FEMA's $28.6M IT Helpdesk Contract Awarded to Applied Computing Technologies, Inc

Contract Overview

Contract Amount: $28,650,750 ($28.7M)

Contractor: Applied Computing Technologies, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2015-09-28

End Date: 2020-03-28

Contract Duration: 1,643 days

Daily Burn Rate: $17.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: IT

Official Description: IGF::CT::IGF THE CONTRACTOR SHALL PROVIDE FEMA'S OFFICE OF THE CHIEF INFORMATION OFFICER TIER 1 AND TIER2 HELPDESK SUPPORT SERVICES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20472

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $28.7 million to APPLIED COMPUTING TECHNOLOGIES, INC. for work described as: IGF::CT::IGF THE CONTRACTOR SHALL PROVIDE FEMA'S OFFICE OF THE CHIEF INFORMATION OFFICER TIER 1 AND TIER2 HELPDESK SUPPORT SERVICES. Key points: 1. Contract provides essential Tier 1 and Tier 2 helpdesk support for FEMA's IT operations. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. The duration of the contract is over 4 years, indicating a significant commitment to these services. 4. The contract type is a delivery order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 5. The services are critical for maintaining FEMA's operational readiness and disaster response capabilities. 6. The contractor, Applied Computing Technologies, Inc., has been awarded this significant IT support contract.

Value Assessment

Rating: fair

Benchmarking the value of this contract requires more detailed information on the scope of services and the number of users supported. However, the total award amount of $28.65 million over approximately 4.5 years suggests a substantial investment in IT support. Without comparable contract data for similar helpdesk services at FEMA or other agencies, it is difficult to definitively assess if this represents excellent value for money. The pricing structure, based on labor hours, can be variable and depends heavily on the efficiency of the contractor and the actual hours utilized.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This typically leads to a more robust selection process and potentially better pricing due to market forces. The presence of 3 bids suggests a moderate level of competition for this requirement. A higher number of bidders generally correlates with more competitive pricing and a wider range of innovative solutions.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it encourages multiple companies to vie for the contract, driving down costs and improving service quality through competitive pressure.

Public Impact

FEMA employees and potentially external stakeholders requiring IT assistance benefit from the helpdesk services. The contract ensures the continuity of IT operations, crucial for FEMA's mission, especially during disaster response. The services are delivered within the District of Columbia, impacting the local IT support workforce. This contract supports the operational efficiency of FEMA's Office of the Chief Information Officer.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if labor hours are not managed efficiently.
Dependence on a single contractor for critical IT support functions.
Risk of service degradation if contractor performance is not closely monitored.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Contract duration suggests a stable and reliable service provision.
Focus on essential IT helpdesk functions supports core agency operations.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computing infrastructure, data processing, and related services. The market for IT helpdesk support is competitive, with numerous providers offering a range of solutions from basic support to comprehensive managed services. Federal agencies often rely on such contracts to maintain their complex IT environments. Comparable spending benchmarks for IT helpdesk services can vary widely based on the scope, service levels, and number of users supported, making direct comparisons challenging without more specific details.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and there is no explicit mention of subcontracting requirements for small businesses. This suggests that the primary award went to a large business, and opportunities for small businesses would likely be through subcontracting if mandated or pursued by the prime contractor. Without specific subcontracting plans, the direct impact on the small business ecosystem for this particular contract appears limited.

Oversight & Accountability

Oversight for this contract would typically be managed by FEMA's contracting officers and program managers within the Office of the Chief Information Officer. Performance metrics and service level agreements (SLAs) would be key to monitoring the contractor's adherence to the contract terms. Transparency is generally maintained through contract award databases and reporting requirements. While specific Inspector General (IG) jurisdiction for this particular delivery order isn't detailed, the Department of Homeland Security's Office of Inspector General would have oversight over FEMA's contracts.

Related Government Programs

FEMA IT Support Services
Department of Homeland Security IT Contracts
Federal Helpdesk Support Contracts
IT Infrastructure Services

Risk Flags

Performance Risk
Security Risk
Cost Overrun Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $28.7 million to APPLIED COMPUTING TECHNOLOGIES, INC.. IGF::CT::IGF THE CONTRACTOR SHALL PROVIDE FEMA'S OFFICE OF THE CHIEF INFORMATION OFFICER TIER 1 AND TIER2 HELPDESK SUPPORT SERVICES.

