GSA awards $7.7M telecom license contract to Mainstream IP Solutions, Inc. for computer systems design

Contract Overview

Contract Amount: $7,743,456 ($7.7M)

Contractor: Mainstream IP Solutions, Inc.

Awarding Agency: General Services Administration

Start Date: 2022-12-19

End Date: 2026-03-18

Contract Duration: 1,185 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: COVID-19 EIDL SERVICE CENTER (CESC) TELECOM LICENSES

Place of Performance

Location: ODESSA, PASCO County, FLORIDA, 33556

State: Florida Government Spending

Plain-Language Summary

General Services Administration obligated $7.7 million to MAINSTREAM IP SOLUTIONS, INC. for work described as: COVID-19 EIDL SERVICE CENTER (CESC) TELECOM LICENSES Key points: 1. Contract value of $7.7M over its period of performance. 2. Competition was full and open after exclusion of sources. 3. Contract type is Time and Materials, indicating potential for cost overruns. 4. Delivery Order awarded under a larger contract vehicle. 5. Performance period spans from December 2022 to March 2026. 6. Contractor is Mainstream IP Solutions, Inc. 7. Service is computer systems design. 8. Located in Florida.

Value Assessment

Rating: fair

The contract value of $7.7 million for telecom licenses and computer systems design services appears moderate for a federal contract of this duration. Benchmarking against similar IT service contracts would be necessary to determine if the pricing is competitive. The Time and Materials (T&M) contract type, while flexible, carries inherent risks of cost escalation if not closely managed, potentially impacting overall value for money. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, certain sources were excluded prior to the solicitation. The number of bidders is not specified, but the 'exclusion of sources' clause suggests a potentially narrower competitive pool than a purely full and open competition. This could impact price discovery and potentially lead to less competitive pricing.

Taxpayer Impact: The limited competition, due to the exclusion of certain sources, may mean taxpayers did not benefit from the lowest possible price achievable through a wider bidding process.

Public Impact

Federal agencies requiring telecom licenses and computer systems design services benefit from this contract. The services provided are crucial for maintaining and upgrading federal communication infrastructure. The contract's geographic impact is primarily in Florida, where the contractor is located. The contract supports jobs within the IT services sector, specifically in computer systems design.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type increases risk of cost overruns.
Exclusion of sources may have limited competition and potentially increased costs.
Lack of specific performance metrics makes value assessment difficult.

Positive Signals

Contract awarded to a single entity, indicating a clear point of accountability.
Longer performance period allows for sustained service delivery.
Contract is a Delivery Order, suggesting it's part of a larger, potentially established framework.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design services and telecommunications licensing. The IT services market for the federal government is substantial, with significant spending on software development, systems integration, and network infrastructure. This contract represents a portion of that broader spending, likely supporting the operational needs of a specific General Services Administration (GSA) program or agency.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as the 'ss' (small business set-aside) field is false and the 'sb' (small business) field is also false. There is no explicit mention of subcontracting requirements for small businesses. This suggests that the prime contractor is likely a large business, and opportunities for small businesses may be limited unless they are direct subcontractors to Mainstream IP Solutions, Inc. without a formal set-aside mandate.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. As a Delivery Order under a larger contract vehicle, there are likely established oversight mechanisms within that framework. Transparency is generally facilitated through contract databases like FPDS. Accountability rests with Mainstream IP Solutions, Inc. for performance and GSA for contract administration. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

General Services Administration IT Services Contracts
Computer Systems Design Services
Telecommunications Licensing
Federal Acquisition Service Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Limited competition due to exclusion of sources may impact price.
Lack of detailed performance metrics hinders value assessment.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $7.7 million to MAINSTREAM IP SOLUTIONS, INC.. COVID-19 EIDL SERVICE CENTER (CESC) TELECOM LICENSES

Who is the contractor on this award?

The obligated recipient is MAINSTREAM IP SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $7.7 million.

What is the period of performance?

Start: 2022-12-19. End: 2026-03-18.

What is the track record of Mainstream IP Solutions, Inc. with federal contracts?

Information regarding the specific track record of Mainstream IP Solutions, Inc. with federal contracts is not detailed in the provided data snippet. A comprehensive analysis would require examining their past performance on similar contracts, including client satisfaction, on-time delivery, and adherence to budget. Reviewing contract award histories and performance evaluations (if publicly available) from sources like the Federal Procurement Data System (FPDS) or agency-specific contract databases would provide a clearer picture of their reliability and expertise in delivering computer systems design and telecom licensing services to the government.

How does the $7.7 million contract value compare to similar IT service contracts awarded by GSA?

The $7.7 million contract value for computer systems design and telecom licenses is a moderate figure within the vast IT services spending of the General Services Administration (GSA). To benchmark effectively, one would need to compare it against contracts with similar scopes of work, durations, and service types (e.g., systems integration, network management, software support) awarded over the same period. Factors like the number of bidders, contract type (T&M vs. Firm-Fixed-Price), and specific deliverables influence pricing. Without access to a detailed comparative analysis of GSA's IT contract portfolio, it's difficult to definitively state if this represents excellent, fair, or concerning value.

What are the primary risks associated with a Time and Materials (T&M) contract for IT services?

The primary risk associated with a Time and Materials (T&M) contract for IT services, such as this one for computer systems design, is the potential for cost escalation. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified rates and for the cost of materials. This structure can incentivize longer project durations or less efficient work if not managed rigorously. For the government, this means the final cost is not fixed upfront and can exceed initial estimates, potentially leading to reduced value for money if scope creep or inefficiencies are not controlled through strong contract oversight and clear task orders.

How does the 'Full and Open Competition After Exclusion of Sources' clause impact price discovery?

The 'Full and Open Competition After Exclusion of Sources' clause suggests a competitive process was initiated, but with specific limitations on who could participate. While it aims for broad competition, the exclusion of certain potential bidders inherently narrows the field. This can reduce the number of proposals received and potentially limit the downward pressure on pricing that a truly unrestricted, full-and-open competition might generate. The impact on price discovery depends heavily on the rationale for the exclusion and the number of remaining eligible bidders; fewer bidders generally lead to less robust price competition.

What are the implications of this contract for federal IT infrastructure modernization?

This contract, focused on telecom licenses and computer systems design, directly supports the operational continuity and potential modernization of federal IT infrastructure. By ensuring necessary licenses are maintained and systems are designed or updated, it contributes to the reliability and security of agency communication networks. The specific impact on modernization depends on the scope of the 'design' services – whether it involves implementing new technologies, upgrading existing systems, or ensuring compatibility with evolving standards. It plays a role in the ongoing effort to maintain and improve the government's technological capabilities.

What is the historical spending trend for computer systems design services by GSA?

Analyzing historical spending trends for computer systems design services by the General Services Administration (GSA) would require accessing and aggregating data over multiple fiscal years. GSA is a major procurer of IT services, and spending in this category typically fluctuates based on agency needs, technological shifts, and budget allocations. Generally, federal spending on IT services, including systems design, has been substantial and often increasing, driven by the need for digital transformation, cybersecurity enhancements, and cloud migration. Specific trends for GSA would reveal patterns in contract types, average award values, and dominant service areas within computer systems design.

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: 73351023Q0183

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mainstream IP Solutions Inc.

Address: 3021 LIVING CORAL DR, ODESSA, FL, 33556

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,783,501

Exercised Options: $14,915,526

Current Obligation: $7,743,456

Actual Outlays: $4,648,988

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCB21D0020

IDV Type: GWAC

Timeline