CFTC awards $33.2M IT services BPA call to DIGICON CORPORATION under full and open competition

Contract Overview

Contract Amount: $33,190,143 ($33.2M)

Contractor: Digicon Corporation

Awarding Agency: Commodity Futures Trading Commission

Start Date: 2012-03-01

End Date: 2015-12-20

Contract Duration: 1,389 days

Daily Burn Rate: $23.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF IT PROFESSIONAL SERVICES - OTHER FUNCTIONS.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20581

State: District of Columbia Government Spending

Plain-Language Summary

Commodity Futures Trading Commission obligated $33.2 million to DIGICON CORPORATION for work described as: IGF::OT::IGF IT PROFESSIONAL SERVICES - OTHER FUNCTIONS. Key points: 1. The contract value of $33.2 million over approximately 4 years represents a moderate investment in IT professional services. 2. DIGICON CORPORATION secured this award, indicating a competitive landscape for IT services within the federal government. 3. The primary risk lies in ensuring the 'Other Computer Related Services' category effectively meets evolving technological needs. 4. This spending falls within the broad IT sector, with specific focus on specialized computer services.

Value Assessment

Rating: good

The contract was awarded via a BPA Call, suggesting a pre-competed framework. Pricing is likely benchmarked against established rates within the BPA, but specific per-unit cost comparisons are not readily available without access to the underlying BPA details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, indicating a robust price discovery process. The BPA Call mechanism likely leverages pre-negotiated rates, ensuring competitive pricing was considered during the initial BPA award.

Taxpayer Impact: The use of full and open competition generally leads to better value for taxpayers by fostering a competitive environment that drives down costs.

Public Impact

Federal agencies rely on IT professional services for critical operations, impacting service delivery to the public. The selection of DIGICON CORPORATION affects the availability of specialized IT support for the Commodity Futures Trading Commission. This contract contributes to the broader digital infrastructure supporting government functions and regulatory oversight.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under IT professional services, specifically 'Other Computer Related Services'. Federal spending in this area is substantial, driven by the need for specialized technical expertise to maintain and upgrade complex IT systems. Benchmarks vary widely based on the specific services rendered.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct small business participation or subcontracting benefit from this specific award.

Oversight & Accountability

The Commodity Futures Trading Commission is responsible for oversight of this contract. Accountability is maintained through contract performance monitoring and adherence to the terms of the BPA Call.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, commodity-futures-trading-commission, dc, bpa-call, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Commodity Futures Trading Commission awarded $33.2 million to DIGICON CORPORATION. IGF::OT::IGF IT PROFESSIONAL SERVICES - OTHER FUNCTIONS.

Who is the contractor on this award?

The obligated recipient is DIGICON CORPORATION.

Which agency awarded this contract?

Awarding agency: Commodity Futures Trading Commission (Commodity Futures Trading Commission).

What is the total obligated amount?

The obligated amount is $33.2 million.

What is the period of performance?

Start: 2012-03-01. End: 2015-12-20.

What specific 'Other Computer Related Services' are provided under this contract, and how do they align with CFTC's mission objectives?

The contract specifies 'Other Computer Related Services' (NAICS 541519), which is a broad category. To assess alignment, a detailed breakdown of services like network management, cybersecurity support, data analytics, or software development would be needed. Understanding these specifics is crucial to determine if the $33.2M investment directly supports the CFTC's regulatory and market oversight functions effectively.

What is the potential risk associated with the 'Time and Materials' contract type for these specialized IT services?

Time and Materials (T&M) contracts can pose a risk of cost overruns if not closely managed, as they allow for reimbursement of direct labor hours and costs plus a fixed fee or percentage. For specialized IT services, this necessitates rigorous oversight to ensure efficient work and prevent scope creep. The agency must actively monitor hours and material usage to control expenditures and maintain value.

How does the duration of the contract (1389 days) impact the effectiveness of acquiring cutting-edge IT solutions?

A contract duration of nearly four years (1389 days) for IT services carries a risk of obsolescence. Technology evolves rapidly, and solutions that are cutting-edge at the start may become outdated by the end. Effectiveness relies on the contractor's ability to adapt, incorporate new technologies, and provide ongoing relevant support. The agency must ensure flexibility within the contract or plan for follow-on procurements to maintain technological relevance.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1355 PICCARD DR STE 200, ROCKVILLE, MD, 20850

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $38,291,923

Exercised Options: $33,190,143

Current Obligation: $33,190,143

Parent Contract

Parent Award PIID: CFIT08BP0080

IDV Type: BPA

Timeline

Start Date: 2012-03-01

Current End Date: 2015-12-20

Potential End Date: 2016-02-29 00:00:00

Last Modified: 2021-11-25

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