State Department's $16.8M HR Knowledge Center contract awarded to Buchanan & Edwards, Inc. for custom programming

Contract Overview

Contract Amount: $16,816,061 ($16.8M)

Contractor: Buchanan & Edwards, Inc.

Awarding Agency: Department of State

Start Date: 2005-09-28

End Date: 2010-09-20

Contract Duration: 1,818 days

Daily Burn Rate: $9.3K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: HUMAN RESOURCE KNOWLEDGE CENTER

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20037

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $16.8 million to BUCHANAN & EDWARDS, INC. for work described as: HUMAN RESOURCE KNOWLEDGE CENTER Key points: 1. Contract value represents a significant investment in human resource IT infrastructure. 2. Competition dynamics for this contract type warrant further examination to ensure optimal pricing. 3. Performance risk is moderate given the duration and scope of custom programming services. 4. This contract falls within the broader IT services sector, supporting essential government functions. 5. The contract's focus on custom programming suggests a need for specialized technical expertise. 6. Geographic concentration in Washington D.C. may indicate a focus on federal agency operations.

Value Assessment

Rating: fair

The contract's total value of $16.8 million over its lifespan appears substantial for custom computer programming services. Benchmarking against similar contracts for HR IT systems is challenging without more specific service details. However, the duration of the contract (over 5 years) suggests a potentially reasonable annual spend if the services delivered were comprehensive and met evolving needs. The absence of a clear per-unit cost benchmark makes a precise value-for-money assessment difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order, indicating it was part of a larger competitive process. The 'full-and-open' competition suggests multiple bidders likely vied for this award. A competitive award generally promotes price discovery and encourages contractors to offer competitive pricing to win the business. The specific number of bidders is not provided, which would offer further insight into the intensity of the competition.

Taxpayer Impact: A full and open competition is beneficial for taxpayers as it typically leads to better pricing and a wider range of innovative solutions being considered, maximizing the value of federal dollars.

Public Impact

Federal employees across the Department of State benefit from improved human resource management systems. The contract delivers custom computer programming services to enhance HR functionalities. The primary geographic impact is within Washington D.C., where the Department of State is headquartered. The contract supports a workforce of IT professionals and HR specialists involved in system development and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in custom programming projects over a long contract duration.
Reliance on a single vendor for critical HR IT infrastructure could pose long-term risks.
Ensuring continued alignment with evolving HR needs and technological advancements requires proactive management.

Positive Signals

Awarded through a competitive process, suggesting potential for good value.
Long contract duration may indicate a stable and reliable service delivery.
Focus on custom programming suggests tailored solutions to specific agency needs.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically custom computer programming services. The IT services market for government contracts is substantial, with agencies increasingly relying on specialized software and systems to manage operations. Comparable spending benchmarks for custom HR IT solutions can vary widely based on complexity, user base, and integration requirements. The Department of State's investment reflects a broader trend of federal agencies modernizing their internal systems.

Small Business Impact

The data indicates 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 set-aside provision. The prime contractor, Buchanan & Edwards, Inc., is likely a mid-to-large sized firm, and any subcontracting would be at their discretion to fulfill contract requirements.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Department of State. Accountability measures would be defined in the contract's statement of work and performance standards. Transparency is generally facilitated through contract award databases and reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of State IT Modernization Initiatives
Federal Human Resources Management Systems
Custom Software Development Contracts
Government IT Services Procurement

Risk Flags

Long contract duration may increase risk of scope creep and evolving requirements.
Labor hours contract type can lead to cost overruns if not closely monitored.
Reliance on custom programming may lead to vendor lock-in.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $16.8 million to BUCHANAN & EDWARDS, INC.. HUMAN RESOURCE KNOWLEDGE CENTER

Who is the contractor on this award?

The obligated recipient is BUCHANAN & EDWARDS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $16.8 million.

What is the period of performance?

Start: 2005-09-28. End: 2010-09-20.

