TECH7 Consulting awarded $7.6M task order for custom computer programming services to support DOD, DOC, and DHS

Contract Overview

Contract Amount: $7,631,596 ($7.6M)

Contractor: Tech7 Consulting, LLC

Awarding Agency: General Services Administration

Start Date: 2025-08-01

End Date: 2026-07-31

Contract Duration: 364 days

Daily Burn Rate: $21.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TRACE 2.0 SBIR PHASE III TASK ORDER 1.THIS IS A SBIR III CONTRACT IN SUPPORT OF THE DOD,DOC,& DHS, STEMMING FROM PREVIOUS SBIR PHASE I TOPICS AF211-CS01, FA8649-21-P1088. THE PURPOSE OF MOD 00 IS TO AWARD THE INITIAL TASK ORDER 1 (TO1).

Place of Performance

Location: MONUMENT, EL PASO County, COLORADO, 80132

State: Colorado Government Spending

Plain-Language Summary

General Services Administration obligated $7.6 million to TECH7 CONSULTING, LLC for work described as: TRACE 2.0 SBIR PHASE III TASK ORDER 1.THIS IS A SBIR III CONTRACT IN SUPPORT OF THE DOD,DOC,& DHS, STEMMING FROM PREVIOUS SBIR PHASE I TOPICS AF211-CS01, FA8649-21-P1088. THE PURPOSE OF MOD 00 IS TO AWARD THE INITIAL TASK ORDER 1 (TO1). Key points: 1. Contract supports STEM initiatives across multiple agencies, leveraging prior SBIR Phase I research. 2. Task order is a Time and Materials type, indicating flexibility in service delivery. 3. The contract duration is one year, with a potential for follow-on work. 4. Services are categorized under Custom Computer Programming, a key area for federal IT modernization. 5. The award stems from a Small Business Innovation Research (SBIR) Phase III program, fostering innovation.

Value Assessment

Rating: fair

The contract value of $7.6 million for a one-year duration appears to be within a reasonable range for custom computer programming services, especially those supporting complex government needs. Benchmarking against similar Time and Materials contracts for specialized IT services would provide a clearer picture of value for money. The lack of detailed performance metrics or a fixed price makes direct value assessment challenging without further context on the specific deliverables and labor rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a sole-source basis, likely due to its origin within the SBIR Phase III program, which is designed to transition technologies developed by small businesses. While this approach can expedite the delivery of innovative solutions, it limits the opportunity for broader competition and potentially higher price discovery among multiple vendors.

Taxpayer Impact: Sole-source awards can sometimes lead to higher costs for taxpayers compared to fully competed contracts, as the government does not benefit from the competitive pressure to drive down prices.

Public Impact

The Department of Defense (DOD), Department of Commerce (DOC), and Department of Homeland Security (DHS) are the primary beneficiaries, receiving custom programming support. Services delivered will likely enhance STEM-related programs and technological capabilities within these agencies. The geographic impact is national, supporting federal agencies across the United States. Workforce implications may include specialized IT professionals employed by TECH7 Consulting.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive price discovery.
Time and Materials contract type can lead to cost overruns if not closely managed.
Lack of detailed performance metrics makes assessing efficiency difficult.

Positive Signals

Leverages prior SBIR research, indicating a focus on innovation.
Supports critical federal agencies (DOD, DOC, DHS).
Contract is for a specific, defined task order within a larger program.

Sector Analysis

This contract falls within the Custom Computer Programming Services sector, a significant segment of the federal IT market. The federal government consistently invests heavily in IT services to maintain and modernize its systems. This contract's focus on supporting STEM initiatives aligns with broader government goals for technological advancement and workforce development in critical scientific and engineering fields.

Small Business Impact

While TECH7 Consulting, LLC is the prime contractor, the data does not indicate if this specific task order is a small business set-aside. However, the contract originates from an SBIR Phase III program, which inherently supports small businesses in transitioning their innovative technologies. Further analysis would be needed to determine if subcontracting opportunities are specifically allocated to small businesses.

Oversight & Accountability

Oversight for this contract will likely be managed by the General Services Administration (GSA) Federal Acquisition Service, which awarded the contract. The specific oversight mechanisms for a Time and Materials task order would involve monitoring labor hours, direct costs, and ensuring that the work performed aligns with the stated objectives. Transparency is facilitated through contract award databases, but detailed performance reporting may be agency-specific.

