Agriculture's $31.7M Cisco Maintenance Contract Awarded to FCN, Inc. Under Full and Open Competition
Contract Overview
Contract Amount: $31,692,024 ($31.7M)
Contractor: FCN, Inc.
Awarding Agency: Department of Agriculture
Start Date: 2015-04-09
End Date: 2020-02-29
Contract Duration: 1,787 days
Daily Burn Rate: $17.7K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: FY15 CISCO MAINTENANCE - RECOMPETE CONTRACT IGF::OT::IGF
Place of Performance
Location: SAN JOSE, SANTA CLARA County, CALIFORNIA, 95134
Plain-Language Summary
Department of Agriculture obligated $31.7 million to FCN, INC. for work described as: FY15 CISCO MAINTENANCE - RECOMPETE CONTRACT IGF::OT::IGF Key points: 1. The contract value is $31.7 million over approximately 5 years. 2. FCN, Inc. is the incumbent contractor. 3. The contract was awarded using full and open competition. 4. The sector is IT services, specifically computer-related services.
Value Assessment
Rating: good
The contract's pricing is considered good given the competitive nature of the award and the duration. Benchmarking against similar IT maintenance contracts would provide further validation.
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, indicating a robust price discovery process. This method generally leads to more competitive pricing.
Taxpayer Impact: The competitive award process is expected to yield fair pricing, maximizing taxpayer value for essential IT maintenance services.
Public Impact
Ensures continued IT infrastructure support for the Department of Agriculture. Supports critical financial operations through reliable Cisco maintenance. Potential for cost savings due to competitive bidding.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if not managed carefully.
- Reliance on a single vendor for critical IT maintenance.
Positive Signals
- Competitive award process.
- Long-term contract provides stability.
- Incumbent contractor likely has institutional knowledge.
Sector Analysis
This contract falls within the IT services sector, specifically computer-related services. Spending in this area is substantial across federal agencies, with maintenance contracts being a significant component.
Small Business Impact
The contract was awarded to FCN, Inc., and there is no indication of small business participation in the provided data. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a degree of oversight in the procurement process. However, ongoing monitoring of performance and pricing is crucial for accountability.
Related Government Programs
- Other Computer Related Services
- Department of Agriculture Contracting
- Office of the Chief Financial Officer Programs
Risk Flags
- Potential for price creep over contract duration.
- Reliance on incumbent vendor.
- Need for ongoing performance monitoring.
- Risk of technological obsolescence impacting service relevance.
Tags
other-computer-related-services, department-of-agriculture, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $31.7 million to FCN, INC.. FY15 CISCO MAINTENANCE - RECOMPETE CONTRACT IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is FCN, INC..
Which agency awarded this contract?
Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).
What is the total obligated amount?
The obligated amount is $31.7 million.
What is the period of performance?
Start: 2015-04-09. End: 2020-02-29.
What is the specific value proposition of FCN, Inc.'s Cisco maintenance services compared to potential competitors?
The value proposition likely lies in FCN, Inc.'s established relationship, understanding of the Department of Agriculture's specific Cisco infrastructure, and potentially specialized support capabilities. While the full and open competition suggests competitive pricing, the exact value is derived from the balance of cost, service quality, and risk mitigation provided by the incumbent.
What are the primary risks associated with this long-term IT maintenance contract, and how are they mitigated?
Key risks include potential cost escalation over the contract's duration, vendor lock-in, and the impact of technological obsolescence. Mitigation strategies could involve performance-based metrics, regular price reviews, and contingency planning for technology shifts. The competitive award process itself serves as a primary risk mitigation for initial pricing.
How effectively does this contract ensure the continuity and performance of critical Department of Agriculture IT systems?
The contract's effectiveness hinges on the service level agreements (SLAs) and the vendor's adherence to them. Given it's a maintenance contract for Cisco equipment, it directly supports IT infrastructure continuity. Performance is likely measured through uptime, response times, and resolution rates, ensuring critical systems remain operational.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: AG-3144-S-15-0004
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 12315 WILKINS AVE, ROCKVILLE, MD, 20852
Business Categories: Category Business, Small Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $43,123,827
Exercised Options: $31,692,024
Current Obligation: $31,692,024
Actual Outlays: $3,104,716
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Parent Contract
Parent Award PIID: NNG07DA26B
IDV Type: GWAC
Timeline
Start Date: 2015-04-09
Current End Date: 2020-02-29
Potential End Date: 2020-02-29 00:00:00
Last Modified: 2019-12-16
More Contracts from FCN, Inc.
- Broadcom Software License and Maint — $240.3M (Department of the Treasury)
- Base Award for IRS Cisco Catalog. Base Year 12 Months With Four 12-Month Option Periods — $233.1M (Department of the Treasury)
- Cisco Combined Services for the Internal Revenue Service User and Networks Service Organization (UNS) That Requires Consistent and Reliable Maintenance of the IRS Telecommunications Infrastructure — $129.2M (Department of the Treasury)
- Mcafee Software and Support Services — $82.2M (Department of Veterans Affairs)
- EA Bundle — $78.1M (Department of Defense)
Other Department of Agriculture Contracts
- Usda Enterprise-Scale Fedramp Certified Cloud Hosting Services. Igf::ot::igf — $336.8M (Accenture Federal Services LLC)
- Usda Disc Enterprise Wide Salesforce Software&support Services — $294.8M (Carahsoft Technology Corp)
- Provide Removal of Carcasses AT Premise X Igf::ot::igf Hpai — $292.5M (Clean Harbors Environmental Services Inc)
- Financial Management Modernization Initiative — $291.0M (Accenture LLP)
- Enterprise Application Services — $273.5M (Synergy Business Innovation & Solutions Inc.)