State Department's $28.8M software services contract awarded to Geneva Software, Inc. for enhancements and upgrades

Contract Overview

Contract Amount: $28,833,883 ($28.8M)

Contractor: Geneva Software, Inc.

Awarding Agency: Department of State

Start Date: 2016-11-16

End Date: 2022-02-15

Contract Duration: 1,917 days

Daily Burn Rate: $15.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: IT

Official Description: NEW BPA CALL ORDER FOR TASK ORDER #7 (OBO), STATE ADMINISTRATIVE SERVICES (SOFTWARE APPLICATION ENHANCEMENTS, UPGRADES, ETC) IGF::OT::IGF

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20520

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $28.8 million to GENEVA SOFTWARE, INC. for work described as: NEW BPA CALL ORDER FOR TASK ORDER #7 (OBO), STATE ADMINISTRATIVE SERVICES (SOFTWARE APPLICATION ENHANCEMENTS, UPGRADES, ETC) IGF::OT::IGF Key points: 1. Contract provides custom computer programming services, focusing on software application enhancements and upgrades. 2. The contract was awarded under a Blanket Purchase Agreement (BPA) Call Order, indicating a pre-competed framework. 3. Duration of the contract is over 1900 days, suggesting a long-term need for these services. 4. The primary service category is Custom Computer Programming Services, a common area for federal IT spending. 5. Awarded to a single vendor, Geneva Software, Inc., for the full duration of the task order. 6. The contract value is substantial, reflecting ongoing investment in the State Department's software infrastructure.

Value Assessment

Rating: fair

The total award amount of $28.8 million over approximately five years for custom computer programming services appears within a reasonable range for a federal contract of this nature. However, without specific details on the scope of work, the complexity of the software, and the specific services provided (enhancements, upgrades, etc.), a precise value-for-money assessment is challenging. Benchmarking against similar State Department IT service contracts or contracts for custom software development would provide a clearer picture of whether the pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, which is a positive indicator for price discovery and value. However, the data indicates this was a BPA Call Order, meaning the underlying BPA was likely competed previously. The specific task order was then issued under that BPA. The number of bidders for this specific call order is not provided, which limits the assessment of the current competition level for this particular task.

Taxpayer Impact: A full and open competition process generally benefits taxpayers by encouraging multiple vendors to bid, potentially driving down costs and improving service quality through competitive pressure.

Public Impact

Benefits the Department of State by ensuring its software applications are maintained, enhanced, and upgraded. Services delivered include custom computer programming, software application enhancements, and upgrades. Geographic impact is primarily within the District of Columbia, where the State Department is headquartered. Workforce implications include the employment of software developers and programmers by Geneva Software, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the effectiveness of the software enhancements.
The long duration of the contract could lead to vendor lock-in if not managed carefully.
Limited insight into the competitive landscape for this specific task order, despite being under a full and open BPA.

Positive Signals

Awarded through a full and open competition, suggesting a robust initial vetting process.
The contract addresses critical IT needs for a major federal agency, ensuring operational continuity.
The vendor, Geneva Software, Inc., has secured a significant contract, indicating a level of trust and capability.

Sector Analysis

The federal IT services market is vast, with agencies consistently investing in software development, maintenance, and upgrades to support their missions. Custom computer programming services, classified under NAICS code 541511, represent a significant portion of this spending. Contracts like this one are crucial for agencies like the Department of State to maintain and modernize their internal systems and outward-facing applications. Benchmarks for similar custom programming contracts can vary widely based on complexity, duration, and the specific technologies involved.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The primary focus of this award is on the capabilities of the prime contractor, Geneva Software, Inc.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Transparency is facilitated through contract award databases like FPDS. Accountability measures would be tied to the performance work statement and delivery schedules outlined in the BPA call order. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of State IT Modernization Efforts
Custom Software Development Services
Blanket Purchase Agreements (BPAs)
Federal IT Services Spending

Risk Flags

Potential for vendor lock-in due to long contract duration.
Risk of technological obsolescence over the contract period.
Need for robust oversight to ensure performance and value.
Limited insight into specific performance metrics for this task order.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $28.8 million to GENEVA SOFTWARE, INC.. NEW BPA CALL ORDER FOR TASK ORDER #7 (OBO), STATE ADMINISTRATIVE SERVICES (SOFTWARE APPLICATION ENHANCEMENTS, UPGRADES, ETC) IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is GENEVA SOFTWARE, INC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $28.8 million.

What is the period of performance?

Start: 2016-11-16. End: 2022-02-15.

What is the track record of Geneva Software, Inc. with federal contracts, particularly with the Department of State?

Geneva Software, Inc. has a history of receiving federal contracts. While this specific award of $28.8 million is substantial, a deeper dive into their contract portfolio would reveal the types of services they have provided, their performance history on previous contracts, and their overall relationship with the Department of State and other federal agencies. Analyzing past performance reviews, any contract modifications, and the timeliness of their deliverables would offer a more comprehensive understanding of their reliability and capability as a contractor. Without access to detailed historical contract data and performance evaluations, it's difficult to definitively assess their track record beyond the fact that they were awarded this significant task order.

How does the $28.8 million award compare to other custom computer programming services contracts awarded by the Department of State?

The $28.8 million award for custom computer programming services over approximately five years is a significant sum, indicating a substantial investment by the Department of State. To benchmark this value, one would need to compare it against similar contracts awarded by the State Department for software enhancements, upgrades, and custom development. Factors such as the scope of work, the complexity of the software, the number of labor hours required, and the specific skill sets of the personnel involved would influence pricing. If other comparable contracts for similar services were awarded at lower total values or with more favorable terms, it might suggest that this particular award could potentially be higher than market rates, or conversely, it might reflect the unique demands or criticality of the State Department's specific software needs.

What are the primary risks associated with a long-term contract for software application enhancements and upgrades?

Long-term contracts for software development and maintenance, such as this five-year award, carry several inherent risks. One primary risk is technological obsolescence; the software and technologies in use may become outdated before the contract concludes, requiring costly re-engineering or replacement. Another risk is vendor lock-in, where the agency becomes heavily reliant on a single vendor's proprietary knowledge and systems, making it difficult and expensive to switch providers. Scope creep is also a common risk, where the project's requirements expand beyond the original agreement, leading to cost overruns and schedule delays. Furthermore, maintaining consistent quality and performance from the vendor over an extended period requires diligent oversight and performance management to mitigate potential declines in service delivery.

How effective has the Department of State been in managing its IT service contracts to ensure optimal value and performance?

Assessing the overall effectiveness of the Department of State's IT contract management requires a broad review of their contracting history, performance metrics, and audit reports from bodies like the Inspector General. While specific data on this particular contract's effectiveness is not yet available due to its ongoing nature, the Department, like many large federal agencies, faces challenges in managing complex IT procurements. Success often depends on robust requirements definition, diligent oversight, clear performance metrics, and proactive risk management. Analyzing trends in contract modifications, cost overruns, and successful project completions across their IT portfolio would provide a more comprehensive answer to this question.

What is the historical spending pattern of the Department of State on custom computer programming services?

The Department of State, like other large federal agencies, consistently allocates significant funds towards IT services, including custom computer programming. Historical spending patterns reveal a continuous need for software development, maintenance, and upgrades to support diplomatic operations, data management, and internal systems. Analyzing past years' spending on NAICS code 541511 (Custom Computer Programming Services) and related IT categories would show trends in investment levels, the types of services procured, and the primary contractors utilized. This specific $28.8 million award represents a portion of that ongoing investment, reflecting the agency's commitment to maintaining and modernizing its technological infrastructure.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 2121 COOPERATIVE WAY STE 300, HERNDON, VA, 20171

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $31,082,433

Exercised Options: $31,082,433

Current Obligation: $28,833,883

Actual Outlays: $2,708,282

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: SAQMMA17A0001

IDV Type: BPA

Timeline