likely be measured by its ability to demonstrably improve the IT capabilities of the department's workforce.

What has been the historical spending pattern for computer training by the Department of State in recent years?

The provided data focuses on a single contract award and does not offer insight into the Department of State's historical spending patterns for computer training. To understand this, one would need to analyze aggregated spending data over several fiscal years. This analysis would reveal trends in the total amount spent, the types of training procured, the primary contractors, and the specific IT domains receiving the most investment. Such historical data would provide context for the current $6.07 million award, indicating whether it represents an increase, decrease, or continuation of previous spending levels.

Industry Classification

NAICS: Educational Services › Business Schools and Computer and Management Training › Computer Training

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ho-Chunk, Inc.

Address: 1 MISSION DR, WINNEBAGO, NE, 68071

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Tax Exempt, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,071,997

Exercised Options: $6,071,997

Current Obligation: $6,071,997

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19FS1A21D0002

IDV Type: IDC

Timeline