DoD's $49.5M Oracle ULA with DLT Solutions: A 4-year contract for Other Computer Related Services
Contract Overview
Contract Amount: $49,540,972 ($49.5M)
Contractor: DLT Solutions, LLC
Awarding Agency: Department of Defense
Start Date: 2013-01-31
End Date: 2017-09-30
Contract Duration: 1,703 days
Daily Burn Rate: $29.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: ORACLE UNLIMITED LICENSE AGREEMENT (ULA)
Place of Performance
Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225
State: Illinois Government Spending
Plain-Language Summary
Department of Defense obligated $49.5 million to DLT SOLUTIONS, LLC for work described as: ORACLE UNLIMITED LICENSE AGREEMENT (ULA) Key points: 1. The contract value is substantial at $49.5M, indicating significant investment. 2. DLT Solutions, LLC is the sole awardee, raising questions about competition. 3. The contract spans over 4 years, suggesting a long-term need. 4. The NAICS code 541519 covers a broad range of computer-related services.
Value Assessment
Rating: questionable
The contract value of $49.5M for a 4-year ULA needs careful assessment against market rates for Oracle licenses and support. Without specific deliverables or usage metrics, it's difficult to benchmark value effectively.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Although listed as 'FULL AND OPEN COMPETITION', the award to DLT Solutions, LLC for an Oracle ULA suggests potential for limited vendor engagement. The pricing discovery relies on the competitive process that led to this specific award.
Taxpayer Impact: Taxpayer impact is tied to ensuring the $49.5M represents fair market value for the Oracle licenses and services procured over the contract's duration.
Public Impact
Ensures access to Oracle software for USTRANSCOM personnel. Supports critical Department of Defense operations through IT services. Potential for cost savings if usage significantly exceeds initial estimates. Risk of overpaying if actual software utilization is low.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific usage metrics for ULA.
- Potential for vendor lock-in with Oracle.
- Limited visibility into actual software utilization.
- Long contract duration without clear performance benchmarks.
Positive Signals
- Provides access to necessary Oracle software.
- Consolidated licensing may simplify management.
- Fixed price offers budget predictability.
Sector Analysis
This contract falls within the IT services sector, specifically 'Other Computer Related Services'. Spending benchmarks for similar Oracle ULA procurements by government agencies are crucial for assessing value.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. Analysis of subcontracting opportunities with DLT Solutions, LLC would be necessary to determine small business participation.
Oversight & Accountability
Oversight would focus on ensuring USTRANSCOM maximizes the value of the Oracle ULA, monitors software usage, and negotiates favorable terms for renewals or future procurements.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- USTRANSCOM Programs
Risk Flags
- Potential for overpayment due to ULA structure.
- Lack of granular usage data.
- Risk of vendor lock-in.
- Long-term commitment without clear performance metrics.
- Limited insight into actual software value realization.
Tags
other-computer-related-services, department-of-defense, il, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $49.5 million to DLT SOLUTIONS, LLC. ORACLE UNLIMITED LICENSE AGREEMENT (ULA)
Who is the contractor on this award?
The obligated recipient is DLT SOLUTIONS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (USTRANSCOM).
What is the total obligated amount?
The obligated amount is $49.5 million.
What is the period of performance?
Start: 2013-01-31. End: 2017-09-30.
What is the actual utilization rate of the Oracle software covered under this ULA?
Determining the actual utilization rate is critical for assessing the value of this $49.5M Oracle ULA. Without this data, it's impossible to know if the government is paying for unused licenses. Agencies should implement robust tracking mechanisms to monitor software deployment and usage across the enterprise to ensure cost-effectiveness and avoid potential overspending.
How does the pricing of this Oracle ULA compare to similar government or commercial agreements?
Benchmarking this Oracle ULA's pricing against comparable government and commercial agreements is essential for value assessment. Factors like discount levels, support inclusions, and contract duration influence pricing. A thorough analysis should consider the specific Oracle products and versions covered, as well as the overall market conditions for enterprise software licensing.
What are the exit strategies or transition plans if USTRANSCOM decides to move away from Oracle products?
Understanding the exit strategies and transition plans associated with this Oracle ULA is crucial for mitigating long-term risks. ULAs can sometimes lead to vendor lock-in, making it difficult and costly to switch to alternative solutions. The contract should ideally outline provisions for data migration, knowledge transfer, and the termination of services to facilitate a smooth transition if needed.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: DLT Mergerco LLC (UEI: 079720068)
Address: 2411 DULLES CORNER PARK STE 800, HERNDON, VA, 20171
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $49,540,972
Exercised Options: $49,540,972
Current Obligation: $49,540,972
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Parent Contract
Parent Award PIID: GS35F4543G
IDV Type: FSS
Timeline
Start Date: 2013-01-31
Current End Date: 2017-09-30
Potential End Date: 2017-09-30 00:00:00
Last Modified: 2016-10-03
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