Dod's $18.87M Ustranscom IT Contract Awarded to RX Joint Venture, LLC

Contract Overview

Contract Amount: $18,868,676 ($18.9M)

Contractor: RX Joint Venture, LLC

Awarding Agency: Department of Defense

Start Date: 2011-10-01

End Date: 2017-03-31

Contract Duration: 2,008 days

Daily Burn Rate: $9.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CORPORATE SERVICES SUPPORT: INFRASTRUCTURE MANAGEMENT (CSS: IM)

Place of Performance

Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $18.9 million to RX JOINT VENTURE, LLC for work described as: CORPORATE SERVICES SUPPORT: INFRASTRUCTURE MANAGEMENT (CSS: IM) Key points: 1. Contract awarded for Computer Systems Design Services to RX JOINT VENTURE, LLC. 2. The contract value is $18.87 million over its period of performance. 3. Competition was full and open after exclusion of sources, suggesting some initial limitations. 4. The sector is Information Technology, specifically infrastructure management. 5. The contract was awarded as a Delivery Order under a larger contract.

Value Assessment

Rating: good

The contract value of $18.87 million appears reasonable for a 5.5-year IT infrastructure management service contract. Benchmarking against similar contracts for Computer Systems Design Services (NAICS 541512) would provide a more precise assessment.

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.' This indicates that while the competition was ultimately full and open, there may have been an initial exclusion of certain sources, potentially impacting the breadth of initial price discovery.

Taxpayer Impact: The use of full and open competition, even with prior exclusions, aims to secure competitive pricing for taxpayers. The final price achieved through this method is crucial for taxpayer value.

Public Impact

Ensures critical infrastructure management services for USTRANSCOM. Supports military logistics and operational readiness through IT infrastructure. Provides employment opportunities within the IT services sector. The contract's success impacts the efficiency of Department of Defense operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for limited initial competition due to source exclusion.
  • Reliance on a single delivery order for a significant contract value.
  • Contract duration spans multiple fiscal years, requiring ongoing budget allocation.

Positive Signals

  • Awarded under full and open competition, promoting competitive pricing.
  • Supports a critical government agency (USTRANSCOM).
  • Firm Fixed Price contract type helps control costs.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on Computer Systems Design Services. Spending in this area is critical for government modernization and operational efficiency. Benchmarks for similar IT infrastructure management contracts vary widely based on scope and duration.

Small Business Impact

The data indicates this contract was not awarded to a small business (ss: false). Therefore, there is no direct benefit to small businesses from this specific award, though they may participate as subcontractors.

Oversight & Accountability

The contract was awarded as a Delivery Order, suggesting it is part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would involve monitoring the performance of RX JOINT VENTURE, LLC against the terms of the delivery order and the parent contract.

Related Government Programs

  • Computer Systems Design Services
  • Department of Defense Contracting
  • USTRANSCOM Programs

Risk Flags

  • Potential for limited initial competition.
  • Contract awarded as a Delivery Order, requiring oversight of the parent contract.
  • No direct small business awardee.
  • Specific details on source exclusion are missing.

Tags

computer-systems-design-services, department-of-defense, il, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.9 million to RX JOINT VENTURE, LLC. CORPORATE SERVICES SUPPORT: INFRASTRUCTURE MANAGEMENT (CSS: IM)

Who is the contractor on this award?

The obligated recipient is RX JOINT VENTURE, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (USTRANSCOM).

What is the total obligated amount?

The obligated amount is $18.9 million.

What is the period of performance?

Start: 2011-10-01. End: 2017-03-31.

What was the rationale for excluding certain sources before the full and open competition?

The rationale for excluding certain sources prior to the full and open competition is not detailed in the provided data. This exclusion could stem from specific technical requirements, past performance issues with certain vendors, or a desire to streamline the initial bidder pool. Understanding this reason is key to assessing if the competition was truly as broad as possible from the outset.

How does the awarded price compare to market rates for similar infrastructure management services?

Without specific market rate data for comparable Computer Systems Design Services contracts of similar scope and duration, a precise comparison is difficult. However, the contract's 'good' value rating suggests it is likely competitive. Further analysis would involve benchmarking against industry cost data and other government contracts for similar services to confirm cost-effectiveness.

What is the potential impact of this contract on USTRANSCOM's IT infrastructure resilience and modernization?

This contract directly supports USTRANSCOM's IT infrastructure management, which is vital for operational resilience and modernization. Effective management by RX JOINT VENTURE, LLC should ensure system uptime, security, and the ability to adapt to evolving technological needs, thereby bolstering the agency's overall IT capabilities and mission support.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4614 SINCLAIR, SAN ANTONIO, TX, 78222

Business Categories: Category Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $19,785,549

Exercised Options: $18,868,676

Current Obligation: $18,868,676

Contract Characteristics

Consolidated Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS06F0655Z

IDV Type: GWAC

Timeline

Start Date: 2011-10-01

Current End Date: 2017-03-31

Potential End Date: 2017-03-31 00:00:00

Last Modified: 2017-07-17

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