HUD Awards $10.2M for Internet Content Support to Drayton, Drayton & Lamar, Inc

Contract Overview

Contract Amount: $10,225,993 ($10.2M)

Contractor: Drayton, Drayton & Lamar, Inc

Awarding Agency: Department of Housing and Urban Development

Start Date: 2003-02-10

End Date: 2007-02-09

Contract Duration: 1,460 days

Daily Burn Rate: $7.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: NEW CONTRACT - INTERNET/INTRANET CONTENT MAINTENANCE AND DEVELOPMENT SUPPORT. FUNDING PROVIDED FOR POP 12 MONTHS FROM DATE OF AWARD.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20410

State: District of Columbia Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $10.2 million to DRAYTON, DRAYTON & LAMAR, INC for work described as: NEW CONTRACT - INTERNET/INTRANET CONTENT MAINTENANCE AND DEVELOPMENT SUPPORT. FUNDING PROVIDED FOR POP 12 MONTHS FROM DATE OF AWARD. Key points: 1. Contract awarded for 12 months of internet/intranet content maintenance and development. 2. Drayton, Drayton & Lamar, Inc. is the sole awardee. 3. The contract duration spans from February 2003 to February 2007. 4. Funding is allocated for a 12-month period from the award date.

Value Assessment

Rating: questionable

The contract value is $10.2 million for 12 months of service. Without comparable contract data or detailed pricing breakdowns, it is difficult to assess if this represents fair market value. The labor hours pricing structure can sometimes lead to cost overruns if not managed tightly.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no competitive pressure to drive down the price. The rationale for sole-sourcing is not provided.

Taxpayer Impact: The lack of competition for a $10.2 million contract raises concerns about potential overspending of taxpayer funds.

Public Impact

Citizens rely on HUD's online presence for essential information and services. Effective website maintenance ensures accessibility and usability for the public. Contract performance directly impacts the public's ability to interact with HUD digitally.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award lacks competition
Potential for cost overruns with labor hours
Long contract duration without clear performance metrics

Positive Signals

Supports essential government digital services
Awarded to a specific company for specialized support

Sector Analysis

This contract falls under custom computer programming services, a sector often involving specialized IT support. Benchmarks for similar content maintenance and development contracts can vary widely based on scope and duration, but a $10.2 million award for 12 months warrants scrutiny for value.

Small Business Impact

The contract was awarded to Drayton, Drayton & Lamar, Inc., and there is no indication that small businesses were involved as subcontractors or partners in this sole-source award. Further analysis would be needed to determine if small business participation was considered or mandated.

Oversight & Accountability

The Department of Housing and Urban Development (HUD) is responsible for overseeing this contract. The lack of competition and the labor-hour pricing model necessitate robust oversight to ensure efficient use of funds and satisfactory performance.

Related Government Programs

Custom Computer Programming Services
Department of Housing and Urban Development Contracting
Department of Housing and Urban Development Programs

Risk Flags

Sole-source award limits competition and price discovery.
Labor-hour pricing can lead to cost overruns if not managed.
Contract duration is lengthy (2003-2007) without clear performance milestones.
Lack of transparency regarding the justification for sole-sourcing.
Potential for taxpayer funds to be used inefficiently due to lack of competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $10.2 million to DRAYTON, DRAYTON & LAMAR, INC. NEW CONTRACT - INTERNET/INTRANET CONTENT MAINTENANCE AND DEVELOPMENT SUPPORT. FUNDING PROVIDED FOR POP 12 MONTHS FROM DATE OF AWARD.

Who is the contractor on this award?

The obligated recipient is DRAYTON, DRAYTON & LAMAR, INC.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $10.2 million.

What is the period of performance?

Start: 2003-02-10. End: 2007-02-09.

What was the justification for awarding this contract on a sole-source basis, and were alternative competitive strategies explored?

The provided data indicates the contract was 'NOT COMPETED,' suggesting a sole-source award. Without further documentation, the specific justification remains unclear. Typically, sole-source awards are made when only one responsible source can provide the required supplies or services. Agencies are expected to document the rationale and explore competitive options where feasible to ensure fair pricing and maximize value for taxpayer dollars.

How does the $10.2 million cost for 12 months of internet content support compare to industry benchmarks for similar services, especially given the sole-source nature of the award?

Benchmarking this $10.2 million contract against industry standards is challenging without detailed scope of work and service level agreements. However, sole-source contracts often carry a premium due to the absence of competitive pressure. If this contract was not competitively bid, it is crucial for HUD to have conducted a thorough price analysis to ensure the cost is reasonable and reflects fair market value for the services rendered.

What mechanisms are in place to ensure effective performance and prevent cost overruns under this labor-hour contract, particularly over its extended duration?

Labor-hour contracts can be susceptible to cost overruns if not closely monitored. Effective oversight requires clear performance metrics, regular progress reviews, and diligent tracking of labor hours and associated costs. HUD must ensure that contract managers are actively engaged in verifying the necessity and efficiency of the labor being expended to achieve the contract's objectives within the allocated budget.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 616 PONDER PLACE, EVANS, GA, 12

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $15,155,733

Exercised Options: $10,253,882

Current Obligation: $10,225,993

Timeline