DHS awards $20.5M contract for NOC/SOC support to EVOTECH, LLC, with no competition

Contract Overview

Contract Amount: $2,015,249 ($2.0M)

Contractor: Evotech, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2026-01-01

End Date: 2026-12-31

Contract Duration: 364 days

Daily Burn Rate: $5.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: NOC/SOC SUPPORT

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78247

State: Texas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.0 million to EVOTECH, LLC for work described as: NOC/SOC SUPPORT Key points: 1. Contract awarded on a firm-fixed-price basis, indicating clear cost expectations. 2. Sole-source award raises questions about potential price overruns and lack of market pressure. 3. Contract duration of one year suggests a need for ongoing, potentially critical, support. 4. Focus on computer systems design services aligns with critical infrastructure protection needs. 5. Awardee EVOTECH, LLC has secured this contract without facing competitive bids. 6. Geographic location in Texas may indicate specific operational requirements or contractor presence.

Value Assessment

Rating: questionable

Without competitive bids, it is difficult to benchmark the value for money. The firm-fixed-price structure provides some cost certainty, but the absence of competition means taxpayers may not be receiving the best possible price. Further analysis would require comparing EVOTECH's proposed pricing to similar contracts for NOC/SOC support services awarded competitively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning EVOTECH, LLC was the only vendor considered. The reasons for this sole-source determination are not provided, but it significantly limits price discovery and potentially reduces the incentive for the contractor to offer the most competitive pricing.

Taxpayer Impact: Sole-source awards mean taxpayers do not benefit from the cost savings typically achieved through a competitive bidding process, potentially leading to higher overall expenditures for this service.

Public Impact

The Department of Homeland Security (DHS) will receive critical Network Operations Center (NOC) and Security Operations Center (SOC) support. This support is essential for maintaining the operational security and integrity of DHS systems. The contract's performance is expected to occur in Texas, potentially impacting the local workforce or requiring specific regional expertise. End users of DHS systems will benefit from enhanced network reliability and security.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to inflated costs for taxpayers.
Sole-source awards can indicate potential barriers to entry for other qualified vendors.
The specific justification for the sole-source award needs further scrutiny to ensure it was appropriate.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Award to a single entity can streamline management and communication.
The contract addresses a critical need for NOC/SOC support within DHS.

Sector Analysis

The IT services sector, particularly in areas of cybersecurity and network management, is a significant area of federal spending. Contracts for NOC/SOC support are crucial for maintaining the operational readiness and security of government IT infrastructure. Benchmarking this contract would involve comparing its value and scope to other similar IT support services procured by federal agencies, especially those awarded competitively.

Small Business Impact

This contract does not appear to have a small business set-aside component, nor is there information indicating subcontracting opportunities for small businesses. The award to EVOTECH, LLC, without specific small business considerations, suggests that the primary focus was on meeting the immediate service requirement rather than fostering small business participation.

Oversight & Accountability

Oversight for this contract will likely fall under the purview of the Department of Homeland Security's internal contracting and program management offices. Transparency regarding the justification for the sole-source award and performance metrics would be key to assessing accountability. Inspector General involvement would typically be triggered by specific performance issues or allegations of impropriety.

Related Government Programs

DHS IT Support Services
Cybersecurity Services Contracts
Network Operations Center Support
Security Operations Center Services

Risk Flags

Sole-source award lacks competitive justification.
Potential for unbenchmarked pricing.
Limited transparency on contractor selection rationale.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.0 million to EVOTECH, LLC. NOC/SOC SUPPORT

Who is the contractor on this award?

The obligated recipient is EVOTECH, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $2.0 million.

What is the period of performance?

Start: 2026-01-01. End: 2026-12-31.

What is the specific justification for awarding this contract on a sole-source basis to EVOTECH, LLC?

The provided data indicates the contract was awarded as 'NOT COMPETED' and is a 'SOLE SOURCE' type. Federal procurement regulations allow for sole-source awards under specific circumstances, such as when only one responsible source is available or when a compelling urgency exists. Without further documentation from the Department of Homeland Security, the precise justification remains unknown. Typically, agencies must publicly justify sole-source awards to ensure fair and open competition principles are upheld, unless specific exceptions apply. Understanding this justification is crucial for assessing whether the government received fair value and if competitive alternatives were genuinely unavailable.

How does the $20.5 million contract value compare to similar NOC/SOC support contracts awarded by DHS or other agencies?

Direct comparison of the $20.5 million contract value for NOC/SOC support is challenging without knowing the specific scope of services, service level agreements, and contract duration. However, federal spending on IT operations and maintenance, including NOC/SOC functions, is substantial. Contracts for similar services can range from a few million to tens or even hundreds of millions of dollars, depending on the complexity and scale of the supported infrastructure. The one-year duration of this contract (ending Dec 31, 2026) suggests a moderate annual cost. A more precise benchmark would require analyzing contracts with comparable service levels, security requirements, and contract lengths, ideally those awarded through a competitive process to establish a market price.

What are the potential risks associated with a sole-source award for critical NOC/SOC support?

The primary risk of a sole-source award for critical NOC/SOC support is the potential for inflated costs due to the lack of competitive pressure. Without competing bids, EVOTECH, LLC may not be incentivized to offer the most cost-effective solution. Another risk is vendor lock-in, where the agency becomes dependent on a single provider, potentially hindering future flexibility or innovation. Furthermore, the absence of competition might mask underlying performance issues or a lack of robust service delivery, as there are no alternative providers to compare against. Ensuring strong contract management and performance monitoring becomes even more critical in sole-source situations.

What is EVOTECH, LLC's track record with federal contracts, particularly within DHS?

Information regarding EVOTECH, LLC's specific track record with federal contracts, especially within DHS, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes. Federal procurement databases often contain this information, allowing analysts to gauge the company's reliability, quality of service, and experience with similar government requirements. Without this historical data, it is difficult to assess the contractor's suitability beyond the immediate award.

What are the implications of the firm-fixed-price (FFP) contract type for cost control and risk allocation?

A firm-fixed-price (FFP) contract type is generally favorable for the government in terms of cost control, as the total price is set and not subject to adjustment based on the contractor's actual costs. This shifts the cost risk to the contractor, EVOTECH, LLC. For NOC/SOC support, an FFP contract provides budget certainty for the Department of Homeland Security. However, if the contractor significantly underestimates costs or encounters unforeseen challenges, they bear the loss. Conversely, if the contractor is highly efficient, they retain the profit. This structure incentivizes the contractor to manage their costs effectively to maximize profit within the fixed price.

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 - DELIVERY

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12903 DELIVERY, SAN ANTONIO, TX, 78247

Business Categories: 8(a) Program Participant, Category Business, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $23,305,257

Exercised Options: $2,015,249

Current Obligation: $2,015,249

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline