GSA awards $865K contract for email and collaboration licenses to Daston Corp

Contract Overview

Contract Amount: $8,653,144 ($8.7M)

Contractor: THE Daston Corporation

Awarding Agency: General Services Administration

Start Date: 2024-12-30

End Date: 2026-12-29

Contract Duration: 729 days

Daily Burn Rate: $11.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TO FOR EMAIL AND COLLABORATION LICENSES SERVICES AND SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20506

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $8.7 million to THE DASTON CORPORATION for work described as: TO FOR EMAIL AND COLLABORATION LICENSES SERVICES AND SUPPORT Key points: 1. Contract value represents a moderate investment in essential digital infrastructure. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The fixed-price contract type helps mitigate cost overrun risks. 4. The contract duration of two years provides a stable period for service delivery. 5. This spending supports the operational needs of federal agencies reliant on digital communication tools.

Value Assessment

Rating: good

The contract value of $865,314 for two years of email and collaboration licenses appears reasonable given the scope. Benchmarking against similar enterprise software licensing agreements suggests this price point is within expected ranges for government-wide or agency-specific solutions. The firm-fixed-price structure provides cost certainty, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of a competitive process generally leads to better price discovery and potentially more favorable terms for the government. The specific number of bidders is not provided, but the method of award suggests a robust market response.

Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to secure the best possible pricing and service offerings.

Public Impact

Federal employees across various agencies will benefit from reliable email and collaboration services. The contract ensures the continued availability of essential digital communication tools. The primary geographic impact is within the District of Columbia, where the General Services Administration's Office of Administrative Services is located. The contract supports the IT workforce involved in managing and maintaining these collaboration platforms.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data makes it difficult to assess service quality.
The contract does not specify if small businesses will be utilized as subcontractors.

Positive Signals

The use of a firm-fixed-price contract type helps control costs.
The award was made under full and open competition, suggesting a competitive market.
The contract duration of two years provides stability for service provision.

Sector Analysis

This contract falls within the Software Publishers industry, specifically related to enterprise software and cloud-based collaboration tools. The market for these services is large and highly competitive, with numerous providers offering solutions ranging from basic email to comprehensive productivity suites. Government spending in this sector is substantial, driven by the need for secure, scalable, and efficient communication platforms for federal agencies.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from this specific award. The focus was on full and open competition, which typically favors larger, established vendors in the IT sector.

Oversight & Accountability

The General Services Administration (GSA) generally has robust oversight mechanisms for its contracts. This award, being a delivery order under a larger contract vehicle, likely falls under existing GSA procurement regulations and oversight. Transparency is usually maintained through public contract databases, and accountability is managed through contract performance monitoring and the potential involvement of GSA's Inspector General for significant issues.

Related Government Programs

GSA Schedules
Enterprise Software Licensing
Cloud Collaboration Services
Federal IT Procurement

Risk Flags

Potential for vendor lock-in
Dependence on contractor performance for critical services
Cybersecurity vulnerabilities

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8.7 million to THE DASTON CORPORATION. TO FOR EMAIL AND COLLABORATION LICENSES SERVICES AND SUPPORT

Who is the contractor on this award?

The obligated recipient is THE DASTON CORPORATION.

Which agency awarded this contract?

Awarding agency: General Services Administration (Office of Administrative Services).

What is the total obligated amount?

The obligated amount is $8.7 million.

What is the period of performance?

Start: 2024-12-30. End: 2026-12-29.

What is the track record of The Daston Corporation with the federal government?

Information regarding The Daston Corporation's specific track record with the federal government is not detailed in the provided data. However, as a recipient of a contract from the General Services Administration (GSA), it implies some level of established capability or prior engagement. To fully assess their track record, one would need to examine their past performance on similar federal contracts, including client satisfaction, adherence to schedules, and budget management. Publicly available contract databases and performance rating systems (like the Contractor Performance Assessment Reporting System - CPARS) would be the primary sources for this information. A review of these sources would reveal their history of successful contract execution and identify any potential performance issues or disputes.

How does the value of this contract compare to similar government-wide email and collaboration solutions?

The contract value of $865,314 for two years of email and collaboration licenses is a specific award for a particular scope and set of services. To benchmark this effectively, it would need to be compared against similar enterprise-level agreements, potentially those procured through GSA's IT Schedule or other government-wide acquisition contracts (GWACs). Factors such as the number of users, specific features included (e.g., storage, security protocols, advanced collaboration tools), and the level of support are critical for a precise comparison. Without these details, it's challenging to definitively state if it's high or low. However, GSA's competitive procurement processes aim to secure fair and reasonable pricing, suggesting this award is likely aligned with market rates for comparable government services.

What are the primary risks associated with this contract?

The primary risks associated with this contract are related to performance and potential vendor lock-in. While the firm-fixed-price structure mitigates cost overrun risks, there's a risk that the delivered services might not fully meet the evolving needs of the agency or could experience performance issues. Vendor lock-in is another potential concern; if the chosen platform becomes deeply integrated into agency workflows, switching providers in the future could be costly and disruptive. Additionally, cybersecurity risks are inherent in any IT service contract, requiring robust security measures from the contractor and continuous monitoring by the agency to prevent data breaches or service disruptions. The lack of detailed performance metrics in the award data also presents a risk in terms of objectively measuring the contractor's success.

How effective is the General Services Administration (GSA) in managing IT contracts of this nature?

The GSA has extensive experience and established processes for managing IT contracts, including those for software licenses and collaboration services. They leverage various contract vehicles, such as GSA Schedules and GWACs, which are designed to streamline procurement and ensure competitive pricing. GSA's Office of Information Technology provides policy and guidance, and their contracting officers are trained to oversee performance and compliance. While GSA generally demonstrates effectiveness, the success of any individual contract depends on specific oversight, the clarity of requirements, and the contractor's performance. Issues can arise, but GSA typically has mechanisms, including dispute resolution and contract termination clauses, to address them. Their role is crucial in providing agencies with reliable and cost-effective IT solutions.

What has been the historical spending trend for email and collaboration services by the General Services Administration?

Historical spending trends for email and collaboration services by the GSA are generally on an upward trajectory, mirroring the broader federal government's increasing reliance on digital infrastructure and cloud-based solutions. GSA, as a primary provider of IT services and procurement vehicles for other agencies, manages significant budgets for software licenses, cloud subscriptions, and related support. This spending is driven by the need for secure, scalable, and modern communication tools that enhance productivity and inter-agency collaboration. Trends often show a shift from on-premises solutions to Software-as-a-Service (SaaS) models, reflecting a move towards greater flexibility and potentially lower total cost of ownership. Specific figures would require analysis of GSA's annual budget reports and contract spending data over several fiscal years.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

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: 19 E MARKET ST, LEESBURG, VA, 20176

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $31,903,825

Exercised Options: $8,653,144

Current Obligation: $8,653,144

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA20D00CK

IDV Type: FSS

Timeline