Labor Dept. Spends $24.9M on IT Services via BPA Call, Full & Open Competition

Contract Overview

Contract Amount: $24,880,091 ($24.9M)

Contractor: Sabre Systems, LLC

Awarding Agency: Department of Labor

Start Date: 2015-06-01

End Date: 2020-09-18

Contract Duration: 1,936 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: LABOR HOURS

Sector: IT

Official Description: IGF::CL::IGF - TASK ORDER 2

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

Department of Labor obligated $24.9 million to SABRE SYSTEMS, LLC for work described as: IGF::CL::IGF - TASK ORDER 2 Key points: 1. Significant IT spending by the Department of Labor highlights reliance on external software and computer stores. 2. Full and open competition was utilized, suggesting a robust price discovery process. 3. The contract duration of nearly 5 years indicates a long-term need for these services. 4. The BPA Call award mechanism is efficient but requires careful monitoring for scope creep.

Value Assessment

Rating: fair

The total award amount of $24.9M over approximately 5 years averages to $4.98M annually. Without specific unit cost data or detailed service breakdowns, it's difficult to definitively benchmark against similar contracts. However, the duration and scope suggest a substantial investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which generally leads to competitive pricing and a wider range of potential vendors. The BPA Call mechanism allows for task orders against a pre-established agreement, streamlining the procurement process while still leveraging competition.

Taxpayer Impact: Full and open competition aims to secure the best value for taxpayers by encouraging multiple bids and driving down prices through market forces.

Public Impact

Employees within the Department of Labor likely received updated software, hardware, or related IT support services. The use of a BPA Call suggests a need for flexible and rapid acquisition of IT goods and services. This spending contributes to the broader IT services market, supporting vendors like SABRE SYSTEMS, LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific per-unit cost data makes detailed value assessment challenging.
Potential for vendor lock-in if not managed carefully post-award.
Scope creep risk inherent in long-term IT service contracts.

Positive Signals

Awarded under full and open competition.
Utilized an efficient BPA Call mechanism.
Long-term contract indicates sustained operational needs.

Sector Analysis

The Department of Labor's significant investment in computer and software stores falls under the broader IT services sector. Annual spending in this sector can vary widely based on agency needs, but this $24.9M award represents a notable commitment for a single contract vehicle.

Small Business Impact

The data indicates that SABRE SYSTEMS, LLC, received the award. There is no explicit information provided regarding small business participation or subcontracting goals within this specific task order. Further investigation would be needed to determine the extent of small business involvement.

Oversight & Accountability

The contract was awarded under a BPA Call, which is a type of task order. Oversight would involve monitoring the performance of SABRE SYSTEMS, LLC against the terms of the task order and the underlying BPA, ensuring deliverables are met and costs remain within budget.

Related Government Programs

Computer and Software Stores
Department of Labor Contracting
Office of the Assistant Secretary for Administration and Management Programs

Risk Flags

Lack of detailed cost breakdown.
Potential for scope creep over the contract duration.
No explicit mention of small business participation.
Long contract duration may lead to technology obsolescence if not managed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $24.9 million to SABRE SYSTEMS, LLC. IGF::CL::IGF - TASK ORDER 2

Who is the contractor on this award?

The obligated recipient is SABRE SYSTEMS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $24.9 million.

What is the period of performance?

Start: 2015-06-01. End: 2020-09-18.

What specific computer hardware and software were procured under this task order, and how do their prices compare to market rates?

The provided data lacks the granular detail to identify specific hardware or software. To assess value, a breakdown of procured items and their corresponding prices would be necessary. Benchmarking these against industry standards and competitor pricing would reveal if the $24.9M expenditure represents fair market value for the IT assets and services acquired.

What were the primary risks associated with this contract, and how were they mitigated?

Key risks could include vendor performance issues, cost overruns due to undefined requirements, or obsolescence of technology. Mitigation strategies likely involved clear performance metrics in the task order, regular progress reviews, and potentially incorporating clauses for technology refresh or service level adjustments.

How effectively did the full and open competition process ensure the best value for the Department of Labor?

The full and open competition suggests a strong foundation for achieving best value by allowing multiple vendors to bid. The effectiveness hinges on the clarity of the solicitation, the evaluation criteria used, and the responsiveness of the market. Without bid data, it's presumed the process yielded competitive offers.

Industry Classification

NAICS: Retail Trade › Electronics and Appliance Stores › Computer and Software Stores

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 65 W STREET RD STE A200, WARMINSTER, PA, 18974

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,367,469

Exercised Options: $25,367,469

Current Obligation: $24,880,091

Actual Outlays: $6,602,966

Parent Contract

Parent Award PIID: DOLBLS14A0002

IDV Type: BPA

Timeline