USCG Awards $23.4M Hosting Contract to ADDX Corp. Under Full and Open Competition
Contract Overview
Contract Amount: $23,401,489 ($23.4M)
Contractor: Addx Corporation
Awarding Agency: Department of Homeland Security
Start Date: 2012-11-28
End Date: 2020-05-31
Contract Duration: 2,741 days
Daily Burn Rate: $8.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: IGF::OT::IGF USCG HOSTING CONTRACT BASE YEAR
Place of Performance
Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22311
State: Virginia Government Spending
Plain-Language Summary
Department of Homeland Security obligated $23.4 million to ADDX CORPORATION for work described as: IGF::OT::IGF USCG HOSTING CONTRACT BASE YEAR Key points: 1. The contract, valued at $23.4 million, covers the base year of a hosting service agreement. 2. ADDX Corporation secured this award through a full and open competition process. 3. The contract type is Firm Fixed Price, indicating predictable costs for the government. 4. This award falls within the Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services sector.
Value Assessment
Rating: good
The contract's fixed price structure provides cost certainty. Benchmarking against similar hosting contracts would offer further insight into its value, but the competitive award suggests a reasonable price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, allowing all eligible vendors to bid. This process generally leads to competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being used efficiently for essential hosting services.
Public Impact
Ensures critical data processing and web hosting services for the U.S. Coast Guard. Supports the operational needs of a key maritime security agency. The contract's duration and value indicate a significant investment in IT infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is unusually long (2741 days).
- No specific small business participation noted.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type.
Sector Analysis
This contract is within the IT sector, specifically focusing on computing infrastructure and hosting services. Spending in this area is critical for government operations, with benchmarks varying widely based on service level agreements and scale.
Small Business Impact
The provided data does not indicate any specific set-aside for small businesses, nor does it detail small business participation in the subcontracting plan. Further investigation may be needed to assess small business impact.
Oversight & Accountability
The contract was awarded through a competitive process, suggesting a degree of oversight. However, the long duration warrants ongoing monitoring to ensure continued value and performance.
Related Government Programs
- Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services
- Department of Homeland Security Contracting
- U.S. Coast Guard Programs
Risk Flags
- Long contract duration may lead to technological obsolescence.
- Lack of explicit small business participation noted.
- Potential for vendor lock-in over the contract's extended term.
- Performance monitoring is crucial given the extended period.
Tags
computing-infrastructure-providers-data-, department-of-homeland-security, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $23.4 million to ADDX CORPORATION. IGF::OT::IGF USCG HOSTING CONTRACT BASE YEAR
Who is the contractor on this award?
The obligated recipient is ADDX CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Coast Guard).
What is the total obligated amount?
The obligated amount is $23.4 million.
What is the period of performance?
Start: 2012-11-28. End: 2020-05-31.
What specific hosting services are provided under this contract, and how do they align with the U.S. Coast Guard's mission requirements?
The contract falls under NAICS code 518210, indicating services like data processing, hosting, and related infrastructure. These services are fundamental for the Coast Guard's operational command, control, communication, and information systems, enabling functions such as maritime domain awareness, search and rescue coordination, and law enforcement support.
Given the contract's long duration, what mechanisms are in place to manage potential risks associated with technological obsolescence and vendor performance?
While the contract is firm fixed price, the long duration (2741 days) presents risks of technological obsolescence and potential vendor performance degradation. The government should have robust performance monitoring and contract management processes, including regular reviews and potential modification clauses for technology refreshes or service level adjustments.
How does the $23.4 million expenditure compare to industry benchmarks for similar hosting services, considering the scale and security requirements of the U.S. Coast Guard?
Without specific details on service levels, data volume, and security protocols, a precise benchmark is difficult. However, $23.4 million over approximately 7.5 years suggests an average annual cost of around $3.1 million. This figure needs to be evaluated against the complexity and criticality of the USCG's needs compared to standard commercial hosting.
Industry Classification
NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and 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
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4900 SEMINARY RD STE 570, ALEXANDRIA, VA, 22311
Business Categories: Category Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $24,347,589
Exercised Options: $23,401,489
Current Obligation: $23,401,489
Subaward Activity
Number of Subawards: 68
Total Subaward Amount: $108,028,891
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2012-11-28
Current End Date: 2020-05-31
Potential End Date: 2020-05-31 12:00:00
Last Modified: 2024-08-21
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