DOE's $44M IMANAGE Software Support Contract Awarded to AppSential LLC Under ARRA
Contract Overview
Contract Amount: $44,153,268 ($44.2M)
Contractor: Appsential LLC
Awarding Agency: Department of Energy
Start Date: 2009-09-15
End Date: 2014-04-26
Contract Duration: 1,684 days
Daily Burn Rate: $26.2K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: TAS::89 0338::TAS RECOVERY ACT FUNDS. SUPPORT SERVICES FOR DEPARTMENT OF ENERGY IMANAGE SOFTWARE, ITS CORE FINANCIAL/BUDGETING SYSTEM. SUPPORT INCLUDES APPLICATION OPERATIONS, ADMINISTRATION & MAINTENANCE SUPPORT FOR ALL IMANAGE MODULES. ARRA::YES::ARRA
Place of Performance
Location: GERMANTOWN, MONTGOMERY County, MARYLAND, 20874
State: Maryland Government Spending
Plain-Language Summary
Department of Energy obligated $44.2 million to APPSENTIAL LLC for work described as: TAS::89 0338::TAS RECOVERY ACT FUNDS. SUPPORT SERVICES FOR DEPARTMENT OF ENERGY IMANAGE SOFTWARE, ITS CORE FINANCIAL/BUDGETING SYSTEM. SUPPORT INCLUDES APPLICATION OPERATIONS, ADMINISTRATION & MAINTENANCE SUPPORT FOR ALL IMANAGE MODULES. ARRA::YES::ARRA Key points: 1. Contract supports critical financial and budgeting software for the Department of Energy. 2. Awarded under the American Recovery and Reinvestment Act (ARRA), indicating stimulus-related spending. 3. AppSential LLC is the sole awardee, raising questions about competition. 4. The sector is IT services, specifically 'Other Computer Related Services'.
Value Assessment
Rating: fair
The contract value of $44.15M over approximately 4.6 years is substantial. Benchmarking against similar IT support contracts is difficult without more specific service details, but the Time and Materials pricing model can lead to cost overruns if not managed tightly.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
Described as a 'Competitive Delivery Order,' but the data indicates only one awardee (AppSential LLC). This suggests the competition may have been limited, potentially within a pre-existing contract vehicle or a specific set of bidders, impacting price discovery.
Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure support, with potential for inefficiency if competition was indeed limited and oversight was not robust.
Public Impact
Ensures continuity of critical financial and budgeting operations for the Department of Energy. ARRA funding implies a focus on economic stimulus and job creation alongside project goals. Potential for increased IT costs if the limited competition led to suboptimal pricing. Long contract duration (over 4 years) suggests a need for stable, ongoing support.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Time and Materials pricing
- Lack of specific performance metrics in provided data
Positive Signals
- Supports critical government function
- ARRA funding for economic stimulus
Sector Analysis
This contract falls within the IT services sector, specifically focusing on software operations, administration, and maintenance. Government spending on IT support services is consistently high, with benchmarks varying widely based on system complexity and criticality.
Small Business Impact
The data indicates the awardee is AppSential LLC, and the 'sb' (small business) flag is false. Therefore, this contract did not directly benefit small businesses through this specific award.
Oversight & Accountability
The contract was awarded by the Department of Energy to AppSential LLC. Oversight would involve monitoring performance, adherence to the Time and Materials contract, and ensuring the software system remains operational and secure.
Related Government Programs
- Other Computer Related Services
- Department of Energy Contracting
- Department of Energy Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Limited competition may have resulted in suboptimal pricing.
- Lack of transparency regarding the specific competitive process.
- Dependence on a single vendor for critical financial system support.
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 $44.2 million to APPSENTIAL LLC. TAS::89 0338::TAS RECOVERY ACT FUNDS. SUPPORT SERVICES FOR DEPARTMENT OF ENERGY IMANAGE SOFTWARE, ITS CORE FINANCIAL/BUDGETING SYSTEM. SUPPORT INCLUDES APPLICATION OPERATIONS, ADMINISTRATION & MAINTENANCE SUPPORT FOR ALL IMANAGE MODULES. ARRA::YES::ARRA
Who is the contractor on this award?
The obligated recipient is APPSENTIAL LLC.
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $44.2 million.
What is the period of performance?
Start: 2009-09-15. End: 2014-04-26.
What was the specific competitive process for this delivery order, and why was it considered 'limited'?
The designation 'limited' suggests that the competition for this specific delivery order was not fully open to all potential contractors. This could be due to its placement on a specific contract vehicle with a restricted pool of vendors, or a pre-qualification process that narrowed the field. Understanding the exact parameters of the competition is crucial to assessing whether fair market prices were achieved.
How effectively was the Time and Materials pricing model managed to control costs for this significant IT support contract?
Time and Materials (T&M) contracts can be susceptible to cost overruns if not rigorously managed. Effective oversight would involve detailed tracking of labor hours and material costs, comparing them against estimates and benchmarks, and ensuring that the contractor's efforts are efficient and necessary. Without specific cost performance data or audit reports, it's difficult to definitively assess the cost control effectiveness.
What is the long-term value and strategic importance of the IMANAGE software system to the Department of Energy's operations?
The IMANAGE system serves as the core financial and budgeting platform for the Department of Energy. Its reliable operation is fundamental to the agency's ability to manage its finances, allocate resources, and comply with federal budgeting requirements. Continued support ensures the stability and functionality of these critical administrative processes, underpinning the agency's overall mission effectiveness.
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: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 3673 BYRON CT, FREDERICK, MD, 06
Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business
Financial Breakdown
Contract Ceiling: $63,806,520
Exercised Options: $63,806,520
Current Obligation: $44,153,268
Parent Contract
Parent Award PIID: GS35F0175U
IDV Type: FSS
Timeline
Start Date: 2009-09-15
Current End Date: 2014-04-26
Potential End Date: 2014-04-26 00:00:00
Last Modified: 2014-05-12
More Contracts from Appsential LLC
- Portfolio Analysis and Management System (pams) — $26.0M (Department of Energy)
Other Department of Energy Contracts
- Federal Contract — $48.1B (Lockheed Martin Corp)
- ,Ct::igf Contract Award De-Na0003525 to the National Technology&engineering Solutions of Sandia, LLC (ntess) for the Management and Operation of the Department of Energy, National Nuclear Security Administration's Sandia National Laboratories (SNL) — $41.7B (National Technology & Engineering Solutions of Sandia, LLC)
- Management and Operation of the OAK Ridge National Laboratory — $40.8B (Ut-Battelle LLC)
- TAS::89 0240::TAS This Performance-Based Management Contract (pbmc) IS for the Management and Operation of the Lawrence Livermore National Laboratory (llnl). the Contractor Shall, in Accordance With the Provisions of This Contract, Accomplish the Missions and Programs Assigned by the U.S. Department of Energy (DOE) and Manage and Operate the Laboratory. the Laboratory IS ONE of Does Office of Defense Program Multi-Program Laboratories. the Laboratory IS a Federally Funded Research and Development Institution (established in Accordance With the Federal Acquisition Regulation (FAR) Part 35 and Operated Under This Management and Operating (M&O) Contract, AS Defined in FAR 17.6 and Dear 917.6 — $40.8B (Lawrence Livermore National Security, LLC)
- M&O of Lanl BR of U of CA — $35.3B (Regents of the University of California, the)