DOJ's FBI awards $26.2M IT services contract to Innovative Management and Technology Services, LLC

Contract Overview

Contract Amount: $26,248,870 ($26.2M)

Contractor: Innovative Management and Technology Services, LLC

Awarding Agency: Department of Justice

Start Date: 2019-02-16

End Date: 2023-05-01

Contract Duration: 1,535 days

Daily Burn Rate: $17.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: IT

Official Description: STOR 154 ON IT TRIPLE - S

Place of Performance

Location: STAFFORD, STAFFORD County, VIRGINIA, 22554

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $26.2 million to INNOVATIVE MANAGEMENT AND TECHNOLOGY SERVICES, LLC for work described as: STOR 154 ON IT TRIPLE - S Key points: 1. Contract value of $26.2M over approximately 4.2 years indicates a significant investment in IT support. 2. The 'Other Computer Related Services' NAICS code suggests a broad scope of IT support, potentially including consulting, integration, and maintenance. 3. Awarded under full and open competition, this contract likely benefited from a competitive bidding process. 4. The contract's duration of 1535 days (approx. 4.2 years) suggests a need for sustained IT services. 5. The use of 'Labor Hours' as the contract type implies payment based on the time and effort of personnel, which can be flexible but requires careful monitoring. 6. The 'VA' (Virginia) state designation indicates the primary location of service delivery or contractor presence.

Value Assessment

Rating: fair

Benchmarking the value of this $26.2M contract requires more granular data on the specific services rendered and the labor categories involved. Without detailed performance metrics or comparisons to similar IT service contracts within the FBI or DOJ, it is difficult to definitively assess value for money. The 'Labor Hours' pricing model can sometimes lead to cost overruns if not managed tightly, suggesting a need for robust oversight to ensure fair pricing against market rates for comparable IT support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit bids. This suggests a robust competitive environment, which typically leads to better price discovery and potentially more favorable terms for the government. The presence of 3 bidders, as indicated by 'no': 3, shows some level of competition, though a higher number of bidders would generally be preferred to maximize competitive pressure.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that drives down prices and encourages innovation from multiple vendors.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving essential IT support services. Services delivered likely encompass a range of computer-related tasks, crucial for the FBI's operational efficiency and data management. The contract's impact is primarily concentrated in Virginia, where the services are likely performed or managed. The contract supports IT professionals employed by Innovative Management and Technology Services, LLC, contributing to the tech workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost creep due to 'Labor Hours' pricing model if not rigorously monitored.
Scope definition for 'Other Computer Related Services' could be broad, leading to potential ambiguities in service delivery.
Dependence on a single contractor for critical IT functions over a multi-year period carries inherent risk.

Positive Signals

Awarded through full and open competition, suggesting a fair and transparent procurement process.
Contract duration of over 4 years implies a stable, long-term IT support solution for the FBI.
The contractor, Innovative Management and Technology Services, LLC, has secured a significant federal contract, indicating a level of established capability.

Sector Analysis

This contract falls within the broader Information Technology (IT) sector, specifically under 'Other Computer Related Services.' The federal IT services market is vast and highly competitive, with agencies constantly seeking to modernize infrastructure and enhance cybersecurity. Contracts like this are essential for maintaining the operational capabilities of law enforcement agencies. Comparable spending benchmarks would typically involve analyzing IT support contracts awarded to similar-sized firms by agencies like the FBI or other components of the Department of Justice.

Small Business Impact

The data indicates this contract was not set aside for small businesses ('sb': false) and does not explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem appears limited unless Innovative Management and Technology Services, LLC voluntarily engages small businesses as subcontractors. Further analysis of the subcontracting plan, if one exists, would be necessary to fully assess its implications for small businesses.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Federal Bureau of Investigation (FBI) and the Department of Justice (DOJ). Accountability measures are typically embedded in the contract terms, including performance standards, reporting requirements, and payment schedules tied to deliverables. Transparency is facilitated through contract award databases, though detailed performance data and specific oversight activities may not always be publicly accessible. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

FBI IT Modernization Programs
DOJ Information Technology Services
Federal Law Enforcement Technology Procurement
IT Support Services Contracts
Computer Systems Design Services

Risk Flags

Potential for cost overruns due to 'Labor Hours' pricing.
Broad scope of 'Other Computer Related Services' may lack specificity.
Contract duration requires sustained performance monitoring.
Limited competition (3 bidders) may impact price optimization.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $26.2 million to INNOVATIVE MANAGEMENT AND TECHNOLOGY SERVICES, LLC. STOR 154 ON IT TRIPLE - S

Who is the contractor on this award?

The obligated recipient is INNOVATIVE MANAGEMENT AND TECHNOLOGY SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $26.2 million.

What is the period of performance?

Start: 2019-02-16. End: 2023-05-01.

What is the track record of Innovative Management and Technology Services, LLC with federal contracts, particularly within the DOJ or FBI?

Assessing the track record of Innovative Management and Technology Services, LLC requires a review of their past federal contract awards and performance history. While this specific $26.2M contract is a significant award, understanding their broader experience with similar IT services, contract values, and agency types is crucial. Information from sources like the Federal Procurement Data System (FPDS) or the Government Accountability Office (GAO) bid protest decisions can shed light on their past performance, any disputes, and their overall reliability as a federal contractor. A history of successful contract completion and positive performance reviews would bolster confidence in their ability to deliver on this current award.

How does the $26.2M contract value compare to other similar IT support contracts awarded by the FBI or DOJ?

To benchmark the $26.2M contract value, one would need to compare it against IT support services contracts of similar scope and duration awarded by the FBI and the broader Department of Justice. The NAICS code 541519 ('Other Computer Related Services') is broad, so comparisons should ideally focus on contracts with similar service descriptions and labor hour pricing structures. Analyzing the average contract value, the number of bidders, and the final award prices for comparable contracts can indicate whether this award represents a fair market price or potentially a higher-than-average cost. Without access to a detailed comparative analysis, it's challenging to definitively state if this represents excellent or questionable value.

What are the primary risks associated with a 'Labor Hours' contract type for IT services, and how are they mitigated?

The primary risk associated with a 'Labor Hours' contract type is the potential for cost overruns if the contractor's labor hours exceed initial estimates or if billing rates are not carefully managed. This model can incentivize longer task completion times if not properly overseen. Mitigation strategies employed by the government typically include establishing clear work scopes, setting realistic labor hour ceilings, implementing rigorous monitoring of timesheets and work progress, requiring detailed progress reports, and conducting regular performance reviews. Strong contract administration and vigilant oversight by the FBI are essential to ensure that the government pays only for necessary and efficient labor.

What specific IT services are included under the 'Other Computer Related Services' (NAICS 541519) classification for this contract?

The NAICS code 541519, 'Other Computer Related Services,' is a broad classification that can encompass a wide array of IT support functions beyond standard software development or hardware maintenance. For this specific FBI contract, 'Other Computer Related Services' could include IT consulting, systems integration, network design and implementation, IT project management, data management services, cybersecurity consulting, IT support help desks, and potentially specialized IT training. The precise scope would be detailed in the contract's Statement of Work (SOW), which outlines the specific tasks, deliverables, and performance standards the contractor must meet. Understanding this detailed scope is critical for evaluating the contract's value and performance.

How has federal spending on IT services, particularly for law enforcement agencies like the FBI, trended over the past five years?

Federal spending on IT services, including for law enforcement agencies like the FBI, has generally trended upwards over the past five years, driven by the increasing digitization of operations, the need for advanced data analytics, cybersecurity enhancements, and modernization of legacy systems. Agencies are investing heavily in cloud computing, artificial intelligence, and secure communication networks. The FBI, in particular, relies heavily on sophisticated IT infrastructure to manage vast amounts of data, conduct investigations, and maintain national security. This upward trend suggests a sustained demand for IT support contractors, making contracts like the one awarded to Innovative Management and Technology Services, LLC a common feature of federal IT procurement.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 7764 ARMISTEAD ROAD, LORTON, VA, 22079

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $38,886,175

Exercised Options: $38,886,175

Current Obligation: $26,248,870

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F0410S

IDV Type: FSS

Timeline