GSA awards $20.9M IT training systems contract to Serco Inc. under full and open competition
Contract Overview
Contract Amount: $20,926,588 ($20.9M)
Contractor: Serco Inc
Awarding Agency: General Services Administration
Start Date: 2013-09-24
End Date: 2018-09-23
Contract Duration: 1,825 days
Daily Burn Rate: $11.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: IGF::OT::IGF DAC IT TRAINING SYSTEMS INTEGRATION AND SUPPORT
Place of Performance
Location: MCALESTER, PITTSBURG County, OKLAHOMA, 74501
State: Oklahoma Government Spending
Plain-Language Summary
General Services Administration obligated $20.9 million to SERCO INC for work described as: IGF::OT::IGF DAC IT TRAINING SYSTEMS INTEGRATION AND SUPPORT Key points: 1. Contract awarded to Serco Inc. for IT training systems integration and support. 2. Total value of $20.9 million over a 5-year period. 3. Procured via full and open competition, indicating a competitive bidding process. 4. The contract falls under Computer Systems Design Services (NAICS 541512).
Value Assessment
Rating: fair
The contract's value of $20.9 million over five years averages $4.18 million annually. Benchmarking against similar IT training systems integration contracts is difficult without more specific details on scope and deliverables. The Time and Materials pricing structure can sometimes lead to cost overruns if not closely managed.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, suggesting multiple bidders participated. This method generally promotes price discovery and competitive pricing. The specific number of bids received and the evaluation process would provide further insight into the effectiveness of the competition.
Taxpayer Impact: The use of full and open competition aims to secure the best value for taxpayers by fostering a competitive environment. However, the Time and Materials pricing model requires diligent oversight to ensure costs remain reasonable and justified.
Public Impact
Federal employees will receive training on IT systems, potentially improving agency efficiency and capabilities. The contract supports the modernization and integration of critical IT training infrastructure. Serco Inc. gains significant revenue and strengthens its position in the federal IT services market.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing can lead to cost uncertainty.
- Lack of specific performance metrics makes value assessment challenging.
- Contract duration is substantial, requiring ongoing monitoring.
Positive Signals
- Awarded under full and open competition.
- Supports critical IT training needs.
- Long-term contract provides stability for service delivery.
Sector Analysis
This contract is within the IT services sector, specifically focusing on systems integration and support for training. Spending in this area is crucial for maintaining and upgrading federal IT capabilities. Benchmarks for similar contracts vary widely based on complexity and scope.
Small Business Impact
The data indicates this contract was not set aside for small businesses and Serco Inc. is a large business. There is no direct indication of small business subcontracting opportunities within this specific award notice.
Oversight & Accountability
The General Services Administration (GSA) awarded this contract through its Federal Acquisition Service. Oversight would involve monitoring Serco Inc.'s performance, adherence to contract terms, and managing the Time and Materials pricing to ensure accountability and prevent cost overruns.
Related Government Programs
- Computer Systems Design Services
- General Services Administration Contracting
- Federal Acquisition Service Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Lack of detailed performance metrics for assessing training effectiveness.
- Contract duration of five years requires sustained oversight.
- Limited insight into the specific IT systems and training scope.
Tags
computer-systems-design-services, general-services-administration, ok, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $20.9 million to SERCO INC. IGF::OT::IGF DAC IT TRAINING SYSTEMS INTEGRATION AND SUPPORT
Who is the contractor on this award?
The obligated recipient is SERCO INC.
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $20.9 million.
What is the period of performance?
Start: 2013-09-24. End: 2018-09-23.
What specific IT training systems are being integrated and supported, and what is the expected impact on federal workforce productivity?
The specific IT training systems are not detailed in the provided data. However, the integration and support of these systems are intended to enhance the skills and knowledge of federal employees, leading to improved operational efficiency, better adoption of new technologies, and potentially reduced errors in IT system usage. The ultimate impact on productivity depends on the relevance and quality of the training delivered.
How effectively did the full and open competition process ensure competitive pricing, given the Time and Materials contract type?
Full and open competition theoretically drives competitive pricing by allowing multiple vendors to bid. However, the Time and Materials (T&M) pricing structure inherently carries risk for cost overruns, as it pays for labor hours and materials used rather than a fixed outcome. Effective competition in this context relies heavily on the government's ability to accurately estimate labor hours, set fair hourly rates, and rigorously monitor all expenditures to ensure the final cost is justified and competitive.
What mechanisms are in place to ensure the quality and effectiveness of the IT training delivered under this contract?
The provided data does not specify the quality assurance mechanisms. Typically, contracts of this nature include performance standards, key performance indicators (KPIs), and regular reviews of training materials and delivery. The contracting officer's representative (COR) would be responsible for monitoring performance, providing feedback, and ensuring that the training meets the government's requirements and objectives for workforce development.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: ID07130024
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Serco Group PLC (UEI: 298452707)
Address: 1818 LIBRARY ST STE 1000, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $24,008,306
Exercised Options: $20,926,795
Current Obligation: $20,926,588
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $927,398
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS00Q09BGD0049
IDV Type: GWAC
Timeline
Start Date: 2013-09-24
Current End Date: 2018-09-23
Potential End Date: 2018-09-23 00:00:00
Last Modified: 2019-01-16
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