DHS Awards $50M+ for Enterprise Support Services to INSERSO Corporation

Contract Overview

Contract Amount: $50,176,102 ($50.2M)

Contractor: Inserso Corporation

Awarding Agency: Department of Homeland Security

Start Date: 2022-02-03

End Date: 2027-02-02

Contract Duration: 1,825 days

Daily Burn Rate: $27.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 14

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: ENTERPRISE SUPPORT SERVICES

Place of Performance

Location: CHANDLER, MARICOPA County, ARIZONA, 85226

State: Arizona Government Spending

Plain-Language Summary

Department of Homeland Security obligated $50.2 million to INSERSO CORPORATION for work described as: ENTERPRISE SUPPORT SERVICES Key points: 1. Significant contract value of over $50 million for essential enterprise support. 2. INSERSO Corporation is the sole awardee, raising questions about competition. 3. The contract spans five years, indicating a long-term need for these services. 4. Focus on Computer Systems Design Services within the Department of Homeland Security.

Value Assessment

Rating: fair

The contract's Time and Materials (T&M) pricing structure can lead to cost overruns if not managed carefully. Benchmarking against similar T&M contracts for Computer Systems Design Services is crucial to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition scenario. This method may not have yielded the most competitive pricing.

Taxpayer Impact: The pricing structure and limited competition could result in higher costs for taxpayers than a fully open and competitive process.

Public Impact

Ensures continued operation of critical IT systems for U.S. Immigration and Customs Enforcement. Supports the agency's mission by providing essential computer systems design services. Potential for cost increases due to T&M pricing and limited competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Time and Materials pricing
Lack of small business participation

Positive Signals

Long-term contract provides stability
Supports critical government function

Sector Analysis

This contract falls under IT services, specifically Computer Systems Design Services. The $50M+ value is substantial for this sector, especially for a single awardee over five years.

Small Business Impact

The contract data indicates that small business participation was not a factor in this award (ss: false, sb: false). This represents a missed opportunity to support small businesses within the federal contracting landscape.

Oversight & Accountability

Oversight will be critical to manage the Time and Materials aspect of this contract, ensuring costs remain within reasonable bounds and that the services delivered meet the agency's needs effectively.

Related Government Programs

Computer Systems Design Services
Department of Homeland Security Contracting
U.S. Immigration and Customs Enforcement Programs

Risk Flags

Potential for cost overruns due to T&M pricing.
Limited competition may result in suboptimal pricing.
Lack of small business participation.
Long contract duration requires sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $50.2 million to INSERSO CORPORATION. ENTERPRISE SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is INSERSO CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $50.2 million.

What is the period of performance?

Start: 2022-02-03. End: 2027-02-02.

What specific factors led to the exclusion of other sources in this 'full and open competition after exclusion of sources' award, and how were these justified?

The justification for excluding other sources is not detailed in the provided data. Typically, such exclusions are based on specific technical requirements, unique capabilities, or prior performance that only a particular vendor can meet. A thorough review of the contract's justification and approval documents would be necessary to understand the rationale and assess if it truly served the government's best interest.

How will the Department of Homeland Security ensure cost control and value for money given the Time and Materials pricing structure and limited competition?

Effective cost control will rely on robust contract management, including detailed monitoring of labor hours, material costs, and indirect rates. The agency should establish clear performance metrics and milestones, conduct regular performance reviews, and utilize negotiation strategies to manage potential price escalations. Benchmarking against industry standards and similar contracts will also be vital.

What is the long-term strategy for ensuring robust competition in future procurements for these enterprise support services?

To foster future competition, DHS should explore market research to identify potential new entrants and assess the feasibility of breaking down the requirement into smaller, more accessible contract vehicles. Developing clear, standardized requirements and providing early industry engagement opportunities can also encourage broader participation and innovation in subsequent solicitations.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70CTD021R00000020

Offers Received: 14

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8180 GREENSBORO DR, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $63,887,824

Exercised Options: $63,837,824

Current Obligation: $50,176,102

Actual Outlays: $37,692,784

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98120D00162

IDV Type: GWAC

Timeline