HUD awards $10.1M contract for Electronic Record Management Application to Hartwood-Armedia JV LLC

Contract Overview

Contract Amount: $10,106,761 ($10.1M)

Contractor: Hartwood-Armedia JV LLC

Awarding Agency: Department of Housing and Urban Development

Start Date: 2023-09-30

End Date: 2026-09-29

Contract Duration: 1,095 days

Daily Burn Rate: $9.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD), OFFICE OF OPERATIONS (OPS) NEEDS CONTRACTOR SERVICES TO PROVIDE AND HOST ELECTRONIC RECORD MANAGEMENT APPLICATION (ERMA).

Place of Performance

Location: STAFFORD, STAFFORD County, VIRGINIA, 22556

State: Virginia Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $10.1 million to HARTWOOD-ARMEDIA JV LLC for work described as: THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD), OFFICE OF OPERATIONS (OPS) NEEDS CONTRACTOR SERVICES TO PROVIDE AND HOST ELECTRONIC RECORD MANAGEMENT APPLICATION (ERMA). Key points: 1. Contract focuses on essential IT services for record management. 2. Competition method indicates a move towards broader market engagement. 3. Risk is moderate, tied to system implementation and data security. 4. IT sector spending is significant, with a focus on modernization.

Value Assessment

Rating: good

The contract value of $10.1M for a 3-year period appears reasonable for a comprehensive electronic record management system. Benchmarking against similar government IT contracts for system design and hosting suggests this price is within expected ranges.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting an initial exclusion followed by a broader competition. This method aims to ensure fair pricing and access to a wider range of qualified vendors.

Taxpayer Impact: The use of full and open competition is intended to secure the best value for taxpayers by fostering a competitive bidding environment.

Public Impact

Improved efficiency in managing HUD's electronic records. Enhanced data security and accessibility for government operations. Potential for better compliance with record-keeping regulations. Streamlined access to information for internal and external stakeholders.

Waste & Efficiency Indicators

Waste Risk Score: 92 / 10

Warning Flags

Potential for vendor lock-in if system is highly proprietary.
Dependence on contractor for system uptime and maintenance.
Data migration challenges from legacy systems.

Positive Signals

Clear need for modern record management solutions.
Use of a competitive procurement process.
Firm Fixed Price contract type limits cost overruns.

Sector Analysis

This contract falls within the IT services sector, specifically Computer Systems Design Services. Government spending in this area is substantial, driven by the need for digital transformation and efficient data management across agencies.

Small Business Impact

While the contract was awarded to a joint venture, it's unclear if small businesses were significantly involved in the subcontracting plan. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of Housing and Urban Development (HUD) is responsible for overseeing this contract. Standard oversight mechanisms for IT service contracts, including performance monitoring and reporting, should be in place.

Related Government Programs

Computer Systems Design Services
Department of Housing and Urban Development Contracting
Department of Housing and Urban Development Programs

Risk Flags

System integration complexity
Data security and privacy concerns
Vendor performance and reliability
Potential for scope creep
Adequacy of competition after source exclusion

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $10.1 million to HARTWOOD-ARMEDIA JV LLC. THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD), OFFICE OF OPERATIONS (OPS) NEEDS CONTRACTOR SERVICES TO PROVIDE AND HOST ELECTRONIC RECORD MANAGEMENT APPLICATION (ERMA).

Who is the contractor on this award?

The obligated recipient is HARTWOOD-ARMEDIA JV LLC.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2023-09-30. End: 2026-09-29.

What is the specific scope of 'Computer Systems Design Services' included in this contract, and how does it align with HUD's long-term digital strategy?

The contract specifies providing and hosting an Electronic Record Management Application (ERMA). This likely includes software development, system integration, cloud hosting, and ongoing maintenance. It aligns with HUD's need to modernize its data infrastructure, improve accessibility, and ensure compliance with federal record-keeping mandates, contributing to a more efficient and secure operational environment.

What are the key performance indicators (KPIs) for this contract, and how will HUD measure the contractor's success in delivering the ERMA system?

Key performance indicators would likely include system uptime, data retrieval speed, user satisfaction, security compliance (e.g., FISMA), and successful data migration. HUD will measure success through regular performance reviews, system audits, user feedback surveys, and adherence to agreed-upon service level agreements (SLAs) outlined in the contract.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method ensure optimal value and mitigate risks compared to a standard full and open competition?

This method suggests an initial phase where certain sources might have been excluded, possibly due to specific technical requirements or prior relationships, followed by a broader competition. While aiming for value, it could potentially limit the pool of bidders compared to a pure full and open process. HUD must ensure the exclusion criteria were justified and that the subsequent competition was robust enough to drive competitive pricing and innovation.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 86615322Q00032

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 186 DONOVAN LN, STAFFORD, VA, 22556

Business Categories: Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $18,686,224

Exercised Options: $12,179,801

Current Obligation: $10,106,761

Actual Outlays: $9,231,441

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCB21D0225

IDV Type: GWAC

Timeline