NSF's $34M content portal contract with Ironworks Consulting shows fair value, but limited competition raises concerns

Contract Overview

Contract Amount: $34,111,147 ($34.1M)

Contractor: Ironworks Consulting, L.L.C.

Awarding Agency: National Science Foundation

Start Date: 2009-03-09

End Date: 2014-08-31

Contract Duration: 2,001 days

Daily Burn Rate: $17.0K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: CONTENT, PORTAL, AND SEARCH SERVICES

Place of Performance

Location: GLEN ALLEN, HENRICO County, VIRGINIA, 23060

State: Virginia Government Spending

Plain-Language Summary

National Science Foundation obligated $34.1 million to IRONWORKS CONSULTING, L.L.C. for work described as: CONTENT, PORTAL, AND SEARCH SERVICES Key points: 1. The contract's value appears reasonable when benchmarked against similar IT service contracts. 2. Competition was limited, with only two bidders, potentially impacting price discovery. 3. The use of Time and Materials pricing introduces some risk of cost overruns. 4. This contract supported essential digital content and search services for the NSF. 5. The contractor has a history of performing IT services for federal agencies. 6. The contract's duration and total value place it in the mid-tier spending category for IT services.

Value Assessment

Rating: fair

The total award of approximately $34.1 million over five years suggests a moderate annual spend. Benchmarking against similar IT service contracts for content management and portal development indicates that the pricing was within an acceptable range, though not exceptionally low. The Time and Materials (T&M) pricing model, while flexible, can sometimes lead to higher costs than fixed-price contracts if not managed diligently. Without detailed cost breakdowns, a precise value-for-money assessment is challenging, but the overall expenditure appears justifiable for the services rendered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded as a competitive delivery order, but with only two bidders, the level of competition was limited. While it was competed, the small number of participants suggests that the market may not have been fully engaged, or that barriers to entry for this specific requirement were significant. Limited competition can sometimes result in prices that are not as aggressively negotiated as they might be in a more robust bidding environment, potentially leading to less favorable terms for the government.

Taxpayer Impact: The limited competition means taxpayers may not have benefited from the most aggressive pricing achievable through broader market engagement. This could translate to a higher overall cost for the services provided compared to a scenario with more bidders.

Public Impact

Federal researchers and the public benefited from improved access to NSF content and search capabilities. The contract facilitated the delivery of digital content, website management, and search functionalities. The primary geographic impact was national, supporting the NSF's mission across the United States. The contract likely supported IT professionals and content managers, contributing to the federal IT workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Risk of cost escalation due to Time and Materials pricing structure.
Limited competition may have resulted in suboptimal pricing for taxpayers.
Potential for scope creep given the flexible nature of T&M contracts.

Positive Signals

Contract successfully delivered essential content and search services for a major federal agency.
The contractor, Ironworks Consulting, L.L.C., fulfilled the contract requirements over its duration.
The contract was competed, indicating an effort to engage the market.

Sector Analysis

This contract falls within the broader Information Technology (IT) services sector, specifically focusing on IT infrastructure, content management, and portal development. The market for these services is large and competitive, with numerous firms offering similar capabilities. The NSF's spending on such services is typical for a federal agency aiming to maintain a robust online presence and facilitate information dissemination. Comparable spending benchmarks for similar IT service contracts often range from tens to hundreds of millions of dollars, depending on scope and duration.

Small Business Impact

This contract was not specifically set aside for small businesses, and the awardee, Ironworks Consulting, L.L.C., is not identified as a small business in this context. There is no explicit information regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem appears minimal for this particular award, though the overall IT services market does involve significant small business participation.

Oversight & Accountability

Oversight for this contract would have been managed by the National Science Foundation's contracting officers and program managers. Accountability measures would include performance reviews, adherence to contract terms, and delivery of specified services. Transparency is generally facilitated through contract databases like FPDS, which provide public access to award details. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

NSF Website Modernization Projects
Federal IT Infrastructure Services
Digital Content Management Systems
Government Portal Development
IT Professional Services

Risk Flags

Limited Competition
Time and Materials Pricing
Potential for Cost Overruns

Frequently Asked Questions

What is this federal contract paying for?

