DOJ awards $15.6M for litigation support, with 3 bidders and 5 years of service

Contract Overview

Contract Amount: $15,625,781 ($15.6M)

Contractor: PAE Labat-Anderson LLC

Awarding Agency: Department of Justice

Start Date: 2021-06-01

End Date: 2026-05-31

Contract Duration: 1,825 days

Daily Burn Rate: $8.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $15.6 million to PAE LABAT-ANDERSON LLC for work described as: MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES Key points: 1. Value for money appears reasonable given the 5-year duration and competitive bidding. 2. The contract was fully and openly competed, suggesting a healthy market for these services. 3. Risk indicators are low, with a clear performance period and established contractor. 4. This contract supports essential legal services for the Department of Justice. 5. The services fall within the 'All Other Legal Services' category, a common support function.

Value Assessment

Rating: good

The total award of $15.6 million over five years averages to approximately $3.12 million annually. This is a moderate-sized contract for specialized legal support services. Benchmarking against similar contracts is difficult without more specific service details, but the pricing appears competitive given the full and open competition with three bidders. The time and materials pricing structure allows for flexibility but requires careful monitoring to ensure cost efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that the government sought proposals from all responsible sources. Three bidders submitted proposals, suggesting a reasonable level of competition for these specialized legal support services. The presence of multiple bidders generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The full and open competition process is beneficial for taxpayers as it encourages a wider range of providers to compete, driving down costs and improving the quality of services offered.

Public Impact

The Department of Justice benefits from enhanced litigation support capabilities. Services include essential legal assistance, potentially impacting case processing and outcomes. The contract's geographic impact is primarily national, supporting federal legal operations. Workforce implications include support for paralegals, legal assistants, and administrative staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if time and materials are not closely managed.
Dependence on a single contractor for critical support functions over a long period.

Positive Signals

Awarded through full and open competition, indicating market viability.
Contractor has a track record (implied by award), suggesting some level of performance.
Clear performance period (5 years) allows for planning and accountability.

Sector Analysis

The legal services sector is a significant part of the professional services industry. This contract falls under the 'All Other Legal Services' NAICS code (541199), which encompasses a broad range of legal support activities not elsewhere classified. Spending in this area supports the operational needs of government agencies, ensuring they have the necessary resources for legal proceedings and administrative functions. Comparable spending benchmarks would depend on the specific nature of the litigation support provided.

Small Business Impact

There is no indication that this contract included a small business set-aside. The contractor, PAE Labat-Anderson LLC, is a large business. Subcontracting opportunities for small businesses may exist, but they are not explicitly detailed in the provided data. The impact on the small business ecosystem is likely minimal unless significant subcontracting occurs.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of Justice. Accountability measures are tied to the delivery order terms and conditions, performance standards, and the time and materials payment structure. Transparency is facilitated through contract award databases, though detailed performance reports are usually internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

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

Risk Flags

Potential for cost creep due to Time and Materials pricing structure.
Long contract duration may limit flexibility to adopt newer technologies or services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $15.6 million to PAE LABAT-ANDERSON LLC. MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is PAE LABAT-ANDERSON 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 $15.6 million.

What is the period of performance?

Start: 2021-06-01. End: 2026-05-31.

What is the historical spending pattern for litigation support services at the Department of Justice?

Historical spending patterns for litigation support at the Department of Justice (DOJ) are not detailed in the provided data for this specific contract. However, the DOJ is a major federal agency with extensive legal needs, suggesting consistent and significant investment in litigation support over time. Analyzing past contract awards for similar services, including the number of contracts, their values, durations, and the types of services rendered, would provide a clearer picture. Trends might include shifts towards technology-enabled support, increased demand during periods of high litigation activity, or changes in how these services are procured (e.g., more competitive bidding, different contract types). Without access to broader DOJ procurement data, a precise historical analysis is not possible based solely on this single award.

How does the per-unit cost of this contract compare to market rates for similar litigation support services?

A direct per-unit cost comparison is not feasible with the provided data, as the contract is awarded on a time and materials (T&M) basis, and specific unit rates (e.g., hourly rates for different labor categories) are not disclosed. Market rates for litigation support services vary widely based on the complexity of the work, the experience level of personnel, geographic location, and the specific services required (e.g., e-discovery, document review, expert witness support). Generally, T&M contracts require careful monitoring by the government to ensure that costs remain reasonable and do not exceed estimates. The fact that this contract was awarded under full and open competition with three bidders suggests that the proposed rates were deemed competitive by the market at the time of award.

What is the track record of PAE Labat-Anderson LLC in providing federal litigation support services?

PAE Labat-Anderson LLC, now part of PAE Inc., has a significant history of providing professional services, including litigation support, to various U.S. government agencies. While the specific performance details for this particular $15.6 million Department of Justice contract (MEGA5) are not available in the provided snippet, the company has held numerous federal contracts over the years. Their track record generally includes support for legal operations, administrative functions, and specialized technical services. Assessing their performance on this specific contract would require reviewing performance evaluations (e.g., CPARS reports), any contract modifications, and user feedback from the DOJ's Offices, Boards and Divisions. A comprehensive review of their past performance across multiple contracts would offer a fuller picture of their reliability and capabilities in delivering federal litigation support.

What are the primary risks associated with a Time and Materials (T&M) contract for litigation support?

The primary risk associated with Time and Materials (T&M) contracts, like this DOJ litigation support award, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual time and materials used. This structure can incentivize longer task durations or less efficient work if not properly managed. For the government, effective oversight is crucial. This includes closely monitoring labor hours, ensuring that the work performed is necessary and efficient, and verifying that material costs are reasonable and directly related to the contract's objectives. Without robust oversight, the total cost can exceed initial estimates, potentially leading to a loss of value for the taxpayer. The contractor's performance history and the clarity of the Statement of Work also play a role in mitigating these risks.

How does the duration of this contract (5 years) impact its overall value and risk profile?

A five-year duration for this $15.6 million litigation support contract offers potential benefits and risks. On the positive side, a longer contract term can provide stability and continuity of essential services for the Department of Justice, reducing the administrative burden and costs associated with frequent re-procurement. It allows the contractor to develop deeper expertise and familiarity with the DOJ's specific needs. However, a longer duration also increases the risk of cost escalation if market rates change significantly or if inefficiencies develop over time. It also ties the government to a single provider for an extended period, potentially limiting opportunities to leverage newer technologies or more competitive offerings that might emerge. The value is maximized if performance remains high and costs are controlled throughout the period; risks are mitigated by strong contract management and performance monitoring.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Amentum Services, Inc.

Address: 7799 LEESBURG PIKE STE 300N, FALLS CHURCH, VA, 22043

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

Financial Breakdown

Contract Ceiling: $18,335,448

Exercised Options: $15,943,570

Current Obligation: $15,625,781

Actual Outlays: $14,785,504

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $204,008

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15JPSS20D00000373

IDV Type: IDC

Timeline