HUD awards $17.1M for software licenses and cloud services to Microtechnologies LLC
Contract Overview
Contract Amount: $17,096,151 ($17.1M)
Contractor: Microtechnologies LLC
Awarding Agency: Department of Housing and Urban Development
Start Date: 2025-12-21
End Date: 2026-12-20
Contract Duration: 364 days
Daily Burn Rate: $47.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: GENERAL LICENSING - SUPPORT FOR SOFTWARE LICENSES, CLOUD SERVICES, EXPANSION OF EXISTING LICENSES & CLOUD SERVICES, DATA SERVICES, AND OTHER ORIGINAL EQUIPMENT MANUFACTURER (OEM) PROVIDED SERVICES.
Place of Performance
Location: DELRAY BEACH, PALM BEACH County, FLORIDA, 33445
State: Florida Government Spending
Plain-Language Summary
Department of Housing and Urban Development obligated $17.1 million to MICROTECHNOLOGIES LLC for work described as: GENERAL LICENSING - SUPPORT FOR SOFTWARE LICENSES, CLOUD SERVICES, EXPANSION OF EXISTING LICENSES & CLOUD SERVICES, DATA SERVICES, AND OTHER ORIGINAL EQUIPMENT MANUFACTURER (OEM) PROVIDED SERVICES. Key points: 1. Contract focuses on essential IT infrastructure: software, cloud, and data services. 2. Microtechnologies LLC, a small business, is the awardee. 3. The contract is a delivery order under a larger agreement. 4. Spending is concentrated in Florida, indicating potential regional focus.
Value Assessment
Rating: fair
The award amount of $17.1 million for a 1-year duration appears reasonable for general IT licensing and support. Benchmarking against similar broad IT service contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, as a delivery order, the pricing is likely influenced by the terms of the parent contract.
Taxpayer Impact: Taxpayer funds are used for essential IT services supporting HUD operations. The competitive award aims to ensure reasonable pricing.
Public Impact
Ensures continued access to critical software and cloud services for HUD. Supports data services, vital for agency operations and decision-making. Potential for modernization and efficiency gains through cloud service expansion. Award to a small business aligns with federal procurement goals.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific service details makes comprehensive value assessment challenging.
- Potential for cost creep if scope expands beyond initial expectations.
- Reliance on OEM-provided services may limit flexibility and increase costs.
Positive Signals
- Awarded under full and open competition.
- Supports critical IT infrastructure for a federal agency.
- Contract duration is clearly defined.
Sector Analysis
This contract falls within the IT and Software category, specifically electronic computer manufacturing and related services. Federal spending in this sector is substantial, driven by the need for modern digital infrastructure.
Small Business Impact
Microtechnologies LLC is identified as a small business. This award contributes to federal goals of supporting small businesses in government contracting, though the specific impact depends on the company's size and revenue.
Oversight & Accountability
As a delivery order, oversight is likely managed under the parent contract's framework. HUD's contracting office is responsible for ensuring performance and compliance with terms.
Related Government Programs
- Electronic Computer Manufacturing
- Department of Housing and Urban Development Contracting
- Department of Housing and Urban Development Programs
Risk Flags
- Lack of detailed service scope.
- Potential for vendor lock-in with OEM services.
- Time and Materials pricing can lead to cost overruns if not managed.
- Concentration of spending in one state may indicate limited geographic reach for services.
Tags
electronic-computer-manufacturing, department-of-housing-and-urban-developm, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Housing and Urban Development awarded $17.1 million to MICROTECHNOLOGIES LLC. GENERAL LICENSING - SUPPORT FOR SOFTWARE LICENSES, CLOUD SERVICES, EXPANSION OF EXISTING LICENSES & CLOUD SERVICES, DATA SERVICES, AND OTHER ORIGINAL EQUIPMENT MANUFACTURER (OEM) PROVIDED SERVICES.
Who is the contractor on this award?
The obligated recipient is MICROTECHNOLOGIES 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 $17.1 million.
What is the period of performance?
Start: 2025-12-21. End: 2026-12-20.
What is the specific breakdown of costs for licensing, cloud services, and data services within this award?
The provided data does not detail the cost breakdown for specific services like software licenses, cloud services, or data services. A more granular breakdown would be necessary to assess the value and cost-effectiveness of each component and identify potential areas for optimization or negotiation.
How does the pricing for these software licenses and cloud services compare to industry benchmarks for similar government or commercial contracts?
Without specific details on the software titles, cloud service providers, and service levels, a direct comparison to industry benchmarks is difficult. However, the 'full and open competition' award suggests an attempt to achieve competitive pricing. Further analysis would require comparing specific SKUs and service agreements.
What mechanisms are in place to ensure the efficient utilization and prevent overspending on these IT services throughout the contract period?
Oversight mechanisms would typically include regular performance reviews, usage monitoring, and adherence to the 'time and materials' pricing structure, which requires careful tracking. HUD's contracting officer and technical representatives are responsible for managing the scope and ensuring efficient use of resources.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
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
Solicitation ID: 86615525Q00006
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 220 CONGRESS PARK DR STE 138, DELRAY BEACH, FL, 33445
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $113,081,776
Exercised Options: $17,096,151
Current Obligation: $17,096,151
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 47QTCA21D000N
IDV Type: FSS
Timeline
Start Date: 2025-12-21
Current End Date: 2026-12-20
Potential End Date: 2030-12-20 00:00:00
Last Modified: 2025-09-26
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