DOE awards $4.6M to DH Technologies for RStudio services, a sole-source purchase order

Contract Overview

Contract Amount: $464,756 ($464.8K)

Contractor: DH Technologies, Inc.

Awarding Agency: Department of Energy

Start Date: 2026-04-01

End Date: 2027-03-31

Contract Duration: 364 days

Daily Burn Rate: $1.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: RSTUDIO

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20426

State: District of Columbia Government Spending

Plain-Language Summary

Department of Energy obligated $464,756 to DH TECHNOLOGIES, INC. for work described as: RSTUDIO Key points: 1. DH Technologies secured a $4.6M contract for RStudio services. 2. The contract was awarded on a sole-source basis, limiting competition. 3. Potential risks include lack of competitive pricing and limited vendor options. 4. The IT sector, specifically computer-related services, is the focus.

Value Assessment

Rating: questionable

The contract value of $4.6M for 364 days of service is high. Without competitive bidding, it's difficult to assess if this price is reasonable compared to market rates for similar RStudio support and development services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This method bypasses competitive price discovery, potentially leading to higher costs for the government.

Taxpayer Impact: Taxpayers may be paying a premium due to the absence of competitive bidding, as the government did not explore alternative vendors or pricing.

Public Impact

Federal employees will receive specialized RStudio support, potentially improving data analysis capabilities. The sole-source nature of the award raises questions about government procurement efficiency. Taxpayer funds are being allocated to a single vendor without a competitive process.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • Potential for overpricing

Positive Signals

  • Specific RStudio expertise
  • Defined service period

Sector Analysis

This contract falls within the Other Computer Related Services sector, specifically focusing on RStudio, a popular data science platform. Benchmarks for similar specialized IT services can vary widely, but sole-source awards often deviate from competitive norms.

Small Business Impact

The contract was awarded to DH Technologies, Inc., and there is no indication that small businesses were involved in the subcontracting process or benefited from this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny. Further oversight is needed to understand why competitive bidding was bypassed and to ensure the pricing is justified.

Related Government Programs

  • Other Computer Related Services
  • Department of Energy Contracting
  • Federal Energy Regulatory Commission Programs

Risk Flags

  • Sole-source award limits price competition.
  • Potential for inflated costs due to lack of bidding.
  • Limited transparency on vendor selection justification.
  • No clear benefit to small businesses.
  • Contract duration is significant without competitive review.

Tags

other-computer-related-services, department-of-energy, dc, purchase-order, 100k-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $464,756 to DH TECHNOLOGIES, INC.. RSTUDIO

Who is the contractor on this award?

The obligated recipient is DH TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Energy (Federal Energy Regulatory Commission).

What is the total obligated amount?

The obligated amount is $464,756.

What is the period of performance?

Start: 2026-04-01. End: 2027-03-31.

What is the justification for the sole-source award of this RStudio services contract?

The justification for a sole-source award typically involves circumstances where only one vendor can provide the required service, such as unique expertise, proprietary technology, or an urgent need that precludes competition. Without specific documentation from the Department of Energy, the exact reason remains unclear, but it necessitates a review to ensure it aligns with federal procurement regulations.

How can the government ensure fair pricing without competition for RStudio services?

Even in sole-source situations, the government can employ several strategies to ensure fair pricing. This includes conducting thorough market research to establish independent government cost estimates, negotiating aggressively based on available benchmarks, and potentially seeking third-party validation of costs. Robust internal review processes are crucial to challenge vendor proposals.

What is the potential impact on future IT service procurement if sole-source awards become common for specialized software?

If sole-source awards become common for specialized software like RStudio, it could stifle innovation and competition within the IT services market. Vendors might have less incentive to develop competitive offerings, and agencies could face consistently higher prices. This could also limit opportunities for emerging businesses to enter the federal contracting space.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 161 FORT EVANS RD NE STE 255, LEESBURG, VA, 20176

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,857,267

Exercised Options: $464,756

Current Obligation: $464,756

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2026-04-01

Current End Date: 2027-03-31

Potential End Date: 2031-03-31 00:00:00

Last Modified: 2026-04-08

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