SEC awards $5.75M IT support contract to Oddball, Inc. for AWS cloud services

Contract Overview

Contract Amount: $5,750,252 ($5.8M)

Contractor: Oddball, Inc.

Awarding Agency: Securities and Exchange Commission

Start Date: 2023-10-01

End Date: 2026-10-15

Contract Duration: 1,110 days

Daily Burn Rate: $5.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IT SUPPORT FOR AWS CLOUD-BASED TECHNOLOGIES AND DATA-CENTRIC SOFTWARE TOOLS

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Securities and Exchange Commission obligated $5.8 million to ODDBALL, INC. for work described as: IT SUPPORT FOR AWS CLOUD-BASED TECHNOLOGIES AND DATA-CENTRIC SOFTWARE TOOLS Key points: 1. Contract focuses on specialized IT support for cloud-based technologies and data tools. 2. Competition was full and open, indicating a potentially competitive bidding process. 3. Contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The contract duration is approximately 3 years, aligning with typical IT service needs. 5. The awardee, Oddball, Inc., is a relatively small business in the federal IT contracting space. 6. This contract supports the SEC's modernization efforts for its IT infrastructure.

Value Assessment

Rating: good

The contract value of $5.75 million over approximately three years for specialized IT support appears reasonable. Benchmarking against similar IT support contracts for cloud services and custom programming is necessary for a definitive assessment. However, given the firm-fixed-price structure, the SEC has a defined cost ceiling. The specific nature of AWS cloud support and data-centric software tools suggests a need for specialized expertise, which can command higher rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, with three bids received. This level of competition is generally positive, suggesting that multiple vendors had the opportunity to bid and that the SEC sought a broad range of solutions. The presence of three bidders indicates some level of market interest and potential for price discovery, though a higher number of bidders would typically lead to more robust price competition.

Taxpayer Impact: Full and open competition provides taxpayers with assurance that the government sought the best value by allowing all eligible vendors to participate, potentially leading to more competitive pricing.

Public Impact

The Securities and Exchange Commission (SEC) benefits from enhanced IT support for its critical cloud infrastructure. Services delivered include support for AWS cloud-based technologies and data-centric software tools, crucial for SEC operations. The geographic impact is primarily within the SEC's operational locations, likely Washington D.C. and potentially remote support. Workforce implications include the potential for Oddball, Inc. to expand its team to support this contract, contributing to IT sector employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if specialized knowledge becomes concentrated with Oddball, Inc.
Reliance on a single contractor for critical cloud infrastructure support could pose risks if performance falters.
Ensuring continuous knowledge transfer and documentation is crucial given the specialized nature of the services.

Positive Signals

Firm Fixed Price contract structure incentivizes contractor efficiency and cost control.
Full and open competition suggests a deliberate effort to secure competitive pricing and best value.
The contract supports modernization of critical IT systems, which is a positive step for agency efficiency.

Sector Analysis

The IT support sector for cloud services and custom software development is highly dynamic and competitive. Federal spending in this area has been increasing as agencies migrate to cloud environments. This contract fits within the broader trend of federal agencies seeking specialized IT expertise to manage complex cloud infrastructures and leverage data effectively. Comparable spending benchmarks would involve analyzing other federal contracts for AWS support and custom software development services.

Small Business Impact

This contract was not specifically set aside for small businesses, and the awardee, Oddball, Inc., is a small business. While not a formal set-aside, the award to a small business is a positive signal for the small business IT ecosystem. There is no explicit information on subcontracting plans, but the nature of the work might involve specialized skills that could lead to subcontracting opportunities for other small businesses.

Oversight & Accountability

Oversight will likely be managed by the SEC's contracting officers and program managers responsible for IT services. Accountability measures are embedded in the Firm Fixed Price contract terms, requiring delivery of specified services. Transparency is facilitated by the public nature of federal contract awards, though detailed performance metrics are typically internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Cloud Computing Services
Custom Computer Programming Services
IT Professional Services
AWS Cloud Support
Data Management Software

Risk Flags

Vendor Performance Risk
Scope Creep Potential
Dependency on Specialized Skills

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $5.8 million to ODDBALL, INC.. IT SUPPORT FOR AWS CLOUD-BASED TECHNOLOGIES AND DATA-CENTRIC SOFTWARE TOOLS

Who is the contractor on this award?

The obligated recipient is ODDBALL, INC..

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 $5.8 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-10-15.

What is Oddball, Inc.'s track record with federal IT contracts, particularly those involving cloud services?

Oddball, Inc. has a developing track record in federal IT contracting. While specific details on past performance for large-scale AWS cloud support are not immediately available from this summary, their presence in the federal market suggests prior experience. A deeper dive into their contract history, past performance evaluations, and any awards for similar services would be necessary to fully assess their capabilities and reliability for this SEC contract. Federal procurement data often includes past performance information that can shed light on their success with previous government clients and the complexity of projects they have handled.

How does the $5.75 million contract value compare to similar IT support contracts for cloud services?

The $5.75 million contract value for approximately three years of specialized IT support for AWS cloud and data-centric software is within a typical range for such services, especially considering the need for expert knowledge. However, a precise comparison requires benchmarking against contracts with similar scopes of work, duration, and complexity, awarded by agencies of comparable size and technical needs. Factors like the specific AWS services supported (e.g., EC2, S3, RDS, Lambda), the level of data analytics involved, and the required security clearances can significantly influence pricing. Without access to a detailed database of comparable federal IT contracts, it's challenging to definitively state if this represents a premium or a bargain, but the firm-fixed-price structure provides cost certainty for the SEC.

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

Primary risks include potential performance issues from the contractor (Oddball, Inc.), over-reliance on a single vendor for critical cloud infrastructure, and the possibility of cost overruns if the scope expands beyond initial expectations (though mitigated by FFP). Mitigation strategies include the firm-fixed-price (FFP) structure, which shifts cost risk to the contractor and incentivizes efficiency. The SEC's oversight through contract management and performance monitoring is crucial. Furthermore, the full and open competition process aimed to select a capable vendor, and the contract duration allows for performance evaluation before potential extensions. Clear performance standards and deliverables within the contract are essential for managing expectations and ensuring accountability.

How effective is the full and open competition process in ensuring the SEC receives the best value for IT support services?

The full and open competition process is generally considered effective in promoting best value by allowing a wide range of qualified vendors to submit proposals. This broad participation increases the likelihood of receiving competitive pricing and innovative solutions. With three bidders for this contract, the SEC had options to evaluate, fostering price discovery. The effectiveness is further enhanced by a well-defined Statement of Work and clear evaluation criteria, ensuring that the winning bid not only offers competitive pricing but also meets the technical and performance requirements. Continuous monitoring of contract performance post-award is also key to realizing the full value.

What is the historical spending pattern for IT support services at the SEC, and how does this contract fit?

Analyzing the SEC's historical spending on IT support services would reveal trends in their technology investments and vendor relationships. Agencies like the SEC have increasingly shifted towards cloud-based solutions and sophisticated data management tools, necessitating specialized IT support. This $5.75 million contract for AWS cloud and data-centric software support aligns with this modernization trend. It suggests a strategic investment in enhancing their IT infrastructure's agility, scalability, and data processing capabilities. Understanding past spending on similar services, contract durations, and awardees would provide context on whether this award represents a continuation of established strategies or a new direction.

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 › IT AND TELECOM - COMPUTE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 50310223Q0135

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1775 TYSONS BLVD, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,750,252

Exercised Options: $5,750,252

Current Obligation: $5,750,252

Actual Outlays: $4,416,885

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 50310223A0005

IDV Type: BPA

Timeline