Transportation awards $16.7M for data comm support to North Star Group LLC, a 3-year contract

Contract Overview

Contract Amount: $16,666,670 ($16.7M)

Contractor: North Star Group LLC

Awarding Agency: Department of Transportation

Start Date: 2009-02-03

End Date: 2012-08-15

Contract Duration: 1,289 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: Other

Official Description: PROVIDES DATA COMM SUPPORT TAS::69 8107::TAS

Place of Performance

Location: BALTIMORE, BALTIMORE (CITY) County, MARYLAND, 21202

State: Maryland Government Spending

Plain-Language Summary

Department of Transportation obligated $16.7 million to NORTH STAR GROUP LLC for work described as: PROVIDES DATA COMM SUPPORT TAS::69 8107::TAS Key points: 1. Contract value appears reasonable for the duration and scope of data communication support services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract duration of over three years indicates a need for sustained support. 4. Services fall under 'Other Management Consulting Services,' a broad category. 5. The award was made by the Federal Aviation Administration, a key agency within the Department of Transportation. 6. Contractor North Star Group LLC has secured this award, indicating past performance or competitive positioning.

Value Assessment

Rating: good

The contract value of approximately $16.7 million over three years averages to about $5.57 million per year. This figure seems within a reasonable range for comprehensive data communication support services, especially considering the specialized nature of such work within a federal agency like the FAA. Benchmarking against similar contracts for IT and communication support services would provide a more precise value-for-money assessment, but the initial figures do not raise immediate red flags.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. This suggests a robust bidding process where multiple companies likely vied for the contract. The presence of multiple bidders generally fosters price discovery and can lead to more competitive pricing for the government.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it maximizes the potential for cost savings through competitive bidding, ensuring that the government receives services at a fair market price.

Public Impact

The Federal Aviation Administration (FAA) is the primary beneficiary, receiving essential data communication support. Services delivered likely include network management, data transmission, and communication infrastructure maintenance. The geographic impact is likely concentrated around FAA facilities and operational centers. Workforce implications may involve specialized IT and communication technicians employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data makes it difficult to assess the quality of services delivered.
The broad category of 'Other Management Consulting Services' could obscure the specific technical nature and complexity of the data communication support.
No information is provided on potential subcontracting, which could impact small business participation.

Positive Signals

Awarded under full and open competition, suggesting a fair and competitive process.
Contract duration of over three years indicates a stable and ongoing need for these services.
The award to North Star Group LLC suggests they possess the capabilities to meet the government's requirements.

Sector Analysis

The contract falls within the broader Information Technology and Telecommunications sector, specifically focusing on data communication support. This sector is critical for government operations, enabling seamless information flow and connectivity. The market for such services is competitive, with numerous firms offering specialized expertise. The value of this contract, while significant, is likely within the typical range for large-scale federal IT and communication service agreements.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting requirements for small businesses mandated by this specific award. The impact on the small business ecosystem would depend on whether North Star Group LLC voluntarily engages small businesses as subcontractors, which is not specified.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Federal Aviation Administration. Accountability measures are usually embedded in the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through contract databases like FPDS, where award details are publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Aviation Administration IT Services
Department of Transportation Communication Contracts
Management and IT Consulting Services
Data Network Infrastructure Support

Risk Flags

Contract duration exceeds three years, increasing exposure to technological changes and market shifts.
Broad NAICS code may obscure the specific technical requirements and associated risks.
Lack of detailed performance metrics in the summary data hinders immediate assessment of service quality.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $16.7 million to NORTH STAR GROUP LLC. PROVIDES DATA COMM SUPPORT TAS::69 8107::TAS

Who is the contractor on this award?

The obligated recipient is NORTH STAR GROUP LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $16.7 million.

What is the period of performance?

Start: 2009-02-03. End: 2012-08-15.

What specific data communication services are encompassed by this contract?

The provided data categorizes this contract under 'Other Management Consulting Services' (nd: 541618) and mentions 'DATA COMM SUPPORT'. While specific details are not elaborated, this typically includes services related to the planning, design, implementation, and maintenance of data communication networks. This could encompass network infrastructure management, ensuring data transmission reliability, cybersecurity measures for communication channels, and potentially support for various communication protocols and technologies used by the FAA. The exact scope would be detailed in the contract's statement of work, which is not publicly available in this dataset.

How does the contract value of $16.7 million compare to similar FAA data communication contracts?

Without access to a comprehensive database of comparable FAA contracts, a precise benchmark is difficult. However, $16.7 million over approximately three years (1289 days) represents an average annual spend of roughly $5.57 million. This figure is substantial and suggests a significant scope of work. For context, major IT and communication infrastructure projects within large federal agencies can range from millions to hundreds of millions of dollars. The 'full and open competition' aspect suggests the government sought competitive bids, implying an effort to secure value for money. Further analysis would require comparing this contract's specifics (services, duration, performance metrics) against other FAA or DOT contracts for similar IT and communication support.

What is North Star Group LLC's track record with federal contracts, particularly within the Department of Transportation?

The provided data indicates North Star Group LLC (co: NORTH STAR GROUP LLC) was awarded this specific contract. To assess their track record, one would need to examine their complete federal contract history. This would involve looking at past awards, performance reviews (if available), and any history of contract modifications or disputes. Their success in securing this 'full and open competition' award suggests they have demonstrated capability and competitiveness. A deeper dive into their past performance on similar contracts, especially within the FAA or DOT, would provide more insight into their reliability and expertise in data communication support.

What are the potential risks associated with a contract of this nature and duration?

Risks associated with a multi-year data communication support contract include technological obsolescence, where the contracted solutions may become outdated before the contract ends. There's also the risk of vendor lock-in, making it difficult to switch providers if performance issues arise. Contractor performance risk is always present, meaning North Star Group LLC might not deliver services to the required standard. Furthermore, changes in FAA's operational needs or budget constraints could impact the contract's scope or funding. Security risks related to data communication are also paramount, requiring robust cybersecurity measures from the contractor.

How has federal spending on 'Other Management Consulting Services' (NAICS 541618) trended, and where does this contract fit?

Federal spending on 'Other Management Consulting Services' (NAICS 541618) is substantial and has generally trended upwards over the years as agencies increasingly outsource specialized advisory and support functions. This category is broad and can include strategic planning, organizational improvement, and IT consulting. This specific $16.7 million contract for data communication support, while falling under this NAICS code, represents a significant investment within a specialized niche. It highlights the government's reliance on external expertise for critical operational functions like maintaining robust data communication infrastructure, rather than purely strategic consulting.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Management Consulting 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

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 600 MARYLAND AVE SW, STE 860E, WASHINGTON, DC, 98

Business Categories: Category Business, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $16,666,670

Exercised Options: $16,666,670

Current Obligation: $16,666,670

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTFAWA09D00002

IDV Type: IDC

Timeline