Who is the contractor on this award?

The obligated recipient is APPLIED COMPUTING TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Federal Emergency Management Agency).

What is the total obligated amount?

The obligated amount is $28.7 million.

What is the period of performance?

Start: 2015-09-28. End: 2020-03-28.

What is the specific scope of Tier 1 and Tier 2 helpdesk support covered under this contract?

The contract specifies that Applied Computing Technologies, Inc. shall provide Tier 1 and Tier 2 helpdesk support services for FEMA's Office of the Chief Information Officer. Tier 1 support typically involves basic troubleshooting, issue identification, and resolution for common IT problems, often acting as the first point of contact. Tier 2 support usually handles more complex issues that require deeper technical knowledge and may involve escalation from Tier 1. This includes diagnosing and resolving hardware, software, and network issues, managing user accounts, and providing guidance on IT policies and procedures. The exact scope would be detailed in the contract's Statement of Work (SOW), outlining specific services, response times, and resolution targets.

How does the $28.65 million award compare to similar IT helpdesk contracts within federal agencies?

Comparing this $28.65 million award requires context regarding the contract's duration, scope, and the size of the supported user base. Federal IT helpdesk contracts can range significantly in value. For a contract spanning over four years, supporting a large agency like FEMA, this amount appears within a reasonable range, especially considering the complexity of federal IT systems and the need for robust support. However, without specific benchmarks for comparable agencies (e.g., other DHS components, GSA, or HHS) for similar service levels and user counts, a precise value-for-money assessment is difficult. Factors like the number of supported end-users, 24/7 support requirements, and specific service level agreements (SLAs) heavily influence pricing.

What are the key performance indicators (KPIs) used to evaluate the contractor's performance?

Key Performance Indicators (KPIs) for IT helpdesk support contracts typically focus on efficiency, effectiveness, and user satisfaction. Common KPIs include First Call Resolution (FCR) rate, Average Handle Time (AHT), ticket response time, ticket resolution time, and customer satisfaction scores (CSAT). For this FEMA contract, FEMA's Office of the Chief Information Officer would likely have established specific targets for these metrics within the contract's Service Level Agreement (SLA). For instance, a target FCR might be set at 80%, with response times for critical issues needing to be under 15 minutes. Regular performance reviews would assess the contractor's adherence to these KPIs, with potential financial implications tied to meeting or missing targets.

What is the track record of Applied Computing Technologies, Inc. in providing similar IT support services?

Applied Computing Technologies, Inc. (ACT) has a history of providing IT services to government agencies. Information available through federal procurement databases (like SAM.gov or FPDS) would detail their past contract awards, including the types of services rendered, agencies served, and contract values. ACT's experience with helpdesk support, IT infrastructure, and other related services would be crucial in assessing their capability to fulfill FEMA's requirements. A review of their past performance evaluations and any past performance issues or commendations would provide further insight into their reliability and effectiveness as a contractor for this critical function.

What are the potential risks associated with relying on this contract for FEMA's IT helpdesk support?

Several risks are associated with this contract. A primary risk is contractor performance; if Applied Computing Technologies, Inc. fails to meet the required service levels (e.g., slow response times, low resolution rates), it could significantly disrupt FEMA's operations, particularly during critical events. Another risk is vendor lock-in, where FEMA becomes heavily reliant on ACT, making transitions to new providers difficult or costly. There's also a risk related to data security and privacy, as the helpdesk personnel will have access to sensitive information; any breaches could have severe consequences. Finally, cost overruns are a potential risk, especially if the labor-hour model is not tightly managed or if unforeseen technical issues require extensive support.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 6361 WALKER LANE, SUITE 710, ALEXANDRIA, VA, 22310

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $30,062,027

Exercised Options: $28,650,750

Current Obligation: $28,650,750

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: HSHQDC13DE2063

IDV Type: IDC

Timeline