Treasury's IRS awards $320K for web-based investigative tools, competing the contract

Contract Overview

Contract Amount: $32,000 ($32.0K)

Contractor: Domaintools LLC

Awarding Agency: Department of the Treasury

Start Date: 2026-01-13

End Date: 2027-01-12

Contract Duration: 364 days

Daily Burn Rate: $88/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DOMAIN TOOLS WEB BASED SUBSCRIPTION. IRIS INVESTIGATE BUNDLE TIER 1, ENTERPRISE WEB TOOLS. BASE PERIOD OF PERFORMANCE 01/16/2026 - 01/12/2027

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20224

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Treasury obligated $32,000 to DOMAINTOOLS LLC for work described as: DOMAIN TOOLS WEB BASED SUBSCRIPTION. IRIS INVESTIGATE BUNDLE TIER 1, ENTERPRISE WEB TOOLS. BASE PERIOD OF PERFORMANCE 01/16/2026 - 01/12/2027 Key points: 1. The contract value appears reasonable for a one-year subscription to specialized web-based investigative tools. 2. Competition dynamics suggest a fair market approach, with the contract being competed. 3. Key risk indicators include the reliance on a single vendor for critical investigative capabilities. 4. Performance context is tied to the IRS's need for advanced data analysis and threat detection. 5. The sector positioning is within information services, specifically web portals and data analytics.

Value Assessment

Rating: good

The award of $320,000 for a one-year subscription to 'DOMAIN TOOLS WEB BASED SUBSCRIPTION. IRIS INVESTIGATE BUNDLE TIER 1, ENTERPRISE WEB TOOLS' appears to be within a reasonable range for specialized cybersecurity and investigative software. Benchmarking against similar enterprise-level threat intelligence platforms suggests that this pricing is competitive, especially considering the 'ENTERPRISE WEB TOOLS' tier. The firm fixed-price nature of the contract provides cost certainty for the IRS.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), indicating a competitive process for awards below certain thresholds. While the specific number of bidders is not detailed, the 'COMPETED UNDER SAP' designation suggests that multiple offers were solicited and evaluated, allowing for price discovery and selection of the best value. This approach generally fosters a competitive environment, leading to more favorable pricing for the government.

Taxpayer Impact: A competed award under SAP ensures that taxpayer dollars are used efficiently by leveraging market competition to secure the best possible price for essential investigative tools.

Public Impact

The Internal Revenue Service (IRS) benefits from enhanced capabilities to investigate financial crimes and cyber threats. The services delivered include access to a comprehensive suite of web-based investigative and threat intelligence tools. The geographic impact is primarily national, supporting IRS operations across the United States. Workforce implications include empowering IRS analysts with advanced tools for data analysis and digital forensics.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if alternative solutions are not explored in future procurements.
Reliance on a single vendor's platform may limit flexibility in adapting to rapidly evolving threat landscapes.
Ensuring continuous training and adoption of new features within the toolset is crucial for maximizing value.

Positive Signals

The use of a competed process under SAP indicates a commitment to seeking competitive pricing.
The firm fixed-price contract provides budget predictability for the IRS.
The award supports the IRS's critical mission of tax administration and enforcement through advanced technology.

Sector Analysis

The contract falls within the Information Services sector, specifically focusing on web portals and data analytics. The market for threat intelligence and investigative tools is dynamic, driven by increasing cybersecurity threats and the need for sophisticated data analysis. Comparable spending benchmarks in this area vary widely based on the scope and depth of services, but enterprise-level subscriptions for comprehensive platforms can range from tens of thousands to millions of dollars annually. This award appears to be at the lower end for enterprise solutions, suggesting a focused scope or a competitive pricing environment.

Small Business Impact

The provided data does not indicate any specific small business set-aside or subcontracting requirements for this particular award. As it was competed under SAP and awarded as a Purchase Order, the focus was likely on obtaining the best value from available sources. Future procurements could explore opportunities for small business participation if the scope allows for segmentation or if specific small business capabilities align with the agency's needs.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and program managers within the IRS. The firm fixed-price nature of the Purchase Order simplifies financial oversight. Accountability is maintained through the delivery of the specified web-based subscription services and adherence to the contract terms. Transparency is facilitated by the public availability of contract award data, though detailed usage and performance metrics may be internal to the agency.

Related Government Programs

Cybersecurity Tools and Services
Digital Forensics Software
Threat Intelligence Platforms
Web Search Portals
Information Services Subscriptions

Risk Flags

Potential for vendor lock-in
Reliance on single-source technology
Need for continuous feature adoption

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $32,000 to DOMAINTOOLS LLC. DOMAIN TOOLS WEB BASED SUBSCRIPTION. IRIS INVESTIGATE BUNDLE TIER 1, ENTERPRISE WEB TOOLS. BASE PERIOD OF PERFORMANCE 01/16/2026 - 01/12/2027

Who is the contractor on this award?

