DHS awards $2M for learning management system, with 3 bidders competing

Contract Overview

Contract Amount: $2,015,941 ($2.0M)

Contractor: Westwind Computer Products, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2025-09-16

End Date: 2027-01-15

Contract Duration: 486 days

Daily Burn Rate: $4.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: HOMELAND SECURITY ENTERPRISE LEARNING MANAGEMENT SYSTEM (HSELMS) CONTRACT

Place of Performance

Location: SPRINGFIELD, LOUDOUN County, DISTRICT OF COLUMBIA, 20598

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $2.0 million to WESTWIND COMPUTER PRODUCTS, INC. for work described as: HOMELAND SECURITY ENTERPRISE LEARNING MANAGEMENT SYSTEM (HSELMS) CONTRACT Key points: 1. The contract value represents a moderate investment for enterprise learning management systems. 2. Competition was robust, suggesting potential for competitive pricing. 3. The contract duration is standard for this type of IT service. 4. Performance is tied to a fixed-price structure, aligning costs with deliverables. 5. This contract supports the Department of Homeland Security's internal training and development needs. 6. The North American Industry Classification System (NAICS) code 541519 indicates a broad range of IT services.

Value Assessment

Rating: good

The contract value of approximately $2 million over its period of performance is within a reasonable range for an enterprise learning management system. Benchmarking against similar government contracts for IT services of this nature suggests that the pricing is likely competitive, especially given the presence of multiple bidders. The firm-fixed-price structure further supports value for money by shifting performance risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that the solicitation was broadly advertised and all responsible sources were permitted to submit offers. With three bidders participating, the competition level appears adequate, suggesting that the agency received multiple proposals and had a basis for price and technical evaluation. This level of competition generally promotes price discovery and encourages contractors to offer competitive terms.

Taxpayer Impact: The presence of three bidders suggests that taxpayers benefited from a competitive bidding process, likely resulting in a more favorable price than a sole-source award.

Public Impact

Federal employees within the Department of Homeland Security will benefit from enhanced training and development opportunities. The contract will deliver an enterprise learning management system, facilitating standardized and accessible training across the agency. The primary geographic impact is within the District of Columbia, where the agency is headquartered. The contract supports the IT services sector workforce, potentially involving software developers, project managers, and training specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Dependence on contractor for system maintenance and updates could lead to vendor lock-in.
Ensuring data security and privacy within the learning management system is critical.

Positive Signals

Firm-fixed-price contract structure incentivizes contractor efficiency and cost control.
Multiple bidders indicate a healthy competitive environment, potentially leading to better pricing and service.
The contract is for a defined period, allowing for re-evaluation of needs and market options upon expiration.

Sector Analysis

The IT services sector is a vast and dynamic market. This contract falls under the 'Other Computer Related Services' category (NAICS 541519), which encompasses a wide array of IT support and consulting. Government spending in this area is substantial, supporting various functions from software development to system integration and maintenance. The market for learning management systems is competitive, with numerous commercial off-the-shelf (COTS) and custom solutions available. This contract represents a typical procurement for an agency seeking to modernize its internal training infrastructure.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem appears limited unless the prime contractor voluntarily engages small businesses for subcontracting opportunities. Further analysis would be needed to determine if small business participation is a requirement or a goal within the contract's broader framework.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Homeland Security's contracting officers and program managers. Accountability measures are inherent in the firm-fixed-price contract type, which ties payment to performance and delivery. Transparency is generally facilitated through federal procurement databases where contract awards are reported. The Inspector General's office for DHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Federal Civilian Employee Training Programs
Department of Homeland Security IT Modernization Efforts
Enterprise Resource Planning (ERP) Systems
Government-wide IT Services Contracts

Risk Flags

Potential for vendor lock-in
Data security and privacy concerns
Integration challenges with existing systems
User adoption and training effectiveness

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $2.0 million to WESTWIND COMPUTER PRODUCTS, INC.. HOMELAND SECURITY ENTERPRISE LEARNING MANAGEMENT SYSTEM (HSELMS) CONTRACT

Who is the contractor on this award?

The obligated recipient is WESTWIND COMPUTER PRODUCTS, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $2.0 million.

What is the period of performance?

Start: 2025-09-16. End: 2027-01-15.

What is the track record of WESTWIND COMPUTER PRODUCTS, INC. with federal contracts, particularly in IT services?

A review of federal procurement data would be necessary to fully assess WESTWIND COMPUTER PRODUCTS, INC.'s track record. This would involve examining past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of contract disputes or terminations. Understanding their experience with similar learning management systems or IT service delivery for large federal agencies would provide crucial context for evaluating their capability to successfully execute this contract. Without specific historical data, it is difficult to definitively assess their past performance.

How does the awarded price compare to similar enterprise learning management system contracts within the federal government?

To benchmark the value, one would compare the total contract value ($2,015,940.81) against other federal contracts for enterprise learning management systems (LMS) awarded over a similar period and with comparable scope and duration (486 days). Factors such as the number of users supported, features included (e.g., SCORM compliance, mobile access, analytics), and the specific services (e.g., customization, integration, training) would need to be considered. A preliminary assessment suggests the price is moderate, but a detailed comparison with publicly available contract databases (like FPDS or SAM.gov) would be required to determine if it represents excellent, good, or fair value relative to market rates and peer procurements.

What are the primary risks associated with implementing a new enterprise learning management system for a large agency like DHS?

Key risks include technical challenges during implementation and integration with existing DHS IT infrastructure, potential user adoption issues if the system is not intuitive or adequately supported, and data migration complexities from legacy systems. There's also a risk of cost overruns if the scope expands beyond the initial requirements (scope creep), and security vulnerabilities if the system is not properly secured against cyber threats. Ensuring the system meets diverse training needs across various DHS components and complies with federal accessibility standards (e.g., Section 508) are also critical risk areas.

How effective are enterprise learning management systems in improving federal employee training outcomes and compliance?

Enterprise LMS platforms can significantly enhance training effectiveness by providing centralized access to courses, tracking completion rates, and offering standardized learning paths. They facilitate compliance training, ensuring employees meet mandatory requirements. Features like personalized learning plans, performance analytics, and integration with HR systems can further improve skill development and career progression. However, effectiveness is contingent on the quality of the training content, user engagement, administrative support, and the system's ability to provide meaningful data for continuous improvement. A well-implemented LMS can lead to more efficient training delivery, better knowledge retention, and improved workforce performance.

What has been the historical spending trend for learning management systems within the Department of Homeland Security?

Analyzing historical spending data for DHS's learning management systems would reveal trends in investment, technology adoption, and contractor reliance. This would involve examining contract awards for LMS solutions over the past several fiscal years. Understanding whether spending has been consistent, increasing, or decreasing, and whether the agency has transitioned between different LMS platforms or vendors, would provide context for the current procurement. It would also help identify potential patterns of vendor consolidation or diversification in this service area.

What is the typical duration and value range for federal contracts supporting enterprise learning management systems?

Federal contracts for enterprise learning management systems typically range from one to five years in duration, often including option periods. The total contract values can vary significantly based on the size and complexity of the agency, the number of users, and the specific functionalities required. Smaller agencies might award contracts in the hundreds of thousands of dollars, while large departments like DHS could see awards in the millions, as seen here. The $2 million award for a roughly 2-year period (approx. 1.5 years of performance) appears to be within the expected range for a significant federal agency's LMS needs.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › Education, Training, Employment, and Social Services R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70RDA225Q00000163

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5655 JEFFERSON STREET NE SUITE B, ALBUQUERQUE, NM, 87109

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $10,428,631

Exercised Options: $4,307,209

Current Obligation: $2,015,941

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG15SD04B

IDV Type: GWAC

Timeline