State Department awards $69.7M contract for TIOCA portfolio support to Deloitte Consulting

Contract Overview

Contract Amount: $69,680,000 ($69.7M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of State

Start Date: 2025-09-27

End Date: 2026-09-26

Contract Duration: 364 days

Daily Burn Rate: $191.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TRAVEL ISSUANCE AND OVERSEAS CITIZEN ASSISTANCE (TIOCA) PORTFOLIO SUPPORT SERVICES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20006

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $69.7 million to DELOITTE CONSULTING LLP for work described as: TRAVEL ISSUANCE AND OVERSEAS CITIZEN ASSISTANCE (TIOCA) PORTFOLIO SUPPORT SERVICES. Key points: 1. Contract awarded via full and open competition, suggesting a robust market. 2. Deloitte Consulting, a large established firm, is the awardee. 3. The contract is for one year, with a Time and Materials pricing structure. 4. This award represents a portion of broader IT support services for the State Department. 5. The contract value is significant, indicating critical support needs for the TIOCA portfolio.

Value Assessment

Rating: good

The contract value of $69.7 million for a one-year duration appears reasonable for complex IT portfolio support services. Benchmarking against similar contracts for IT consulting and systems design services at the Department of State or other large federal agencies would provide a more precise value-for-money assessment. The Time and Materials (T&M) pricing structure, while common, can sometimes lead to cost overruns if not closely managed, but it also offers flexibility for evolving project needs. The awarded amount is within the expected range for such specialized support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit offers. This suggests a healthy competitive environment for this type of service. While the number of bidders is not specified, the broad competition type generally leads to better price discovery and potentially more innovative solutions. The Department of State's use of this procurement method implies confidence in the market's ability to meet their requirements.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it encourages multiple vendors to offer competitive pricing and services, potentially driving down costs and improving the quality of delivered support.

Public Impact

The primary beneficiaries are the Department of State's Bureau of Consular Affairs (CA), specifically those managing the Travel Issuance and Overseas Citizen Assistance (TIOCA) portfolio. The services delivered will support the IT infrastructure and systems critical for processing travel documents and assisting U.S. citizens abroad. Geographic impact is global, as the TIOCA portfolio supports operations worldwide. Workforce implications include the potential for Deloitte consultants to work on-site at State Department facilities or remotely, impacting federal employee roles and contractor staffing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost uncertainty if not managed diligently.
Reliance on a single large contractor for critical portfolio support may pose a risk if performance issues arise.
The specific scope of 'portfolio support services' needs clear definition to ensure alignment with TIOCA objectives.

Positive Signals

Awarded through full and open competition, indicating a competitive process.
Deloitte Consulting LLP is a well-established firm with significant experience in government contracting.
The contract duration of one year allows for periodic reassessment of needs and performance.
The contract supports critical functions for citizen services and national security.

Sector Analysis

This contract falls within the Information Technology (IT) and Professional Services sector, specifically focusing on computer systems design and related services. The federal IT services market is substantial, with agencies consistently investing in modernizing systems and supporting complex portfolios. Contracts like this are crucial for agencies like the Department of State to maintain and enhance their operational capabilities, particularly in areas involving citizen interaction and global operations. Comparable spending benchmarks would involve looking at other large IT support contracts awarded by agencies with similar global footprints and complex mission requirements.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large contract awarded to a major prime contractor, Deloitte Consulting LLP, the primary impact on small businesses would likely be through subcontracting opportunities. The extent to which Deloitte engages small businesses as subcontractors will determine the direct benefit to the small business ecosystem. Agencies are increasingly focused on ensuring small business participation, and oversight of subcontracting plans is crucial.

Oversight & Accountability

Oversight for this contract will primarily reside with the Department of State's contracting officers and program managers. They will be responsible for monitoring performance, ensuring compliance with contract terms, and managing the Time and Materials aspects to control costs. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected within the contract's execution. Regular performance reviews and reporting requirements are standard oversight mechanisms.

Related Government Programs

Department of State IT Modernization Efforts
Consular Affairs Systems Support
Overseas Citizen Services IT
Travel Document Processing Systems
Federal IT Consulting Services

Risk Flags

Potential for cost overruns due to T&M pricing structure.
Reliance on a single large contractor for critical functions.
Need for robust government oversight to manage performance and costs.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $69.7 million to DELOITTE CONSULTING LLP. TRAVEL ISSUANCE AND OVERSEAS CITIZEN ASSISTANCE (TIOCA) PORTFOLIO SUPPORT SERVICES.

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $69.7 million.

What is the period of performance?

Start: 2025-09-27. End: 2026-09-26.

What is Deloitte Consulting LLP's track record with the Department of State, particularly on similar IT support contracts?

Deloitte Consulting LLP has a significant history of contracting with the Department of State across various IT and professional services domains. Analyzing past performance data, including contract values, durations, and any reported issues or successes, would provide insight into their reliability and effectiveness. Specifically, their experience with large-scale portfolio support, systems design, and services related to consular affairs or citizen assistance would be highly relevant. A review of past performance evaluations and any contract disputes or awards would offer a comprehensive view of their capabilities and relationship with the agency.

How does the awarded amount of $69.7 million compare to similar IT portfolio support contracts at the Department of State or other agencies?

The $69.7 million award for a one-year duration for TIOCA portfolio support services needs to be benchmarked against comparable contracts. Similar contracts might include those for IT systems design, integration, maintenance, and operational support for large, complex federal agencies, especially those with global operations like the Department of Defense or Homeland Security. Factors such as the specific services required (e.g., cybersecurity, cloud migration, application development), the level of expertise needed, and the contract type (e.g., FFP, T&M) influence pricing. Without specific comparable data, it's difficult to definitively state if this represents excellent or fair value, but it appears within a reasonable range for specialized, high-level IT support.

What are the primary risks associated with a Time and Materials (T&M) contract for this type of service, and how are they mitigated?

The primary risk with a T&M contract is the potential for cost overruns, as the final price is not fixed and depends on the actual labor hours and material costs incurred. This can be exacerbated if the scope of work is not well-defined or if project management is weak. For this contract, mitigation strategies likely include robust oversight by the Department of State's Contracting Officer's Representative (COR), detailed tracking of labor hours and expenses, clear task orders with estimated effort, and potentially established ceiling prices or CLINs (Contract Line Item Numbers) to cap expenditures. Regular performance reviews and close collaboration between the government and contractor are essential to manage risks effectively.

How effective is the 'full and open competition' process likely to be in ensuring optimal value and service quality for the TIOCA portfolio?

Full and open competition is generally considered the most effective method for ensuring optimal value and service quality, as it allows the widest possible pool of qualified vendors to compete. This competitive pressure encourages bidders to offer their best pricing and most innovative solutions to win the contract. For the TIOCA portfolio, this means the Department of State likely received proposals from multiple capable firms, allowing them to select the offer that best balances technical merit, past performance, and cost. The success of the competition in achieving optimal value also depends on the clarity and completeness of the government's requirements and evaluation criteria.

What are the potential implications of awarding this contract to a single large vendor like Deloitte Consulting LLP for long-term IT support?

Awarding a significant contract to a single large vendor like Deloitte Consulting LLP can offer benefits such as stability, deep expertise, and streamlined management. However, it also carries potential risks, including vendor lock-in, reduced flexibility if needs change drastically, and a potential decrease in competitive pressure over time if follow-on contracts are awarded without re-competition. For long-term IT support, agencies often balance these factors by incorporating performance incentives, maintaining strong oversight, and periodically re-evaluating the market to ensure continued value and innovation. The agency's strategy for managing this relationship and potential future procurements will be key.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 19AQMM25Q0324

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

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

Financial Breakdown

Contract Ceiling: $106,211,119

Exercised Options: $98,911,010

Current Obligation: $69,680,000

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $18,839,595

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCK18D0029

IDV Type: GWAC

Timeline