DoD's $21.4M contract for Application Database Server Support awarded to DNI Emerging Technologies, LLC
Contract Overview
Contract Amount: $21,388,167 ($21.4M)
Contractor: DNI Emerging Technologies, LLC
Awarding Agency: Department of Defense
Start Date: 2023-11-01
End Date: 2026-10-31
Contract Duration: 1,095 days
Daily Burn Rate: $19.5K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: APPLICATION DATABASE SERVER SUPPORT
Place of Performance
Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73145
State: Oklahoma Government Spending
Plain-Language Summary
Department of Defense obligated $21.4 million to DNI EMERGING TECHNOLOGIES, LLC for work described as: APPLICATION DATABASE SERVER SUPPORT Key points: 1. Contract Value: $21.4 million over 3 years. 2. Competition: Awarded as 'Not Competed', raising questions about price discovery. 3. Risk: Lack of competition may lead to inflated costs. 4. Sector: Information Technology (Custom Computer Programming Services).
Value Assessment
Rating: questionable
The contract value of $21.4 million for database server support over three years appears high without competitive benchmarking. The lack of competition makes it difficult to assess if the pricing is reasonable compared to similar services in the market.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded using a sole-source (Not Competed) method. This approach limits price discovery and potentially leads to higher costs for taxpayers as there was no opportunity for multiple vendors to bid and offer competitive pricing.
Taxpayer Impact: The absence of competition suggests taxpayers may be paying a premium for these database server support services.
Public Impact
Military branches rely on robust database systems for operations; disruptions can impact readiness. Custom programming services are critical for maintaining and updating specialized military software. Sole-source contracts can reduce the pool of available vendors for future needs. Transparency in contracting is vital for public trust in defense spending.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competitive pricing
- Potential for cost overruns
Positive Signals
- Definitive contract provides a clear framework
- Firm Fixed Price contract limits cost uncertainty for the government
Sector Analysis
This contract falls under Custom Computer Programming Services, a key segment within the broader IT sector. Spending in this area is substantial across government agencies, with benchmarks varying widely based on complexity and support levels.
Small Business Impact
The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or had the capability to perform this specialized service.
Oversight & Accountability
The 'Not Competed' status warrants further oversight to ensure the justification for sole-source procurement was valid and that the pricing is fair and reasonable. Accountability for taxpayer funds is paramount.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award limits competition.
- Potential for inflated pricing due to lack of bids.
- Limited transparency in the initial award process.
- No small business participation noted.
Tags
custom-computer-programming-services, department-of-defense, ok, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.4 million to DNI EMERGING TECHNOLOGIES, LLC. APPLICATION DATABASE SERVER SUPPORT
Who is the contractor on this award?
The obligated recipient is DNI EMERGING TECHNOLOGIES, LLC.
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 $21.4 million.
What is the period of performance?
Start: 2023-11-01. End: 2026-10-31.
What specific technical requirements justified a sole-source award for this database server support, and were alternatives explored?
The justification for a sole-source award typically stems from unique capabilities, urgent needs, or the unavailability of other qualified sources. For this contract, the Department of Defense would need to provide documentation detailing the specific technical requirements that only DNI Emerging Technologies, LLC could meet. Exploring alternatives, even if ultimately deemed unsuitable, is a standard part of the procurement process to ensure fair competition and taxpayer value.
How does the $21.4 million contract value compare to industry benchmarks for similar database server support services, especially given the lack of competition?
Without competitive bids, it's challenging to establish a precise benchmark. However, industry standards for database server support vary based on the complexity of the database, the level of support required (e.g., 24/7), and the specific technologies involved. A comparison would involve analyzing contracts for similar services awarded competitively, looking at per-unit costs for support hours, software licenses, and maintenance.
What mechanisms are in place to ensure the effectiveness and quality of the database server support provided by DNI Emerging Technologies, LLC under this sole-source contract?
Effectiveness and quality are typically ensured through performance metrics, service level agreements (SLAs), and regular government oversight. The contract likely includes specific deliverables and performance standards that the vendor must meet. The Department of the Air Force would be responsible for monitoring the vendor's performance, conducting quality assurance checks, and addressing any deficiencies to ensure the database systems remain operational and secure.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - COMPUTE
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2000 N CLASSEN BLVD STE 1650, OKLAHOMA CITY, OK, 73106
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $57,361,272
Exercised Options: $23,121,228
Current Obligation: $21,388,167
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2023-11-01
Current End Date: 2026-10-31
Potential End Date: 2030-10-31 00:00:00
Last Modified: 2025-12-15
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