DHS Awards $62M for IT Support to ITC Federal, LLC Under Full and Open Competition

Contract Overview

Contract Amount: $62,184,966 ($62.2M)

Contractor: ITC Federal, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2022-01-30

End Date: 2026-05-08

Contract Duration: 1,559 days

Daily Burn Rate: $39.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OPERATIONS AND SOLUTIONS DELIVERY SUPPORT (OSDSS)FOR ASB, IPSB AND AEB

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22304

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $62.2 million to ITC FEDERAL, LLC for work described as: OPERATIONS AND SOLUTIONS DELIVERY SUPPORT (OSDSS)FOR ASB, IPSB AND AEB Key points: 1. Significant contract value of $62.18 million for IT support services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Potential risk associated with the long contract duration of nearly 4 years. 4. Services fall under the Computer Systems Design sector, a critical area for government operations.

Value Assessment

Rating: good

The contract's firm-fixed-price structure provides cost certainty. Benchmarking against similar large-scale IT support contracts is recommended to ensure optimal value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition after exclusion of sources, suggesting a robust price discovery process. This method typically leads to more competitive pricing.

Taxpayer Impact: The competitive nature of the award is beneficial for taxpayers, likely resulting in a fair market price for essential IT support services.

Public Impact

Ensures continued IT operations and solutions delivery for key DHS components. Supports critical immigration and customs enforcement functions. Potential for long-term IT infrastructure stability and modernization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration may limit flexibility for future technology adoption.
Reliance on a single vendor for critical IT support.

Positive Signals

Awarded through full and open competition.
Firm-fixed-price contract type provides cost predictability.

Sector Analysis

This contract falls within the IT sector, specifically Computer Systems Design Services. Government spending in this area is substantial, supporting essential digital infrastructure and operational capabilities.

Small Business Impact

The contract data indicates that small business participation was not a factor in this award (sb: false). Further analysis could explore opportunities for small business subcontracting.

Oversight & Accountability

The contract's duration and scope necessitate ongoing oversight to ensure performance standards are met and taxpayer funds are used efficiently. Regular performance reviews are crucial.

Related Government Programs

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

Risk Flags

Long contract duration
Potential for vendor lock-in
Lack of explicit small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $62.2 million to ITC FEDERAL, LLC. OPERATIONS AND SOLUTIONS DELIVERY SUPPORT (OSDSS)FOR ASB, IPSB AND AEB

Who is the contractor on this award?

The obligated recipient is ITC FEDERAL, LLC.

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 $62.2 million.

What is the period of performance?

Start: 2022-01-30. End: 2026-05-08.

What is the projected cost per year for these IT support services, and how does it compare to industry benchmarks?

The total award is $62.18 million over approximately 1559 days (roughly 4.27 years). This equates to an average annual cost of approximately $14.56 million. Benchmarking this against similar large-scale government IT support contracts would reveal if this represents a competitive rate, considering the scope and complexity of services provided by ITC Federal, LLC.

What are the specific risks associated with a long-term contract for IT support, and how are they being mitigated?

Long-term contracts can lead to vendor lock-in, slower adoption of new technologies, and potential cost inefficiencies if not managed closely. Mitigation strategies should include clear performance metrics, regular contract reviews, and provisions for adapting to evolving technological needs. The firm-fixed-price nature helps control costs, but flexibility clauses are important.

How effectively does this contract support the core mission of U.S. Immigration and Customs Enforcement?

This contract is crucial for providing the necessary IT infrastructure and support that underpins the operational capabilities of ICE. Reliable systems and solutions delivery are essential for managing immigration data, enforcing laws, and facilitating secure processes. The continuity of these services directly impacts the agency's ability to function effectively.

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 - PLATFORM

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70CTD021Q00000091

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4114 LEGATO RD, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $80,002,907

Exercised Options: $64,054,588

Current Obligation: $62,184,966

Actual Outlays: $45,679,092

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCH18D0027

IDV Type: GWAC

Timeline