SBA's $23.7M Loan Monitoring System Contract Awarded to Experian Under Full and Open Competition
Contract Overview
Contract Amount: $23,727,392 ($23.7M)
Contractor: Experian Information Solutions, Inc.
Awarding Agency: Small Business Administration
Start Date: 2022-09-30
End Date: 2024-09-29
Contract Duration: 730 days
Daily Burn Rate: $32.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: LABOR HOURS
Sector: IT
Official Description: LOAN AND LENDER MONITORING SYSTEMS (L/LMS)
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20416
Plain-Language Summary
Small Business Administration obligated $23.7 million to EXPERIAN INFORMATION SOLUTIONS, INC. for work described as: LOAN AND LENDER MONITORING SYSTEMS (L/LMS) Key points: 1. The contract for Loan and Lender Monitoring Systems (L/LMS) is valued at $23.7 million. 2. Experian Information Solutions, Inc. is the sole awardee. 3. The contract was awarded under full and open competition. 4. The duration of the contract is 730 days. 5. The agency involved is the Small Business Administration.
Value Assessment
Rating: good
The contract value of $23.7 million for a 2-year period appears reasonable for a specialized system like loan and lender monitoring. Benchmarking against similar government contracts for credit bureau services or data analytics platforms would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust price discovery process. This method allows multiple vendors to bid, fostering competition and potentially leading to more favorable pricing for the government.
Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being used efficiently, as the government likely secured a competitive price for the required services.
Public Impact
Ensures the integrity and efficiency of SBA's loan programs. Supports monitoring of lenders and borrowers to mitigate risk. Provides critical data for financial oversight and decision-making. Enhances the SBA's ability to manage its loan portfolio effectively.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if system is highly proprietary.
- Reliance on a single vendor for critical financial monitoring.
Positive Signals
- Awarded through full and open competition.
- Clear contract duration and defined scope.
- Supports a key government function (loan monitoring).
Sector Analysis
The IT sector, specifically credit bureaus and data management, is crucial for government financial operations. This contract falls within the standard range for specialized IT services supporting financial oversight and risk management.
Small Business Impact
While the awardee is Experian Information Solutions, Inc., a large entity, the contract itself is for IT services. The SBA should ensure that subcontracting opportunities are explored to engage small businesses in supporting roles where feasible.
Oversight & Accountability
The contract is managed by the Small Business Administration, which is responsible for overseeing its performance and ensuring compliance with federal regulations. Regular performance reviews and audits are essential for accountability.
Related Government Programs
- Credit Bureaus
- Small Business Administration Contracting
- Small Business Administration Programs
Risk Flags
- Potential for vendor lock-in.
- Data security and privacy risks.
- Reliance on a single provider for critical functions.
- Need for ongoing performance monitoring.
Tags
credit-bureaus, small-business-administration, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Small Business Administration awarded $23.7 million to EXPERIAN INFORMATION SOLUTIONS, INC.. LOAN AND LENDER MONITORING SYSTEMS (L/LMS)
Who is the contractor on this award?
The obligated recipient is EXPERIAN INFORMATION SOLUTIONS, INC..
Which agency awarded this contract?
Awarding agency: Small Business Administration (Small Business Administration).
What is the total obligated amount?
The obligated amount is $23.7 million.
What is the period of performance?
Start: 2022-09-30. End: 2024-09-29.
What specific functionalities does the L/LMS provide to the SBA?
The L/LMS likely provides the SBA with capabilities to track loan performance, monitor lender compliance with program requirements, assess borrower risk, and generate reports for financial oversight. This system is crucial for managing the integrity and efficiency of the SBA's loan portfolio and ensuring taxpayer funds are protected.
What are the primary risks associated with this contract?
Key risks include potential over-reliance on a single vendor (Experian) for critical financial data, which could lead to vendor lock-in or service disruptions. Data security and privacy are also paramount concerns, given the sensitive financial information processed by the L/LMS.
How does this contract contribute to the SBA's overall mission effectiveness?
This contract is vital for the SBA's mission by enabling robust monitoring of its loan programs. Effective L/LMS functionality helps ensure that loans are managed responsibly, risks are mitigated, and the agency can accurately assess the health of its loan portfolio, ultimately supporting small businesses.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Business Support Services › Credit Bureaus
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Parent Company: Experian Information Solutions Inc.
Address: 2220 S RITCHEY, SANTA ANA, CA, 92705
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $40,432,321
Exercised Options: $23,727,392
Current Obligation: $23,727,392
Actual Outlays: $23,359,218
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS23F0356P
IDV Type: FSS
Timeline
Start Date: 2022-09-30
Current End Date: 2024-09-29
Potential End Date: 2027-09-29 00:00:00
Last Modified: 2025-07-16
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