OPM Spends $13.4M on Secured Portal Services With ESP Group, Inc. for Computer Systems Design

Contract Overview

Contract Amount: $13,447,601 ($13.4M)

Contractor: ESP Group, Inc, the

Awarding Agency: Office of Personnel Management

Start Date: 2005-06-01

End Date: 2010-05-30

Contract Duration: 1,824 days

Daily Burn Rate: $7.4K/day

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SECURED PORTAL SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

Office of Personnel Management obligated $13.4 million to ESP GROUP, INC, THE for work described as: SECURED PORTAL SERVICES Key points: 1. Contract awarded for Computer Systems Design Services. 2. Total contract value is $13.4 million. 3. The award was made by the Office of Personnel Management. 4. Services were provided in Virginia. 5. Contract duration was 1824 days.

Value Assessment

Rating: fair

The contract value of $13.4 million for computer systems design services over five years appears to be within a reasonable range, though specific benchmarks for 'secured portal services' are not readily available. Without more granular data on the scope and complexity of the services, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded sole-source, which limits price discovery and competition. This approach may lead to higher costs than if multiple vendors had competed for the contract. The justification for a sole-source award would be critical to understanding the necessity and potential cost implications.

Taxpayer Impact: Sole-source awards can potentially lead to higher taxpayer costs due to the lack of competitive bidding. The government must ensure that the price paid is fair and reasonable, even without competition.

Public Impact

Federal employees rely on secured portals for accessing sensitive information and services. The contract ensures the continuity of essential IT infrastructure for the OPM. Potential for data breaches or service disruptions if the portal is not adequately maintained.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition and potentially increases cost.
Lack of detailed service scope makes value assessment difficult.
Long contract duration without clear performance metrics raises concerns.

Positive Signals

Essential service for OPM operations.
Contract awarded to a single vendor, potentially ensuring specialized expertise.

Sector Analysis

The IT services sector, particularly computer systems design, is a significant area of federal spending. Benchmarks for similar contracts are highly variable based on scope, security requirements, and duration. This contract falls within the broader IT services category.

Small Business Impact

The contract was awarded to ESP GROUP, INC, THE, which is not indicated as a small business. There is no information provided on subcontracting opportunities for small businesses under this award.

Oversight & Accountability

Oversight of this sole-source contract would be crucial to ensure the vendor is meeting performance requirements and that the pricing remains fair and reasonable throughout the contract term. Regular performance reviews and audits are essential.

Related Government Programs

Computer Systems Design Services
Office of Personnel Management Contracting
Office of Personnel Management Programs

Risk Flags

Sole-source award
Lack of competition
Potential for cost overruns
Limited transparency on performance metrics
Long contract duration

Frequently Asked Questions

What is this federal contract paying for?

Office of Personnel Management awarded $13.4 million to ESP GROUP, INC, THE. SECURED PORTAL SERVICES

Who is the contractor on this award?

The obligated recipient is ESP GROUP, INC, THE.

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 $13.4 million.

What is the period of performance?

Start: 2005-06-01. End: 2010-05-30.

What was the specific justification for awarding this contract sole-source, and how was the fair and reasonable price determined?

The justification for a sole-source award typically involves a unique capability or lack of competition. For this contract, the agency would need to document why only ESP GROUP, INC. could provide the secured portal services. Price reasonableness would likely be assessed through historical pricing, comparison to similar (if any) sole-source contracts, or market research conducted by the agency.

What are the key performance indicators (KPIs) for these secured portal services, and how has ESP GROUP, INC. performed against them?

Key performance indicators would likely include system uptime, security incident response times, data integrity, user satisfaction, and adherence to service level agreements. Performance against these KPIs would be documented in contract performance reports. Without access to these reports, it's difficult to assess the effectiveness of the services provided by ESP GROUP, INC.

What is the potential risk to OPM operations if these secured portal services were disrupted or compromised?

Disruption or compromise of secured portal services could have severe consequences for OPM, including the inability of federal employees to access critical systems and sensitive data, potential breaches of personally identifiable information (PII), and damage to the agency's reputation. The criticality of these services necessitates robust security measures and contingency plans.

Industry Classification

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

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

Contractor Details

Parent Company: NC4, LLC (UEI: 143630502)

Address: 1225 JEFFERSON DAVIS HWY, ARLINGTON, VA, 08

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $13,447,601

Exercised Options: $13,447,601

Current Obligation: $13,447,601

Parent Contract

Parent Award PIID: GS35F0740M

IDV Type: FSS

Timeline