Doj's $15.8M IT Contract for Scor 2 Cameo Engineering Awarded to ECS Federal, LLC

Contract Overview

Contract Amount: $15,812,005 ($15.8M)

Contractor: ECS Federal, LLC

Awarding Agency: Department of Justice

Start Date: 2024-09-30

End Date: 2026-09-29

Contract Duration: 729 days

Daily Burn Rate: $21.7K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: SCOR 2 CAMEO ENGINEERING

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22031

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $15.8 million to ECS FEDERAL, LLC for work described as: SCOR 2 CAMEO ENGINEERING Key points: 1. Contract awarded via a Best Value approach, indicating a balance between cost and technical factors. 2. The contract utilizes a Time and Materials pricing model, which can pose cost control risks if not closely managed. 3. Awarded under Simplified Acquisition Procedures (SAP), suggesting a focus on efficiency for smaller dollar value procurements. 4. The duration of 729 days allows for sustained support but requires ongoing performance monitoring. 5. The specific NAICS code (541519) points to a broad range of computer-related services, requiring clear scope definition. 6. The contract is a BPA Call, indicating it's a task order against a pre-existing Blanket Purchase Agreement.

Value Assessment

Rating: fair

The contract's value of $15.8 million over approximately two years falls within a typical range for IT support services. However, the Time and Materials (T&M) pricing structure warrants careful scrutiny. Without robust oversight and defined labor categories, T&M contracts can escalate in cost beyond initial estimates. Benchmarking against similar IT support contracts would be necessary to definitively assess value for money, but the T&M nature introduces inherent risk.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), which allows for a broader range of competition than micro-purchases but is less formal than full and open competition for larger contracts. The data indicates 2 bids were received, suggesting a moderate level of competition for this procurement. While competed, the limited number of bidders might suggest potential limitations in market reach or contractor interest within the specific service niche.

Taxpayer Impact: A competed award under SAP generally offers better price discovery than a sole-source award. However, with only two bidders, taxpayers may not have realized the full benefit of a highly competitive market, potentially leading to slightly higher prices than if more firms had participated.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving IT support services. Services delivered are expected to support the SCOR 2 CAMEO ENGINEERING program, crucial for FBI operations. The contract is geographically focused on Virginia, where the FBI has significant operational presence. The contract likely supports a workforce of IT professionals, contributing to the federal IT labor market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Risk of cost overruns due to Time and Materials pricing model without strict controls.
Potential for scope creep if the exact IT services required are not precisely defined.
Limited competition (2 bidders) may have resulted in a suboptimal price.
Dependence on a single contractor (ECS FEDERAL, LLC) for critical IT services.

Positive Signals

Awarded through a competitive process, indicating some level of market vetting.
The contract is a BPA Call, suggesting it leverages an existing, pre-vetted agreement.
The contract duration allows for stable IT support delivery.
The contractor, ECS FEDERAL, LLC, has experience in federal IT contracting.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer-related services. The IT services market is vast and highly competitive, with numerous firms offering specialized support. Contracts like this are essential for government agencies to maintain and upgrade their technological infrastructure. Comparable spending benchmarks for IT support services vary widely based on scope, duration, and required expertise, but $15.8 million over two years is a significant, yet not extraordinary, investment for a federal agency like the FBI.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). As a BPA Call awarded under SAP, it's possible that larger prime contractors were eligible and participated. There is no explicit information on subcontracting plans, but given the nature of IT services, there is potential for small businesses to be involved as subcontractors if ECS FEDERAL, LLC opts to utilize them. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Bureau of Investigation (FBI) contracting officers and program managers. As a Time and Materials contract, rigorous monitoring of labor hours, rates, and direct costs is crucial. The Department of Justice's Office of the Inspector General (OIG) may conduct audits or investigations if specific concerns arise regarding performance, cost, or compliance. Transparency is facilitated through contract award databases, but detailed performance metrics are typically internal.

Related Government Programs

FBI IT Support Services
Department of Justice IT Modernization
SCOR Program Contracts
IT Services Blanket Purchase Agreements

Risk Flags

Time and Materials Pricing
Limited Competition
Broad NAICS Code

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $15.8 million to ECS FEDERAL, LLC. SCOR 2 CAMEO ENGINEERING

Who is the contractor on this award?

The obligated recipient is ECS FEDERAL, 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 $15.8 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-09-29.

What is the track record of ECS FEDERAL, LLC with the federal government, particularly in IT services?

