Treasury's $38.8M TCloud Contract Awarded to SAIC for Cloud Services
Contract Overview
Contract Amount: $38,817,020 ($38.8M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of the Treasury
Start Date: 2024-09-03
End Date: 2025-12-31
Contract Duration: 484 days
Daily Burn Rate: $80.2K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THIS ORDER PROVIDES CLOUD SERVICES FOR THE DEPARTMENT OF TREASURY (TCLOUD)
Place of Performance
Location: RESTON, FAIRFAX County, VIRGINIA, 20190
State: Virginia Government Spending
Plain-Language Summary
Department of the Treasury obligated $38.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: THIS ORDER PROVIDES CLOUD SERVICES FOR THE DEPARTMENT OF TREASURY (TCLOUD) Key points: 1. Contract awarded to Science Applications International Corporation (SAIC) for cloud services. 2. Significant value of $38.8 million highlights the importance of cloud infrastructure. 3. Competition method was 'Full and Open', suggesting a competitive bidding process. 4. Sector is IT, specifically Computer Systems Design Services.
Value Assessment
Rating: good
The contract value of $38.8M for cloud services appears reasonable given the duration and the nature of IT services. Benchmarking against similar large-scale cloud service contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under a 'Full and Open Competition' BPA Call, indicating a competitive process. This method generally leads to better price discovery and potentially more favorable pricing for the government.
Taxpayer Impact: The competitive award process is expected to ensure taxpayer funds are used efficiently for essential cloud services.
Public Impact
Ensures continued cloud service operation for the IRS, a critical government function. Supports the Department of the Treasury's digital infrastructure modernization efforts. Potential for improved data security and accessibility through cloud solutions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Full and open competition utilized.
- Contract awarded to a known entity (SAIC).
- Clear service type (cloud services).
Sector Analysis
This contract falls within the Information Technology sector, specifically Computer Systems Design Services. Spending in this area is substantial across government agencies as they migrate to cloud-based solutions for efficiency and scalability.
Small Business Impact
The data indicates that small businesses were not directly involved in this specific award (sb: false). Future contracts or subcontracts may offer opportunities for small business participation.
Oversight & Accountability
The award was made under a BPA Call, which implies a pre-competed agreement. Oversight would focus on performance against the BPA terms and the specific call order requirements.
Related Government Programs
- Computer Systems Design Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Lack of detailed performance metrics.
- No explicit mention of data security protocols.
- Potential for vendor lock-in if not managed.
- Limited insight into specific cost-saving projections.
Tags
computer-systems-design-services, department-of-the-treasury, va, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $38.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. THIS ORDER PROVIDES CLOUD SERVICES FOR THE DEPARTMENT OF TREASURY (TCLOUD)
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL 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 $38.8 million.
What is the period of performance?
Start: 2024-09-03. End: 2025-12-31.
What is the projected cost savings or efficiency gain anticipated from this cloud service contract compared to previous solutions?
The provided data does not detail projected cost savings or efficiency gains. Further analysis would require access to the agency's justification for the contract and any associated performance metrics or business case documents. Understanding the baseline costs and expected improvements is crucial for assessing true value.
What are the key performance indicators (KPIs) for this cloud service contract, and how will SAIC's performance be measured?
Specific KPIs are not detailed in the provided data. Typically, cloud service contracts include metrics for uptime, latency, security compliance, and response times. The IRS and Treasury would establish these KPIs and monitor SAIC's adherence through regular performance reviews and reporting mechanisms.
Are there any potential risks associated with vendor lock-in or data migration challenges with this cloud services contract?
Vendor lock-in and data migration are common risks in cloud contracts. The 'Full and Open Competition' suggests an effort to mitigate lock-in by allowing multiple vendors to compete. However, the specific contract terms would need to be reviewed to understand data portability clauses and exit strategies.
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 - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 12010, SUNSET HILLS ROAD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $91,266,766
Exercised Options: $39,697,873
Current Obligation: $38,817,020
Actual Outlays: $38,402,824
Subaward Activity
Number of Subawards: 11
Total Subaward Amount: $33,200,264
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 2032H523A00010
IDV Type: BPA
Timeline
Start Date: 2024-09-03
Current End Date: 2025-12-31
Potential End Date: 2026-01-22 00:00:00
Last Modified: 2026-04-13
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