DHS Awards $89.5M for IT Agile Services to Support Predictive Analytics and Exchange Services

Contract Overview

Contract Amount: $89,533,986 ($89.5M)

Contractor: Octo Metric LLC

Awarding Agency: Department of Homeland Security

Start Date: 2021-09-24

End Date: 2026-08-11

Contract Duration: 1,782 days

Daily Burn Rate: $50.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 15

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: PROFESSIONAL IT AGILE SERVICES FOR PREDICTIVE LAKE ANALYTICS NEXTGEN EXCHANGE SERVICES (PLANXS).

Place of Performance

Location: ATLANTA, FULTON County, GEORGIA, 30361

State: Georgia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $89.5 million to OCTO METRIC LLC for work described as: PROFESSIONAL IT AGILE SERVICES FOR PREDICTIVE LAKE ANALYTICS NEXTGEN EXCHANGE SERVICES (PLANXS). Key points: 1. The contract focuses on critical IT services for data analytics and exchange, a growing area of government need. 2. Competition was full and open, suggesting a potentially competitive pricing environment. 3. The use of Time and Materials pricing could pose a risk if not closely managed. 4. This spending falls within the broader IT services sector, which sees significant federal investment.

Value Assessment

Rating: good

The award amount of $89.5M over approximately 5 years suggests a substantial but not excessive investment for comprehensive IT services. Benchmarking against similar large-scale IT service contracts would provide further context.

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 a robust process to solicit bids. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely drove down costs compared to a sole-source or limited competition scenario.

Public Impact

Enhances U.S. Citizenship and Immigration Services' ability to analyze large datasets for improved decision-making. Supports the modernization of critical IT infrastructure for national security and operational efficiency. Potential for improved service delivery and processing times due to advanced analytics capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not strictly monitored.
Contract duration of nearly 5 years requires ongoing performance evaluation.
Reliance on a single vendor for critical IT services could create dependency.

Positive Signals

Full and open competition ensures a competitive marketplace.
Focus on advanced analytics addresses a key government modernization need.
Awarded to a single entity, potentially streamlining management and integration.

Sector Analysis

This contract falls under IT Professional Services, specifically Computer Systems Design Services. Federal spending in this sector is substantial, driven by the need for modernization, cybersecurity, and data analytics capabilities across agencies.

Small Business Impact

The data indicates this contract was not set aside for small businesses and the awardee, OCTO METRIC LLC, is not explicitly identified as a small business in this context. Further analysis would be needed to determine the extent of small business subcontracting opportunities.

Oversight & Accountability

The contract's duration and significant value necessitate robust oversight from DHS to ensure performance, manage costs, and verify adherence to contract terms, particularly given the Time and Materials pricing structure.

Related Government Programs

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

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Long contract duration requires sustained oversight.
Dependency on a single vendor for critical IT functions.
Need for clear performance metrics to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $89.5 million to OCTO METRIC LLC. PROFESSIONAL IT AGILE SERVICES FOR PREDICTIVE LAKE ANALYTICS NEXTGEN EXCHANGE SERVICES (PLANXS).

Who is the contractor on this award?

The obligated recipient is OCTO METRIC LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $89.5 million.

What is the period of performance?

Start: 2021-09-24. End: 2026-08-11.

What specific metrics will be used to measure the success of the predictive analytics and exchange services provided under this contract?

Success metrics should focus on the tangible outcomes of the predictive analytics, such as improved accuracy in forecasting, reduced processing times for immigration applications, or enhanced identification of fraudulent activities. For exchange services, metrics could include data integrity, uptime, and speed of information transfer. Clear, quantifiable KPIs are essential for effective performance management and value assessment.

How will the government mitigate the risks associated with Time and Materials (T&M) pricing to prevent cost overruns?

Mitigation strategies for T&M pricing include establishing firm-fixed-price CLINs for specific deliverables where possible, setting clear labor hour ceilings, implementing rigorous monitoring and approval processes for all hours worked, and conducting regular audits of timesheets and invoices. Strong contract management and proactive communication with the contractor are crucial to control scope creep and ensure costs remain within budget.

What is the expected impact of these IT services on the operational efficiency and effectiveness of U.S. Citizenship and Immigration Services?

These services are expected to significantly enhance operational efficiency by leveraging advanced data analytics to automate processes, improve resource allocation, and provide better insights for decision-making. This could lead to faster application processing, more accurate risk assessments, and improved identification of trends, ultimately contributing to more effective service delivery and policy implementation by USCIS.

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 - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70SBUR21R00000023

Offers Received: 15

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1175 PEACHTREE ST NE STE 1000 FL 10, ATLANTA, GA, 30361

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $104,322,636

Exercised Options: $89,533,986

Current Obligation: $89,533,986

Actual Outlays: $55,535,229

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $78,695,085

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98119D00087

IDV Type: GWAC

Timeline