CPSC Awards $49M for Consumer Product Injury Data Services to Shannon Health System
Contract Overview
Contract Amount: $49,000 ($49.0K)
Contractor: Shannon Health System
Awarding Agency: Consumer Product Safety Commission
Start Date: 2024-07-01
End Date: 2026-06-30
Contract Duration: 729 days
Daily Burn Rate: $67/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: DATA COLLECTION ON CONSUMER PRODUCTS RELATED TO INJURIES.
Place of Performance
Location: SAN ANGELO, TOM GREEN County, TEXAS, 76903
State: Texas Government Spending
Plain-Language Summary
Consumer Product Safety Commission obligated $49,000 to SHANNON HEALTH SYSTEM for work described as: DATA COLLECTION ON CONSUMER PRODUCTS RELATED TO INJURIES. Key points: 1. Contract awarded to Shannon Health System for data collection on consumer products related to injuries. 2. The contract is for computing infrastructure, data processing, web hosting, and related services. 3. Awarded by the Consumer Product Safety Commission (CPSC) with a duration of 729 days. 4. The contract value is $49,000,000.
Value Assessment
Rating: questionable
The contract value of $49M for a 2-year period appears high for computing infrastructure and data processing services, especially given the lack of competition.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not competed under SAP, indicating a limited competition approach. This method may not ensure the best possible price discovery.
Taxpayer Impact: The significant award amount without full and open competition raises concerns about potential overspending of taxpayer funds.
Public Impact
Enhances CPSC's ability to track and analyze consumer product injury data. Supports public safety by identifying product hazards. Potential for improved product recalls and safety standards.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition raises cost concerns.
- Lack of detailed performance metrics.
- Potential for vendor lock-in.
Positive Signals
- Addresses critical public safety data needs.
- Supports injury prevention initiatives.
Sector Analysis
The IT services sector, particularly data processing and hosting, is competitive. However, specific government contracts can sometimes be awarded with limited competition, impacting benchmarks.
Small Business Impact
The contract does not indicate any specific set-asides for small businesses, suggesting a missed opportunity for small business participation in this significant IT services award.
Oversight & Accountability
Oversight will be crucial to ensure Shannon Health System meets performance expectations and that the CPSC effectively utilizes the data collected to enhance consumer safety.
Related Government Programs
- Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
- Consumer Product Safety Commission Contracting
- Consumer Product Safety Commission Programs
Risk Flags
- Lack of full and open competition.
- High contract value for the stated services.
- Potential for cost overruns.
- Limited visibility into vendor selection rationale.
Tags
computing-infrastructure-providers-data-, consumer-product-safety-commission, tx, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Consumer Product Safety Commission awarded $49,000 to SHANNON HEALTH SYSTEM. DATA COLLECTION ON CONSUMER PRODUCTS RELATED TO INJURIES.
Who is the contractor on this award?
The obligated recipient is SHANNON HEALTH SYSTEM.
Which agency awarded this contract?
Awarding agency: Consumer Product Safety Commission (Consumer Product Safety Commission).
What is the total obligated amount?
The obligated amount is $49,000.
What is the period of performance?
Start: 2024-07-01. End: 2026-06-30.
What specific data processing and hosting capabilities justify the $49M award for a 2-year period?
The justification for the $49M award hinges on the complexity and scale of data processing required for analyzing consumer product injuries. This includes secure data ingestion, advanced analytics for trend identification, and robust web hosting for reporting and public access. The specific capabilities likely involve specialized software, significant cloud infrastructure, and expert personnel to manage and interpret vast datasets, aiming to improve CPSC's response to product safety issues.
What are the risks associated with awarding this contract through limited competition?
Limited competition poses several risks, primarily the potential for inflated costs due to the absence of competitive bidding, which could lead to inefficient use of taxpayer funds. It also limits the government's ability to explore innovative solutions from a wider pool of vendors. Furthermore, it may signal a lack of market research or an inability to define requirements that would attract broader participation, potentially resulting in a less optimal service provider or higher prices than achievable through full and open competition.
How will the effectiveness of this data collection and analysis be measured to ensure value for money?
Effectiveness will be measured by the CPSC's ability to identify emerging product safety trends, reduce injury incidents through timely interventions, and improve the accuracy and timeliness of public safety alerts. Key performance indicators (KPIs) should include the number of identified hazards leading to recalls or policy changes, the speed of data analysis and reporting, and user satisfaction with the data accessibility and insights provided. Regular performance reviews and post-award audits will ensure the vendor meets contractual obligations and delivers tangible value.
Industry Classification
NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 120 E HARRIS AVE, SAN ANGELO, TX, 76903
Business Categories: Category Business, Corporate Entity Tax Exempt, Hospital, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $127,000
Exercised Options: $49,000
Current Obligation: $49,000
Actual Outlays: $26,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2024-07-01
Current End Date: 2026-06-30
Potential End Date: 2029-06-30 00:00:00
Last Modified: 2026-04-02
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