DHS awards $28M IT services contract to BASE TECHNOLOGIES, LLC over 5 years

Contract Overview

Contract Amount: $27,950,357 ($28.0M)

Contractor: Base Technologies, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2003-10-01

End Date: 2008-07-25

Contract Duration: 1,759 days

Daily Burn Rate: $15.9K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: NOT AVAILABLE

Place of Performance

Location: SPRINGFIELD, FAIRFAX County, VIRGINIA, 22153

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $28.0 million to BASE TECHNOLOGIES, LLC for work described as: NOT AVAILABLE Key points: 1. Contract awarded via competitive delivery order, suggesting a degree of market vetting. 2. Services fall under 'Other Computer Related Services,' a broad category. 3. The contract duration of nearly 5 years indicates a significant, ongoing need. 4. The Time and Materials pricing structure can pose cost control challenges. 5. No small business set-aside was utilized, potentially limiting opportunities for smaller firms. 6. The agency is the Department of Homeland Security, a large federal entity with substantial IT needs.

Value Assessment

Rating: fair

The total award amount of $27.95 million over approximately five years for IT services suggests a moderate-sized contract. Benchmarking this against similar 'Other Computer Related Services' contracts within DHS or other large agencies would be necessary for a precise value-for-money assessment. The Time and Materials (T&M) pricing model, while flexible, can lead to cost overruns if not managed diligently. Without specific performance metrics or comparison data, it's difficult to definitively assess if this represents excellent value, but the competitive award mechanism provides some assurance.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

This contract was awarded as a competitive delivery order, indicating that multiple vendors likely had an opportunity to bid. The fact that it was competed suggests that the agency sought to leverage market competition to obtain favorable pricing and services. However, the specific number of bidders and the details of the competition are not provided, which limits a full assessment of the competitive landscape. A competitive award is generally positive for price discovery.

Taxpayer Impact: A competitive award process is beneficial for taxpayers as it typically drives down prices and encourages innovation among vendors, leading to better use of public funds.

Public Impact

Benefits the U.S. Customs and Border Protection (CBP) within the Department of Homeland Security. Delivers 'Other Computer Related Services,' likely encompassing IT support, maintenance, or development. Geographic impact is primarily within Virginia, where the contract is managed or performed. Workforce implications include potential job creation or utilization of skilled IT professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to uncontrolled cost escalation if not closely monitored.
The broad 'Other Computer Related Services' category lacks specificity, potentially leading to scope creep.
Lack of small business set-aside may limit opportunities for smaller, specialized IT firms.

Positive Signals

Awarded through a competitive process, indicating some level of market engagement.
Contract duration suggests a stable, ongoing requirement met by the vendor.
Awarded to a single entity, BASE TECHNOLOGIES, LLC, implying a focused relationship.

Sector Analysis

The IT services sector is vast and highly competitive, with numerous firms offering a wide range of capabilities. This contract falls under the 'Other Computer Related Services' NAICS code (541519), which is a broad category encompassing various IT support functions beyond software development or data processing. Federal spending in this area is substantial, driven by the continuous need for agencies to modernize systems, maintain infrastructure, and enhance cybersecurity. Comparable spending benchmarks would typically involve analyzing IT service contracts of similar size and scope within federal agencies.

Small Business Impact

This contract does not appear to have a small business set-aside. While the contract was competed, the absence of a specific set-aside means that large businesses were likely the primary participants. This could limit subcontracting opportunities for small businesses unless the prime contractor voluntarily includes them in their supply chain. The overall impact on the small business ecosystem depends on whether BASE TECHNOLOGIES, LLC has its own small business subcontracting plan.

Oversight & Accountability

Oversight for this contract would primarily reside with the U.S. Customs and Border Protection (CBP) contracting officers and program managers within the Department of Homeland Security. Standard federal procurement regulations and contract clauses would govern accountability. Transparency is facilitated through contract databases like FPDS-NG, where basic award information is publicly available. The Inspector General for DHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

IT Professional Services
IT Support Services
Computer Systems Design Services
Cloud Computing Services
Cybersecurity Services

Risk Flags

Time and Materials pricing structure
Broad service category definition
Lack of specific competition details

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $28.0 million to BASE TECHNOLOGIES, LLC. NOT AVAILABLE

Who is the contractor on this award?

The obligated recipient is BASE TECHNOLOGIES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $28.0 million.

What is the period of performance?

Start: 2003-10-01. End: 2008-07-25.

What is the specific nature of the 'Other Computer Related Services' being provided under this contract?

The provided data indicates the NAICS code 541519, 'Other Computer Related Services.' This is a broad category that can encompass a wide array of IT services not specifically classified under other codes, such as IT consulting, systems integration, network management, IT support, and potentially specialized technical services. Without further details from the contract's statement of work, it is difficult to pinpoint the exact services. However, given the agency (CBP) and the duration, it likely involves ongoing IT support, maintenance, or enhancement of existing systems critical to border protection operations.

How does the Time and Materials (T&M) pricing structure compare to other IT service contracts awarded by DHS?

Time and Materials (T&M) contracts are common for IT services, especially when the scope of work is not clearly defined or is expected to evolve. They allow for flexibility but carry a higher risk of cost overruns compared to fixed-price contracts. Benchmarking T&M rates against similar DHS contracts would require access to detailed pricing data for comparable services. Generally, agencies aim to negotiate favorable hourly rates and implement strict oversight to manage T&M costs. The effectiveness of this contract's T&M structure hinges on robust monitoring and management by CBP.

What was the competitive landscape like for this delivery order, and how many bids were received?

The data indicates this was a 'COMPETITIVE DELIVERY ORDER,' suggesting that multiple vendors were invited to bid. However, the specific number of bids received is not provided in the summary data. A competitive award is generally positive, implying that BASE TECHNOLOGIES, LLC was selected from a pool of potential offerors. To fully assess the competition, one would need to examine the contract award details, which often include the number of proposals received and the basis for award. A higher number of bids typically correlates with better price discovery and potentially lower costs for the government.

What is the track record of BASE TECHNOLOGIES, LLC in performing federal IT contracts, particularly with DHS?

The provided data shows BASE TECHNOLOGIES, LLC has been awarded this $27.95 million contract by the Department of Homeland Security (DHS) with an award date in October 2003, ending in July 2008. This indicates a history of performing federal work. To assess their track record thoroughly, one would need to review their performance history on this and other federal contracts, looking for indicators such as past performance evaluations, any contract disputes, or awards for exceptional performance. Their ability to secure a competitive delivery order of this size suggests they met the agency's requirements at the time of award.

How does the total contract value of approximately $28 million over five years translate to an annual spending rate?

The total award value is $27,950,357.45, and the contract duration is approximately 1759 days, which is roughly 4.82 years. Dividing the total value by the duration gives an approximate annual spending rate. $27,950,357.45 / 4.82 years ≈ $5.8 million per year. This annual rate provides a clearer picture of the ongoing investment in IT services for U.S. Customs and Border Protection and allows for easier comparison with other annual IT budgets or spending allocations within the federal government.

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: COMPETITIVE DELIVERY ORDER

Solicitation ID: CS03049

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Contractor Details

Address: 1749 OLD MEADOW RD 500, MC LEAN, VA, 22102

Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Not Designated a Small Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $117,702,438

Exercised Options: $108,382,311

Current Obligation: $27,950,357

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS35F5451H

IDV Type: FSS

Timeline