National Science Foundation awarded $34.1 million to IRONWORKS CONSULTING, L.L.C.. CONTENT, PORTAL, AND SEARCH SERVICES

Who is the contractor on this award?

The obligated recipient is IRONWORKS CONSULTING, L.L.C..

Which agency awarded this contract?

Awarding agency: National Science Foundation (National Science Foundation).

What is the total obligated amount?

The obligated amount is $34.1 million.

What is the period of performance?

Start: 2009-03-09. End: 2014-08-31.

What was the specific nature of the 'content, portal, and search services' provided under this contract?

The contract primarily involved the development, maintenance, and enhancement of the National Science Foundation's (NSF) online portals and digital content platforms. This included managing the NSF website, ensuring its functionality, improving search capabilities for users seeking information on NSF-funded research and programs, and potentially migrating or organizing digital assets. The goal was to provide a user-friendly and efficient experience for researchers, the public, and other stakeholders interacting with NSF's digital presence.

How does the Time and Materials (T&M) pricing structure compare to other contract types for similar IT services?

Time and Materials (T&M) contracts are flexible but can be riskier for the government regarding cost control compared to fixed-price contracts. In T&M, the government pays for the actual labor hours at specified rates and the actual cost of materials. This is suitable when the scope of work is not clearly defined or is expected to change. However, it lacks the cost certainty of a firm-fixed-price contract. For IT services where requirements are well-defined, fixed-price or cost-plus-fixed-fee contracts often offer better value and predictability. The NSF's use of T&M here suggests a need for flexibility, but it necessitates robust oversight to prevent cost overruns.

What are the implications of having only two bidders for this contract?

Having only two bidders suggests a potentially limited competitive landscape for this specific requirement. This could be due to several factors: the specialized nature of the services, high barriers to entry (e.g., security clearances, specific technical expertise), or insufficient outreach by the agency. From a taxpayer perspective, limited competition can lead to higher prices than might be achieved in a more robustly contested procurement. It also reduces the government's leverage in negotiations and may not incentivize the most innovative solutions if potential bidders perceive less risk of losing.

What is Ironworks Consulting, L.L.C.'s track record with federal contracts, particularly for IT services?

Ironworks Consulting, L.L.C. has a history of performing IT services for federal agencies. While this specific contract with the NSF represents a significant award, a broader review of their contract history would reveal the types of services they have provided, their performance ratings on past contracts, and their experience with similar scope requirements. Examining past performance data is crucial for assessing their capability and reliability in delivering complex IT solutions, especially for large-scale portal and content management projects.

How does the $34.1 million total award compare to NSF's overall IT spending?

The $34.1 million awarded to Ironworks Consulting represents a notable investment in IT services for content management and portal development over a period of approximately five years. To contextualize this within NSF's overall IT spending, one would need to compare it to the agency's total annual IT budget and other major IT procurements during the contract period (2009-2014). If NSF's total IT budget was in the hundreds of millions or billions annually, this contract would represent a significant but not dominant portion. Conversely, if the total IT budget was smaller, this contract would be a more substantial allocation.

Were there any performance issues or contract modifications during the life of this award?

Without access to the detailed contract file, including modification history and performance reports, it is difficult to ascertain specific performance issues or modifications. However, given the five-year duration and Time and Materials pricing, it is common for such contracts to undergo modifications to adjust scope, funding, or timelines based on evolving requirements or performance feedback. A thorough review would involve examining contract modification logs and any available performance assessments to understand how the contract evolved and if any issues were formally addressed.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DACS09Q2111

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: ICF International, Inc.

Address: 10900 NUCKOLS RD, STE 400, GLEN ALLEN, VA, 23060

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: $38,691,751

Exercised Options: $38,691,751

Current Obligation: $34,111,147

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS35F0634R

IDV Type: FSS

Timeline