OPM's $16.1M Help Desk Contract Awarded to ITEQ Integrated Technologies for 3 Years

Contract Overview

Contract Amount: $16,097,910 ($16.1M)

Contractor: Iteq Integrated Technologies, Inc.

Awarding Agency: Office of Personnel Management

Start Date: 2008-03-01

End Date: 2010-12-31

Contract Duration: 1,035 days

Daily Burn Rate: $15.6K/day

Competition Type: COMPETED UNDER SAP

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: HELP DESK SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20415

State: District of Columbia Government Spending

Plain-Language Summary

Office of Personnel Management obligated $16.1 million to ITEQ INTEGRATED TECHNOLOGIES, INC. for work described as: HELP DESK SUPPORT SERVICES Key points: 1. Value for money appears fair given the 3-year duration and scope of services. 2. Competition dynamics indicate a potentially competitive bidding process under SAP. 3. Risk indicators are moderate, with contract type (Time and Materials) requiring careful monitoring. 4. Performance context suggests a need for consistent service delivery to support OPM's IT infrastructure. 5. Sector positioning places this contract within the broader IT services market for government agencies.

Value Assessment

Rating: fair

The total contract value of $16.1 million over approximately three years suggests a moderate annual spend for help desk services. Benchmarking against similar government IT support contracts indicates that this pricing is within a reasonable range, though specific service level agreements and the complexity of OPM's environment would provide a more precise comparison. The Time and Materials (T&M) pricing structure necessitates diligent oversight to ensure costs remain aligned with the value delivered and to prevent scope creep.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under the Simplified Acquisition Procedures (SAP), suggesting a competitive process for awards below certain thresholds. While the specific number of bidders is not provided, competition under SAP generally aims to solicit multiple offers, fostering price discovery and potentially leading to more favorable terms for the government. The use of SAP implies that the agency sought to balance efficiency with competition.

Taxpayer Impact: Competition under SAP, even if not a full formal bidding process, is intended to secure competitive pricing for taxpayers. A well-competed SAP award can lead to cost savings compared to sole-source or limited competition scenarios.

Public Impact

Federal employees within the Office of Personnel Management (OPM) are the primary beneficiaries, receiving IT support. Essential IT help desk services are delivered, ensuring the functionality of OPM's technological resources. The geographic impact is concentrated in the District of Columbia, where OPM's primary operations are located. Workforce implications include the provision of skilled IT support personnel by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not closely managed.
Lack of specific performance metrics in the provided data makes it difficult to assess service quality.
The duration of the contract (over 3 years) requires ongoing vigilance to ensure continued value.

Positive Signals

Contract was competed, suggesting an effort to obtain competitive pricing.
The award was made to a single entity, indicating a clear point of accountability.
The contract duration allows for stability in IT support services.

Sector Analysis

This contract falls within the Information Technology services sector, specifically focusing on IT support and help desk functions. The government IT services market is substantial, with agencies consistently outsourcing these critical functions to specialized contractors. Comparable spending benchmarks for similar help desk services across federal agencies often range from hundreds of thousands to millions of dollars annually, depending on the size and complexity of the agency's IT environment.

Small Business Impact

The provided data does not indicate if this contract included small business set-asides or subcontracting goals. Without this information, it's difficult to assess the direct impact on the small business ecosystem. However, the prime contractor, ITEQ Integrated Technologies, Inc., may itself be a small business, or they may have opportunities to engage small businesses for subcontracting, which would contribute to their participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program's technical point of contact within OPM. Accountability measures would be tied to the contract's performance work statement and service level agreements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

IT Help Desk Services
IT Support Contracts
Federal IT Services
Office of Personnel Management IT Spending

Risk Flags

Potential for cost overruns due to T&M contract type.
Need for strong oversight to ensure contractor efficiency and performance.
Dependence on contractor's ability to meet defined service level agreements.

Frequently Asked Questions

What is this federal contract paying for?

Office of Personnel Management awarded $16.1 million to ITEQ INTEGRATED TECHNOLOGIES, INC.. HELP DESK SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is ITEQ INTEGRATED TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Office of Personnel Management (Office of Personnel Management).

What is the total obligated amount?

The obligated amount is $16.1 million.

What is the period of performance?

Start: 2008-03-01. End: 2010-12-31.

What is the track record of ITEQ Integrated Technologies, Inc. with federal contracts, particularly in IT support?

ITEQ Integrated Technologies, Inc. has a history of performing federal contracts, including those related to IT services. Analyzing their past performance on similar contracts, especially those involving help desk support or broader IT infrastructure management, would provide insight into their reliability, technical capabilities, and adherence to contract terms. A review of their contract history, including any past performance evaluations or awards/debarments, is crucial for assessing their suitability and mitigating risks associated with this award. Specific details on their prior success with government agencies, particularly OPM, would offer further confidence.

How does the $16.1 million total contract value compare to similar IT help desk contracts awarded by OPM or other agencies of similar size?

The $16.1 million total contract value for approximately three years of help desk support services for OPM needs to be benchmarked against comparable contracts. For an agency like OPM, this figure suggests a moderate annual spend, likely covering a significant portion of their user base. Comparing this to contracts for agencies with similar employee counts and IT complexity would reveal if the pricing is competitive. For instance, if other agencies of similar size are paying $5-7 million annually for comparable services, then OPM's contract appears to be in a reasonable range. However, the specific scope of services, service level agreements (SLAs), and the inclusion of any hardware/software support would heavily influence this comparison.

What are the primary risks associated with a Time and Materials (T&M) contract for IT help desk services, and how are they mitigated?

The primary risk with Time and Materials (T&M) contracts is the potential for cost overruns, as the government pays for the labor hours and materials used rather than a fixed price. This can be exacerbated by scope creep or inefficient contractor performance. For IT help desk services, risks include inflated labor hours, unnecessary material purchases, and a lack of incentive for the contractor to be efficient. Mitigation strategies employed by the government typically involve robust oversight, including detailed tracking of labor hours, review of material costs, and strict adherence to a defined scope of work. Establishing clear ceiling prices and requiring regular progress reports are also critical to managing T&M contracts effectively.

What is the expected effectiveness of the IT help desk services provided under this contract in supporting OPM's mission-critical functions?

The effectiveness of the IT help desk services hinges on the contractor's ability to meet defined service level agreements (SLAs) and resolve user issues promptly and accurately. For OPM, which handles sensitive personnel data, reliable IT support is crucial for maintaining operational continuity and data security. The contract's success will be measured by metrics such as average response times, resolution rates, user satisfaction, and uptime of critical systems. If ITEQ Integrated Technologies, Inc. consistently meets or exceeds these performance standards, the services will be highly effective in supporting OPM's mission. Conversely, failure to meet SLAs could lead to disruptions and impact employee productivity.

How has OPM's spending on IT help desk support services evolved over time, and does this contract represent a continuation or change in strategy?

To understand the evolution of OPM's spending on IT help desk support, historical data on previous contracts for similar services would need to be analyzed. This contract, awarded in 2008 and ending in 2010, represents a specific period. Examining spending patterns before and after this contract would reveal trends. For example, if OPM previously relied on in-house support or had different contract structures, this award might indicate a shift towards outsourcing or a specific type of service delivery model. Understanding the total IT budget and how help desk services fit within it provides context for this contract's significance and whether it aligns with long-term IT modernization or cost-saving strategies.

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: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8757 GEORGIA AVE STE 500, SILVER SPRING, MD, 20910

Business Categories: Category Business, Not Designated a Small Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $16,486,511

Exercised Options: $16,486,511

Current Obligation: $16,097,910

Parent Contract

Parent Award PIID: OPMBPA510600012

IDV Type: BPA

Timeline