Department of Energy awards $39.9M IT support contract to Energy Enterprise Solutions, LLC

Contract Overview

Contract Amount: $39,888,372 ($39.9M)

Contractor: Energy Enterprise Solutions, LLC

Awarding Agency: Department of Energy

Start Date: 2006-03-23

End Date: 2012-06-30

Contract Duration: 2,291 days

Daily Burn Rate: $17.4K/day

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TASK ORDER T&M FIXED RATE FOR EXCITE II INFORMATION TECHNOLOGY SUPPORT SERVICES.

Place of Performance

Location: GERMANTOWN, MONTGOMERY County, MARYLAND, 20874, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Department of Energy obligated $39.9 million to ENERGY ENTERPRISE SOLUTIONS, LLC for work described as: TASK ORDER T&M FIXED RATE FOR EXCITE II INFORMATION TECHNOLOGY SUPPORT SERVICES. Key points: 1. Contract awarded for IT support services, indicating a need for ongoing technological assistance. 2. The awardee, Energy Enterprise Solutions, LLC, is a single entity for this specific task order. 3. The contract duration spans over six years, suggesting a long-term requirement. 4. The contract type is Time and Materials, which can pose cost control challenges. 5. The NAICS code 541519 covers 'Other Computer Related Services', a broad category.

Value Assessment

Rating: fair

The contract is Time and Materials, which generally offers less price certainty than fixed-price contracts. Without specific benchmarks for 'Other Computer Related Services' in the Department of Energy, it's difficult to definitively assess pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The competition method is not specified, but the award is for a single task order. If this was a sole-source award or competed among a very limited pool, it could impact price discovery and potentially lead to higher costs.

Taxpayer Impact: The total value of $39.9 million over six years represents a significant taxpayer investment in IT support services.

Public Impact

Taxpayers are funding IT support services for the Department of Energy. The long duration of the contract suggests a sustained need for these services. The specific nature of 'Other Computer Related Services' could range from basic IT helpdesk to specialized software development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Time and Materials contract type
  • Long contract duration
  • Lack of specified competition

Positive Signals

  • Addresses a clear need for IT support

Sector Analysis

The IT services sector is a significant area of government spending. Contracts for computer-related services, like this one, are common across many federal agencies. Benchmarks for similar IT support services can vary widely based on scope and complexity.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false, sb: false). Further analysis would be needed to determine if small business set-aside opportunities were missed or if the scope inherently favored larger contractors.

Oversight & Accountability

Oversight of Time and Materials contracts is crucial to ensure costs remain reasonable and align with the services provided. The Department of Energy's internal controls and contract management practices would be key to effective oversight.

Related Government Programs

  • Other Computer Related Services
  • Department of Energy Contracting
  • Department of Energy Programs

Risk Flags

  • Potential for cost overruns due to T&M contract type
  • Lack of transparency regarding competition
  • Long contract duration may not reflect evolving IT needs
  • Broad NAICS code could mask specific service inefficiencies

Tags

other-computer-related-services, department-of-energy, md, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $39.9 million to ENERGY ENTERPRISE SOLUTIONS, LLC. TASK ORDER T&M FIXED RATE FOR EXCITE II INFORMATION TECHNOLOGY SUPPORT SERVICES.

Who is the contractor on this award?

The obligated recipient is ENERGY ENTERPRISE SOLUTIONS, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $39.9 million.

What is the period of performance?

Start: 2006-03-23. End: 2012-06-30.

What specific IT support services were included in this task order, and how do they align with the Department of Energy's mission?

The task order covers 'Other Computer Related Services' under NAICS code 541519. This broad category could encompass a wide range of activities, from network maintenance and cybersecurity to software development and data management. Understanding the precise services is essential to evaluate their necessity and effectiveness in supporting the Department of Energy's operational and strategic goals.

What was the competitive landscape for this task order, and how did it influence the final price?

The provided data does not specify the competition method used for this task order. If it was a sole-source award or competed among a very limited number of vendors, the lack of robust competition may have resulted in a less favorable price for the government. Further investigation into the solicitation process is needed to assess price discovery.

How does the Time and Materials contract structure impact the government's ability to control costs and ensure value for money over the six-year period?

Time and Materials (T&M) contracts offer flexibility but can lead to cost overruns if not managed diligently. The government pays for direct labor hours at specified rates and for the actual cost of materials. Without clear ceilings or robust oversight, the total cost can escalate beyond initial estimates, potentially diminishing the value for taxpayer money.

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

Contractor Details

Address: 656 QUINCE ORCHARD STE 500, GAITHERSBURG, MD, 20878

Business Categories: Black American Owned Business, Category Business, Minority Owned Business, Small Business

Financial Breakdown

Contract Ceiling: $40,057,894

Exercised Options: $40,057,894

Current Obligation: $39,888,372

Parent Contract

Parent Award PIID: DEAM0106IM00054

IDV Type: IDC

Timeline

Start Date: 2006-03-23

Current End Date: 2012-06-30

Potential End Date: 2012-06-30 00:00:00

Last Modified: 2015-06-16

More Contracts from Energy Enterprise Solutions, LLC

View all Energy Enterprise Solutions, LLC federal contracts →

Other Department of Energy Contracts

View all Department of Energy contracts →

Explore Related Government Spending