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
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
- Potential for scope creep in 'Other Computer Related Services'.
- Dependence on a single vendor for specialized IT functions.
- Contract duration may not align with rapidly changing technology.
Positive Signals
- Awarded under full and open competition.
- BPA Call mechanism implies pre-competed and potentially favorable pricing.
- DIGICON CORPORATION has experience in IT professional services.
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
- Other Computer Related Services
- Commodity Futures Trading Commission Contracting
- Commodity Futures Trading Commission Programs
Risk Flags
- Contract type (Time and Materials) can lead to cost overruns if not managed.
- Broad service category ('Other Computer Related Services') lacks specificity.
- Contract duration may outpace technological advancements.
- No small business participation indicated.
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 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
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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