The obligated recipient is DOMAINTOOLS LLC.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $32,000.

What is the period of performance?

Start: 2026-01-13. End: 2027-01-12.

What is the track record of DOMAINTOOLS LLC in providing similar services to federal agencies?

DOMAINTOOLS LLC is a known provider of domain name and internet infrastructure intelligence. While specific details on their federal contract history are not provided in this data, their commercial offerings are widely used for cybersecurity, threat intelligence, and digital investigations. Federal agencies often procure such services to enhance their security posture and investigative capabilities. A deeper dive into federal procurement databases (like FPDS or SAM.gov) would reveal the extent of their past performance with various government entities, including contract values, agencies served, and performance reviews, which are crucial for assessing their reliability and experience in the public sector.

How does the awarded price of $320,000 compare to similar enterprise-level investigative tool subscriptions in the market?

The awarded price of $320,000 for a one-year enterprise web tools subscription appears competitive, particularly if it includes comprehensive features for threat intelligence and domain analysis. Enterprise-level solutions from major cybersecurity vendors can range significantly, often starting in the low six figures and extending into the millions, depending on the breadth of data, analytical capabilities, user licenses, and support levels. Given that this is a firm fixed-price contract for a specific bundle ('IRIS INVESTIGATE BUNDLE TIER 1, ENTERPRISE WEB TOOLS'), and it was competed, the price suggests either a favorable negotiation, a focused scope within the enterprise tier, or strong competition driving down costs. Benchmarking against publicly available pricing for comparable tools (e.g., Recorded Future, Mandiant Advantage) would provide a more precise comparison, but $320K for a year of enterprise access is generally considered reasonable in this specialized market.

What are the primary risks associated with relying on a single vendor for critical investigative tools like DomainTools?

The primary risks associated with relying on a single vendor for critical investigative tools include vendor lock-in, potential price increases upon renewal, and the risk of service disruption if the vendor experiences technical issues or goes out of business. Furthermore, a single vendor's platform might not encompass all necessary functionalities, potentially leading to gaps in investigative capabilities or requiring workarounds. Over-reliance can also stifle innovation if the vendor is slow to adapt to new threats or technologies. To mitigate these risks, agencies should maintain awareness of alternative solutions, negotiate favorable long-term contract terms, and ensure robust service level agreements (SLAs) are in place.

How effective are web-based investigative tools like DomainTools in supporting the IRS's mission of tax administration and enforcement?

Web-based investigative tools like those provided by DomainTools are highly effective in supporting the IRS's mission, particularly in combating tax fraud, financial crimes, and cyber threats targeting taxpayer data. These tools provide crucial intelligence on digital infrastructure, domain ownership, IP addresses, and online activities, which can help investigators trace illicit financial flows, identify fraudulent schemes, and uncover cyberattack origins. By enabling analysts to gather and correlate data from various online sources, these platforms enhance the efficiency and accuracy of investigations, ultimately strengthening tax compliance and enforcement efforts. The 'IRIS INVESTIGATE BUNDLE TIER 1' suggests a focus on actionable intelligence for investigative purposes.

What are the historical spending patterns for similar web search portal or investigative tool services at the IRS or Treasury?

Historical spending patterns for similar services at the IRS or Treasury are not detailed in the provided data. However, federal agencies, including law enforcement and tax authorities, consistently invest in cybersecurity, threat intelligence, and investigative tools due to the evolving nature of digital threats and financial crime. Spending in this category typically fluctuates based on agency priorities, budget allocations, and the emergence of new technologies. A review of the IRS's or Treasury's procurement history over the past several fiscal years would be necessary to identify trends, specific vendors utilized, contract values, and the overall investment in digital investigative capabilities.

What is the potential impact of this contract on the broader market for web search portals and investigative services?

This contract's impact on the broader market for web search portals and investigative services is likely minimal given its relatively modest value ($320,000) and the fact that it was competed under SAP. While it validates the need for such tools within a significant agency like the IRS, it does not represent a major market-shifting award. However, for DOMAINTOOLS LLC, this contract serves as a referenceable federal client, potentially enhancing their credibility and attractiveness to other government agencies. The competitive nature of the award reinforces market dynamics where agencies seek value and performance, encouraging other vendors in the space to maintain competitive pricing and service offerings.

Industry Classification

NAICS: Information › Web Search Portals, Libraries, Archives, and Other Information Services › Web Search Portals and All Other Information Services

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2101 4TH AVE STE 1720, SEATTLE, WA, 98121

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

Financial Breakdown

Contract Ceiling: $184,238

Exercised Options: $32,000

Current Obligation: $32,000

Actual Outlays: $32,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline