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 ServicesComputer Systems Design and Related ServicesOther 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

More Contracts from DLT Solutions, LLC

View all DLT Solutions, LLC federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending