NHLBI awards $1.7M task order for enterprise risk management support to Fedpoint Systems LLC

Contract Overview

Contract Amount: $1,735,012 ($1.7M)

Contractor: Fedpoint Systems LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2024-04-16

End Date: 2029-04-15

Contract Duration: 1,825 days

Daily Burn Rate: $951/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: NATIONAL HEART, LUNG, AND BLOOD INSTITUTE (NHLBI) ENTERPRISE RISK MANAGEMENT (ERM) PROGRAM TASK D

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $1.7 million to FEDPOINT SYSTEMS LLC for work described as: NATIONAL HEART, LUNG, AND BLOOD INSTITUTE (NHLBI) ENTERPRISE RISK MANAGEMENT (ERM) PROGRAM TASK D Key points: 1. The contract focuses on enterprise risk management (ERM) services, a critical function for large organizations. 2. The task order was awarded under a broader Blanket Purchase Agreement (BPA), suggesting potential for future work. 3. The contract duration of five years indicates a long-term need for these services. 4. The specific NAICS code (541519) points to a need for specialized IT-related consulting. 5. The award value of $1.7M over five years suggests a moderate annual investment in ERM.

Value Assessment

Rating: good

The task order value of $1.7M over five years, averaging approximately $347,000 annually, appears reasonable for specialized enterprise risk management support. Benchmarking against similar IT consulting contracts for federal agencies of this size and scope would provide further context. Without direct comparable task orders under the same BPA, a precise value-for-money assessment is challenging, but the pricing seems within a typical range for such services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. The fact that it was a BPA call suggests that Fedpoint Systems LLC was one of several pre-qualified vendors under a larger contract vehicle. The competition level is positive for price discovery, as it likely drove competitive pricing among eligible bidders.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that the government receives the best possible pricing and services through a wide range of potential providers.

Public Impact

The National Heart, Lung, and Blood Institute (NHLBI) will benefit from enhanced enterprise risk management capabilities. Services delivered include support for the NHLBI's ERM program, likely involving risk identification, assessment, and mitigation strategies. The geographic impact is primarily within the agency's operations, likely centered in Bethesda, Maryland, where NIH headquarters are located. Workforce implications may involve specialized risk management professionals, potentially augmenting existing government staff or providing external expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if the ERM program's needs evolve significantly beyond initial projections.
Dependence on contractor expertise could pose a knowledge transfer challenge if not managed proactively.
Ensuring alignment of contractor's risk methodologies with evolving federal standards and best practices.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that likely yielded fair pricing.
The contract is for enterprise risk management, a crucial function for maintaining operational integrity and compliance.
The five-year duration allows for sustained support and development of the ERM program.

Sector Analysis

This contract falls within the IT consulting and professional services sector, specifically focusing on risk management. The federal IT services market is substantial, with agencies increasingly relying on specialized contractors for functions like cybersecurity, data management, and enterprise risk management. The NHLBI's need for ERM support aligns with broader government initiatives to strengthen internal controls and mitigate operational risks.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Fedpoint Systems LLC, is likely a larger entity or has been awarded this task order through a competitive process that did not prioritize small business participation. Subcontracting opportunities for small businesses are not explicitly detailed but could arise if Fedpoint Systems LLC chooses to engage them for specific components of the ERM support.

Oversight & Accountability

Oversight for this task order would typically fall under the contracting officer and program managers within the NHLBI. The National Institutes of Health (NIH), as the parent agency, likely has established internal controls and reporting mechanisms for such contracts. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply if any issues of fraud, waste, or abuse arise.

Related Government Programs

NHLBI Enterprise Risk Management Program
NIH IT Support Services
Federal Risk Management Consulting
BPA Call Contracts

Risk Flags

Potential for vendor lock-in due to specialized nature of ERM services.
Need for clear performance metrics to ensure value for money.
Ensuring alignment with evolving federal risk management standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $1.7 million to FEDPOINT SYSTEMS LLC. NATIONAL HEART, LUNG, AND BLOOD INSTITUTE (NHLBI) ENTERPRISE RISK MANAGEMENT (ERM) PROGRAM TASK D

Who is the contractor on this award?

The obligated recipient is FEDPOINT SYSTEMS LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $1.7 million.

What is the period of performance?

Start: 2024-04-16. End: 2029-04-15.

What is Fedpoint Systems LLC's track record with federal contracts, particularly in risk management or IT consulting?

Fedpoint Systems LLC has a history of federal contracting, primarily in IT services and support. While specific details on their risk management expertise require deeper analysis of past performance on similar contracts, their award for the NHLBI ERM program suggests they possess the necessary qualifications. Reviewing past awards, contract performance evaluations (if available), and their company profile would provide a more comprehensive understanding of their capabilities and reliability in delivering enterprise risk management solutions to federal agencies.

How does the $1.7M value compare to similar ERM task orders awarded by NIH or other HHS agencies?

The $1.7M value over five years, averaging $347,000 annually, for ERM support appears to be within a moderate range for federal IT consulting services. To provide a precise comparison, one would need to analyze recent task orders for similar ERM or risk management consulting services awarded by the NIH or other agencies within the Department of Health and Human Services (HHS). Factors such as contract duration, scope of work complexity, and the specific services required (e.g., policy development, risk assessments, training) would influence pricing. Without direct comparable data, this award seems aligned with typical federal spending for specialized support functions.

What are the key performance indicators (KPIs) or metrics used to evaluate the success of this ERM task order?

The specific Key Performance Indicators (KPIs) for this task order are not detailed in the provided data. However, typical metrics for an Enterprise Risk Management (ERM) program would likely include the number of identified and assessed risks, the effectiveness of implemented mitigation strategies, the timeliness of risk reporting, adherence to federal risk management frameworks (e.g., NIST RMF, OMB guidance), and stakeholder satisfaction with ERM services. The contracting officer and NHLBI program managers would be responsible for defining and monitoring these KPIs throughout the contract's duration to ensure the contractor is meeting performance expectations and delivering value.

What is the historical spending pattern for ERM or related risk management services at NHLBI or NIH?

Analyzing historical spending patterns for ERM or related risk management services at NHLBI or NIH would require access to comprehensive federal procurement data over several fiscal years. This specific task order represents a new award for ERM support, suggesting either an expansion of existing efforts or the establishment of a more formalized ERM program. Previous spending might have been distributed across various IT support, consulting, or program management contracts that included risk management components, rather than a dedicated ERM contract. A detailed historical analysis would reveal trends in agency investment in risk management functions and identify potential fluctuations in demand for such services.

What is the potential risk associated with relying on a single contractor for a critical function like enterprise risk management?

Relying on a single contractor for a critical function like enterprise risk management (ERM) introduces several potential risks. These include a lack of diverse perspectives, which could lead to blind spots in risk identification or mitigation strategies. There's also a risk of vendor lock-in, making it difficult or costly to switch providers if performance issues arise or if the agency's needs change significantly. Furthermore, over-reliance can lead to a decline in internal expertise within the agency, making it harder to manage the contract effectively or transition services in-house. Proactive contract management, clear performance expectations, and regular reviews are crucial to mitigate these risks.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 13042 BLACKBIRD PL, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $1,735,012

Exercised Options: $1,735,012

Current Obligation: $1,735,012

Actual Outlays: $1,053,572

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 75N92024A00011

IDV Type: BPA

Timeline