DHS awards $20.4M contract to Presidio for IT services, highlighting full and open competition

Contract Overview

Contract Amount: $20,368,133 ($20.4M)

Contractor: Presidio Networked Solutions, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2005-10-01

End Date: 2007-03-31

Contract Duration: 546 days

Daily Burn Rate: $37.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PRESIDO CORPORATION

Place of Performance

Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20770

State: Maryland Government Spending

Plain-Language Summary

Department of Homeland Security obligated $20.4 million to PRESIDIO NETWORKED SOLUTIONS, LLC for work described as: PRESIDO CORPORATION Key points: 1. The contract value of $20.4 million for a 546-day period indicates a significant investment in IT infrastructure. 2. Presidio Networked Solutions, LLC secured this award under full and open competition, suggesting a competitive bidding process. 3. The firm fixed price contract type aims to control costs and manage financial risk for the government. 4. The IT sector is a critical area for government operations, with ongoing needs for modernization and support.

Value Assessment

Rating: good

The contract value of $20.4 million over 546 days suggests a moderate annual spend. Without specific unit costs or detailed service breakdowns, a precise pricing assessment is difficult, but the firm fixed price structure implies an expectation of cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value through market forces.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, as Presidio would have needed to offer a compelling price to win the contract.

Public Impact

Ensures U.S. Customs and Border Protection has necessary IT infrastructure and services to maintain border security operations. Supports the government's reliance on technology for critical functions, impacting national security. The use of a competitive process demonstrates a commitment to responsible government spending.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or service level agreements in the provided data.
Potential for vendor lock-in if services are highly specialized or integrated.
Limited visibility into the specific IT solutions being procured.

Positive Signals

Awarded under full and open competition, maximizing potential for competitive pricing.
Firm fixed price contract type helps manage cost overruns.
Long-term contract duration suggests a stable and ongoing need for these IT services.

Sector Analysis

This contract falls within the Information Technology sector, specifically for IT services supporting a critical government agency. Spending in this sector is consistently high as agencies modernize systems and rely on technology for operations. Benchmarks would typically compare per-unit costs for similar IT services or overall contract values for comparable agencies.

Small Business Impact

The data indicates that Presidio Networked Solutions, LLC, the awardee, is not a small business. There is no information provided on whether small business subcontracting goals were included or met for this contract.

Oversight & Accountability

The contract was awarded by the Department of Homeland Security, a large agency with established procurement oversight processes. The use of full and open competition and a firm fixed price contract suggests adherence to standard acquisition regulations aimed at accountability.

Related Government Programs

Department of Homeland Security Contracting
U.S. Customs and Border Protection Programs

Risk Flags

Contract duration may be insufficient for complex IT modernization projects.
Lack of detail on specific performance metrics.
Potential for scope creep if requirements are not tightly managed.
Dependence on a single vendor for critical IT services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $20.4 million to PRESIDIO NETWORKED SOLUTIONS, LLC. PRESIDO CORPORATION

Who is the contractor on this award?

The obligated recipient is PRESIDIO NETWORKED SOLUTIONS, 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 $20.4 million.

What is the period of performance?

Start: 2005-10-01. End: 2007-03-31.

What specific IT services were procured under this contract, and how do they align with current and future needs of U.S. Customs and Border Protection?

The provided data does not specify the exact IT services. Understanding the scope, such as network infrastructure, software development, cybersecurity, or hardware maintenance, is crucial. Aligning these services with CBP's evolving mission requirements and technological roadmap would demonstrate strategic value and ensure the investment remains relevant and effective over time.

How did the competitive bidding process ensure the best value was achieved, considering the $20.4 million price tag?

Full and open competition theoretically allows multiple vendors to submit bids, driving down prices through market forces. To confirm best value, an analysis would require comparing Presidio's bid against others, evaluating technical proposals, and assessing past performance. The firm fixed price structure also limits the government's exposure to cost increases, contributing to value certainty.

What are the potential risks associated with a firm fixed price contract for IT services over a 546-day period?

While firm fixed price contracts control costs, they can pose risks if the scope of work is not precisely defined or if unforeseen technical challenges arise. The vendor might cut corners on quality to maintain profitability, or the government might be locked into paying for services that become less relevant due to rapid technological changes during the contract period.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: RFQ115108

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Presidio, Inc. (UEI: 799064451)

Address: 7601 ORA GLEN DR, GREENBELT, MD, 20770

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $40,507,769

Exercised Options: $40,279,272

Current Obligation: $20,368,133

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: TIRNO99Z00002

IDV Type: BOA

Timeline