DHS awards $37.8M for Computer Systems Design Services to Sevatec LLC under full and open competition
Contract Overview
Contract Amount: $37,777,828 ($37.8M)
Contractor: Sevatec LLC
Awarding Agency: Department of Homeland Security
Start Date: 2014-08-12
End Date: 2017-08-11
Contract Duration: 1,095 days
Daily Burn Rate: $34.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 6
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: IGF::OT::IGF COMPUTER SYSTEMS DESIGN SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001
Plain-Language Summary
Department of Homeland Security obligated $37.8 million to SEVATEC LLC for work described as: IGF::OT::IGF COMPUTER SYSTEMS DESIGN SERVICES Key points: 1. Contract value of $37.8M for computer systems design services. 2. Awarded to Sevatec LLC, a single entity. 3. Competition method: Full and open competition after exclusion of sources. 4. Sector: Information Technology (IT) services.
Value Assessment
Rating: good
The contract's cost-plus-fixed-fee structure allows for flexibility but requires careful monitoring of costs to ensure value. The fixed fee component provides some cost control.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive process was used to select Sevatec LLC. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary IT services.
Public Impact
Supports critical functions of U.S. Citizenship and Immigration Services. Provides essential computer systems design and integration expertise. Impacts the efficiency and effectiveness of immigration processing systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in cost-plus contracts.
- Reliance on a single contractor for critical IT services.
Positive Signals
- Competitive award process.
- Services support a vital government function.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending in this area is crucial for modernizing government operations and improving service delivery.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if subcontracting opportunities were provided.
Oversight & Accountability
Oversight would involve monitoring contract performance, cost expenditures, and adherence to the fixed-fee structure to ensure accountability and value for taxpayer money.
Related Government Programs
- Computer Systems Design Services
- Department of Homeland Security Contracting
- U.S. Citizenship and Immigration Services Programs
Risk Flags
- Cost-plus-fixed-fee contract type.
- No small business participation indicated.
- Potential for scope creep in IT projects.
- Reliance on a single awardee for critical services.
Tags
computer-systems-design-services, department-of-homeland-security, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $37.8 million to SEVATEC LLC. IGF::OT::IGF COMPUTER SYSTEMS DESIGN SERVICES
Who is the contractor on this award?
The obligated recipient is SEVATEC LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Citizenship and Immigration Services).
What is the total obligated amount?
The obligated amount is $37.8 million.
What is the period of performance?
Start: 2014-08-12. End: 2017-08-11.
What is the benchmark for similar computer systems design services contracts in the federal government?
Benchmarking similar contracts requires analyzing the scope of work, contract type, duration, and contractor performance. For IT systems design, average contract values can range significantly based on complexity. Factors like the number of users supported, integration requirements, and specific technologies used heavily influence pricing. Without detailed comparison data, a precise benchmark is difficult, but the $37.8M value over three years suggests a substantial project.
What are the primary risks associated with a cost-plus-fixed-fee contract for IT systems design?
The primary risks with a cost-plus-fixed-fee (CPFF) contract for IT systems design include potential cost overruns if the contractor's estimated costs are inaccurate or if unforeseen technical challenges arise. The government bears the risk of cost increases above the estimated amount, while the contractor is incentivized to complete the work within the fixed fee. Effective oversight is crucial to manage these risks and ensure the government receives value.
How does the 'full and open competition after exclusion of sources' method impact the effectiveness of this award?
This competition method, while allowing for full and open competition, implies that certain sources were initially excluded before the final competitive process. This could potentially limit the pool of qualified bidders compared to a purely unrestricted full and open competition. However, if the exclusion was based on specific, justifiable technical requirements, it could lead to a more effective award by ensuring bidders possess the necessary specialized expertise for the complex IT systems design task.
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 AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HSSCCG-13-R-00026
Offers Received: 6
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Octo Consulting Group LLC
Address: 2815 OLD LEE HWY, FAIRFAX, VA, 22031
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $37,777,828
Exercised Options: $37,777,828
Current Obligation: $37,777,828
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSN316201200171W
IDV Type: GWAC
Timeline
Start Date: 2014-08-12
Current End Date: 2017-08-11
Potential End Date: 2017-08-11 00:00:00
Last Modified: 2022-08-23
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