DoD's Air Force Awards $128M Contract to Guidehouse LLP for Accounting Services

Contract Overview

Contract Amount: $128,025,496 ($128.0M)

Contractor: Guidehouse LLP

Awarding Agency: Department of Defense

Start Date: 2015-08-27

End Date: 2018-08-26

Contract Duration: 1,095 days

Daily Burn Rate: $116.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::CT::IGF AWARD OF TASK ORDER 0010 (MERGER OF FIAR TOS 0002 AND 0008)

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20330

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $128.0 million to GUIDEHOUSE LLP for work described as: IGF::CT::IGF AWARD OF TASK ORDER 0010 (MERGER OF FIAR TOS 0002 AND 0008) Key points: 1. Significant award value of $128M for accounting services. 2. Guidehouse LLP, a major consulting firm, is the awardee. 3. Full and open competition was utilized, suggesting a competitive process. 4. The contract falls under the 'Offices of Certified Public Accountants' NAICS code.

Value Assessment

Rating: fair

The contract value of $128M for a 3-year period is substantial. Benchmarking against similar large-scale accounting and auditing contracts would be necessary to fully assess pricing fairness, but the duration and scope suggest a potentially reasonable price point if competition was robust.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing, although the specific impact depends on the number and quality of bids received.

Taxpayer Impact: Taxpayer funds are being used for essential accounting services. The competitive award process aims to ensure value for money, but ongoing monitoring is needed to confirm cost-effectiveness.

Public Impact

Ensures critical accounting and auditing functions for the Department of the Air Force. Supports financial management and accountability within a major federal agency. The large contract value signifies a significant investment in professional services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Potential for scope creep in long-term service contracts.
Reliance on a single vendor for critical financial functions.

Positive Signals

Awarded through full and open competition.
Clear contract duration and end date.
Fixed-price contract type can help control costs.

Sector Analysis

This contract falls within the professional services sector, specifically accounting and auditing. Federal spending in this area is substantial, supporting agency operations and compliance. Benchmarks for similar large-scale accounting contracts would typically be in the tens to hundreds of millions of dollars over multi-year periods.

Small Business Impact

The data indicates this contract was not set aside for small businesses and the awardee, Guidehouse LLP, is a large firm. Therefore, there is no direct small business participation indicated in this specific award.

Oversight & Accountability

The contract's duration and value necessitate robust oversight from the Department of the Air Force to ensure performance standards are met and costs remain controlled. Regular reviews and audits are crucial for accountability.

Related Government Programs

Offices of Certified Public Accountants
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for cost overruns if not closely managed.
Dependency on a single contractor for critical services.
Risk of vendor lock-in.
Need for strong contract administration to ensure quality and compliance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $128.0 million to GUIDEHOUSE LLP. IGF::CT::IGF AWARD OF TASK ORDER 0010 (MERGER OF FIAR TOS 0002 AND 0008)

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE LLP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $128.0 million.

What is the period of performance?

Start: 2015-08-27. End: 2018-08-26.

What specific accounting functions does this task order cover, and how do they align with the Air Force's strategic financial goals?

This task order, a merger of previous FIAR Task Orders, likely encompasses a range of financial improvement and audit readiness (FIAR) activities. These could include financial statement preparation, audit support, internal control assessments, and process improvements. Alignment with strategic goals would involve ensuring these functions contribute to the Air Force's overall financial transparency, accountability, and efficient resource management.

Given the full and open competition, what was the range of bids received, and how did Guidehouse LLP's proposal stand out?

The provided data does not include bid range information or specific details on why Guidehouse LLP was selected over competitors. A full analysis would require access to the solicitation documents and bid tabulation. Typically, selection involves evaluating technical approach, past performance, price, and other factors outlined in the solicitation.

What mechanisms are in place to measure the effectiveness and value delivered by Guidehouse LLP throughout the contract period?

Effectiveness and value are usually measured through performance metrics defined in the contract's Performance Work Statement (PWS). These could include timeliness of deliverables, accuracy of financial reporting, successful completion of audit support, and adherence to budget. The Contracting Officer's Representative (COR) is typically responsible for monitoring performance against these metrics.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Offices of Certified Public Accountants

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA489012R0006

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pricewaterhousecoopers Public Sector LLP (UEI: 791716954)

Address: 1800 TYSONS BLVD 6TH FL, MCLEAN, VA, 22102

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $128,025,496

Exercised Options: $128,025,496

Current Obligation: $128,025,496

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA489012D0031

IDV Type: IDC

Timeline