Treasury's IRS Awards $5.9M Network Support Contract to Eidos Technologies Amidst Limited Competition
Contract Overview
Contract Amount: $5,940,486 ($5.9M)
Contractor: Eidos Technologies, LLC
Awarding Agency: Department of the Treasury
Start Date: 2022-09-20
End Date: 2026-09-19
Contract Duration: 1,460 days
Daily Burn Rate: $4.1K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CRIMINAL INVESTIGATIONS (CI) NETWORK SUPPORT
Place of Performance
Location: MANASSAS, PRINCE WILLIAM County, VIRGINIA, 20110
State: Virginia Government Spending
Plain-Language Summary
Department of the Treasury obligated $5.9 million to EIDOS TECHNOLOGIES, LLC for work described as: CRIMINAL INVESTIGATIONS (CI) NETWORK SUPPORT Key points: 1. Contract Value: $5.9 million over 4 years. 2. Sole Provider: Eidos Technologies, LLC holds the contract. 3. Sector: Information Technology (IT) services. 4. Risk: Potential for overpayment due to lack of competition.
Value Assessment
Rating: questionable
The contract's pricing is difficult to assess without comparable data. Given the sole-source nature, there's a risk that Eidos Technologies' pricing may not reflect competitive market rates.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning Eidos Technologies was the only vendor considered. This significantly limits price discovery and competition, potentially leading to higher costs for taxpayers.
Taxpayer Impact: The lack of competition raises concerns about whether the government secured the best possible price for these essential IT services.
Public Impact
Taxpayers may be overpaying for essential IT network support services. Limited visibility into the necessity and cost-effectiveness of the services provided. Reliance on a single vendor could impact service continuity if issues arise.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competitive pricing
- Potential for cost overruns
Positive Signals
- Essential IT support for IRS operations
- Long-term contract provides stability
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Benchmarks for similar network support contracts vary widely based on scope and complexity, but competitive bidding typically drives down costs.
Small Business Impact
There is no indication that small businesses were involved in this sole-source award, nor is there information on subcontracting opportunities. This contract does not appear to support small business participation.
Oversight & Accountability
Oversight of this sole-source contract is crucial to ensure Eidos Technologies delivers services as specified and that costs remain reasonable. The IRS should actively monitor performance and expenditures.
Related Government Programs
- Computer Systems Design Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Sole-source award limits competition.
- Potential for inflated pricing.
- Lack of transparency in vendor selection.
- Dependency on a single provider.
- Limited small business participation.
Tags
computer-systems-design-services, department-of-the-treasury, va, purchase-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $5.9 million to EIDOS TECHNOLOGIES, LLC. CRIMINAL INVESTIGATIONS (CI) NETWORK SUPPORT
Who is the contractor on this award?
The obligated recipient is EIDOS TECHNOLOGIES, LLC.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $5.9 million.
What is the period of performance?
Start: 2022-09-20. End: 2026-09-19.
What is the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available competition. Without further details, it's difficult to ascertain the specific reasons Eidos Technologies was the only considered vendor for the IRS's network support.
What measures are in place to mitigate the risk of overpayment in a sole-source contract?
Mitigation strategies can include rigorous performance metrics, independent cost analysis, and regular contract reviews. The IRS should ensure detailed service level agreements are in place and that Eidos Technologies' performance is continuously monitored against these benchmarks to prevent potential overpayment.
How does this contract ensure the effectiveness of criminal investigations support?
The effectiveness is presumed to be met through the specified services outlined in the contract. However, without performance data or independent validation, it's challenging to definitively assess the effectiveness. The IRS's internal monitoring and reporting on network uptime and support responsiveness are key indicators.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 8569 C SUDLEY ROAD, MANASSAS, VA, 20110
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $5,940,486
Exercised Options: $5,940,486
Current Obligation: $5,940,486
Actual Outlays: $4,781,097
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Timeline
Start Date: 2022-09-20
Current End Date: 2026-09-19
Potential End Date: 2026-09-19 00:00:00
Last Modified: 2026-03-30
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