Related Government Programs

SBIR Phase I
SBIR Phase II
SBIR Phase III
Custom Computer Programming Services
Department of Defense IT Spending
Department of Commerce IT Spending

Risk Flags

Sole-source award
Time and Materials contract type
Limited public information on specific deliverables

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $7.6 million to TECH7 CONSULTING, LLC. TRACE 2.0 SBIR PHASE III TASK ORDER 1.THIS IS A SBIR III CONTRACT IN SUPPORT OF THE DOD,DOC,& DHS, STEMMING FROM PREVIOUS SBIR PHASE I TOPICS AF211-CS01, FA8649-21-P1088. THE PURPOSE OF MOD 00 IS TO AWARD THE INITIAL TASK ORDER 1 (TO1).

Who is the contractor on this award?

The obligated recipient is TECH7 CONSULTING, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $7.6 million.

What is the period of performance?

Start: 2025-08-01. End: 2026-07-31.

What is the track record of TECH7 Consulting, LLC in delivering similar custom computer programming services to federal agencies?

TECH7 Consulting, LLC's track record in delivering custom computer programming services, particularly within the context of SBIR Phase III initiatives supporting agencies like DOD, DOC, and DHS, is crucial for assessing performance risk. As a Phase III awardee, the company has likely demonstrated technical merit and potential for commercialization through earlier SBIR phases. However, the scale and complexity of this specific task order require a review of their past performance on contracts of similar size and scope. Information on project completion rates, client satisfaction, and adherence to timelines and budgets for previous federal contracts would provide valuable insights into their capability to successfully execute this $7.6 million award.

How does the estimated value of this task order compare to similar custom computer programming contracts awarded by GSA or other agencies?

The $7.6 million value for a one-year Time and Materials task order for custom computer programming services needs to be benchmarked against comparable federal contracts. The General Services Administration (GSA) manages a vast number of IT service contracts, and comparing this award to others with similar North American Industry Classification System (NAICS) codes (e.g., 541511) and contract types (Time and Materials) can reveal if the pricing is competitive. Factors such as the specific technical requirements, the level of expertise required, and the agencies being supported (DOD, DOC, DHS) can influence costs. Without access to detailed labor rates and overhead structures, a precise value-for-money assessment is difficult, but a comparison to market averages for similar federal IT services would provide a baseline.

What are the primary risks associated with a sole-source award for custom computer programming services?

The primary risks associated with a sole-source award for custom computer programming services, such as this SBIR Phase III task order, include a lack of competitive pricing, potentially leading to higher costs for the government. Without multiple bidders vying for the contract, there is less incentive for the contractor to offer the most cost-effective solution. Furthermore, sole-source awards can limit the government's access to a broader range of innovative solutions or alternative approaches that might be offered by other qualified vendors. There's also a potential risk of vendor lock-in, making it more challenging to switch providers in the future if performance issues arise or if market conditions change.

How effective is the SBIR Phase III program in transitioning innovative technologies to meet federal agency needs?

The Small Business Innovation Research (SBIR) Phase III program is designed to be highly effective in transitioning innovative technologies developed by small businesses into full-scale production and deployment for federal agency needs. Unlike earlier phases focused on research and development, Phase III aims to secure full-scale commercialization and production contracts. This specific task order, supporting DOD, DOC, and DHS, exemplifies the program's success in bridging the gap between R&D and practical application. The program's structure encourages small businesses to develop cutting-edge solutions that directly address government requirements, fostering both technological advancement and economic growth.

What are the historical spending patterns for custom computer programming services by the DOD, DOC, and DHS?

Historical spending patterns for custom computer programming services by the Department of Defense (DOD), Department of Commerce (DOC), and Department of Homeland Security (DHS) indicate a significant and consistent investment in IT modernization and specialized software development. These agencies, due to their complex missions and vast operational needs, frequently procure services under NAICS code 541511. Analyzing past spending data would reveal trends in contract values, types of services procured (e.g., software development, system integration, cybersecurity programming), and the prevalence of sole-source versus competitive awards. Understanding these patterns provides context for the current $7.6 million award and helps in assessing its alignment with agency priorities and budget allocations.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QFCA25R0034

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 705 WINDING HILLS RD, MONUMENT, CO, 80132

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $158,860,434

Exercised Options: $13,541,325

Current Obligation: $7,631,596

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 47QFCA25D0002

IDV Type: IDC

Timeline