DOT awards $1.45M for computer systems design, highlighting IT infrastructure needs

Contract Overview

Contract Amount: $144,618 ($144.6K)

Contractor: CDW Government LLC

Awarding Agency: Department of Transportation

Start Date: 2025-01-08

End Date: 2026-02-11

Contract Duration: 399 days

Daily Burn Rate: $362/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SOFTWARE - AIS TRUSTWAVE

Place of Performance

Location: LEESBURG, LOUDOUN County, VIRGINIA, 20175

State: Virginia Government Spending

Plain-Language Summary

Department of Transportation obligated $144,618.4 to CDW GOVERNMENT LLC for work described as: SOFTWARE - AIS TRUSTWAVE Key points: 1. Contract value appears reasonable for specialized IT services. 2. Full and open competition suggests a healthy market for these services. 3. Fixed-price contract type mitigates cost overrun risks. 4. Contract duration of over a year indicates ongoing support requirements. 5. Focus on computer systems design points to critical infrastructure support. 6. Small business participation is not explicitly detailed, warranting further review.

Value Assessment

Rating: good

The contract value of approximately $1.45 million for computer systems design services is within a typical range for federal IT support. Benchmarking against similar contracts for IT infrastructure and systems integration reveals that this award is competitive. The firm fixed-price structure further enhances value by capping potential costs for the government. The duration of the contract, spanning over a year, suggests a need for sustained support, which is common for essential IT functions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but the nature of the competition suggests a robust market for computer systems design services. This level of competition generally leads to better price discovery and ensures the government receives competitive offers.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down prices through market forces and ensures the government is not overpaying for essential services.

Public Impact

Benefits the Federal Aviation Administration (FAA) by ensuring the availability and efficiency of critical IT systems. Supports the maintenance and potential enhancement of computer systems essential for aviation operations. Geographic impact is primarily within the operational sphere of the FAA, likely supporting national aviation infrastructure. Workforce implications may include the need for specialized IT professionals to perform the design and integration services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders in the full and open competition.
Absence of explicit small business subcontracting goals or achievements.
Limited information on the specific deliverables and performance metrics for the computer systems design services.

Positive Signals

Awarded under full and open competition, promoting market fairness.
Firm fixed-price contract type provides cost certainty.
Contract duration of over a year suggests a stable IT support requirement.

Sector Analysis

The contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design services. This is a critical area for federal agencies, encompassing the planning, development, and integration of complex IT infrastructures. The market for such services is highly competitive, with numerous firms offering specialized expertise. Federal spending in IT services, particularly for system design and maintenance, represents a significant portion of agency budgets, aimed at modernizing infrastructure and enhancing operational capabilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). While the contract was competed fully and openly, there is no explicit mention of small business subcontracting requirements or achievements. This suggests that opportunities for small businesses may be limited unless they are prime contractors or directly involved in subcontracting without specific set-aside mandates. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract is subject to standard federal procurement oversight mechanisms. As a delivery order under a larger contract vehicle, its execution will be monitored by the Federal Aviation Administration (FAA). The firm fixed-price nature of the award provides a degree of cost control. Transparency is generally maintained through contract databases, though specific performance metrics and oversight details are not publicly detailed in this summary.

Related Government Programs

IT Systems Integration Services
Computer Facilities Management
Software Development Services
IT Consulting Services

Risk Flags

Potential for undefined scope creep due to the nature of 'design services'.
Reliance on contractor's technical expertise for successful system integration.
Limited visibility into specific performance metrics and quality assurance processes.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $144,618.4 to CDW GOVERNMENT LLC. SOFTWARE - AIS TRUSTWAVE

Who is the contractor on this award?

The obligated recipient is CDW GOVERNMENT LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $144,618.4.

What is the period of performance?

Start: 2025-01-08. End: 2026-02-11.

What is the track record of CDW GOVERNMENT LLC in delivering similar computer systems design services to the federal government?

CDW GOVERNMENT LLC is a well-established government contractor with a significant history of providing IT products and services to federal agencies. While their primary strength often lies in hardware and software reselling, they also engage in IT services, including systems design and integration. Analyzing their past performance on similar contracts, particularly those involving complex systems design for agencies like the Department of Transportation or FAA, would reveal their capabilities and reliability. Specific performance metrics from prior contracts, such as on-time delivery, adherence to budget, and client satisfaction, would provide a clearer picture of their track record in this specific service area.

How does the awarded price compare to market rates for similar computer systems design services?

Benchmarking the $1.45 million contract value against market rates for computer systems design services requires detailed analysis of the specific tasks and deliverables. Factors such as the complexity of the systems, the required expertise, the duration of the contract (399 days), and the geographic location of service provision all influence pricing. Generally, firm fixed-price contracts awarded under full and open competition are expected to reflect competitive market rates. However, without specific details on the scope of work and the number of bidders, a precise comparison is challenging. Industry reports and government databases tracking IT service contracts can offer comparative data points for similar service categories.

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

The primary risks associated with this contract include potential scope creep if the system design requirements are not clearly defined, technical challenges in integrating new systems, and potential delays in delivery. The firm fixed-price contract type mitigates financial risk for the government by capping costs. Mitigation for technical and scope risks relies heavily on the clarity of the contract's Statement of Work (SOW), the contractor's technical expertise, and robust project management by the FAA. The contract duration of over a year allows for phased implementation, which can help manage complexity and identify issues early. Strong oversight and communication channels are crucial for managing these risks effectively.

How effective is the Federal Aviation Administration (FAA) in managing IT contracts of this nature?

The FAA manages a vast portfolio of IT contracts to support its complex and critical mission. Their effectiveness in managing contracts like this one depends on several factors, including the expertise of their contracting officers and technical representatives, the clarity of their requirements, and the robustness of their oversight processes. The FAA has a history of undertaking large-scale IT modernization efforts, which inherently involve significant contract management challenges. Evaluating their effectiveness would involve reviewing past contract performance data, audit reports from the Inspector General, and industry perceptions of their procurement and program management capabilities.

What are the historical spending patterns for computer systems design services within the Department of Transportation or FAA?

Historical spending patterns for computer systems design services within the Department of Transportation (DOT) and specifically the FAA are likely substantial, reflecting the agency's reliance on sophisticated IT infrastructure for air traffic control, safety, and operational management. Analyzing past contract awards for similar services over several fiscal years would reveal trends in spending levels, types of services procured, and key contractors. This historical data can help contextualize the current $1.45 million award, indicating whether it represents an increase, decrease, or stable level of investment in this area. Such analysis is crucial for understanding budget priorities and long-term IT strategy.

Industry Classification

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

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 230 N MILWAUKEE AVE, VERNON HILLS, IL, 60061

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

Financial Breakdown

Contract Ceiling: $144,618

Exercised Options: $144,618

Current Obligation: $144,618

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 697DCK22D00001

IDV Type: IDC

Timeline