Commerce Department's $34.2M Patent Data Contract Awarded to Reed Technology for Indexing and Scanning Services

Contract Overview

Contract Amount: $34,202,342 ($34.2M)

Contractor: Reed Technology and Information Services LLC

Awarding Agency: Department of Commerce

Start Date: 2013-11-20

End Date: 2015-01-31

Contract Duration: 437 days

Daily Burn Rate: $78.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PATENT DATA CAPTURE FRONT END PROCESSING - INDEXING&SCANNING

Place of Performance

Location: HORSHAM, MONTGOMERY County, PENNSYLVANIA, 19044, UNITED STATES OF AMERICA

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Commerce obligated $34.2 million to REED TECHNOLOGY AND INFORMATION SERVICES LLC for work described as: PATENT DATA CAPTURE FRONT END PROCESSING - INDEXING&SCANNING Key points: 1. Contract focused on essential patent data processing, including indexing and scanning. 2. Awarded under full and open competition, suggesting a robust market for these services. 3. Fixed-price contract structure aims to control costs and provide predictability. 4. Performance period spanned over a year, indicating a substantial operational scope. 5. The contractor, Reed Technology, has experience in information services. 6. Geographic location of performance was Pennsylvania. 7. The contract was awarded in late 2013, with completion in early 2015.

Value Assessment

Rating: good

The contract's firm fixed-price structure is a positive indicator for value, as it shifts cost risk to the contractor. Benchmarking against similar contracts for patent data processing is challenging without more specific service details. However, the total award amount of $34.2 million over approximately 1.3 years suggests a significant investment in critical data management infrastructure for the USPTO. The absence of reported issues or significant modifications implies the initial pricing was deemed fair and adequate for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors were likely invited to bid. The presence of three bidders, as suggested by the 'no' field, points to a healthy level of competition for these specialized patent data processing services. This competitive environment generally leads to better price discovery and encourages vendors to offer competitive terms and pricing to secure the award.

Taxpayer Impact: Taxpayers likely benefited from competitive pricing due to the full and open competition. The multiple bidders suggest that the government received proposals from various qualified firms, driving down the cost for the essential patent indexing and scanning services.

Public Impact

Benefits the U.S. Patent and Trademark Office (USPTO) by ensuring efficient processing of patent data. Services delivered include indexing and scanning, crucial for patent application management and public access. Geographic impact is primarily within the USPTO's operational framework, supporting national innovation. Workforce implications may include specialized roles in data processing and scanning within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if data formats are proprietary.
Dependence on a single contractor for critical patent data infrastructure.
Risk of data integrity issues if scanning and indexing processes are not rigorously monitored.

Positive Signals

Firm fixed-price contract provides cost certainty.
Full and open competition suggests a competitive market for these services.
Contract awarded to a company with experience in information services.
Clear performance period (2013-2015) allows for focused execution.

Sector Analysis

This contract falls within the broader Information Technology and Professional Services sector, specifically focusing on data management, indexing, and scanning. The market for such services is competitive, with numerous firms offering solutions for digitizing, organizing, and processing large volumes of information. The USPTO's need for these services is driven by the continuous influx of patent applications and the requirement to maintain an accessible and organized database of intellectual property. Comparable spending benchmarks would typically be found within government contracts for document management, digitization, and archival services.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. The award was made to Reed Technology and Information Services LLC, which is likely a larger entity given the contract value. There is no explicit information on subcontracting plans to small businesses. Therefore, the direct impact on the small business ecosystem appears minimal based on the available data, though indirect benefits could arise if the prime contractor engages small businesses for support services.

Oversight & Accountability

Oversight for this contract would have been managed by the U.S. Patent and Trademark Office (USPTO) contracting officers and program managers. Accountability measures are typically embedded in the contract's terms and conditions, including performance standards and payment schedules tied to successful delivery. Transparency is facilitated through contract databases like FPDS, which record award details. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected during the contract's lifecycle.

Related Government Programs

USPTO Patent Application Processing
Government Document Digitization Services
Information Management Systems
Federal Records Archiving

Risk Flags

Potential for data integrity issues
Dependence on contractor expertise
Scope creep risk if not managed tightly

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $34.2 million to REED TECHNOLOGY AND INFORMATION SERVICES LLC. PATENT DATA CAPTURE FRONT END PROCESSING - INDEXING&SCANNING

Who is the contractor on this award?

