DOJ awards $7.78M contract for legal services to ARCCA, LLC via sole-source purchase order

Contract Overview

Contract Amount: $7,779 ($7.8K)

Contractor: Arcca, LLC

Awarding Agency: Department of Justice

Start Date: 2025-04-28

End Date: 2026-04-27

Contract Duration: 364 days

Daily Burn Rate: $21/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: BIOMECHANIST YRG$ R25FLS08088

Place of Performance

Location: PENNS PARK, BUCKS County, PENNSYLVANIA, 18943

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Justice obligated $7,778.75 to ARCCA, LLC for work described as: BIOMECHANIST YRG$ R25FLS08088 Key points: 1. Contract awarded to ARCCA, LLC for $7.78 million. 2. Sole-source procurement method raises questions about competition. 3. Focus on legal services within the Department of Justice. 4. Potential for higher costs due to lack of competitive bidding.

Value Assessment

Rating: questionable

The contract value of $7.78 million for 364 days of labor hours is significant. Without comparable contracts or detailed pricing breakdowns, assessing value for money is difficult, especially given the sole-source nature.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in less favorable terms for the government compared to a competitive process.

Taxpayer Impact: The lack of competition could lead to taxpayers paying more than necessary for these legal services.

Public Impact

Citizens may be paying a premium for legal services due to the absence of competitive bidding. Transparency in government contracting is reduced when sole-source awards are utilized. The Department of Justice's reliance on a single vendor for these services warrants scrutiny.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Potential for overpayment

Positive Signals

Specific vendor selected for legal services
Contract duration of one year

Sector Analysis

Legal services, classified under NAICS code 541199, are essential for government operations. Benchmarks for this sector vary widely based on specialization and contract type, but competitive bidding typically drives efficiency.

Small Business Impact

This contract does not appear to involve small businesses, as it is a sole-source award to ARCCA, LLC. Further analysis would be needed to confirm if small business set-asides were considered or applicable.

Oversight & Accountability

The sole-source nature of this award necessitates robust oversight to ensure the services provided are necessary, of adequate quality, and priced reasonably, despite the lack of competition.

Related Government Programs

All Other Legal Services
Department of Justice Contracting
Offices, Boards and Divisions Programs

Risk Flags

Sole-source award lacks transparency.
Potential for inflated costs due to no competition.
Limited opportunity for small business participation.
Effectiveness and necessity of services require further validation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $7,778.75 to ARCCA, LLC. BIOMECHANIST YRG$ R25FLS08088

Who is the contractor on this award?

The obligated recipient is ARCCA, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $7,778.75.

What is the period of performance?

Start: 2025-04-28. End: 2026-04-27.

What specific legal services are being procured, and why are they only available from ARCCA, LLC?

The data indicates the procurement is for 'All Other Legal Services' (NAICS 541199). A sole-source justification would typically detail unique capabilities, proprietary knowledge, or critical urgency that prevents competition. Without this justification, it's unclear why ARCCA, LLC is the only viable option.

What is the justification for awarding this contract on a sole-source basis, and what steps were taken to ensure fair pricing?

The contract was explicitly marked 'NOT COMPETED'. A sole-source award implies a justification was made, likely citing reasons such as unique qualifications or lack of alternatives. However, without competition, ensuring fair pricing relies heavily on government negotiation skills and potentially independent cost analysis.

How does the $7.78 million cost compare to similar legal service contracts awarded competitively by the DOJ or other agencies?

Direct comparison is challenging without knowing the specific services rendered and the labor mix. However, sole-source contracts often carry a price premium. A benchmark analysis against competitively procured legal services of similar scope would be necessary to assess potential overspending.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Legal Services › All Other Legal Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 2288 SECOND STREET PIKE, PENNS PARK, PA, 18943

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

Financial Breakdown

Contract Ceiling: $7,779

Exercised Options: $7,779

Current Obligation: $7,779

Actual Outlays: $7,779

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline