EDS wins critical GSA HSPD-12 contract

Published 25 April 2007

Bidding is fierce after agency cancels BearingPoint options and puts contract out to bid; $66.3 million bid includes work by L1, ActiveIdentity, and Entrust

Our loyal readers will recall our report from late last year that GSA had awarded consulting powerhouse BearingPoint a $104 million, five-year (one fixed and four option years) contract to provide end-to-end services for government agencies yet to comply with HSPD-12 requirements. Under the contract, the McLean, Virginia-based company was to help cash-strapped and understaffed agencies coordinate the purchase and implementation of government-approved products and services. Then two months later, we reported that GSA had decided not to pursue the option years and instead put the contract out to bid. At the time, BearingPoint spokesman Steve Lunceford claimed that the company “welcomed the competition.” No doubt he regrets the sentiment now that GSA has awarded the contract to rival EDS.

The competition was fierce, with EDS beating out six other companies with its $66.3 million bid — a bid that should save GSA $40 million over the life of the company. (The agency narrowed the competition earlier this month from six to three, including BearingPoint, but that company did not in the end submit a pricing proposal. The other finalist was XTec.) EDS’s partners on the project, FCW reported, include L1 Identity Solutions (enrollment services), ActiveIdentity (card management software), Entrust (public-key infrastructure), and Oberthur Card Systems (the cards themselves.)