The obligated recipient is REED TECHNOLOGY AND INFORMATION SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Patent and Trademark Office).

What is the total obligated amount?

The obligated amount is $34.2 million.

What is the period of performance?

Start: 2013-11-20. End: 2015-01-31.

What is the track record of Reed Technology and Information Services LLC in handling government contracts, particularly for data processing?

Reed Technology and Information Services LLC has a history of performing government contracts, including those related to information processing and technology services. While specific details on past performance for USPTO-like contracts require deeper investigation into historical contract databases, their engagement on this $34.2 million award suggests a demonstrated capability. Analyzing their portfolio for similar indexing, scanning, and data management projects would provide further insight into their reliability and expertise. Government contract performance is often evaluated based on factors like on-time delivery, quality of work, and adherence to budget, all of which would be assessed by the awarding agency.

How does the $34.2 million contract value compare to other federal spending on patent data processing and management?

The $34.2 million contract value represents a significant investment by the USPTO in managing its patent data. To benchmark this effectively, one would need to compare it against the total USPTO budget allocated for IT and data management, as well as other contracts awarded for similar services across federal agencies. Contracts for large-scale digitization, indexing, and database management can range widely depending on the volume of data, complexity of the information, and duration of the service. Without specific comparative data points for similar federal patent data processing contracts, it's difficult to definitively state if $34.2 million is high or low, but it indicates a substantial commitment to maintaining and processing intellectual property information.

What were the primary risks associated with this patent data capture and processing contract, and how were they mitigated?

Primary risks for a contract involving patent data capture, indexing, and scanning include data integrity (accuracy of scanned documents and indexed information), security (protecting sensitive patent data), and timely completion. Mitigation strategies likely involved stringent quality control measures, defined performance standards, secure data handling protocols, and clear deliverables outlined in the contract. The firm fixed-price structure also mitigates financial risk for the government by capping costs. The contractor's experience and the competitive bidding process would also serve as risk-reduction factors, selecting a vendor with a proven ability to manage such operations.

How effective was this contract in improving the USPTO's patent data management capabilities?

The effectiveness of this contract in improving USPTO's patent data management capabilities hinges on the successful execution of indexing and scanning services as per the contract's objectives. Given the firm fixed-price nature and the defined performance period (2013-2015), the expectation is that the contractor delivered the agreed-upon services, thereby enhancing the USPTO's digital repository and accessibility of patent information. Post-contract analysis of USPTO's operational efficiency, data accessibility metrics, and user feedback would provide a clearer picture of its long-term effectiveness. The contract's role was to support the USPTO's mission of processing and disseminating patent information.

What are the historical spending patterns for patent data processing services at the Department of Commerce or USPTO?

Historical spending patterns for patent data processing services at the Department of Commerce, specifically the USPTO, would show a consistent need for such services due to the continuous flow of patent applications. Spending likely fluctuates based on technological advancements in scanning and indexing, the volume of applications, and the strategic decisions regarding in-house versus outsourced processing. Analyzing spending over several years would reveal trends in contract values, types of services procured (e.g., digitization, data entry, database management), and the primary contractors utilized. This contract represents a specific investment within a broader, ongoing expenditure on intellectual property management.

Were there any performance issues or contract modifications during the execution of this $34.2 million award?

The provided data snippet does not contain information regarding performance issues or contract modifications for this specific award. Typically, such details would be found in more comprehensive contract reports or agency performance reviews. In the absence of such information, we assume the contract was executed as planned within its original scope and timeline. Significant modifications or performance disputes would usually be documented and could impact the overall value or duration of the contract, but no such indicators are present here.

Industry Classification

NAICS: Information › Newspaper, Periodical, Book, and Directory Publishers › All Other Publishers

Product/Service Code: BOOKS, MAPS, OTHER PUBLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Reed Elsevier Group PLC (UEI: 230792756)

Address: 275 GIBRALTAR RD, HORSHAM, PA, 19044

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $36,834,076

Exercised Options: $34,202,342

Current Obligation: $34,202,342

Parent Contract

Parent Award PIID: DOC50PAPT0410001

IDV Type: IDC

Timeline