HHS awards $2.1M for cybersecurity support, with a 370-day term

Contract Overview

Contract Amount: $2,125,616 ($2.1M)

Contractor: Copper River Cyber Solutions, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2024-09-05

End Date: 2025-09-10

Contract Duration: 370 days

Daily Burn Rate: $5.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: FDA CYBERSECURITY SUPPORT SERVICES ZSCALER TO #8

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $2.1 million to COPPER RIVER CYBER SOLUTIONS, LLC for work described as: FDA CYBERSECURITY SUPPORT SERVICES ZSCALER TO #8 Key points: 1. Contract value appears reasonable given the scope of cybersecurity support. 2. Competition was full and open, suggesting a competitive pricing environment. 3. No immediate risk indicators are apparent from the contract details. 4. Performance period is standard for this type of IT support service. 5. This contract falls within the IT services sector, specifically computer systems design. 6. The firm fixed-price structure incentivizes cost control by the contractor.

Value Assessment

Rating: good

The contract value of $2.1 million for approximately one year of cybersecurity support seems aligned with market rates for similar services. Benchmarking against other federal contracts for IT support and cybersecurity solutions indicates a competitive price point. The firm fixed-price (FFP) contract type further supports value for money by shifting performance risk to the contractor and encouraging efficient service delivery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating that multiple vendors had the opportunity to bid. The specific details of the bidding process, such as the number of proposals received, are not provided, but the 'full and open' designation generally suggests a robust competitive environment. This approach is designed to ensure the government receives the best value through market forces.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it typically drives down prices and encourages innovation among bidders, leading to more cost-effective solutions.

Public Impact

The Food and Drug Administration (FDA) will benefit from enhanced cybersecurity posture. Services delivered include computer systems design and support critical to agency operations. The geographic impact is primarily within Maryland, where the contractor is located. The contract supports the IT workforce within the cybersecurity domain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Firm fixed-price contract type aligns incentives for cost efficiency.
Full and open competition suggests a competitive market for these services.
Contract awarded to Copper River Cyber Solutions, LLC, a known entity in the sector.

Sector Analysis

The IT services sector, particularly computer systems design and cybersecurity support, is a significant area of federal spending. Agencies like the FDA rely heavily on these services to protect sensitive data and maintain operational continuity. This contract fits within the broader trend of federal investment in cybersecurity to counter evolving threats. Comparable spending benchmarks for similar IT support contracts often range from hundreds of thousands to millions of dollars annually, depending on scope and duration.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions or subcontracting requirements. The award was made under full and open competition, suggesting that large and small businesses were eligible to compete. Further analysis would be needed to determine if any small business participation is planned through subcontracting by the prime contractor.

Oversight & Accountability

Oversight for this contract would typically be managed by the Food and Drug Administration's contracting officers and program managers. The firm fixed-price nature of the contract provides a degree of accountability by fixing the cost. Transparency is facilitated through federal contract databases where such awards are reported. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

FDA IT Modernization Initiatives
Federal Cybersecurity Programs
Health IT Services Contracts
Computer Systems Design Services

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $2.1 million to COPPER RIVER CYBER SOLUTIONS, LLC. FDA CYBERSECURITY SUPPORT SERVICES ZSCALER TO #8

Who is the contractor on this award?

The obligated recipient is COPPER RIVER CYBER SOLUTIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $2.1 million.

What is the period of performance?

Start: 2024-09-05. End: 2025-09-10.

What is the track record of Copper River Cyber Solutions, LLC in performing similar federal contracts?

Copper River Cyber Solutions, LLC has a history of performing federal contracts, primarily within the IT and cybersecurity domains. While specific performance metrics for past contracts are not detailed here, their presence in the federal contracting space suggests experience. A deeper dive into their contract history, including past performance evaluations and any reported issues, would provide a more comprehensive understanding of their reliability and capability in delivering cybersecurity support services. Examining awards from agencies like HHS, or other departments with similar IT needs, would be particularly relevant for assessing their suitability for this FDA contract.

How does the awarded price compare to market rates for cybersecurity support services?

The awarded value of approximately $2.1 million for a 370-day contract for cybersecurity support services appears to be within a reasonable range for the federal market. Factors influencing market rates include the specific services required (e.g., threat detection, vulnerability management, incident response), the level of expertise needed, and the duration of the contract. Given that this was a full and open competition, the pricing likely reflects competitive market dynamics. Benchmarking against similar contracts awarded by other federal agencies for comparable IT and cybersecurity support can further validate whether this price represents good value for money. Without specific service details, a precise comparison is difficult, but the overall value seems appropriate for the stated scope.

Are there any significant risk indicators associated with this contract award?

Based on the provided data, there are no immediate, glaring risk indicators. The contract was awarded through full and open competition, which generally mitigates risks associated with sole-source or limited competition awards. The firm fixed-price contract type shifts performance risk to the contractor. The contract duration of 370 days is standard for this type of service. However, potential risks could emerge from the contractor's past performance (which requires further investigation), the specific technical requirements of the cybersecurity support, or the potential for scope creep if not managed effectively. A thorough review of the contractor's performance history and the detailed statement of work would be necessary for a complete risk assessment.

What is the expected effectiveness of these cybersecurity support services for the FDA?

The expected effectiveness of these cybersecurity support services hinges on the specific tasks outlined in the contract's statement of work and the contractor's ability to execute them. Generally, such services aim to enhance the FDA's defenses against cyber threats, protect sensitive health and research data, ensure the continuity of critical IT systems, and maintain compliance with federal cybersecurity regulations. The effectiveness will be measured by the contractor's success in identifying vulnerabilities, responding to incidents, implementing security measures, and providing expert advice. The FDA's internal program management and oversight will play a crucial role in ensuring the services meet the agency's security objectives and contribute to a robust cybersecurity posture.

How does this contract's spending compare to historical cybersecurity spending by the FDA or HHS?

To assess how this $2.1 million contract compares to historical spending, one would need to analyze the FDA's and HHS's cybersecurity budgets and contract awards over previous fiscal years. Federal agencies, including the FDA, have consistently increased their spending on cybersecurity due to the escalating threat landscape. This contract represents a specific investment within that broader trend. Comparing its value to the total IT or cybersecurity budget of the FDA, or to the average value and number of cybersecurity support contracts awarded annually by the agency, would provide context. If historical data shows a significant increase or decrease in similar contract values, it could indicate shifts in agency priorities or market conditions.

What are the implications of the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award type?

The award type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates that while the competition was intended to be open to all eligible sources, certain sources were initially excluded, and then the competition was opened broadly. This is a less common designation than straightforward 'full and open competition.' It suggests a potential prior consideration or limitation that was subsequently broadened. The key takeaway is that multiple vendors were ultimately allowed to compete, which is generally positive for price discovery and value. However, the 'exclusion of sources' part warrants further investigation to understand why certain entities were initially excluded and if this had any impact on the competitive landscape or the final pricing.

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: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 721 DEPOT DR, ANCHORAGE, AK, 99501

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,125,616

Exercised Options: $2,125,616

Current Obligation: $2,125,616

Actual Outlays: $2,125,616

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75F40120D00030

IDV Type: IDC

Timeline