DoD Awards $30M for Unified Communications & Digital Experience Monitoring to GZO, INC

Contract Overview

Contract Amount: $30,000,000 ($30.0M)

Contractor: GZO, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-04-24

End Date: 2025-12-31

Contract Duration: 616 days

Daily Burn Rate: $48.7K/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SAF/CN UNIFIED COMMUNICATIONS AND DIGITAL EXPERIENCE MONITORING SOLUTION OFF OF COMMERCIAL SOLUTIONS OPENING

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20330

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $30.0 million to GZO, INC. for work described as: SAF/CN UNIFIED COMMUNICATIONS AND DIGITAL EXPERIENCE MONITORING SOLUTION OFF OF COMMERCIAL SOLUTIONS OPENING Key points: 1. Contract awarded to GZO, INC. for $30M. 2. Service category: All Other Professional, Scientific, and Technical Services. 3. Contract duration is 616 days. 4. Awarded by the Department of the Air Force. 5. No small business participation noted.

Value Assessment

Rating: fair

The $30 million contract for unified communications and digital experience monitoring is a significant investment. Without specific benchmarks for similar, complex IT monitoring solutions, assessing its value is challenging. The firm fixed-price structure provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not competed under SAP, indicating a limited competition approach. The specific justification for this limited competition is not detailed, which could impact price discovery and potentially lead to higher costs for the government.

Taxpayer Impact: The $30 million expenditure represents taxpayer funds allocated to enhance digital communication and monitoring capabilities within the Department of the Air Force.

Public Impact

Enhances critical communication infrastructure for the Air Force. Supports digital experience monitoring, crucial for operational efficiency. Potential for improved cybersecurity through better network visibility. Impacts personnel relying on these communication systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition raises concerns about best value.
  • Lack of small business participation.
  • Unclear justification for sole-source or limited competition.

Positive Signals

  • Firm fixed-price contract provides cost predictability.
  • Addresses a critical need for unified communications.
  • Modernizes digital experience monitoring capabilities.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically related to IT infrastructure and monitoring. Spending in this sector is consistently high as agencies modernize and secure their digital environments. Benchmarks for similar large-scale IT monitoring solutions are often proprietary or vary widely based on scope.

Small Business Impact

The contract data indicates no small business participation (sb: false). This suggests that opportunities for small businesses to contribute to this significant IT contract were either not pursued or not available under the awarded procurement method.

Oversight & Accountability

The limited competition approach warrants scrutiny to ensure proper justification and adherence to procurement regulations. Oversight should focus on whether the chosen vendor, GZO, INC., truly represents the best value and if alternative competitive strategies could have been employed.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Limited competition
  • No small business participation
  • Lack of justification for procurement method
  • Potential for inflated pricing
  • Risk of vendor lock-in

Tags

all-other-professional-scientific-and-te, department-of-defense, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.0 million to GZO, INC.. SAF/CN UNIFIED COMMUNICATIONS AND DIGITAL EXPERIENCE MONITORING SOLUTION OFF OF COMMERCIAL SOLUTIONS OPENING

Who is the contractor on this award?

The obligated recipient is GZO, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $30.0 million.

What is the period of performance?

Start: 2024-04-24. End: 2025-12-31.

What was the specific justification for not competing this contract under SAP, and how does it ensure best value for the government?

The justification for not competing under SAP is not provided in the data. Typically, agencies use exceptions like Commercial Solutions Opening (CSO) or specific justifications for limited competition when standard SAP procedures are not suitable. Ensuring best value requires a thorough review of the chosen vendor's qualifications, proposed solution, and pricing against market alternatives, even if not through a full and open competition.

What are the potential risks associated with awarding a $30M contract with limited competition in the IT sector?

Awarding a large IT contract with limited competition carries risks such as potentially higher costs due to reduced market pressure, limited innovation from a lack of diverse vendor input, and the possibility of vendor lock-in. It also raises concerns about whether the government secured the most effective and cost-efficient solution available in the market.

How will the effectiveness of the Unified Communications and Digital Experience Monitoring Solution be measured and ensured?

Effectiveness will likely be measured through performance metrics defined in the contract's statement of work, such as system uptime, response times, user satisfaction surveys, and the successful identification and resolution of technical issues. The Department of the Air Force will need to establish clear key performance indicators (KPIs) and conduct regular reviews to ensure GZO, INC. meets these requirements.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 114 CHAMPIONS BND, SAN ANTONIO, TX, 78258

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $30,000,000

Exercised Options: $30,000,000

Current Obligation: $30,000,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: FA701422D0019

IDV Type: IDC

Timeline

Start Date: 2024-04-24

Current End Date: 2025-12-31

Potential End Date: 2025-12-31 00:00:00

Last Modified: 2025-03-19

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