Treasury's $26M operational support contract with Amer Technology Inc. awarded competitively

Contract Overview

Contract Amount: $26,001,326 ($26.0M)

Contractor: Amer Technology, Inc.

Awarding Agency: Department of the Treasury

Start Date: 2006-04-30

End Date: 2007-09-30

Contract Duration: 518 days

Daily Burn Rate: $50.2K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 25

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: OPERATIONAL SUPPORT SERVICES

Place of Performance

Location: CHAMBERSBURG, FRANKLIN County, PENNSYLVANIA, 17201

State: Pennsylvania Government Spending

Plain-Language Summary

Department of the Treasury obligated $26.0 million to AMER TECHNOLOGY, INC. for work described as: OPERATIONAL SUPPORT SERVICES Key points: 1. Contract awarded competitively, suggesting potential for good value. 2. Delivery order structure may indicate flexibility in service needs. 3. Contract duration of 518 days is moderate. 4. The North American Industry Classification System (NAICS) code 561499 suggests a broad range of business support services. 5. The contract was awarded as a Time and Materials type, which can pose cost control risks if not managed closely. 6. The small business status of the contractor is not indicated as a set-aside.

Value Assessment

Rating: good

The total value of $26,001,325.89 for operational support services over approximately 17 months appears reasonable given the scope. Benchmarking against similar contracts for broad business support services would provide a more precise value-for-money assessment. The Time and Materials pricing structure, while flexible, necessitates careful monitoring to ensure costs remain within expected parameters and do not escalate due to inefficiencies or scope creep. Without specific performance metrics or detailed service breakdowns, a definitive value assessment is challenging, but the competitive award is a positive indicator.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a 'COMPETITIVE DELIVERY ORDER', indicating that it was competed under a broader contract vehicle. The presence of 25 bids suggests a healthy level of competition for this delivery order. A competitive process generally leads to better price discovery and encourages contractors to offer competitive terms and pricing to win the award. The number of bidders indicates that the market for these services is robust and that the government had multiple viable options.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition scenario. The active bidding process helps ensure that public funds are used efficiently.

Public Impact

Federal agencies requiring operational and business support services benefit from the continuity of these essential functions. The services delivered likely support the day-to-day administrative and operational needs of the Bureau of the Fiscal Service. The geographic impact is primarily within Pennsylvania, where the contractor is located, but the services support federal operations nationwide. Workforce implications include employment opportunities for individuals with administrative and business support skills within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not managed diligently, as it reimburses direct labor hours and material costs.
The broad NAICS code (561499) might indicate a wide scope of services, making it harder to precisely define and measure performance outcomes.
Lack of specific performance metrics in the provided data makes it difficult to assess the contractor's efficiency and effectiveness.

Positive Signals

The contract was awarded through a full and open competitive process with 25 bids, indicating strong market interest and likely competitive pricing.
The award to 'AMER TECHNOLOGY, INC.' suggests a potentially established vendor in the business support services sector.
The contract was a delivery order, which implies it was likely placed against an existing Indefinite Delivery/Indefinite Quantity (IDIQ) contract, potentially streamlining the acquisition process.

Sector Analysis

Operational support services, falling under the broad category of business support services (NAICS 561499), are a critical component of federal agency operations. This sector encompasses a wide range of activities, from administrative and clerical support to specialized business process outsourcing. The federal government is a significant consumer of these services, contracting for everything from call centers and mailroom operations to data entry and document management. The market is diverse, with numerous small, medium, and large businesses competing for these contracts. Spending in this area is often driven by the need for agencies to focus on core missions rather than administrative overhead.

Small Business Impact

The provided data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Amer Technology, Inc.'s size status is not specified, but the absence of a set-aside designation means it could be a large business. This contract does not appear to have a subcontracting plan requirement explicitly mentioned in the summary data. The lack of a small business set-aside means that opportunities for small businesses to directly compete for this prime contract were limited, though they might still participate as subcontractors if Amer Technology, Inc. is a large business.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration team within the Bureau of the Fiscal Service or the Department of the Treasury. Performance monitoring, invoice review, and adherence to contract terms are standard oversight mechanisms. Transparency is generally facilitated through contract databases like FPDS-NG, which provide public access to contract awards. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse related to this contract arise.