What was the specific nature of the custom computer programming services provided under this contract?

The provided data indicates the contract was for 'Custom Computer Programming Services' (nd: 541511) for the 'HUMAN RESOURCE KNOWLEDGE CENTER' (d). While the exact functionalities are not detailed, this typically involves designing, developing, and implementing software solutions tailored to specific organizational needs. For a Human Resource Knowledge Center, this could encompass modules for employee data management, payroll processing, benefits administration, performance tracking, training coordination, and internal HR policy dissemination. The 'labor hours' (pt) contract type suggests that the contractor was paid based on the time and effort of their personnel, implying a flexible approach to development that could adapt to evolving requirements over the contract's duration.

How does the total contract value of $16.8 million compare to similar HR IT system contracts within the federal government?

Directly comparing the $16.8 million value requires access to a broader dataset of similar HR IT system contracts, considering factors like agency size, user base, complexity of modules, and contract duration. However, for a contract spanning over five years (2005-2010), this figure suggests a significant, long-term investment. Larger agencies often have HR systems costing tens or even hundreds of millions over their lifecycle. Smaller agencies or those with less complex needs might procure similar services for considerably less. The 'competitive delivery order' award type implies it was part of a larger framework, potentially allowing for more competitive pricing than a standalone sole-source contract, but without knowing the number of bidders or specific service levels, a precise value comparison remains difficult.

What were the key performance indicators (KPIs) or success metrics for this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) or success metrics for this contract. Typically, for custom computer programming services, KPIs would focus on aspects such as system uptime, response times, bug resolution rates, user satisfaction, adherence to project timelines, and successful implementation of new features or modules. For a Human Resource Knowledge Center, metrics might also include the efficiency of HR processes automated by the system, data accuracy, and security compliance. These would have been detailed in the contract's Statement of Work (SOW) and performance work statement (PWS).

What is the track record of Buchanan & Edwards, Inc. in delivering similar IT services to the federal government?

Buchanan & Edwards, Inc. has a history of providing IT and management consulting services to various U.S. federal agencies. Their portfolio often includes work in areas such as enterprise resource planning (ERP), system modernization, cybersecurity, and data analytics. While specific details on their performance for this particular Department of State contract are not in the provided data, their general experience suggests they possess the capabilities to undertake complex IT projects. A deeper dive into their past performance evaluations and contract history would provide a more comprehensive understanding of their track record.

Were there any significant challenges or risks encountered during the performance of this contract?

The provided data does not detail specific challenges or risks encountered during the performance of this contract. However, custom programming projects, especially those with a long duration like this one (over 5 years), inherently carry risks. These can include technical challenges in development, integration issues with existing systems, evolving requirements leading to scope creep, contractor performance issues, or budget overruns. The 'labor hours' contract type can sometimes increase the risk of cost overruns if not managed tightly. Proactive risk management by both the contractor and the agency would have been crucial.

How has spending on custom computer programming services for HR functions evolved within the Department of State since this contract ended?

The provided data only covers a contract that ended in 2010. To assess the evolution of spending on custom computer programming for HR functions within the Department of State since then, one would need to analyze subsequent contracts awarded for similar purposes. Trends in federal IT spending generally show an increasing reliance on cloud-based solutions, Software-as-a-Service (SaaS) models, and agile development methodologies. It's likely that newer contracts would reflect these shifts, potentially moving away from traditional on-premise custom development towards more modern, flexible, and scalable solutions, possibly leveraging commercial off-the-shelf (COTS) products with customization or fully managed cloud services.

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: COMPETITIVE DELIVERY ORDER

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Contractor Details

Address: 1340 BRADDOCK PLACE, SUITE 400, ALEXANDRIA, VA, 08

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $18,830,833

Exercised Options: $18,830,833

Current Obligation: $16,816,061

Parent Contract

Parent Award PIID: GS06F0225Z

IDV Type: GWAC

Timeline