SSA Awards $8.58M for Palo Alto Firewalls and Services, Consolidating Security Platform

Contract Overview

Contract Amount: $8,580,389 ($8.6M)

Contractor: Carahsoft Technology Corp

Awarding Agency: Social Security Administration

Start Date: 2025-05-01

End Date: 2027-01-29

Contract Duration: 638 days

Daily Burn Rate: $13.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: ESTABLISH A CONTRACT - PALO ALTO NETWORKS NEXT GENERATION FIREWALLS AND PROFESSIONAL SERVICES THE MOVE TO A SINGLE FIREWALL PLATFORM, WILL REQUIRE UTILIZING SPECIFIC DEVICES THAT MUST INTEGRATE WITH THE CURRENT AGENCY MAINFRAME AND INTRANET SEGMEN

Place of Performance

Location: BALTIMORE, BALTIMORE CITY County, MARYLAND, 21235

State: Maryland Government Spending

Plain-Language Summary

Social Security Administration obligated $8.6 million to CARAHSOFT TECHNOLOGY CORP for work described as: ESTABLISH A CONTRACT - PALO ALTO NETWORKS NEXT GENERATION FIREWALLS AND PROFESSIONAL SERVICES THE MOVE TO A SINGLE FIREWALL PLATFORM, WILL REQUIRE UTILIZING SPECIFIC DEVICES THAT MUST INTEGRATE WITH THE CURRENT AGENCY MAINFRAME AND INTRANET SEGMEN Key points: 1. Consolidation to a single firewall platform aims to streamline security and integration. 2. The contract leverages existing agency infrastructure, suggesting a need for specific, compatible hardware. 3. CARAHSOFT TECHNOLOGY CORP is the awardee, indicating a potential reseller or distributor role. 4. The primary sector is IT, specifically software publishers, aligning with firewall technology.

Value Assessment

Rating: good

The award amount of $8.58M for next-generation firewalls and professional services appears reasonable given the scope of consolidating to a single platform. Benchmarking against similar large-scale network security procurements would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the specific requirement for integration with the agency mainframe and intranet may have narrowed the field of suitable vendors, potentially impacting price discovery.

Taxpayer Impact: The move to a consolidated, potentially more efficient security platform could lead to long-term cost savings for taxpayers by reducing maintenance and support overhead for multiple systems.

Public Impact

Enhanced cybersecurity posture for the Social Security Administration's critical systems. Streamlined IT operations through a unified firewall solution. Potential for improved network performance and reduced vulnerability to cyber threats.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Integration complexity with existing mainframe and intranet.
Vendor lock-in potential if specific proprietary hardware is mandated.
Reliance on professional services for implementation and ongoing support.

Positive Signals

Consolidation to a single platform for efficiency.
Awarded under full and open competition.
Focus on next-generation security technology.

Sector Analysis

This procurement falls within the IT sector, specifically focusing on network security hardware and associated professional services. Spending benchmarks for similar large-scale firewall deployments and cybersecurity services can vary significantly based on agency size, complexity, and specific technology requirements.

Small Business Impact

While the awardee is CARAHSOFT TECHNOLOGY CORP, the data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this contract.

Oversight & Accountability

The contract is a delivery order under a larger contract vehicle, suggesting that the initial award underwent a competitive process. Oversight will be crucial to ensure the successful integration and performance of the new firewall system and the effective utilization of professional services.

Related Government Programs

Software Publishers
Social Security Administration Contracting
Social Security Administration Programs

Risk Flags

Potential for vendor lock-in due to specific hardware requirements.
Complexity of integrating with legacy mainframe systems.
Reliance on professional services may increase overall cost and risk.
Effectiveness of competition in achieving optimal pricing for specialized hardware.

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $8.6 million to CARAHSOFT TECHNOLOGY CORP. ESTABLISH A CONTRACT - PALO ALTO NETWORKS NEXT GENERATION FIREWALLS AND PROFESSIONAL SERVICES THE MOVE TO A SINGLE FIREWALL PLATFORM, WILL REQUIRE UTILIZING SPECIFIC DEVICES THAT MUST INTEGRATE WITH THE CURRENT AGENCY MAINFRAME AND INTRANET SEGMEN

Who is the contractor on this award?

The obligated recipient is CARAHSOFT TECHNOLOGY CORP.

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $8.6 million.

What is the period of performance?

Start: 2025-05-01. End: 2027-01-29.

What is the estimated cost savings from consolidating to a single firewall platform compared to maintaining the current multi-vendor environment?

Quantifying the exact cost savings requires a detailed analysis of current maintenance, support, licensing, and operational costs for all existing firewall solutions. Factors such as reduced training needs, simplified management, and potential for bulk purchasing discounts should be considered. Without this detailed comparison, the savings are largely projected based on anticipated efficiencies.

What are the specific integration challenges anticipated with the agency's mainframe and intranet, and what mitigation strategies are in place?

Integration challenges could stem from legacy system compatibility, data flow requirements, and network segmentation policies. Mitigation strategies likely involve thorough technical assessments, phased deployment, rigorous testing in a sandbox environment, and close collaboration between the vendor's professional services team and the agency's IT staff to ensure seamless interoperability and minimal disruption.

How will the effectiveness of the new firewall system and professional services be measured and validated post-implementation?

Effectiveness will be measured through key performance indicators (KPIs) such as reduced security incidents, improved network uptime, successful threat detection rates, and timely resolution of security alerts. Validation will involve independent security audits, penetration testing, and performance monitoring reports, ensuring the system meets or exceeds the defined security and operational objectives.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 28321325Q00000124

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11493 SUNSET HILLS RD, 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: $22,014,267

Exercised Options: $8,580,389

Current Obligation: $8,580,389

Actual Outlays: $3,986,596

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QSWA18D008F

IDV Type: FSS

Timeline