Commerce awarded HERE NORTH AMERICA LLC $27.4M for surveying and mapping services, with 10 bids received

Contract Overview

Contract Amount: $27,403,072 ($27.4M)

Contractor: Here North America LLC

Awarding Agency: Department of Commerce

Start Date: 2015-10-01

End Date: 2020-08-31

Contract Duration: 1,796 days

Daily Burn Rate: $15.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF FOR OTHER FUNCTIONS

Place of Performance

Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $27.4 million to HERE NORTH AMERICA LLC for work described as: IGF::OT::IGF FOR OTHER FUNCTIONS Key points: 1. The contract value represents a significant investment in geospatial data acquisition. 2. Competition dynamics suggest a healthy market for these specialized services. 3. The firm fixed-price contract type helps mitigate cost overrun risks. 4. Performance duration spans nearly five years, indicating a substantial project. 5. This contract falls within the broader IT and data services sector. 6. The award amount is substantial, requiring careful value-for-money assessment.

Value Assessment

Rating: good

The contract's value of $27.4 million over nearly five years suggests a substantial but potentially reasonable investment for comprehensive surveying and mapping services. Benchmarking against similar large-scale geospatial data contracts is crucial for a definitive value assessment. The firm fixed-price structure provides cost certainty, which is a positive indicator for value realization, assuming the scope of work was well-defined and achievable within the agreed price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, with 10 bids received. This indicates a robust bidding process and suggests that the government sought the best possible solution from a wide range of potential providers. The presence of multiple bidders generally fosters competitive pricing and encourages innovation, leading to better outcomes for the government.

Taxpayer Impact: A competitive bidding process with 10 offers helps ensure taxpayer dollars are used efficiently by driving down prices and improving service quality.

Public Impact

The U.S. Census Bureau benefits from enhanced geospatial data for its operations. Services delivered include critical surveying and mapping activities. The geographic impact is likely nationwide, supporting federal data collection efforts. Workforce implications may include specialized surveyors, mappers, and data analysts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial surveying requirements are not precisely defined.
Dependence on contractor's data accuracy and quality control processes.
Risk of technology obsolescence in surveying and mapping over the contract duration.

Positive Signals

Firm fixed-price contract limits financial risk for the government.
Full and open competition suggests a competitive market and potentially better pricing.
Long-term contract duration allows for sustained data acquisition and analysis.

Sector Analysis

This contract operates within the geospatial services sector, a critical component of the broader IT and data analytics industry. This sector is characterized by specialized technology, skilled labor, and significant investment in data acquisition and processing. The market size for surveying and mapping services is substantial, driven by government needs for infrastructure, land management, and statistical data collection, as well as private sector development.

Small Business Impact

The contract was awarded under full and open competition and does not indicate any specific small business set-aside. While the prime contractor is HERE NORTH AMERICA LLC, there is no explicit information on subcontracting plans for small businesses. Further analysis would be needed to determine if small businesses were involved in the supply chain or if subcontracting opportunities were pursued.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Census Bureau's program management and contracting offices. Accountability measures are inherent in the firm fixed-price contract type, requiring the contractor to deliver specified services within budget. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Geospatial Information System (GIS) Services
National Spatial Data Infrastructure (NSDI)
U.S. Geological Survey (USGS) Mapping Programs
National Oceanic and Atmospheric Administration (NOAA) Data Services

Risk Flags

Potential for data quality issues if not rigorously overseen.
Contract duration may outpace rapid technological advancements in surveying.
Limited visibility into small business subcontracting opportunities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $27.4 million to HERE NORTH AMERICA LLC. IGF::OT::IGF FOR OTHER FUNCTIONS

Who is the contractor on this award?

The obligated recipient is HERE NORTH AMERICA LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Census Bureau).

What is the total obligated amount?

The obligated amount is $27.4 million.

What is the period of performance?

Start: 2015-10-01. End: 2020-08-31.

What is the track record of HERE NORTH AMERICA LLC in performing similar federal surveying and mapping contracts?

HERE NORTH AMERICA LLC, a prominent provider of digital mapping and location intelligence, has a history of working with both government and commercial entities. While specific details on past federal surveying and mapping contracts of this exact nature and scale may require deeper database searches, the company's core business involves extensive geospatial data collection, processing, and delivery. Their experience in developing and maintaining large-scale digital maps and location-based services suggests a strong capability to handle complex federal requirements. It is advisable to review contract performance reports and past performance questionnaires, if available, for a comprehensive understanding of their federal track record and client satisfaction in similar engagements.

How does the awarded amount of $27.4 million compare to other federal contracts for surveying and mapping services?

The $27.4 million award for surveying and mapping services over approximately five years is a significant contract value. To benchmark this, one would compare it to other large-scale geospatial data acquisition and analysis contracts awarded by agencies like the Census Bureau, USGS, or NOAA. Contracts of this magnitude often involve extensive national or regional coverage, advanced technological methodologies, and long-term data maintenance. Smaller, more localized surveying projects typically fall into the hundreds of thousands or low millions. Therefore, this contract appears to be in the upper tier for federal surveying and mapping efforts, suggesting a broad scope and substantial data requirements.

What are the primary risks associated with a firm fixed-price contract for surveying and mapping services?

The primary risk with a firm fixed-price (FFP) contract for surveying and mapping services lies in the potential for the contractor to cut corners on quality or scope to maintain profitability if costs exceed estimates. This is particularly relevant in complex projects where unforeseen ground conditions, data inaccuracies, or technological challenges can arise. For the government, the risk is receiving substandard data or incomplete services if the contractor underperforms. Conversely, if the contractor significantly overestimates costs, the government might pay a premium. Effective government oversight and clearly defined performance standards are crucial to mitigate these risks and ensure the contractor delivers the required quality and scope within the fixed price.

How effective is full and open competition in ensuring value for money for surveying and mapping services?

Full and open competition is generally considered the most effective method for ensuring value for money in federal contracting, including for surveying and mapping services. By allowing all responsible sources to submit bids, the government maximizes the pool of potential offerors, fostering a competitive environment that drives down prices and encourages innovation. The presence of 10 bidders in this specific contract award suggests a healthy competitive landscape. This competition pressures bidders to offer their best pricing and technical solutions to win the contract, thereby increasing the likelihood that the government obtains high-quality services at a fair and reasonable price. Robust evaluation criteria are still necessary to ensure the lowest price doesn't come at the expense of essential quality.

What are the historical spending patterns for surveying and mapping services at the U.S. Census Bureau?

Historical spending patterns for surveying and mapping services at the U.S. Census Bureau are closely tied to its decennial census operations and ongoing demographic surveys. The Bureau relies heavily on accurate geographic and address data to enumerate the population and conduct its surveys. Spending in this area can fluctuate significantly, with peaks during the years leading up to and immediately following a census, when extensive updates to geographic boundaries and mapping databases are required. Beyond census years, the Bureau continues to invest in maintaining and updating its geospatial infrastructure to support its continuous surveys and data products. Analyzing past contract awards for similar services would reveal trends in contract values, durations, and the types of services procured.

What are the implications of awarding a large contract like this to a single vendor for the broader market of surveying and mapping providers?

Awarding a large contract like this $27.4 million deal to a single vendor, HERE NORTH AMERICA LLC, can have several implications for the broader market. On one hand, it signifies a substantial government investment in geospatial capabilities, potentially validating the market's importance. It also means that a significant portion of federal spending in this specific area is concentrated with one provider for the contract's duration. This could limit opportunities for other firms to secure similar large-scale federal work during this period. However, it may also encourage other firms to focus on niche markets, smaller contracts, or different technological approaches to differentiate themselves. The long-term impact depends on the government's future procurement strategies and the overall growth and diversification of the geospatial services sector.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Surveying and Mapping (except Geophysical) Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: CENSUS15-0227

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Here North America LLC (UEI: 491728468)

Address: 425 W RANDOLPH ST FL 7, CHICAGO, IL, 60606

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,403,072

Exercised Options: $27,403,072

Current Obligation: $27,403,072

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline