SEC Awards $159M Enterprise Edgar Support to Maximus Federal Consulting, LLC

Contract Overview

Contract Amount: $159,488,419 ($159.5M)

Contractor: Maximus Federal Consulting, LLC

Awarding Agency: Securities and Exchange Commission

Start Date: 2021-09-27

End Date: 2026-12-15

Contract Duration: 1,905 days

Daily Burn Rate: $83.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: SEC ENTERPRISE EDGAR SYSTEM SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20549

State: District of Columbia Government Spending

Plain-Language Summary

Securities and Exchange Commission obligated $159.5 million to MAXIMUS FEDERAL CONSULTING, LLC for work described as: SEC ENTERPRISE EDGAR SYSTEM SUPPORT SERVICES Key points: 1. Contract value of $159.49 million over its period of performance. 2. MAXIMUS FEDERAL CONSULTING, LLC is the sole awardee. 3. The contract is for Computer Systems Design Services. 4. This represents a significant investment in critical IT infrastructure for the SEC.

Value Assessment

Rating: good

The contract's total value is $159.49 million. Benchmarking against similar large-scale IT support contracts is difficult without more granular data on specific services provided. However, the duration and scope suggest a substantial, but potentially fair, price for comprehensive system support.

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. This competitive process is expected to drive price discovery and ensure a reasonable cost for the services rendered.

Taxpayer Impact: Taxpayer funds are being used for essential IT services supporting the SEC's regulatory functions. The competitive award aims to maximize value for money.

Public Impact

Ensures continued operation and enhancement of the EDGAR system, crucial for financial market transparency. Supports the SEC's mission to protect investors and maintain fair, orderly, and efficient markets. Potential impact on market participants through the reliability of EDGAR filings and data access. The contract's duration suggests long-term reliance on MAXIMUS for critical IT functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in due to long-term contract.
Reliance on a single vendor for critical system support.

Positive Signals

Awarded through full and open competition.
Supports a vital government function.
Long-term contract provides stability for system operations.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this area is critical for government agencies to maintain and modernize their technological infrastructure, ensuring efficient operations and data management.

Small Business Impact

The contract was awarded to MAXIMUS FEDERAL CONSULTING, LLC, a large business. There is no explicit indication of small business subcontracting goals within the provided data, which could be an area for further review.

Oversight & Accountability

The contract is managed by the Securities and Exchange Commission. Oversight would involve monitoring performance, adherence to service level agreements, and financial accountability throughout the contract's lifecycle to ensure taxpayer funds are used effectively.

Related Government Programs

Computer Systems Design Services
Securities and Exchange Commission Contracting
Securities and Exchange Commission Programs

Risk Flags

Potential for cost overruns if scope creep occurs.
Dependency on a single contractor for a critical national infrastructure.
Risk of service disruption if the contractor fails to meet performance standards.
Limited visibility into detailed cost breakdowns without further data.

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $159.5 million to MAXIMUS FEDERAL CONSULTING, LLC. SEC ENTERPRISE EDGAR SYSTEM SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is MAXIMUS FEDERAL CONSULTING, LLC.

Which agency awarded this contract?

Awarding agency: Securities and Exchange Commission (Securities and Exchange Commission).

What is the total obligated amount?

The obligated amount is $159.5 million.

What is the period of performance?

Start: 2021-09-27. End: 2026-12-15.

What specific services are included under 'Computer Systems Design Services' for the EDGAR system, and how do these align with the SEC's evolving needs?

The 'Computer Systems Design Services' likely encompass a broad range of activities including system maintenance, upgrades, cybersecurity enhancements, data management, and potentially the development of new features for the EDGAR system. Understanding the specific deliverables is key to assessing if the contract adequately addresses the SEC's current and future technological requirements for market oversight and investor protection.

How does the awarded price of $159.49 million compare to industry benchmarks for similar large-scale enterprise IT support contracts, considering the criticality of the EDGAR system?

Benchmarking this contract's price requires detailed comparison with similar government or large private sector contracts for enterprise-level IT support, factoring in system complexity, user base, and security requirements. While awarded competitively, the substantial value suggests a need for rigorous cost analysis to ensure it represents good value, especially given EDGAR's critical role in financial markets.

What mechanisms are in place to ensure the effectiveness and efficiency of MAXIMUS FEDERAL CONSULTING, LLC's support for the EDGAR system over the contract's duration?

Effectiveness and efficiency are typically ensured through performance metrics, Service Level Agreements (SLAs), regular performance reviews, and clear reporting requirements. The SEC would likely monitor key performance indicators related to system uptime, response times for issues, security incident resolution, and successful implementation of upgrades to hold MAXIMUS accountable.

Industry Classification

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

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: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Maximus Federal Consulting LLC

Address: 1600 TYSONS BLVD, MCLEAN, VA, 22102

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $272,287,593

Exercised Options: $160,388,524

Current Obligation: $159,488,419

Actual Outlays: $126,160,079

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 50310218D0027

IDV Type: IDC

Timeline