SSA awards $45.3M contract to CA, INC. for Software Publishers services
Contract Overview
Contract Amount: $45,278,592 ($45.3M)
Contractor: CA, Inc.
Awarding Agency: Social Security Administration
Start Date: 2011-10-01
End Date: 2012-09-30
Contract Duration: 365 days
Daily Burn Rate: $124.1K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: SS00-07-60009 CA, INC.SW
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20171
State: Virginia Government Spending
Plain-Language Summary
Social Security Administration obligated $45.3 million to CA, INC. for work described as: SS00-07-60009 CA, INC.SW Key points: 1. Contract awarded to CA, INC. for $45.3 million. 2. The contract falls under the Software Publishers NAICS code. 3. This contract was not competed, raising potential concerns about price discovery. 4. The award was made to a single vendor, CA, INC.
Value Assessment
Rating: questionable
The contract value of $45.3 million for a 1-year duration is significant. Without competitive bidding, it's difficult to assess if this price is optimal compared to market rates for similar software publishing services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, meaning it was not competed. This limits price discovery and may result in higher costs for the government compared to a competitive procurement.
Taxpayer Impact: The lack of competition for a $45.3 million contract could lead to taxpayers paying more than necessary for the software publishing services.
Public Impact
Taxpayers may be overpaying due to the lack of competition. The Social Security Administration relies on this vendor for critical software publishing needs. Limited transparency into the pricing structure due to sole-source award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- Potential for overpayment
Positive Signals
- Award to a single, established vendor
Sector Analysis
The Software Publishers sector involves companies that produce and distribute software. Government spending in this area is crucial for IT infrastructure and operations. Benchmarks for similar contracts are hard to establish without competitive data.
Small Business Impact
This contract was awarded to CA, INC., a single entity, and there is no indication of subcontracting opportunities for small businesses within this data. The sole-source nature further limits potential small business involvement.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny. Oversight should focus on ensuring the necessity of a sole-source justification and verifying the reasonableness of the price paid, even without competition.
Related Government Programs
- Software Publishers
- Social Security Administration Contracting
- Social Security Administration Programs
Risk Flags
- Sole-source award
- Lack of competition
- Potential for inflated pricing
- Limited transparency in price determination
Tags
software-publishers, social-security-administration, va, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Social Security Administration awarded $45.3 million to CA, INC.. SS00-07-60009 CA, INC.SW
Who is the contractor on this award?
The obligated recipient is CA, INC..
Which agency awarded this contract?
Awarding agency: Social Security Administration (Social Security Administration).
What is the total obligated amount?
The obligated amount is $45.3 million.
What is the period of performance?
Start: 2011-10-01. End: 2012-09-30.
What was the justification for awarding this contract on a sole-source basis?
The provided data indicates the contract was 'NOT COMPETED' and awarded to 'CA, INC.'. A sole-source justification would typically involve circumstances where only one vendor can provide the required goods or services, such as unique capabilities, urgent needs, or follow-on work. Further investigation into the SSA's procurement records would be necessary to ascertain the specific rationale.
How can the government ensure fair pricing without competition?
Even in sole-source procurements, agencies can employ several strategies to ensure fair pricing. This includes conducting thorough market research to establish independent government cost estimates, negotiating aggressively with the vendor, and utilizing cost analysis techniques. Verifying the vendor's cost proposals and profit margins is also crucial to mitigate the risks associated with a lack of competition.
What is the potential impact on future procurements if sole-source awards become common?
A pattern of sole-source awards can stifle innovation and competition within the market, potentially leading to higher prices and reduced quality over time. It can discourage new entrants and entrench incumbent contractors. Agencies should prioritize competitive procurements whenever feasible to foster a healthy market and ensure the best value for taxpayer dollars.
Industry Classification
NAICS: Information › Software Publishers › Software Publishers
Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2291 WOOD OAK DR, HERNDON, VA, 11
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $45,278,592
Exercised Options: $45,278,592
Current Obligation: $45,278,592
Parent Contract
Parent Award PIID: SS000760009
IDV Type: IDC
Timeline
Start Date: 2011-10-01
Current End Date: 2012-09-30
Potential End Date: 2012-09-30 00:00:00
Last Modified: 2011-12-30
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