GSA awards $8.2M IT support contract to Mainstreet Technologies Inc. for custom computer programming

Contract Overview

Contract Amount: $8,212,007 ($8.2M)

Contractor: Mainstreet Technologies Inc

Awarding Agency: General Services Administration

Start Date: 2020-09-15

End Date: 2025-09-14

Contract Duration: 1,825 days

Daily Burn Rate: $4.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: LABOR HOURS

Sector: IT

Official Description: IT SUPPORT SERVICES FOR OMB

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20503

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $8.2 million to MAINSTREET TECHNOLOGIES INC for work described as: IT SUPPORT SERVICES FOR OMB Key points: 1. Contract value appears reasonable for a 5-year IT support engagement. 2. Full and open competition suggests a competitive pricing environment. 3. Potential risk indicators include the contract's duration and labor hour pricing. 4. Performance context is IT support services, a common government need. 5. This contract fits within the broader IT services sector for federal agencies.

Value Assessment

Rating: good

The contract value of $8.2 million over five years for IT support services seems within a reasonable range for custom computer programming. Benchmarking against similar GSA IT support contracts would provide a more precise value-for-money assessment. The use of labor hours, while flexible, can sometimes lead to cost overruns if not managed tightly, which is a common consideration for this pricing model.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of six bids suggests a healthy level of competition, which typically drives down prices and encourages innovation. This competitive process is designed to ensure the government receives the best value by selecting from a range of qualified vendors.

Taxpayer Impact: A competitive award process like this generally benefits taxpayers by ensuring that the selected vendor offers services at a fair market price, minimizing the risk of overpayment.

Public Impact

Federal agencies, specifically those utilizing GSA's Federal Acquisition Service, will benefit from enhanced IT support. The services delivered include custom computer programming, crucial for maintaining and upgrading federal IT infrastructure. The geographic impact is centered in the District of Columbia, supporting federal operations in the nation's capital. The contract supports a workforce skilled in IT services and custom software development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Labor hour pricing can lead to cost uncertainty if not carefully monitored.
The 5-year duration may present challenges in adapting to rapidly evolving IT needs.
Reliance on a single vendor for critical IT support could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Multiple bids received suggest a competitive market for these services.
Contract supports essential IT functions for government operations.

Sector Analysis

The IT services sector is a significant area of federal spending, encompassing a wide range of needs from infrastructure support to custom software development. This contract for custom computer programming services falls under the broader category of IT support, a consistently high-demand area for government agencies. Comparable spending benchmarks for similar IT support contracts within GSA and other agencies would place this award in the mid-range for a multi-year engagement.

Small Business Impact

This contract was not specifically set aside for small businesses, and the awardee, Mainstreet Technologies Inc., is not listed as a small business in this context. There is no explicit mention of subcontracting requirements for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem from this specific award appears limited, though the prime contractor's own subcontracting practices are not detailed.

Oversight & Accountability

The General Services Administration (GSA) typically employs various oversight mechanisms for its contracts, including performance monitoring and contract management. As this is a delivery order under a larger contract vehicle, oversight would likely be managed by the Federal Acquisition Service. Transparency is generally maintained through contract databases, and the Inspector General's office has jurisdiction to investigate potential fraud, waste, or abuse.

Related Government Programs

GSA IT Schedule 70
Custom Computer Programming Services
Federal IT Support Contracts
IT Services for Government Agencies

Risk Flags

Potential for cost overruns with labor hour pricing.
Risk of technology obsolescence over the 5-year contract term.
Need for diligent contract oversight to ensure performance standards are met.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $8.2 million to MAINSTREET TECHNOLOGIES INC. IT SUPPORT SERVICES FOR OMB

Who is the contractor on this award?

The obligated recipient is MAINSTREET TECHNOLOGIES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8.2 million.

What is the period of performance?

Start: 2020-09-15. End: 2025-09-14.

What is the track record of Mainstreet Technologies Inc. with federal contracts, particularly in IT support?

A review of federal procurement data would be necessary to fully assess Mainstreet Technologies Inc.'s track record. Key metrics to examine would include the number of past federal awards, their total value, performance ratings on previous contracts, and any history of contract disputes or terminations. Understanding their experience with similar IT support and custom programming services, especially within GSA, would provide crucial context for evaluating their capability to fulfill this current $8.2 million contract over its 5-year term. Without specific past performance data, it's difficult to definitively gauge their reliability and expertise.

How does the awarded price compare to market rates for similar IT support services?

To benchmark the value for money, the awarded contract's pricing, particularly the labor hour rates, should be compared against industry standards and rates paid for comparable IT support and custom programming services by other federal agencies or commercial entities. The provided data does not include specific labor rates, making a direct comparison impossible. However, the fact that the contract was awarded under full and open competition with six bidders suggests that the pricing was deemed competitive. A deeper analysis would involve obtaining the specific labor categories and rates to compare them against GSA's IT Schedule pricing or other relevant benchmarks.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential cost overruns due to the labor hour pricing model, which lacks a fixed ceiling for specific tasks, and the possibility of the contractor's services becoming outdated over the 5-year duration given the rapid pace of technological change. Mitigation strategies typically involve robust contract management by GSA, including regular performance reviews, detailed monitoring of labor hours expended against task orders, and clear performance standards. The contract's duration also necessitates proactive management to ensure the services remain relevant and effective throughout its term.

How effective is the competition level in ensuring optimal value for taxpayers?

The award under full and open competition with six bidders is a strong indicator that the competitive process is functioning effectively to ensure value for taxpayers. This level of competition typically drives down prices, encourages innovation, and allows the government to select the offer that provides the best combination of technical capability and cost. The presence of multiple bidders means that Mainstreet Technologies Inc. had to present a compelling offer to win the contract, suggesting they are providing services at a price point that is both competitive and sustainable for them, which indirectly benefits the taxpayer.

What is the historical spending pattern for IT support services by the General Services Administration?

The General Services Administration (GSA) is a major procurer of IT support services, consistently awarding significant sums annually across various contract vehicles like the IT Schedule. Historical data would show a trend of increasing investment in IT modernization and support, driven by the need for agencies to maintain legacy systems while adopting new technologies. Spending patterns often reflect shifts towards cloud computing, cybersecurity, and data analytics. The $8.2 million awarded here represents a portion of GSA's overall IT expenditure, fitting within the established pattern of procuring essential IT services to support federal operations.

Are there specific performance metrics or KPIs tied to this contract to measure success?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) associated with this contract. However, for IT support and custom programming services, typical KPIs would likely include response times for issue resolution, system uptime, successful completion of programming tasks within agreed timelines, adherence to security protocols, and overall client satisfaction. GSA contract officers are responsible for establishing and monitoring these metrics to ensure the contractor meets the required performance standards throughout the contract period.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 6313 JOHNNYCAKE RD, GWYNN OAK, MD, 21207

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, 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: $9,672,188

Exercised Options: $9,672,188

Current Obligation: $8,212,007

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D00D5

IDV Type: FSS

Timeline