State Department awards $2.46M for translation services, highlighting potential value concerns due to sole-source nature

Contract Overview

Contract Amount: $2,461,770 ($2.5M)

Contractor: Translations International Inc.

Awarding Agency: Department of State

Start Date: 2025-03-01

End Date: 2026-04-30

Contract Duration: 425 days

Daily Burn Rate: $5.8K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TRANSLATIONS AND INTERPRETATION SERVICES

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20191

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $2.5 million to TRANSLATIONS INTERNATIONAL INC. for work described as: TRANSLATIONS AND INTERPRETATION SERVICES Key points: 1. The contract's value, while not exceptionally large, warrants scrutiny given the lack of competitive bidding. 2. Sole-source awards can lead to inflated pricing and reduced innovation compared to open competition. 3. The fixed-price contract type offers some cost certainty but may limit flexibility if requirements change. 4. Performance duration of over a year suggests a need for consistent, reliable translation services. 5. The award to a single vendor raises questions about the availability of qualified alternative providers. 6. The absence of small business set-aside indicates this contract was not specifically targeted for smaller enterprises.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without comparable sole-source awards for translation services. However, the lack of competition inherently limits the government's ability to secure the best possible price. The fixed-price nature provides some cost control, but the absence of competitive pressure means the government may not be realizing optimal value for its investment. Further analysis would require understanding the specific services and market rates for similar specialized translation needs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP) and was awarded on a sole-source basis. This means that only one vendor was solicited and awarded the contract, likely due to specific circumstances or justifications not detailed here. The lack of competition limits price discovery and potentially reduces the government's leverage in negotiating favorable terms.

Taxpayer Impact: Sole-source awards mean taxpayers may not be benefiting from the most competitive pricing that could have been achieved through an open bidding process.

Public Impact

The Department of State benefits from access to essential translation and interpretation services, crucial for diplomatic and operational functions. These services likely support international communication, document processing, and engagement with foreign entities. The geographic impact is primarily within the United States, where the contractor is based, but the services support global diplomatic efforts. The contract may indirectly impact a workforce requiring multilingual capabilities, though direct workforce implications are not specified.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Sole-source awards can indicate potential barriers to entry for other qualified vendors.
Limited transparency in the procurement process due to non-competitive nature.

Positive Signals

Fixed-price contract provides cost certainty for the awarded amount.
The award duration suggests a stable need for these services.
The contractor is likely experienced in providing translation services.

Sector Analysis

The market for translation and interpretation services is diverse, encompassing a wide range of providers from small specialized firms to large multinational corporations. Government spending in this sector supports critical functions requiring accurate cross-cultural communication. While specific benchmarks for sole-source translation contracts are difficult to ascertain, the overall market is competitive, making non-competitive awards a point of interest for value analysis.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and was not competed under SAP, which often includes provisions for small business participation. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular award, as it was awarded to a single, likely larger, entity.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Accountability measures are inherent in the fixed-price contract type, requiring the contractor to deliver specified services within the agreed budget. Transparency is limited due to the sole-source nature of the award, making it harder for the public to scrutinize the procurement process and pricing.

Related Government Programs

Department of State Language Services
Federal Government Translation Services
Interagency Language Programs

Risk Flags

Sole-source award limits competition and price discovery.
Potential for inflated pricing due to lack of competitive bidding.
Lack of transparency in the procurement process.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $2.5 million to TRANSLATIONS INTERNATIONAL INC.. TRANSLATIONS AND INTERPRETATION SERVICES

Who is the contractor on this award?

The obligated recipient is TRANSLATIONS INTERNATIONAL INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2025-03-01. End: 2026-04-30.

What is the track record of TRANSLATIONS INTERNATIONAL INC. with the federal government?

Information regarding the specific track record of TRANSLATIONS INTERNATIONAL INC. with the federal government is not provided in the given data. To assess their performance, one would typically look at past contract awards, performance reviews, and any reported issues or successes. A deeper dive into federal procurement databases like SAM.gov or FPDS would be necessary to understand their history, including contract values, agencies served, and compliance with terms. Without this historical data, it's difficult to gauge their reliability and past performance in delivering similar services.

How does the value of this contract compare to similar translation services procured by the government?

Direct comparison of this $2.46 million contract for translation services is difficult without knowing the specific scope, duration, and type of services rendered. Government agencies procure translation services through various mechanisms, including sole-source awards, competitive bids, and indefinite-delivery/indefinite-quantity (IDIQ) contracts. The value of similar contracts can vary significantly based on language complexity, security requirements, volume, and the urgency of the need. Given this award is sole-source, it is less likely to reflect the most competitive market rates. A comprehensive benchmark would require analyzing multiple contracts for comparable services across different agencies and procurement methods.

What are the primary risks associated with a sole-source award for translation services?

The primary risks associated with a sole-source award for translation services include potential overpayment due to the lack of competitive pricing, reduced incentive for the contractor to innovate or provide exceptional service, and a lack of transparency in the procurement process. Taxpayers may bear a higher cost than if the contract had been competed. Furthermore, reliance on a single provider can create risks if that provider experiences performance issues, financial instability, or faces unforeseen challenges that disrupt service delivery. It also limits the government's ability to leverage the broader market for specialized skills or better value.

What is the expected effectiveness of these translation services for the Department of State?

The expected effectiveness of these translation services for the Department of State hinges on the contractor's ability to provide accurate, timely, and culturally appropriate translations and interpretations. Given the critical nature of diplomatic communications, the effectiveness directly impacts the Department's ability to conduct foreign policy, engage in international negotiations, and manage its global operations. The fixed-price contract structure implies a focus on delivering defined outputs. However, true effectiveness will depend on the quality of the linguists, project management, and adherence to the Department's specific requirements and standards.

What are the historical spending patterns for translation and interpretation services at the Department of State?

Historical spending patterns for translation and interpretation services at the Department of State are not detailed in the provided data. To analyze this, one would need to examine past contract awards for these services over several fiscal years. This would involve identifying trends in contract values, the number of awards, the types of services procured (e.g., specific languages, interpretation vs. translation), and the mix of competitive versus sole-source awards. Understanding these patterns can reveal whether spending has increased or decreased, if there's a growing reliance on sole-source contracts, and how this specific $2.46 million award fits into the broader budgetary context for such services.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Translation and Interpretation Services

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 19AQMM24Q0048

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 919 TOPAZ ST, SUPERIOR, CO, 80027

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,514,808

Exercised Options: $2,514,808

Current Obligation: $2,461,770

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 19AQMM25A0332

IDV Type: BPA

Timeline