ECS FEDERAL, LLC has a significant track record of performing federal IT contracts. A review of federal procurement data reveals numerous awards to ECS FEDERAL, LLC across various agencies, including the Department of Defense, Department of Homeland Security, and civilian agencies. Their portfolio often includes IT modernization, cybersecurity, cloud services, and enterprise IT support. The company has demonstrated experience in delivering complex solutions and managing large-scale IT projects. This specific contract for the FBI's SCOR 2 CAMEO ENGINEERING program aligns with their established capabilities in providing computer-related services. Past performance evaluations and contract close-out data would provide a more granular view of their success rates and any performance issues on previous federal engagements.

How does the $15.8 million value compare to similar IT support contracts awarded by the FBI or DOJ?

The $15.8 million value for a two-year IT support contract is within the expected range for a federal agency of the FBI's size and scope. The FBI, like other major law enforcement and intelligence agencies, requires substantial IT infrastructure and ongoing support. Contracts for similar services, such as network management, software development support, or end-user support, often range from several million to tens of millions of dollars annually, depending on the complexity and breadth of services. For instance, other large IT support contracts within the Department of Justice or comparable agencies like the Department of Homeland Security can easily exceed this figure. The specific nature of 'SCOR 2 CAMEO ENGINEERING' implies specialized IT functions that justify this investment. A direct comparison would require identifying contracts with identical NAICS codes and service descriptions, but the overall magnitude is consistent with federal IT spending patterns for critical support functions.

What are the primary risks associated with the Time and Materials (T&M) pricing structure used in this contract?

The primary risk with a Time and Materials (T&M) pricing structure is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual labor hours expended and the cost of materials used, plus a fixed fee or labor rate multiplier. If not managed diligently, this can lead to escalating costs if the scope of work is not well-defined, if contractor efficiency is low, or if there is scope creep. For the government, this means less predictability in final costs. Effective oversight, including detailed tracking of hours, verification of labor categories and rates, and robust change control processes, is essential to mitigate these risks and ensure the government receives good value. Without such controls, T&M contracts can become significantly more expensive than initially projected.

How effective is Simplified Acquisition Procedures (SAP) in ensuring fair competition for contracts of this size?

Simplified Acquisition Procedures (SAP) are designed to streamline the procurement process for acquisitions valued between the micro-purchase threshold and the simplified acquisition threshold (currently $250,000, but higher for certain agencies like DoD). For contracts like this one, valued at $15.8 million, it implies that the agency utilized a specific exception or higher threshold applicable to their needs, or that the contract value is an estimate that could grow. SAP aims to increase efficiency and reduce administrative burden. While it allows for broader competition than micro-purchases, it typically involves fewer formal requirements than full and open competition. The effectiveness in ensuring fair competition depends on how the agency implements SAP, including outreach efforts to potential vendors and the solicitation process. Receiving two bids suggests some competition, but it may not be as robust as a full and open competition, potentially impacting price discovery.

What are the historical spending patterns for IT services within the Federal Bureau of Investigation?

The Federal Bureau of Investigation (FBI) consistently represents a significant portion of the Department of Justice's (DOJ) IT spending. Historical data shows substantial and often increasing investments in IT services, driven by the agency's evolving mission requirements, technological advancements, and the need to manage vast amounts of data. Spending typically covers areas such as network infrastructure, cybersecurity, software development and maintenance, data analytics, cloud computing, and end-user support. The FBI's IT budget often runs into the hundreds of millions of dollars annually, reflecting the critical role technology plays in its operations. Contracts for IT support, system integration, and specialized IT solutions are common. This $15.8 million contract for SCOR 2 CAMEO ENGINEERING fits within this broader pattern of significant and sustained investment in IT capabilities by the FBI.

What does the NAICS code 541519 (Other Computer Related Services) encompass in the context of this contract?

The NAICS code 541519, 'Other Computer Related Services,' is a broad category that covers establishments primarily engaged in providing on-site or remote computer services, or supporting computer systems and/or software. This can include a wide array of services not classified under more specific codes, such as computer disaster recovery services, computer systems integration design consulting, computer facilities management, computer virus removal services, and computer network management services. In the context of this $15.8 million contract for the FBI's SCOR 2 CAMEO ENGINEERING program, it suggests the services required are diverse and may involve a combination of IT support, system administration, network operations, and potentially specialized engineering or consulting related to computer systems, falling outside more narrowly defined categories like software development or data processing.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Asgn Incorporated

Address: 2750 PROSPERITY AVE STE 600, FAIRFAX, VA, 22031

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,812,005

Exercised Options: $15,812,005

Current Obligation: $15,812,005

Actual Outlays: $6,585,569

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $9,693,952

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 15F06724A0000314

IDV Type: BPA

Timeline