MT. LAUREL, New Jersey - October 31, 2006 - PRICE Systems, world leader in Program Affordability Management Solutions, today announced that the company has won a competitive contract with a ceiling value of $10 million to supply cost and schedule estimation and analysis solutions to the Internal Revenue Service Modernization Information Technology Initiatives. The award continues a banner year for PRICE whose Government Solutions Division in Arlington, Virginia has, within the last four months, been awarded similar major contracts from the U.S. Navy, the Department of Homeland Security, the Department of the Interior, and the U.S. General Services Administration.
"Considering the very stiff competition, this award is particularly pleasing and a ringing endorsement of PRICE's value in the federal market," said Larry Reagan, Vice President of the company's Government Solutions Division. "Our products, methodologies, and extremely talented people have incrementally and impressively proven their worth to decision-makers."
PRICE systems participated in an initial opportunity at the IRS in 2004, when the company applied its parametric cost modeling tools and methodologies to develop independent cost estimates for a portion of a modernized income tax system. The PRICE Systems team developed an estimate so close to actual cost that the capability was adopted as a baseline "Independent Government Cost Estimate (IGCE)" methodology for use with all applications within the IRS's overall modernization program. "The IRS efforts have been very challenging," says Bill Mathis, Senior Director of Government Solutions Delivery. "Each application had unique features making it very difficult to build a standard approach, but we did. The team of analysts we have supporting this customer has performed exceptionally well. The IRS has already issued one task order against the BPA and we expect another very shortly."
The IGCEs are helping the IRS to establish a repeatable Program Affordability Management process to better comply with the President's Management Agenda to improve the overall agency performance rating. This past summer, IRS purchased TruePlanning Executive Portal which is an add-on application for PRICE's TruePlanning® Suite. This Executive Portal enables the IRS Business Systems Modernization program office to further improve its tracking of all estimates, analyses, risks, and program status from an affordability perspective. "The IRS had an approach, but they didn't have confidence in their results. We worked with them to build consistency in their methodologies and, working with the right tools, have boosted their confidence significantly. Even the Treasury Inspector General Tax Administration (TIGTA) recognized one of the projects for significant improvement. It is great to work with a customer who understands their needs and recognizes our value," says Kevin McKeel, Technical Director for Government Solutions.