Related Government Programs

Administrative Support Services
Business Process Outsourcing
Professional Services
IT Support Services (if applicable to operational support)
Logistics and Support Services

Risk Flags

Time and Materials contract type requires careful monitoring to control costs.
Broad NAICS code may indicate a wide scope, potentially impacting performance clarity.
Lack of specific performance metrics in summary data hinders detailed assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $26.0 million to AMER TECHNOLOGY, INC.. OPERATIONAL SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is AMER TECHNOLOGY, INC..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Bureau of the Fiscal Service).

What is the total obligated amount?

The obligated amount is $26.0 million.

What is the period of performance?

Start: 2006-04-30. End: 2007-09-30.

What specific types of operational support services were included under this contract?

The provided data indicates the contract falls under NAICS code 561499, 'All Other Business Support Services.' This is a broad category that can encompass a wide array of services. Without further details, it's difficult to pinpoint the exact services. However, typical services under this code might include administrative support, clerical services, mailroom operations, call center support, document management, data entry, and other non-specialized business support functions. The specific services would have been detailed in the Statement of Work (SOW) for this delivery order, outlining the tasks Amer Technology, Inc. was expected to perform for the Bureau of the Fiscal Service.

How does the per-unit cost or hourly rate compare to market benchmarks for similar operational support services?

The provided data does not include specific hourly rates or per-unit costs for the services rendered under this contract. It only provides the total award amount ($26,001,325.89) and the contract type (Time and Materials). To benchmark, one would need to analyze the labor categories, their associated hourly rates, and any markups on materials, as well as the total hours expended. Comparing these rates to industry averages for similar roles (e.g., administrative assistants, clerks, support staff) in the relevant geographic area (Pennsylvania) and for federal contracts would be necessary. Given the competitive award, it is likely that the rates were considered fair and reasonable at the time of award, but a detailed analysis would require access to the contract's pricing details.

What is Amer Technology, Inc.'s track record with federal contracts, particularly for operational support services?

The data indicates that Amer Technology, Inc. was awarded this $26 million contract for operational support services. To assess their track record, one would need to examine their past performance on other federal contracts. This would involve looking at contract databases for previous awards, their values, durations, agencies served, and performance reviews (if publicly available). A positive track record would include successful completion of similar services, adherence to schedules and budgets, and positive past performance evaluations. Conversely, a history of contract disputes, terminations, or poor performance would raise concerns. Without access to a comprehensive contract history for Amer Technology, Inc., a full assessment of their track record is not possible based solely on this single award.

What were the key performance indicators (KPIs) for this contract, and how was performance measured?

The provided summary data does not include details on Key Performance Indicators (KPIs) or how performance was measured for this contract. Typically, for operational support services, KPIs might include metrics such as response times, accuracy rates (e.g., for data entry), customer satisfaction scores (if applicable), turnaround times for tasks, and adherence to service level agreements (SLAs). Performance would be monitored by the government's Contracting Officer's Representative (COR) or Technical Point of Contact (TPOC), who would assess the contractor's deliverables against the requirements outlined in the Statement of Work (SOW). Regular performance reviews and acceptance of deliverables would be part of the oversight process.

How does the total spending on operational support services by the Bureau of the Fiscal Service compare to previous years or other similar agencies?

This data point only provides information on a single contract award. To understand the Bureau of the Fiscal Service's overall spending on operational support services, one would need to aggregate spending data across all relevant contracts over multiple fiscal years. Comparing this aggregated spending to historical trends for the Bureau, or to spending patterns of similarly sized bureaus or agencies within the Treasury Department or other federal entities, would provide valuable context. Factors influencing spending include agency size, mission complexity, and the extent to which administrative functions are outsourced versus performed in-house. Without broader spending data, this comparison cannot be made.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Business Support Services › All Other Business Support Services

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: Q005936-SEA

Offers Received: 25

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6502 BANDERA RD STE 105, SAN ANTONIO, TX, 90

Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business

Financial Breakdown

Contract Ceiling: $26,001,326

Exercised Options: $26,001,326

Current Obligation: $26,001,326

Parent Contract

Parent Award PIID: TPD04C0013

IDV Type: IDC

Timeline