Justice Department awards $2.16M sole-source contract for litigation consultant services to Center for Health Care Strategies, Inc

Contract Overview

Contract Amount: $21,557 ($21.6K)

Contractor: Center for Health Care Strategies, Inc.

Awarding Agency: Department of Justice

Start Date: 2025-02-13

End Date: 2027-02-12

Contract Duration: 729 days

Daily Burn Rate: $30/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: LITIGATIVE CONSULTANT SERVICES IN ACCORDANCE WITH STATEMENT OF WORK.

Place of Performance

Location: TRENTON, MERCER County, NEW JERSEY, 08619

State: New Jersey Government Spending

Plain-Language Summary

Department of Justice obligated $21,557 to CENTER FOR HEALTH CARE STRATEGIES, INC. for work described as: LITIGATIVE CONSULTANT SERVICES IN ACCORDANCE WITH STATEMENT OF WORK. Key points: 1. Contract awarded on a sole-source basis, limiting potential for competitive pricing. 2. The contract duration of 729 days suggests a need for ongoing, specialized support. 3. The North American Industry Classification System (NAICS) code 541199 indicates a broad category of 'All Other Legal Services'. 4. The contract type is 'Time and Materials', which can pose cost control challenges if not closely managed. 5. The award is a Purchase Order, typically used for simpler acquisitions. 6. The contractor, Center for Health Care Strategies, Inc., is based in New Jersey.

Value Assessment

Rating: questionable

Without a competitive bidding process, it is difficult to benchmark the value for money. The 'Time and Materials' contract type, while flexible, carries inherent risks of cost overruns if not meticulously monitored. A comparison to similar litigation consultant services procured through competitive means would be necessary to assess if the pricing is fair and reasonable. The lack of competition raises concerns about whether the government secured the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This typically occurs when only one responsible source is available or when a compelling justification for other than full and open competition exists. The lack of multiple bidders means there was no direct price competition, which can lead to higher costs for the government.

Taxpayer Impact: Sole-source awards limit the government's ability to leverage competition to drive down prices, potentially resulting in higher expenditures for taxpayers.

Public Impact

The Department of Justice benefits from specialized litigation consultant services. These services are intended to support legal proceedings and case management. The contractor is located in New Jersey, suggesting potential local or regional impact. The contract supports the 'Offices, Boards and Divisions' within the Justice Department.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing.
Time and Materials contract type can lead to unpredictable costs.
Lack of transparency in the justification for sole-source award.

Positive Signals

Contract awarded to a specific entity, implying a known capability.
Clear contract end date provides a defined period for services.

Sector Analysis

The legal services sector is diverse, encompassing a wide range of specialized support. Contracts for litigation consulting fall under professional services, often requiring deep expertise in specific legal areas. The NAICS code 541199, 'All Other Legal Services,' suggests a broad scope that could include research, analysis, and support for complex legal cases. Benchmarking spending in this category is challenging due to its heterogeneity, but government reliance on external consultants for specialized legal tasks is common.

Small Business Impact

There is no indication that this contract includes a small business set-aside. The award is made directly to Center for Health Care Strategies, Inc. without mention of subcontracting requirements for small businesses. This contract does not appear to directly benefit the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Justice's internal procurement and legal review processes. As a Purchase Order, it may be subject to standard administrative oversight. Transparency regarding the justification for the sole-source award and the monitoring of the 'Time and Materials' expenditures would be key accountability measures. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Justice Litigation Support Contracts
Federal Legal Services Procurement
Professional Services Contracts

Risk Flags

Sole-source award
Time and Materials contract type
Lack of competitive bidding

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $21,557 to CENTER FOR HEALTH CARE STRATEGIES, INC.. LITIGATIVE CONSULTANT SERVICES IN ACCORDANCE WITH STATEMENT OF WORK.

Who is the contractor on this award?

The obligated recipient is CENTER FOR HEALTH CARE STRATEGIES, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $21,557.

What is the period of performance?

Start: 2025-02-13. End: 2027-02-12.

What is the specific nature of the 'LITIGATIVE CONSULTANT SERVICES' being procured under this contract?

The provided data indicates the contract is for 'LITIGATIVE CONSULTANT SERVICES IN ACCORDANCE WITH STATEMENT OF WORK.' However, the specific statement of work (SOW) is not detailed in the provided data. Generally, litigation consultant services can encompass a wide range of support activities for legal cases. This might include expert witness preparation, case strategy development, legal research, document review and management, jury consulting, or providing specialized subject matter expertise relevant to the litigation. The 'All Other Legal Services' NAICS code (541199) further suggests a broad scope. To understand the precise services, one would need to access the full contract documentation, including the SOW.

What is the track record of Center for Health Care Strategies, Inc. with the Department of Justice or other federal agencies?

The provided data does not include information on the track record of Center for Health Care Strategies, Inc. (CHCS). To assess their past performance, one would need to consult federal procurement databases like SAM.gov or FPDS-NG for previous contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or terminations. Understanding their experience with similar services and their performance history with the government is crucial for evaluating the risk and value of this sole-source award.

How does the 'Time and Materials' contract type compare to other contract types for similar services, and what are the associated risks?

Time and Materials (T&M) contracts are used when the extent or duration of the work cannot be predetermined. They reimburse the contractor for direct labor hours at specified fixed hourly rates (including wages, overhead, and profit) and for the actual cost of materials. Compared to Firm-Fixed-Price (FFP) contracts, T&M offers more flexibility but carries higher risk for the government regarding cost control. The primary risk is that costs can escalate significantly if the contractor's labor hours or material costs are higher than anticipated, or if the scope of work expands without adequate oversight. Effective management, including detailed tracking of hours and costs, and clear definition of ceiling prices, are essential to mitigate these risks.

What is the justification for awarding this contract on a sole-source basis instead of through full and open competition?

The provided data states the contract was 'NOT COMPETED,' indicating a sole-source award. Federal Acquisition Regulation (FAR) Part 6 outlines the policies for contracting, generally requiring full and open competition. Sole-source awards are exceptions, typically justified under specific circumstances such as: only one responsible source being available; a national emergency; or when it is in the government's interest to award to a specific contractor due to unique capabilities or past performance. Without the specific justification document (e.g., a Justification and Approval - J&A), it is impossible to determine the precise reason. This lack of transparency is a concern for ensuring taxpayer value.

Are there any comparable contracts for litigation consultant services that could provide a benchmark for this award's value?

Benchmarking this award's value is challenging without access to the specific Statement of Work and the contractor's proposed pricing structure. However, general comparisons can be made. The NAICS code 541199 covers a broad range of legal services. If this contract involves highly specialized expertise or support for complex, high-stakes litigation, the rates might be higher than for more routine legal support. To establish a benchmark, one would ideally look for similar sole-source or competitively awarded contracts for litigation consulting services within the Department of Justice or other agencies, examining their duration, scope, and total value. The 'Time and Materials' nature of this award also complicates direct comparisons with fixed-price contracts.

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: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 300 AMERICAN METRO BLVD STE 125, HAMILTON, NJ, 08619

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

Financial Breakdown

Contract Ceiling: $21,557

Exercised Options: $21,557

Current Obligation: $21,557

Actual Outlays: $9,637

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline