GSA awards $59.5M for DNS Resolver Services to Accenture Federal Services, a 5-year contract

Contract Overview

Contract Amount: $59,490,043 ($59.5M)

Contractor: Accenture Federal Services LLC

Awarding Agency: General Services Administration

Start Date: 2021-04-30

End Date: 2026-04-29

Contract Duration: 1,825 days

Daily Burn Rate: $32.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: PROTECTIVE DOMAIN NAME SERVICE DNS RESOLVER SERVICE

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $59.5 million to ACCENTURE FEDERAL SERVICES LLC for work described as: PROTECTIVE DOMAIN NAME SERVICE DNS RESOLVER SERVICE Key points: 1. The contract value represents a significant investment in critical IT infrastructure. 2. Accenture Federal Services, a large established contractor, secured this award. 3. The contract is structured as Time and Materials, which can pose cost control risks. 4. This award falls under Computer Systems Design Services, a broad IT category. 5. The duration of 5 years allows for long-term service provision but requires ongoing oversight.

Value Assessment

Rating: fair

The contract's Time and Materials (T&M) pricing structure warrants careful monitoring. While T&M can offer flexibility for evolving IT needs, it lacks the cost certainty of fixed-price contracts. Benchmarking the per-hour rates against industry standards and similar government contracts for comparable IT services would be crucial to assess value for money. Without specific rate details, a definitive value assessment is challenging, but the potential for cost overruns exists if not managed diligently.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 6 bidders suggests a reasonably competitive environment for this type of IT service. This level of competition is generally positive for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: Full and open competition helps ensure taxpayer dollars are used efficiently by driving down prices through market forces.

Public Impact

Federal agencies requiring reliable DNS resolution services will benefit from this contract. The contract ensures the availability and performance of critical internet infrastructure for government operations. Services are likely to be delivered across various federal agencies utilizing GSA's IT schedules. The contract supports IT professionals within Accenture Federal Services, contributing to the federal IT workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing structure may lead to cost overruns if not closely managed.
Lack of specific performance metrics in the provided data makes it difficult to assess service quality.
The broad nature of 'Computer Systems Design Services' could lead to scope creep if not clearly defined.

Positive Signals

Awarded through full and open competition, suggesting a competitive bidding process.
Long contract duration (5 years) allows for stable service provision and potential for economies of scale.
Accenture Federal Services is an established contractor with a significant presence in the federal IT market.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on computer systems design and related services. The market for IT infrastructure support, including network services like DNS resolution, is substantial within the federal government. GSA's Federal Acquisition Service plays a key role in procuring such services, often leveraging large indefinite-delivery, indefinite-quantity (IDIQ) contracts or schedules. Comparable spending benchmarks would involve analyzing other GSA IT schedule awards for similar service categories and contract values.

Small Business Impact

The provided data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside requirement. However, as a large prime contractor, Accenture Federal Services may engage small businesses as subcontractors, depending on their own business strategy and the specific needs of the task orders issued under this contract.

Oversight & Accountability

Oversight for this contract would primarily reside with the General Services Administration (GSA), specifically the Federal Acquisition Service. GSA's contracting officers and program managers are responsible for monitoring performance, ensuring compliance with contract terms, and managing task orders. Transparency is facilitated through contract databases like FPDS. Inspector General oversight may be triggered by allegations of fraud, waste, or abuse.

Related Government Programs

GSA IT Schedule 70
Computer Systems Design Services
Network Infrastructure Services
Cloud Computing Services
Cybersecurity Services

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Lack of specific performance metrics in summary data.
Broad scope of 'Computer Systems Design Services' could lead to scope creep.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $59.5 million to ACCENTURE FEDERAL SERVICES LLC. PROTECTIVE DOMAIN NAME SERVICE DNS RESOLVER SERVICE

Who is the contractor on this award?

The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $59.5 million.

What is the period of performance?

Start: 2021-04-30. End: 2026-04-29.

What is the historical spending pattern for Protective Domain Name Service (DNS) Resolver Services under GSA contracts?

Analyzing historical spending for Protective Domain Name Service (DNS) Resolver Services requires accessing detailed contract data, typically found in the Federal Procurement Data System (FPDS). While this specific contract represents a $59.5 million award over five years, understanding the broader trend involves looking at prior awards for similar services. Factors such as the increasing reliance on cloud-based services, evolving cybersecurity threats, and the government's push for modern IT infrastructure likely influence spending in this area. Historically, agencies have relied on a mix of in-house solutions and contracted services for DNS management. Recent trends suggest a move towards more centralized, managed services, potentially increasing the value of contracts like this one. Without access to specific historical data for this exact service category, it's difficult to provide precise figures, but the overall federal IT spending landscape indicates sustained investment in network and security services.

How does the per-unit cost of this contract compare to similar government or commercial contracts for DNS resolver services?

A direct per-unit cost comparison for this contract is challenging without knowing the specific units of service being procured (e.g., per user, per query, per server). The contract is awarded on a Time and Materials (T&M) basis, meaning costs are based on labor hours and material costs incurred. To benchmark, one would need to identify comparable contracts that specify similar deliverables and pricing structures. For instance, comparing the average hourly rates for system administrators or network engineers under this contract to rates on other GSA schedules or agency-specific contracts for similar IT support roles would be a starting point. Commercial benchmarks for managed DNS services can also provide context, though government contracts often include different compliance and reporting requirements that can influence pricing. The lack of detailed task order data makes a precise per-unit comparison difficult at this stage.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The provided summary data does not explicitly detail the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for IT services like DNS resolution, SLAs would focus on metrics such as uptime (e.g., 99.99% availability), response times for queries, latency, and security incident response times. KPIs would likely track the contractor's adherence to these SLAs, as well as potentially include metrics related to cost efficiency, service delivery timeliness, and customer satisfaction. The effectiveness of oversight and value for money heavily depend on these defined performance standards and the mechanisms for monitoring and enforcing them. Without these specific details, assessing the contractor's performance and the overall success of the contract is limited.

What is Accenture Federal Services' track record with similar IT infrastructure contracts awarded by GSA or other federal agencies?

Accenture Federal Services (AFS) has a substantial track record of performing IT infrastructure and systems design services for various federal agencies, including contracts awarded through the General Services Administration (GSA). They are a large, established prime contractor with extensive experience in managing complex IT projects. Their portfolio often includes services related to cloud migration, cybersecurity, enterprise resource planning (ERP) systems, and IT modernization. Historical data from FPDS would reveal numerous awards to AFS for services falling under NAICS code 541512 (Computer Systems Design Services) and related categories. While specific performance details for each contract require deeper analysis, AFS's continued success in winning large federal contracts suggests a generally positive performance history and capability to meet government requirements.

What is the potential risk associated with the Time and Materials (T&M) contract type for this service?

The primary risk associated with a Time and Materials (T&M) contract type, such as the one awarded to Accenture Federal Services for DNS Resolver Services, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual labor hours expended and materials used, plus a fixed fee or profit. If not managed diligently through robust oversight, including detailed review of timesheets, validation of labor categories, and strict controls on material purchases, costs can escalate beyond initial estimates. This can occur due to inefficiencies, scope creep that isn't properly controlled, or extended project durations. For critical IT services like DNS resolution, ensuring that the T&M structure is tightly managed with clear ceilings and regular performance reviews is essential to protect taxpayer funds and achieve value for money.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Novetta Solutions, LLC

Address: 800 N GLEBE RD STE 300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $129,153,440

Exercised Options: $72,393,261

Current Obligation: $59,490,043

Actual Outlays: $-33,013

Subaward Activity

Number of Subawards: 30

Total Subaward Amount: $13,014,383

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCK18D0036

IDV Type: GWAC

Timeline