GSA's $37.4M Data Center Support Contract Awarded to Peraton Enterprise Solutions LLC

Contract Overview

Contract Amount: $37,391,300 ($37.4M)

Contractor: Peraton Enterprise Solutions LLC

Awarding Agency: General Services Administration

Start Date: 2007-02-01

End Date: 2012-01-31

Contract Duration: 1,825 days

Daily Burn Rate: $20.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DSO DATA CENTER SUPPORT

Place of Performance

Location: SEASIDE, MONTEREY County, CALIFORNIA, 93955

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $37.4 million to PERATON ENTERPRISE SOLUTIONS LLC for work described as: DSO DATA CENTER SUPPORT Key points: 1. Contract value of $37.4M over 5 years suggests a significant investment in IT infrastructure. 2. Awarded under full and open competition, indicating a broad market search. 3. The contract's duration of 1825 days (5 years) allows for long-term planning and stability. 4. Fixed-price contract type may offer cost certainty for the government. 5. The 'Other Computer Related Services' NAICS code points to a broad scope of potential IT support. 6. The contract was awarded in 2007, reflecting IT needs from over a decade ago.

Value Assessment

Rating: fair

The contract value of $37.4 million over five years averages to approximately $7.48 million per year. Without specific details on the services rendered, it's challenging to benchmark against similar contracts. However, for IT support services, this annual figure falls within a moderate range, not exceptionally high or low. The firm-fixed-price nature suggests an attempt to control costs, but the value proposition depends heavily on the scope and quality of the 'Other Computer Related Services' provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The presence of 3 bidders indicates a moderate level of competition for this requirement. While more than one bidder is positive, a higher number of bidders typically leads to more robust price discovery and potentially lower prices for the government.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages a wider range of offers, potentially leading to better pricing and service quality through market forces.

Public Impact

Federal agencies utilizing GSA's Federal Acquisition Service benefit from streamlined IT procurement. The contract supports 'Other Computer Related Services,' likely encompassing a range of IT infrastructure and support functions. Geographic impact is primarily within California, where the contract was administered. The contract supports the federal government's IT infrastructure, indirectly impacting federal employees and operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The contract was awarded in 2007, meaning the technology and service requirements may be outdated.
The specific services provided under 'Other Computer Related Services' are not detailed, making it difficult to assess performance.
Limited competition (3 bidders) might have resulted in a higher price than if more vendors had participated.

Positive Signals

Awarded under full and open competition, suggesting a fair process.
Firm-fixed-price contract type provides cost predictability.
The contract duration of 5 years allowed for stable service delivery.

Sector Analysis

The IT services sector is vast and highly competitive. This contract falls under 'Other Computer Related Services,' a broad category that can include IT consulting, system integration, and support services. The market for such services is characterized by numerous vendors ranging from large system integrators to specialized IT support firms. Benchmarking this $37.4 million contract requires understanding the specific services, but it represents a significant, multi-year investment in IT infrastructure by a major federal agency.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. Furthermore, the 'ss' field is also false, suggesting no specific small business subcontracting goals were mandated. This means the prime contractor, Peraton Enterprise Solutions LLC, had the flexibility to manage subcontracting without specific set-aside requirements, potentially impacting the direct participation of small businesses in this particular contract.

Oversight & Accountability

The contract was awarded by the General Services Administration (GSA), which has established oversight mechanisms for its contracts. As a firm-fixed-price award, the primary oversight would focus on ensuring the delivery of contracted services according to the terms and schedule. Transparency is generally maintained through contract award databases like FPDS. The Inspector General of GSA would have jurisdiction over any potential fraud, waste, or abuse related to this contract.

Related Government Programs

GSA IT Schedule Contracts
Data Center Modernization Programs
Federal Cloud Computing Strategy Initiatives

Risk Flags

Outdated Technology/Services
Lack of Specific Service Details
Limited Competition Data

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $37.4 million to PERATON ENTERPRISE SOLUTIONS LLC. DSO DATA CENTER SUPPORT

Who is the contractor on this award?

The obligated recipient is PERATON ENTERPRISE SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $37.4 million.

What is the period of performance?

Start: 2007-02-01. End: 2012-01-31.

What specific 'Other Computer Related Services' were provided under this contract?

The provided data does not specify the exact 'Other Computer Related Services' rendered under this contract. The NAICS code 541519 is very broad, encompassing a wide array of IT services beyond custom software development or computer systems design. These could include IT consulting, data processing, computer facilities management, IT support services, disaster recovery services, or IT security services. Without a detailed statement of work or contract modifications, it is impossible to ascertain the precise nature of the services delivered, which significantly impacts any assessment of value or performance.

How does the $37.4 million contract value compare to similar GSA IT support contracts awarded around the same period?

Comparing the $37.4 million contract value requires context regarding the specific services and duration. Awarded in 2007 for 5 years, the average annual value was approximately $7.48 million. GSA IT Schedule contracts, particularly those for comprehensive support services, could range significantly. Contracts for large-scale data center operations or enterprise-wide IT support could easily reach or exceed this value. However, without knowing the exact scope (e.g., number of users supported, specific systems managed, level of support), a direct comparison is difficult. It appears to be a substantial, but not necessarily outlier, investment for enterprise-level IT support during that era.

What were the key performance indicators (KPIs) for this contract, and how did Peraton Enterprise Solutions LLC perform against them?

The provided data does not include information on the Key Performance Indicators (KPIs) established for this contract or Peraton Enterprise Solutions LLC's performance against them. Typically, government contracts, especially for IT services, include specific metrics related to uptime, response times, issue resolution, security compliance, and user satisfaction. Assessing performance would require access to contract performance reports, award fee determinations (if applicable), or any documented instances of contractor deficiencies or commendations. The absence of this information limits a thorough evaluation of the contractor's track record on this specific award.

Given the contract's award date in 2007, how relevant are its terms and services to current federal IT needs?

A contract awarded in 2007 for services ending in 2012 is significantly outdated in the context of current federal IT needs. The technology landscape, cybersecurity threats, cloud computing adoption, and data management practices have evolved dramatically since then. Services that were considered state-of-the-art or standard practice over a decade ago may now be obsolete or inefficient. While the contract might have represented a necessary solution at the time, its terms and the specific 'Other Computer Related Services' likely do not align with modern federal IT modernization goals, such as digital transformation, agile development, or advanced data analytics.

What was the total spending by the government on 'Other Computer Related Services' (NAICS 541519) during the contract period (2007-2012)?

To determine the total federal spending on NAICS code 541519 between 2007 and 2012, one would need to query a comprehensive federal procurement database like FPDS-NG (Federal Procurement Data System - Next Generation) or USAspending.gov. This specific contract represents only a fraction of that total. Based on general trends, federal IT spending has been substantial and growing, with a significant portion allocated to services falling under this broad NAICS category. A detailed analysis would involve summing up all contract actions awarded under 541519 across all agencies during those five fiscal years.

Were there any contract modifications or change orders issued for this contract, and what was their impact?

The provided summary data does not indicate whether contract modifications or change orders were issued for this contract. Such modifications are common in long-term IT service contracts to adjust scope, pricing, or technical requirements based on evolving needs or unforeseen circumstances. If modifications were made, they could have altered the original contract value, duration, or service deliverables. Analyzing these would be crucial for a complete understanding of the contract's lifecycle and final impact, requiring access to the detailed contract file or modification history.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 9T7NDWPS001

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: HP, Inc. (UEI: 009122532)

Address: 13600 EDS DR, HERNDON, VA, 11

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $42,898,110

Exercised Options: $37,391,300

Current Obligation: $37,391,300

Timeline