DoD's $122.5M Software Contract Awarded to Softmart Government Services

Contract Overview

Contract Amount: $122,471,699 ($122.5M)

Contractor: Softmart Government Services, Inc

Awarding Agency: Department of Defense

Start Date: 2005-09-20

End Date: 2009-05-30

Contract Duration: 1,348 days

Daily Burn Rate: $90.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200512!501738!2100!W91QUZ!ACA, ITEC4 !N0010402AZE84 !A!N! !N!D002 !01 !20050920!20051120!073366119!073366119!073366119!N!SOFTMART GOVERNMENT SERVICES, !450 ACORN LN !DOWNINGTOWN !PA!19335!19752!029!42!DOWNINGTOWN !CHESTER !PENN !+000000712409!N!N!000000000000!7030!ADP SOFTWARE !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !423430!E! !7! ! !C! ! !20200930!C!A!N!N!Z!A!U!J!2!009! ! !Z!N!Z! ! !Y!B!N!N! ! !Z! !A!A!000!A!B!N! ! ! ! !2100! !0001! !

Place of Performance

Location: DOWNINGTOWN, CHESTER County, PENNSYLVANIA, 19335

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $122.5 million to SOFTMART GOVERNMENT SERVICES, INC for work described as: 200512!501738!2100!W91QUZ!ACA, ITEC4 !N0010402AZE84 !A!N! !N!D002 !01 !20050920!20051120!073366119!073366119!073366119!N!SOFTMART GOVERNMENT SERVICES, !450 ACORN LN !DOWNINGTOWN !PA!19335!19752!029!42!DOWNINGTOWN !CHES… Key points: 1. The Department of Defense awarded a $122.5 million contract for ADP Software. 2. Softmart Government Services, Inc. secured the contract through full and open competition. 3. The contract duration is 1348 days, ending in May 2009. 4. This spending falls under the Software Publishers sector. 5. The contract was awarded as a Delivery Order under a larger agreement.

Value Assessment

Rating: fair

The contract value of $122.5 million for ADP software over approximately 3.7 years suggests a significant investment. Benchmarking against similar large-scale software procurements would be necessary to definitively assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method is generally expected to yield fair market prices.

Taxpayer Impact: The substantial value of this contract means taxpayers are funding a significant software acquisition, with the expectation of receiving value for money through the competitive process.

Public Impact

Taxpayers are funding a large software acquisition for the Department of Defense. The contract supports the operational needs of the Department of the Army. The duration of the contract suggests a long-term need for the software solution. The award to Softmart Government Services, Inc. impacts the government contracting landscape.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration and value may warrant scrutiny for potential cost overruns or scope creep.
Lack of specific details on the software's function makes it difficult to assess true value.
The contract was awarded in 2005, and its current relevance and effectiveness are unknown.

Positive Signals

Awarded through full and open competition, suggesting a competitive pricing environment.
The contract is for ADP software, a common and essential IT requirement.
The award was a delivery order, implying it's part of a pre-existing framework.

Sector Analysis

The contract falls under the Software Publishers sector (NAICS 511210). Spending in this sector is crucial for government IT infrastructure and operations. Benchmarks for similar software procurements would provide context for this $122.5 million award.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Therefore, there is no direct small business impact from this specific award.

Oversight & Accountability

As a delivery order under a larger agreement, oversight may be embedded within the parent contract's framework. However, the specific oversight mechanisms for this $122.5 million award require further investigation.

Related Government Programs

Software Publishers
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Significant contract value ($122.5M) warrants detailed scrutiny.
Contract awarded over 15 years ago; current relevance and effectiveness are unknown.
Lack of specific software details hinders value assessment.
No indication of small business participation.
Potential for cost overruns or scope creep in long-term software contracts.
Oversight mechanisms for this specific award are not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $122.5 million to SOFTMART GOVERNMENT SERVICES, INC. 200512!501738!2100!W91QUZ!ACA, ITEC4 !N0010402AZE84 !A!N! !N!D002 !01 !20050920!20051120!073366119!073366119!073366119!N!SOFTMART GOVERNMENT SERVICES, !450 ACORN LN !DOWNINGTOWN !PA!19335!19752!029!42!DOWNINGTOWN !CHESTER !PENN !+000000712409!N!N!000000000000!7030!ADP SOFTWARE !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !423430!E! !7! ! !C! ! !202

Who is the contractor on this award?

The obligated recipient is SOFTMART GOVERNMENT SERVICES, INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $122.5 million.

What is the period of performance?

Start: 2005-09-20. End: 2009-05-30.

What specific ADP software was procured, and how does its functionality align with the Department of the Army's mission requirements?

The provided data identifies the product as 'ADP SOFTWARE' under PSC '7030' and NAICS '511210'. However, specific details regarding the software's features, capabilities, and intended use cases are not included. To assess value, a detailed breakdown of the software's functionality and its direct contribution to the Army's operational effectiveness and efficiency would be necessary.

Given the $122.5 million value and 2005 award date, what is the current status and effectiveness of this software solution?

The contract was awarded in 2005 and ended in 2009. Without access to post-award performance reviews, utilization reports, or system audits, it is impossible to determine the software's current effectiveness or if it met its intended objectives. The significant time elapsed since the contract's completion necessitates a review of its long-term impact and whether it was a prudent use of taxpayer funds.

How did the 'full and open competition' process ensure the best possible price and solution for the government?

Full and open competition is designed to maximize the number of potential bidders, thereby fostering a competitive environment that theoretically leads to better pricing and innovative solutions. The effectiveness of this process for this specific contract would depend on the number of bids received, the evaluation criteria used, and the final negotiated price relative to market rates for similar software.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Softmart, Inc. (UEI: 050383223)

Address: 450 ACORN LN, DOWNINGTOWN, PA, 19335

Business Categories: Category Business, Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0010402AZE84

IDV Type: IDC

Timeline