US Marshals Service Spends $4.8M on Financial Audit Remediation with SIKICH CPA LLC

Contract Overview

Contract Amount: $4,793,947 ($4.8M)

Contractor: Sikich CPA LLC

Awarding Agency: Department of Justice

Start Date: 2024-01-22

End Date: 2027-01-21

Contract Duration: 1,095 days

Daily Burn Rate: $4.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: LABOR HOURS

Sector: Other

Official Description: FINANCIAL AND AUDIT REMEDIATION FOR THE US MARSHALS SERVICE

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22314

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $4.8 million to SIKICH CPA LLC for work described as: FINANCIAL AND AUDIT REMEDIATION FOR THE US MARSHALS SERVICE Key points: 1. Contract awarded for essential financial and audit remediation services. 2. SIKICH CPA LLC secured the contract through full and open competition. 3. The contract value is approximately $4.8 million over three years. 4. This spending supports the operational integrity of the US Marshals Service.

Value Assessment

Rating: good

The contract value of $4.8 million for financial and audit remediation appears reasonable given the scope and duration. Benchmarking against similar government contracts for specialized accounting services would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple qualified firms can bid.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary financial services.

Public Impact

Ensures financial accountability and compliance for a critical law enforcement agency. Supports the operational readiness and integrity of the US Marshals Service. Provides specialized expertise in audit remediation, addressing potential financial risks.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized
Clear contract duration and defined services

Sector Analysis

This contract falls within the professional services sector, specifically accounting and auditing. Government spending in this area is crucial for maintaining financial transparency and regulatory compliance across agencies.

Small Business Impact

The contract does not indicate specific set-asides for small businesses, suggesting larger firms were likely the primary bidders. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

The Department of Justice's oversight ensures that the US Marshals Service adheres to financial regulations and that contracted services meet required standards.

Related Government Programs

Offices of Certified Public Accountants
Department of Justice Contracting
Offices, Boards and Divisions Programs

Risk Flags

Potential for scope creep if remediation needs are underestimated.
Dependence on a single contractor for critical financial functions.
Ensuring the long-term effectiveness of the remediation beyond the contract period.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $4.8 million to SIKICH CPA LLC. FINANCIAL AND AUDIT REMEDIATION FOR THE US MARSHALS SERVICE

Who is the contractor on this award?

The obligated recipient is SIKICH CPA 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 $4.8 million.

What is the period of performance?

Start: 2024-01-22. End: 2027-01-21.

What specific audit findings or remediation needs prompted this contract?

The contract is for financial and audit remediation, implying the US Marshals Service identified areas requiring improvement in its financial reporting or audit processes. Specific findings would typically be detailed in internal audit reports or management letters, which are not publicly available in this data.

How does the per-unit cost compare to similar audit remediation contracts?

A direct per-unit cost comparison is difficult without knowing the specific deliverables and labor hours involved. However, the total contract value of $4.8 million over three years for a federal agency's audit remediation suggests a significant scope, and pricing would be benchmarked against industry standards for such specialized services.

What is the potential impact on the Marshals Service's operational efficiency if remediation is not successful?

Failure to successfully remediate audit findings could lead to significant operational disruptions, including potential funding issues, increased scrutiny from oversight bodies, and damage to the agency's reputation. It could also hinder the ability to effectively manage resources and execute its law enforcement mission.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Offices of Certified Public Accountants

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: 5

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 333 JOHN CARLYLE ST STE 500, ALEXANDRIA, VA, 22314

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $9,949,814

Exercised Options: $5,671,747

Current Obligation: $4,793,947

Actual Outlays: $1,149,778

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 15JPSS21A00000066

IDV Type: BPA

Timeline