GSA awards $14.86M for Data Transfer Modules, citing sole-source procurement

Contract Overview

Contract Amount: $14,860,034 ($14.9M)

Contractor: Printed Circuits Corp.

Awarding Agency: General Services Administration

Start Date: 2025-09-25

End Date: 2028-05-15

Contract Duration: 963 days

Daily Burn Rate: $15.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM

Place of Performance

Location: ALEXANDRIA, LICKING County, OHIO, 43001

State: Ohio Government Spending

Plain-Language Summary

General Services Administration obligated $14.9 million to PRINTED CIRCUITS CORP. for work described as: DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM Key points: 1. Contract awarded to Printed Circuits Corp. for Data Transfer Modules. 2. Procurement method was sole-source, raising questions about competition. 3. Contract duration is over 8 years, indicating a long-term need. 4. The value of the contract is substantial for specialized hardware. 5. Performance is expected in Ohio, suggesting a specific operational requirement. 6. The North American Industry Classification System (NAICS) code points to instrument manufacturing.

Value Assessment

Rating: questionable

The contract value of $14.86 million for Data Transfer Modules (DTM II) over approximately 8 years requires careful benchmarking. Without competitive bidding, it is difficult to assess if this price represents fair market value. The lack of competition suggests potential for overpricing compared to what might be achieved in a more open market. Further analysis would involve comparing the unit cost and specifications to similar modules procured through competitive means or from other manufacturers.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor, Printed Circuits Corp., was solicited. This procurement strategy bypasses the standard competitive bidding process, which typically involves multiple vendors submitting proposals. The lack of competition limits price discovery and may result in higher costs for the government. The justification for a sole-source award would need to be thoroughly reviewed to ensure it meets regulatory requirements.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government does not benefit from the price reductions typically driven by competitive bidding. This limits the government's ability to secure the best possible value for public funds.

Public Impact

The primary beneficiaries are likely government agencies requiring secure and reliable data transfer capabilities for sensitive operations. The services delivered involve the manufacturing and supply of specialized Data Transfer Modules (DTM II). The geographic impact is centered in Ohio, where the contract is managed or where the modules will be deployed. Workforce implications may include specialized manufacturing roles within Printed Circuits Corp. and potentially within the agency receiving the modules.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source procurement limits price competition, potentially leading to higher costs for taxpayers.
Lack of transparency in the sole-source justification could mask inefficiencies or lack of market research.
Long contract duration (over 8 years) increases exposure to potential price escalations or obsolescence if not managed carefully.
The specific nature of the 'DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM' suggests a niche product where competition might be inherently limited, but this needs verification.

Positive Signals

The contract addresses a specific need for data transfer modules, indicating a requirement for specialized technology.
The award to Printed Circuits Corp. suggests they possess the necessary technical capabilities for this niche product.
The fixed-firm price contract type provides cost certainty for the government over the contract period.

Sector Analysis

The contract falls within the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' sector (NAICS 334511). This industry involves the production of complex electronic systems and instruments. Spending in this sector is often driven by defense, aerospace, and critical infrastructure needs. Comparable spending benchmarks would require identifying other government procurements for similar specialized electronic modules, which can be challenging due to the niche nature of such components.

Small Business Impact

This contract does not appear to have a small business set-aside (ss=false) or subcontracting goals explicitly mentioned (sb=false). As a sole-source award to a specific company, Printed Circuits Corp., the direct impact on the broader small business ecosystem is likely minimal unless Printed Circuits Corp. voluntarily engages small businesses for subcontracting. Further investigation into Printed Circuits Corp.'s subcontracting plans would be necessary to assess any indirect impact.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. As a purchase order, it may be subject to internal GSA review and audit processes. Transparency regarding the sole-source justification and performance metrics will be key to assessing accountability. The specific Inspector General for GSA would have jurisdiction over any investigations into fraud, waste, or abuse related to this contract.

Related Government Programs

Data Storage Solutions
Electronic Component Manufacturing
Government IT Hardware Procurement
Specialized Navigation Systems
Secure Data Transmission

Risk Flags

Sole-source justification requires rigorous review.
Potential for overpricing due to lack of competition.
Long contract duration increases risk exposure.
Need for clear performance metrics and oversight.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $14.9 million to PRINTED CIRCUITS CORP.. DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM

Who is the contractor on this award?

The obligated recipient is PRINTED CIRCUITS CORP..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.9 million.

What is the period of performance?

Start: 2025-09-25. End: 2028-05-15.

What is the specific technical capability and intended use of the 'DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM'?

The 'DATA TRANSFER MODULE II DTM II REMOVABLE MEMORY MODULES DRMM' likely refers to a specialized hardware component designed for secure and reliable transfer of digital data, possibly in a removable format. The 'DRMM' designation might indicate specific security or data redundancy features. Its intended use is probably within systems requiring high integrity for data handling, such as in defense, intelligence, or critical infrastructure operations where data integrity and security are paramount. The 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' NAICS code suggests it could be integrated into complex systems for these purposes. Without further technical specifications or agency context, the precise application remains speculative but points towards mission-critical data handling.

What was the justification for awarding this contract on a sole-source basis to Printed Circuits Corp.?

The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. For this contract, the justification would need to detail why Printed Circuits Corp. is the only responsible source capable of providing the Data Transfer Module II. This could be due to patents, exclusive manufacturing rights, or a proven track record with a highly specialized, non-commercial off-the-shelf product. The General Services Administration (GSA) would have documented this justification, likely citing factors such as technical superiority, compatibility with existing systems, or the unavailability of alternatives. A thorough review of this documentation is crucial to validate the necessity of a sole-source procurement and ensure fair value was sought despite the lack of competition.

How does the contract value of $14.86 million compare to similar procurements for data transfer modules?

Benchmarking the $14.86 million contract value for Data Transfer Modules (DTM II) against similar procurements is challenging without access to detailed comparative data, especially given the sole-source nature of this award. Typically, competitive procurements allow for direct price comparisons. However, if similar modules for specialized applications (e.g., defense, secure communications) have been procured competitively, their unit costs and total values could serve as a reference. The long duration (over 8 years) and the specific technical requirements of the DTM II are key factors influencing its price. A comprehensive value analysis would involve examining the cost breakdown, the technology's lifecycle, and potential alternatives, even if those alternatives were not pursued due to the sole-source justification.

What are the potential risks associated with a sole-source award for specialized hardware like Data Transfer Modules?

Sole-source awards for specialized hardware like Data Transfer Modules (DTM II) carry several risks. Primarily, the lack of competition can lead to inflated prices, meaning the government may pay more than necessary. This reduces the overall value for taxpayer money. Secondly, it can stifle innovation, as there is less incentive for the sole provider to improve their product or offer competitive pricing if they are guaranteed the contract. Thirdly, it creates vendor lock-in, making it difficult and potentially costly to switch to alternative solutions in the future. Finally, sole-source procurements can sometimes be perceived as less transparent, raising concerns about fairness and the thoroughness of market research conducted to ensure no viable competitive alternatives existed.

What is the historical spending pattern for Data Transfer Modules or similar components by the General Services Administration?

Analyzing historical spending patterns for Data Transfer Modules (DTM II) or similar components by the General Services Administration (GSA) requires access to detailed procurement databases. GSA, through its Federal Acquisition Service, procures a vast array of IT and electronic components. Spending on specialized modules like the DTM II is likely project-specific and may not represent a consistent, large-volume category unless tied to a major, long-term program. Historical data might reveal if GSA has previously procured similar items, the quantities involved, the procurement methods used (competitive vs. sole-source), and the associated costs. Without specific historical data for this exact module or its direct predecessors, it's difficult to establish a trend. However, GSA's role often involves consolidating requirements, so patterns might emerge if multiple agencies utilize similar components.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QSWC25R0008

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5295 WEBB PKWY NW, LILBURN, GA, 30047

Business Categories: Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Manufacturer of Goods, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $14,860,034

Exercised Options: $14,860,034

Current Obligation: $14,860,034

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline