DOJ's $3.1M GPS tracking contract awarded to Knowmadics Inc. without competition

Contract Overview

Contract Amount: $3,115,500 ($3.1M)

Contractor: Knowmadics Inc

Awarding Agency: Department of Justice

Start Date: 2023-03-30

End Date: 2027-03-29

Contract Duration: 1,460 days

Daily Burn Rate: $2.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: GPS TRACKING FOR TACTICAL OPERATIONS DIVISION COR: ANGELA PRICE

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $3.1 million to KNOWMADICS INC for work described as: GPS TRACKING FOR TACTICAL OPERATIONS DIVISION COR: ANGELA PRICE Key points: 1. Contract awarded on a sole-source basis, raising questions about potential cost savings through competition. 2. The purchase order structure may limit flexibility and oversight compared to larger contract vehicles. 3. Performance period of four years suggests a long-term need for these tracking services. 4. The specific division (Tactical Operations) indicates a specialized application for the technology. 5. No small business set-aside was applied, potentially impacting opportunities for smaller firms.

Value Assessment

Rating: questionable

The contract value of $3.1 million for GPS tracking services over four years requires careful benchmarking. Without competitive bidding, it is difficult to assess if this price represents fair market value. Comparisons to similar sole-source awards for tactical GPS equipment or services would be necessary to determine if the pricing is aligned with industry standards. The fixed-price nature of the purchase order provides some cost certainty, but the lack of competition prevents a robust value-for-money assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded using a sole-source justification, meaning it was not competed among multiple vendors. The U.S. Marshals Service likely determined that only Knowmadics Inc. could provide the specific capabilities required for the Tactical Operations Division. The absence of competition means there was no opportunity for price discovery through bidding, and potential cost efficiencies that competition might have yielded were not realized.

Taxpayer Impact: Taxpayers may have paid a premium due to the lack of competitive pressure to drive down costs. Without a competitive process, there is less assurance that the government secured the best possible price for these essential tracking services.

Public Impact

The U.S. Marshals Service's Tactical Operations Division benefits from enhanced situational awareness and operational capabilities through GPS tracking. This contract supports law enforcement activities by providing critical location data for personnel and assets. The services delivered are essential for the effective execution of tactical operations, potentially improving officer safety and mission success. The geographic impact is likely nationwide, supporting the U.S. Marshals Service's broad jurisdiction.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potential taxpayer savings.
Lack of transparency in the justification for sole-source award.
Purchase order may not be the most efficient contract vehicle for long-term needs.
No small business participation noted, potentially excluding smaller innovative firms.

Positive Signals

Award to a single vendor suggests specialized capabilities meeting specific operational needs.
Fixed-price contract provides cost certainty for the duration of the award.
Long performance period indicates a sustained requirement for the technology.

Sector Analysis

The market for tactical GPS tracking solutions is a niche within the broader defense and public safety technology sector. This contract likely falls under specialized communication and navigation equipment manufacturing. The value of this specific award, while significant, is a small fraction of the overall federal spending on law enforcement technology and surveillance equipment. Benchmarking would require identifying comparable contracts for similar specialized GPS hardware and software tailored for high-stakes operational environments.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses. The award to Knowmadics Inc., a single entity, suggests that the primary focus was on meeting a specific technical requirement rather than fostering small business participation. This could limit opportunities for smaller, specialized firms to contribute to this particular government need.

Oversight & Accountability

Oversight for this purchase order would primarily fall under the U.S. Marshals Service and the Department of Justice's internal procurement and program management offices. As a sole-source award, it may receive heightened scrutiny from oversight bodies if specific concerns arise regarding its necessity or cost-effectiveness. Transparency is limited due to the non-competitive nature, but contract award data is publicly available.

Related Government Programs

Department of Justice - Law Enforcement Technology
U.S. Marshals Service - Operational Support
GPS and Location-Based Services Procurement
Tactical Equipment for Federal Agencies

Risk Flags

Sole-source award lacks competitive justification.
Potential for overpayment due to lack of competition.
Limited transparency regarding specific technical requirements.
No small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.1 million to KNOWMADICS INC. GPS TRACKING FOR TACTICAL OPERATIONS DIVISION COR: ANGELA PRICE

Who is the contractor on this award?

The obligated recipient is KNOWMADICS INC.

Which agency awarded this contract?

Awarding agency: Department of Justice (U.S. Marshals Service).

What is the total obligated amount?

The obligated amount is $3.1 million.

What is the period of performance?

Start: 2023-03-30. End: 2027-03-29.

What specific capabilities does Knowmadics Inc. offer that necessitated a sole-source award for the U.S. Marshals Service?

The justification for a sole-source award typically details unique capabilities, proprietary technology, or critical compatibility requirements that only one vendor can meet. For Knowmadics Inc. and the U.S. Marshals Service's Tactical Operations Division, this could involve highly specialized, ruggedized GPS tracking devices with specific encryption, long-range communication, or integration with existing command and control systems that are not readily available from other manufacturers. The specific nature of 'tactical operations' often implies requirements for covertness, extreme durability, real-time data transmission under challenging conditions, and potentially specialized software for mission planning and execution, which may be proprietary to Knowmadics.

How does the $3.1 million contract value compare to similar GPS tracking solutions for law enforcement?

Benchmarking this $3.1 million contract value is challenging without more specific details on the units, features, and service levels provided. However, federal procurement data shows a wide range for GPS tracking solutions. Basic GPS units for fleet management can cost a few hundred dollars per device, while advanced tactical systems with integrated communication, encryption, and specialized software can range from several thousand to tens of thousands of dollars per unit or per user license. Given the four-year duration and the 'tactical operations' context, this award likely covers a significant number of advanced devices and associated services, potentially including software licenses, maintenance, and training. A sole-source award makes direct price comparison difficult, but the average cost per year ($778,750) suggests a substantial deployment.

What are the potential risks associated with awarding a sole-source contract for critical operational technology?

The primary risk of a sole-source award is the lack of competitive pressure, which can lead to inflated prices and reduced innovation. Taxpayers may not receive the best value for their money. Additionally, reliance on a single vendor can create long-term dependency, making it difficult and costly to switch providers if performance issues arise or if better technology becomes available elsewhere. There's also a risk that the vendor may not prioritize service or support as highly as they would if facing competition. For critical operational technology, vendor viability and long-term support are crucial considerations that are harder to assess without a competitive process.

What is the expected performance outcome or effectiveness of these GPS tracking services for the U.S. Marshals Service?

The expected outcome is enhanced operational effectiveness and safety for the U.S. Marshals Service's Tactical Operations Division. GPS tracking provides real-time situational awareness, allowing commanders to monitor the location of personnel and assets during high-risk operations, such as fugitive apprehension, dignitary protection, or special investigations. This capability aids in coordinating movements, ensuring accountability, optimizing resource deployment, and improving response times in critical incidents. Ultimately, the effectiveness is measured by the degree to which these tracking capabilities contribute to mission success, reduce operational risks, and enhance the safety of federal agents.

How has federal spending on GPS and location-based services evolved, and where does this contract fit?

Federal spending on GPS and location-based services has steadily increased over the past decade, driven by advancements in technology and the expanding applications across various agencies, including defense, law enforcement, transportation, and intelligence. This contract, valued at $3.1 million over four years for specialized tactical use, represents a specific investment within the broader category of law enforcement technology. While not a massive sum in the context of overall federal IT or defense spending, it highlights the critical role of precise location data in modern federal operations. It fits within the trend of agencies seeking more sophisticated, real-time data solutions to improve operational capabilities and decision-making.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 15M10423QA4700004

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13873 PARK CENTER RD STE 205 # 202S, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $4,403,450

Exercised Options: $3,115,500

Current Obligation: $3,115,500

Actual Outlays: $738,500

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline