HHS awards $9.8M IT support contract to Unison Software Inc. amid full and open competition

Contract Overview

Contract Amount: $9,810,458 ($9.8M)

Contractor: Unison Software Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2025-03-29

End Date: 2027-01-27

Contract Duration: 669 days

Daily Burn Rate: $14.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 21

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: HCAS/DCIS IT PROFESSIONAL SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20201

State: District of Columbia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $9.8 million to UNISON SOFTWARE INC for work described as: HCAS/DCIS IT PROFESSIONAL SUPPORT SERVICES Key points: 1. Contract value represents a moderate investment in IT professional support services for HHS. 2. Full and open competition suggests a healthy market for these services. 3. The contract duration of nearly two years indicates a need for sustained support. 4. Fixed-price contract type shifts performance risk to the contractor. 5. The award is a delivery order, suggesting it's part of a larger contract vehicle. 6. The North American Industry Classification System (NAICS) code 511210 points to software publishers, indicating a focus on software-related IT services.

Value Assessment

Rating: good

The contract value of $9.8 million over its period of performance is within a reasonable range for IT professional support services. Benchmarking against similar contracts would require access to a broader dataset of HHS IT procurements. However, the firm-fixed-price structure generally promotes cost control, assuming the scope was well-defined. The number of bids received (21) suggests a competitive environment that likely contributed to a fair price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit bids. The high number of responsive bids (21) indicates a robust and competitive market for these IT professional support services. This level of competition is generally favorable for the government, as it allows for a wider selection of qualified offerors and can drive down prices through market forces.

Taxpayer Impact: The extensive competition for this contract is beneficial for taxpayers, as it increases the likelihood of securing services at a competitive market rate and reduces the risk of overpayment.

Public Impact

The Office of the Assistant Secretary for Administration (ASA) within HHS is the primary beneficiary, receiving essential IT professional support. The services delivered are expected to enhance the operational efficiency and technological capabilities of the ASA. The geographic impact is primarily within the District of Columbia, where the agency is located. The contract supports the IT workforce by engaging a contractor to provide specialized skills.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Dependence on a single contractor for critical IT support could pose a risk if performance falters.
Ensuring continued alignment with evolving HHS IT strategies and security protocols.

Positive Signals

Firm-fixed-price contract type incentivizes contractor efficiency and cost management.
Full and open competition with 21 bidders suggests a strong pool of qualified vendors.
The award is to Unison Software Inc., a known entity in the software and IT services space.
The contract duration allows for stable and consistent IT support delivery.

Sector Analysis

The IT professional support services sector is a critical component of government operations, enabling agencies to manage and maintain their technological infrastructure. This contract falls within the broader IT services market, which is characterized by a wide range of specialized offerings. The NAICS code 511210 (Software Publishers) suggests a focus on software development, maintenance, or support, aligning with the need for specialized IT expertise within HHS. Comparable spending benchmarks for similar IT support contracts within federal agencies can vary significantly based on scope, duration, and specific services required.

Small Business Impact

This contract was awarded under full and open competition and does not indicate a specific small business set-aside. Therefore, the direct impact on small businesses is likely limited to potential subcontracting opportunities, if Unison Software Inc. chooses to engage them. The absence of a set-aside suggests that the primary focus was on securing the best value from the broadest possible pool of offerors, rather than specifically targeting small business participation.

Oversight & Accountability

Oversight for this contract will likely be managed by the Office of the Assistant Secretary for Administration (ASA) within HHS, which is the primary recipient of the services. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver defined services within the agreed-upon price. Transparency is facilitated by the public nature of federal contract awards, allowing for review of basic contract details. The Inspector General for HHS may have jurisdiction for audits and investigations if any concerns regarding fraud, waste, or abuse arise.

Related Government Programs

HHS IT Modernization Initiatives
Federal Civilian IT Services Contracts
Software and Application Development Services
IT Infrastructure Support

Risk Flags

Potential for scope creep
Contractor performance risk
Dependence on single vendor

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $9.8 million to UNISON SOFTWARE INC. HCAS/DCIS IT PROFESSIONAL SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is UNISON SOFTWARE INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Office of the Assistant Secretary for Administration).

What is the total obligated amount?

The obligated amount is $9.8 million.

What is the period of performance?

Start: 2025-03-29. End: 2027-01-27.

What is the track record of Unison Software Inc. with federal contracts, particularly within the Department of Health and Human Services?

A review of Unison Software Inc.'s federal contract history would be necessary to assess their track record. This would involve examining past performance evaluations, any reported contract disputes or terminations, and the types and values of previous awards. Specifically for HHS, understanding their experience with similar IT professional support services would provide insight into their capability to meet the current contract's requirements. Without specific data on their past performance, it is difficult to definitively assess their reliability and expertise for this particular award.

How does the awarded price compare to market rates for similar IT professional support services?

Benchmarking the $9.8 million contract value against market rates for similar IT professional support services requires access to detailed pricing data and market analysis reports. Factors such as the specific skill sets required, the level of experience of the personnel, the duration of the contract, and the geographic location of service delivery all influence market rates. Given the firm-fixed-price nature of this contract and the competitive bidding process involving 21 offerors, it is reasonable to infer that the price achieved is likely competitive. However, a definitive comparison would necessitate a detailed analysis of prevailing labor rates and service costs in the Washington D.C. metropolitan area for comparable IT support roles.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks for this contract include potential scope creep, where the requirements may expand beyond the initial agreement, leading to cost overruns or schedule delays. Another risk is contractor performance failure, where Unison Software Inc. may not deliver the services to the required standard. Dependence on a single vendor for critical IT functions also presents a risk. Mitigation strategies typically involve robust contract management, clear definition and control of scope, regular performance monitoring, and contingency planning. The firm-fixed-price structure inherently places some risk on the contractor to manage costs and deliver within budget.

How effective is the firm-fixed-price contract type in ensuring value for money for this IT support service?

The firm-fixed-price (FFP) contract type is generally considered effective in ensuring value for money when the scope of work is well-defined and unlikely to change significantly. For IT professional support services, FFP incentivizes the contractor to manage their costs efficiently and deliver the specified services within the agreed-upon budget. This shifts the financial risk of cost overruns to the contractor. However, if the scope is poorly defined or subject to frequent changes, FFP can lead to disputes or the contractor may build in significant contingencies, potentially increasing the initial price. The success of FFP in delivering value for money here depends on the clarity and stability of the defined IT support requirements.

What is the historical spending pattern for IT professional support services at HHS, and how does this award fit within that pattern?

Analyzing historical spending patterns for IT professional support services at HHS would reveal trends in contract values, types of services procured, and primary contractors. This $9.8 million award for a delivery order suggests it is part of a larger contract vehicle, which is common for managing IT services. Without specific historical data, it's difficult to definitively place this award. However, federal agencies like HHS consistently invest significant resources in IT support to maintain operations and modernize systems. This award likely represents a typical allocation for specialized IT support, reflecting ongoing needs rather than an unusual surge or decrease in spending for this category.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 21

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mantech International Corporation

Address: 8444 WESTPARK DR STE 920, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $29,511,035

Exercised Options: $9,810,458

Current Obligation: $9,810,458

Actual Outlays: $4,823,532

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D00EP

IDV Type: FSS

Timeline