HHS awards $18.85M IT contract to Kit Solutions, LLC for Computer Systems Design Services
Contract Overview
Contract Amount: $18,850,086 ($18.9M)
Contractor: KIT Solutions, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2007-08-30
End Date: 2012-10-30
Contract Duration: 1,888 days
Daily Burn Rate: $10.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 12
Pricing Type: OTHER (NONE OF THE ABOVE)
Sector: IT
Official Description: CSAP INFORMATION TECHNOLOGY INFRASTRUCTURE CONTRACT (ITIC); RFP NO. 277-07-0202REFERENCE NO. 283-07-6101
Place of Performance
Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $18.9 million to KIT SOLUTIONS, LLC for work described as: CSAP INFORMATION TECHNOLOGY INFRASTRUCTURE CONTRACT (ITIC); RFP NO. 277-07-0202REFERENCE NO. 283-07-6101 Key points: 1. Contract value of $18.85 million over 5 years. 2. Awarded under full and open competition. 3. Focuses on IT infrastructure and computer systems design. 4. Potential for significant taxpayer impact due to contract scope.
Value Assessment
Rating: fair
The contract value of $18.85 million over 5 years averages to approximately $3.77 million annually. Without specific benchmarks for similar Computer Systems Design Services contracts, it's difficult to definitively assess pricing, but the duration suggests a substantial, ongoing need.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust process for soliciting bids and ensuring a competitive price discovery. This method generally leads to better value for the government.
Taxpayer Impact: The $18.85 million expenditure represents a significant investment of taxpayer funds for IT infrastructure and design services.
Public Impact
Ensures critical IT infrastructure support for the Substance Abuse and Mental Health Services Administration. Supports the agency's mission by providing necessary technological capabilities. Potential for job creation within the IT sector through this contract. Long-term IT support can lead to improved government service delivery.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics provided.
- Potential for scope creep over the 5-year duration.
- Dependence on a single contractor for critical IT services.
Positive Signals
- Awarded through full and open competition.
- Long-term contract provides stability for IT services.
- Supports a vital public health agency.
Sector Analysis
This contract falls within the Information Technology sector, specifically Computer Systems Design Services. Spending in this area is substantial across federal agencies, supporting everything from basic infrastructure to advanced analytics and cybersecurity.
Small Business Impact
The contract was not awarded to a small business. Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.
Oversight & Accountability
Standard federal procurement processes were followed, including the use of an RFP and full and open competition. Oversight would typically involve contract officers and program managers ensuring deliverables are met.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Substance Abuse and Mental Health Services Administration Programs
Risk Flags
- Lack of detailed performance metrics.
- Potential for vendor lock-in.
- Limited transparency on specific service components.
- No indication of small business subcontracting.
Tags
computer-systems-design-services, department-of-health-and-human-services, md, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $18.9 million to KIT SOLUTIONS, LLC. CSAP INFORMATION TECHNOLOGY INFRASTRUCTURE CONTRACT (ITIC); RFP NO. 277-07-0202REFERENCE NO. 283-07-6101
Who is the contractor on this award?
The obligated recipient is KIT SOLUTIONS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Substance Abuse and Mental Health Services Administration).
What is the total obligated amount?
The obligated amount is $18.9 million.
What is the period of performance?
Start: 2007-08-30. End: 2012-10-30.
What specific IT infrastructure and design services are included in this contract, and how do they align with SAMHSA's current and future strategic goals?
The contract specifies Computer Systems Design Services (NAICS 541512). While the data doesn't detail the exact services, it likely encompasses design, integration, and maintenance of IT systems crucial for SAMHSA's operations. Alignment with strategic goals would depend on SAMHSA's IT modernization plans and data management needs, ensuring the contract supports mission-critical functions and future technological advancements.
What were the key evaluation criteria used in the full and open competition, and how did Kit Solutions, LLC demonstrate superior technical capabilities and cost-effectiveness?
Typical evaluation criteria for such contracts include technical approach, past performance, management capability, and price. Kit Solutions, LLC likely demonstrated strengths in these areas, potentially offering a competitive price while meeting or exceeding technical requirements. The specific weighting and details of the evaluation would be outlined in the RFP.
What mechanisms are in place to ensure the ongoing effectiveness and value for money of this IT contract over its five-year duration?
Mechanisms likely include regular performance reviews, milestone tracking, and defined deliverables. The contracting officer's representative (COR) would monitor performance against the contract's statement of work. Periodic reviews and potential contract modifications based on evolving needs would also ensure continued effectiveness and value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design 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: 283071000
Offers Received: 12
Pricing Type: OTHER (NONE OF THE ABOVE) (3)
Evaluated Preference: NONE
Contractor Details
Parent Company: KIT Solutions Holding Company LLC (UEI: 785468237)
Address: 5700 CORPORATE DR # 530, PITTSBURGH, PA, 90
Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations
Financial Breakdown
Contract Ceiling: $19,216,137
Exercised Options: $18,850,086
Current Obligation: $18,850,086
Parent Contract
Parent Award PIID: HHSS283200700061I
IDV Type: IDC
Timeline
Start Date: 2007-08-30
Current End Date: 2012-10-30
Potential End Date: 2012-10-30 00:00:00
Last Modified: 2012-08-30
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