Treasury's $19.25M Secure Payment System Contract Awarded to High Performance Technologies Innovations, LLC

Contract Overview

Contract Amount: $19,253,819 ($19.3M)

Contractor: High Performance Technologies Innovations, LLC

Awarding Agency: Department of the Treasury

Start Date: 2003-11-26

End Date: 2007-09-30

Contract Duration: 1,404 days

Daily Burn Rate: $13.7K/day

Competition Type: NON-COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SECURE PAYMENT SYSTEM

Place of Performance

Location: HYATTSVILLE, PRINCE GEORGE'S County, MARYLAND, 20782

State: Maryland Government Spending

Plain-Language Summary

Department of the Treasury obligated $19.3 million to HIGH PERFORMANCE TECHNOLOGIES INNOVATIONS, LLC for work described as: SECURE PAYMENT SYSTEM Key points: 1. The contract value is $19.25 million. 2. The award was non-competitive, raising questions about price discovery. 3. The contract duration is over 3 years. 4. The sector appears to be IT/Financial Services.

Value Assessment

Rating: questionable

The contract was awarded non-competitively, making it difficult to assess pricing against similar contracts. Without competitive bids, it's hard to determine if the $19.25 million represents a fair market price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This was a non-competitive delivery order. The lack of competition likely limited price discovery and may have resulted in a higher cost than if multiple vendors had bid.

Taxpayer Impact: Taxpayer funds were spent without the benefit of competitive bidding, potentially leading to a less efficient use of resources.

Public Impact

Government payment systems are critical for financial operations. Non-competitive awards can lead to higher costs for taxpayers. The duration of the contract suggests a significant, ongoing need for the service. Transparency in contracting is essential for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Non-competitive award
Lack of price competition
Long contract duration

Positive Signals

Specific system for secure payments
Firm fixed price contract

Sector Analysis

The contract falls within the IT and financial services sector, focusing on secure payment systems. Benchmarks for similar secure payment system development and maintenance contracts would be needed for a more precise comparison.

Small Business Impact

There is no indication that small businesses were involved in this non-competitive award, suggesting a missed opportunity for small business participation.

Oversight & Accountability

The non-competitive nature of this award warrants scrutiny to ensure the government received fair value and that proper justification for sole-sourcing was documented.

Related Government Programs

Department of the Treasury Contracting
Financial Management Service Programs

Risk Flags

Non-competitive award
Potential for overpayment due to lack of competition
Limited transparency on contractor selection
No indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $19.3 million to HIGH PERFORMANCE TECHNOLOGIES INNOVATIONS, LLC. SECURE PAYMENT SYSTEM

Who is the contractor on this award?

The obligated recipient is HIGH PERFORMANCE TECHNOLOGIES INNOVATIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Financial Management Service).

What is the total obligated amount?

The obligated amount is $19.3 million.

What is the period of performance?

Start: 2003-11-26. End: 2007-09-30.

What was the justification for awarding this contract non-competitively?

The justification for a non-competitive award typically involves factors such as urgency, unique capabilities of the contractor, or a lack of available alternatives. Without specific documentation, it's impossible to ascertain the precise reasons, but such justifications are crucial for ensuring taxpayer funds are used appropriately and that competition was not unnecessarily excluded.

How does the cost of this secure payment system compare to industry benchmarks for similar systems?

Direct comparison is challenging due to the non-competitive nature of the award and the lack of detailed cost breakdowns. However, generally, sole-source contracts tend to be more expensive than those awarded through full and open competition. Further analysis would require access to detailed cost data and comparable market research.

What is the long-term effectiveness and scalability of this secure payment system?

The effectiveness and scalability of the system are not directly assessable from the provided data. The contract duration suggests an expectation of continued utility, but ongoing performance monitoring and user feedback would be necessary to evaluate its true long-term value and adaptability to future needs.

Competition & Pricing

Extent Competed: NON-COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11955 FREEDOM DR SUITE1100, RESTON, VA, 11

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $21,800,926

Exercised Options: $19,253,819

Current Obligation: $19,253,819

Timeline