DoD's $28.3M Dell Hardware Refresh Contract Awarded to Greenbrier Government Solutions

Contract Overview

Contract Amount: $28,278,649 ($28.3M)

Contractor: Greenbrier Government Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2023-08-31

End Date: 2024-01-04

Contract Duration: 126 days

Daily Burn Rate: $224.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OA TECH REFRESH DELL HARDWARE

Place of Performance

Location: OCEANA, WYOMING County, WEST VIRGINIA, 24870

State: West Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $28.3 million to GREENBRIER GOVERNMENT SOLUTIONS INC for work described as: OA TECH REFRESH DELL HARDWARE Key points: 1. Contract focuses on essential IT hardware upgrades for the Air Force. 2. Competition was robust, suggesting potential for competitive pricing. 3. Fixed-price contract type mitigates cost overrun risks. 4. Short performance period indicates a focused, tactical deployment. 5. Geographic concentration in West Virginia for delivery. 6. No small business set-aside, raising questions about broader economic impact.

Value Assessment

Rating: good

The contract value of $28.3 million for Dell hardware appears reasonable given the scope of an IT refresh. Benchmarking against similar large-scale hardware procurements for federal agencies suggests this price falls within expected ranges. The firm-fixed-price structure provides cost certainty, which is a positive indicator of value management. However, without specific details on the exact hardware configurations and quantities, a precise value-for-money assessment is limited.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all eligible responsible sources were permitted to submit offers. The presence of 3 bids suggests a moderate level of competition for this specific requirement. While more than one bidder is positive, a higher number of bids typically leads to more aggressive pricing and better price discovery for the government.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation from multiple vendors.

Public Impact

The primary beneficiaries are the Department of the Air Force personnel who will receive updated computing equipment. Services delivered include the provision of Dell hardware, likely laptops, desktops, or related components. The geographic impact is concentrated in West Virginia, where the hardware will be delivered. Workforce implications are minimal, as this is a hardware procurement rather than a service contract requiring significant labor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the broader IT hardware procurement sector, specifically focusing on computer manufacturing and sales. The market for federal IT hardware is substantial, with agencies regularly refreshing equipment to maintain operational efficiency and security. This $28.3 million award is a significant but not extraordinary sum within the context of annual federal IT spending, which often runs into billions across various agencies and hardware types.

Small Business Impact

The contract data indicates that this procurement was not set aside for small businesses, and there is no indication of small business subcontracting requirements. This means that larger, established vendors were likely the primary participants. The absence of small business involvement in this specific award may limit opportunities for smaller IT solution providers to participate in this particular contract, potentially impacting the broader small business IT ecosystem.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. As a firm-fixed-price contract, oversight will focus on ensuring delivery of the specified hardware according to the contract terms. The Department of Defense's Inspector General may conduct audits or investigations if any irregularities are suspected. Transparency is facilitated by the contract award notice, but detailed specifications and pricing breakdowns are typically not publicly disclosed.

Related Government Programs

Risk Flags

Tags

it-hardware, dell, department-of-defense, department-of-the-air-force, delivery-order, firm-fixed-price, full-and-open-competition, west-virginia, computer-manufacturing, it-refresh

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.3 million to GREENBRIER GOVERNMENT SOLUTIONS INC. OA TECH REFRESH DELL HARDWARE

Who is the contractor on this award?

The obligated recipient is GREENBRIER GOVERNMENT SOLUTIONS 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 $28.3 million.

What is the period of performance?

Start: 2023-08-31. End: 2024-01-04.

What is the specific type and quantity of Dell hardware being procured under this contract?

The provided data does not specify the exact models or quantities of Dell hardware. It is identified under NAICS code 334111 (Electronic Computer Manufacturing), suggesting it includes computers. However, without access to the contract's detailed statement of work or line item details, it's impossible to determine if this includes laptops, desktops, servers, or other peripherals. This lack of specificity limits a granular assessment of unit costs and overall value.

How does the awarded price compare to similar IT hardware refresh contracts for the Air Force or DoD?

Benchmarking this $28.3 million contract requires comparing it to similar-sized hardware refresh awards for the Air Force or broader DoD. Given the firm-fixed-price nature and full and open competition, the price is presumed to be competitive. However, without knowing the exact specifications (e.g., processor, RAM, storage, screen size for laptops), a direct comparison is difficult. Generally, large-scale hardware procurements are subject to significant volume discounts, and this price point suggests a substantial quantity of equipment, likely falling within the expected range for such a refresh.

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

The primary risks include potential for outdated technology if the procurement process is lengthy, or delivery delays. However, the firm-fixed-price structure mitigates financial risks for the government, as the price is set regardless of contractor costs. The short performance duration (126 days) also reduces the risk of technology obsolescence during the contract period. Delivery Order (AW) suggests it might be part of a larger IDIQ, which could introduce some administrative complexity but is standard practice.

What is the track record of Greenbrier Government Solutions Inc. in fulfilling similar federal IT hardware contracts?

Information on Greenbrier Government Solutions Inc.'s specific track record with similar Dell hardware refresh contracts for the Air Force is not detailed in the provided data. As a government solutions provider, they likely have experience delivering IT equipment. However, assessing their past performance on comparable contracts would require reviewing their contract history, past performance evaluations (if available), and their financial stability. Without this, it's difficult to definitively gauge their reliability for this specific task.

What is the historical spending pattern for IT hardware refreshes within the Department of the Air Force?

The Department of the Air Force, like other branches of the DoD, engages in regular IT hardware refreshes due to the rapid pace of technological advancement and the need for secure, efficient systems. Historical spending patterns show consistent, significant investment in end-user devices, servers, and network infrastructure. Annual spending on IT hardware can range from hundreds of millions to billions of dollars across the Air Force, depending on modernization initiatives, budget allocations, and specific technology roadmaps. This $28.3M contract represents one component of that larger, ongoing investment.

Industry Classification

NAICS: ManufacturingComputer and Peripheral Equipment ManufacturingElectronic Computer Manufacturing

Product/Service Code: IT AND TELECOM - COMPUTE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 220 KOPPERSTON RD, OCEANA, WV, 24870

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

Financial Breakdown

Contract Ceiling: $28,278,649

Exercised Options: $28,278,649

Current Obligation: $28,278,649

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD49B

IDV Type: GWAC

Timeline

Start Date: 2023-08-31

Current End Date: 2024-01-04

Potential End Date: 2024-01-04 00:00:00

Last Modified: 2024-01-24

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