DOE's $19M IT Contract for RMR Facilities Management Awarded to WESTECH INTERNATIONAL, INC

Contract Overview

Contract Amount: $19,002,988 ($19.0M)

Contractor: Westech International, Inc.

Awarding Agency: Department of Energy

Start Date: 2001-11-06

End Date: 2007-05-05

Contract Duration: 2,006 days

Daily Burn Rate: $9.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: INFORMATION TECHNOLOGY, ADMINISTRATIVE & TECHNICAL SUPPORT SERVICES FOR RMR.

Place of Performance

Location: LOVELAND, LARIMER County, COLORADO, 80539

State: Colorado Government Spending

Plain-Language Summary

Department of Energy obligated $19.0 million to WESTECH INTERNATIONAL, INC. for work described as: INFORMATION TECHNOLOGY, ADMINISTRATIVE & TECHNICAL SUPPORT SERVICES FOR RMR. Key points: 1. Contract value of $19M for IT and administrative support. 2. Awarded via full and open competition, indicating broad market engagement. 3. Risk is moderate due to the Cost Plus Award Fee (CPAF) structure. 4. Sector is Information Technology, specifically Computer Facilities Management Services.

Value Assessment

Rating: good

The contract's Cost Plus Award Fee (CPAF) structure allows for cost reimbursement plus an award based on performance. This can incentivize good performance but may lead to higher costs than fixed-price contracts if not managed carefully.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically yields competitive pricing by allowing all eligible vendors to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Ensures continuity of essential IT and administrative support services for the Department of Energy's RMR operations. The use of CPAF aims to balance cost control with performance incentives for the contractor. The contract duration spans over five years, providing stability for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically focusing on computer facilities management. Spending benchmarks for similar IT support services can vary widely based on scope and complexity, but this $19M award over five years suggests a significant operational requirement.

Small Business Impact

The contract was awarded via full and open competition and the data indicates the awardee (WESTECH INTERNATIONAL, INC.) is not a small business. There is no specific indication of small business subcontracting goals or participation in the provided data.

Oversight & Accountability

The Cost Plus Award Fee (CPAF) structure implies performance metrics and oversight are in place to determine award fees. Further review of contract performance reports and audits would be necessary to assess the effectiveness of oversight.

Related Government Programs

Risk Flags

Tags

computer-facilities-management-services, department-of-energy, co, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $19.0 million to WESTECH INTERNATIONAL, INC.. INFORMATION TECHNOLOGY, ADMINISTRATIVE & TECHNICAL SUPPORT SERVICES FOR RMR.

Who is the contractor on this award?

The obligated recipient is WESTECH INTERNATIONAL, INC..

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $19.0 million.

What is the period of performance?

Start: 2001-11-06. End: 2007-05-05.

What specific IT and administrative support functions are included under 'RMR' and how do they align with DOE's mission objectives?

The provided data specifies 'Administrative & Technical Support Services for RMR' under the Information Technology sector (NAICS 541513). RMR likely refers to a specific facility or operational area within the Department of Energy. These services typically encompass IT infrastructure management, help desk support, network administration, and potentially cybersecurity measures crucial for maintaining the operational integrity and security of DOE's RMR-related functions.

How effectively did the Cost Plus Award Fee (CPAF) structure incentivize performance and manage costs for WESTECH INTERNATIONAL, INC.?

The effectiveness of the CPAF structure hinges on clearly defined performance metrics and objective evaluation criteria. While CPAF aims to balance cost control with performance, it carries inherent risks of cost escalation if not rigorously overseen. Assessing its success would require examining performance reviews, award fee determinations, and comparing the final cost against initial estimates and industry benchmarks for similar services.

What was the competitive landscape for this contract, and did full and open competition result in optimal value for the taxpayer?

Awarding the contract through 'full and open competition' suggests that multiple vendors had the opportunity to bid, fostering a competitive environment. This process is generally expected to yield favorable pricing and service terms for the government. Analyzing the number of bids received and the final negotiated price against independent cost estimates would provide a clearer picture of the value achieved for taxpayers.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Facilities Management Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation ID: DERP6501WJ02069

Offers Received: 6

Pricing Type: COST PLUS AWARD FEE (R)

Contractor Details

Address: 2500 LA BLVD NE STE 325, ALBUQUERQUE, NM, 01

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $26,197,702

Exercised Options: $26,197,702

Current Obligation: $19,002,988

Timeline

Start Date: 2001-11-06

Current End Date: 2007-05-05

Potential End Date: 2007-05-05 00:00:00

Last Modified: 2013-01-09

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