Treasury's IRS awards $2.5M for Digital Forensics Software to Sterling Computers Corp
Contract Overview
Contract Amount: $2,535,485 ($2.5M)
Contractor: Sterling Computers Corporation
Awarding Agency: Department of the Treasury
Start Date: 2025-04-04
End Date: 2026-03-31
Contract Duration: 361 days
Daily Burn Rate: $7.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: LAW ENFORCEMENT DIGITAL FORENSICS INVESTIGATIVE SOFTWARE
Place of Performance
Location: MINNEAPOLIS, HENNEPIN County, MINNESOTA, 55485
Plain-Language Summary
Department of the Treasury obligated $2.5 million to STERLING COMPUTERS CORPORATION for work described as: LAW ENFORCEMENT DIGITAL FORENSICS INVESTIGATIVE SOFTWARE Key points: 1. Spending focuses on critical law enforcement tools. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk appears moderate given the fixed-price contract and defined scope. 4. IT sector spending for specialized software.
Value Assessment
Rating: good
The contract value of $2.5M for digital forensics software appears reasonable for a multi-year engagement. Benchmarking against similar specialized software procurements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.
Taxpayer Impact: Taxpayer funds are being used for essential investigative tools, supporting law enforcement functions.
Public Impact
Enhances IRS investigative capabilities in digital forensics. Supports national security and law enforcement efforts. Procurement ensures access to up-to-date technology for critical investigations.
Waste & Efficiency Indicators
Waste Risk Score: 70 / 10
Warning Flags
- Potential for vendor lock-in with specialized software.
- Need for ongoing training and maintenance costs.
Positive Signals
- Supports critical law enforcement functions.
- Competitive award process.
- Firm fixed-price contract limits cost overruns.
Sector Analysis
This procurement falls within the Information Technology sector, specifically for specialized software used in digital forensics. Spending benchmarks for similar investigative software can vary widely based on features and vendor.
Small Business Impact
The data does not indicate whether small businesses participated in this procurement. Further analysis would be needed to determine the extent of small business involvement.
Oversight & Accountability
The award is a delivery order against an existing contract, suggesting prior vetting. Oversight will focus on performance and adherence to the contract terms by Sterling Computers Corporation.
Related Government Programs
- Electronic Computer Manufacturing
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Reliance on a single vendor for specialized software.
- Potential for evolving technology rendering software obsolete.
- Need for skilled personnel to operate the software effectively.
- Data security and privacy concerns related to forensic analysis.
Tags
electronic-computer-manufacturing, department-of-the-treasury, mn, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $2.5 million to STERLING COMPUTERS CORPORATION. LAW ENFORCEMENT DIGITAL FORENSICS INVESTIGATIVE SOFTWARE
Who is the contractor on this award?
The obligated recipient is STERLING COMPUTERS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $2.5 million.
What is the period of performance?
Start: 2025-04-04. End: 2026-03-31.
What is the specific functionality and capability of this digital forensics software?
The specific functionality is not detailed in the provided data. Digital forensics software typically enables the extraction, analysis, and reporting of data from digital devices for investigative purposes. This can include recovering deleted files, analyzing network traffic, and reconstructing digital events.
What are the key performance indicators (KPIs) for this contract?
Key performance indicators are not explicitly stated in the provided data. However, for digital forensics software, KPIs would likely include software reliability, data processing speed, accuracy of analysis, and vendor support responsiveness. The IRS will monitor these to ensure effective use of the software.
How does this software compare to commercially available alternatives in terms of features and cost?
The provided data does not include a comparative analysis of this software against commercial alternatives. The full and open competition process suggests that Sterling Computers Corporation's offering was deemed competitive on both features and price at the time of award.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
Product/Service Code: IT AND TELECOM - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 303 CENTENIAL DR, NORTH SIOUX CITY, SD, 57049
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $5,658,923
Exercised Options: $5,658,923
Current Obligation: $2,535,485
Actual Outlays: $1,214,122
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SC20B
IDV Type: GWAC
Timeline
Start Date: 2025-04-04
Current End Date: 2026-03-31
Potential End Date: 2029-03-31 13:20:14
Last Modified: 2026-03-30
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