Momentum Financials Desktop Hosting Contract Awarded to CGI Technologies for $10.7M

Contract Overview

Contract Amount: $10,730,510 ($10.7M)

Contractor: CGI Technologies and Solutions Inc.

Awarding Agency: Corporation for National and Community Service

Start Date: 2005-09-19

End Date: 2011-03-31

Contract Duration: 2,019 days

Daily Burn Rate: $5.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MOMENTUM FINANCIALS AND PROCUREMENT DESKTOM HOSTING EFFORT- TRANSITION PERIOD 09/16/2005-01/31/2006.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Corporation for National and Community Service obligated $10.7 million to CGI TECHNOLOGIES AND SOLUTIONS INC. for work described as: MOMENTUM FINANCIALS AND PROCUREMENT DESKTOM HOSTING EFFORT- TRANSITION PERIOD 09/16/2005-01/31/2006. Key points: 1. Contract awarded for desktop hosting services to CGI Technologies. 2. The contract spans a transition period from September 2005 to January 2006. 3. The total award value is $10,730,509.67. 4. The contract was not competed, raising potential concerns about price discovery.

Value Assessment

Rating: questionable

The award value of $10.7M for a short transition period (approx. 4.5 months) appears high. Benchmarking against similar desktop hosting contracts is difficult without more detailed service scope, but the per-unit cost is likely elevated due to the lack of competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This limits price discovery and may lead to a higher cost for taxpayers as there was no competitive pressure to drive down prices.

Taxpayer Impact: The lack of competition likely resulted in a higher cost to taxpayers than if the contract had been competitively bid.

Public Impact

Taxpayers may have overpaid due to the sole-source nature of the award. Lack of transparency in the procurement process. Potential for reduced service quality if CGI faced no competitive pressure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
High contract value for a short duration
Lack of competition

Positive Signals

Contract awarded to a known entity (CGI Technologies)

Sector Analysis

This contract falls under Computer Systems Design Services (NAICS 541512). Spending in this sector can vary widely based on complexity and duration. The value here is significant for a short transition period, suggesting a substantial underlying system or service.

Small Business Impact

The data does not indicate whether small businesses were involved in subcontracting or if this contract provided opportunities for them. The award was made to CGI Technologies, a large corporation.

Oversight & Accountability

The sole-source nature of this award warrants further oversight to ensure the price paid was reasonable and that the services delivered met the government's needs effectively.

Related Government Programs

Computer Systems Design Services
Corporation for National and Community Service Contracting
Corporation for National and Community Service Programs

Risk Flags

Sole-source award lacks competition.
High cost for a short transition period.
Potential for inflated pricing.
Limited transparency in procurement.

Frequently Asked Questions

What is this federal contract paying for?

Corporation for National and Community Service awarded $10.7 million to CGI TECHNOLOGIES AND SOLUTIONS INC.. MOMENTUM FINANCIALS AND PROCUREMENT DESKTOM HOSTING EFFORT- TRANSITION PERIOD 09/16/2005-01/31/2006.

Who is the contractor on this award?

The obligated recipient is CGI TECHNOLOGIES AND SOLUTIONS INC..

Which agency awarded this contract?

Awarding agency: Corporation for National and Community Service (Corporation for National and Community Service).

What is the total obligated amount?

The obligated amount is $10.7 million.

What is the period of performance?

Start: 2005-09-19. End: 2011-03-31.

What was the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award is crucial for understanding the procurement process. Without a competitive bidding process, it's essential to determine if there was a unique capability, an urgent need, or a specific reason why only CGI Technologies could fulfill the requirement. This information is vital for assessing the fairness and efficiency of the spending.

How does the per-unit cost of this desktop hosting service compare to industry benchmarks?

Without specific details on the services provided (e.g., number of users, level of support, included software), a direct per-unit cost comparison is challenging. However, given the $10.7M award for a roughly 4.5-month period, the implied monthly cost is significant. A lack of competition suggests this rate may be higher than market averages for similar services.

What was the overall effectiveness of the desktop hosting services provided by CGI Technologies under this contract?

The effectiveness of the services is not detailed in the provided data. Key performance indicators, user satisfaction, and system uptime would be necessary to assess effectiveness. Given the sole-source nature and the transition period, evaluating whether the service met the Corporation for National and Community Service's needs without competitive alternatives is important.

Industry Classification

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

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

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

Parent Company: CGI Inc (UEI: 248513116)

Address: 11325 RANDOM HILLS RD, FAIRFAX, VA, 11

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

Financial Breakdown

Contract Ceiling: $10,730,510

Exercised Options: $10,730,510

Current Obligation: $10,730,510

Timeline