OCC Awards $31.6M Management Support Contract to Procentrix, LLC Under Full and Open Competition

Contract Overview

Contract Amount: $31,604,815 ($31.6M)

Contractor: Procentrix, LLC

Awarding Agency: Department of the Treasury

Start Date: 2021-07-09

End Date: 2026-07-10

Contract Duration: 1,827 days

Daily Burn Rate: $17.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: Other

Official Description: THE PURPOSE OF THIS CONTRACT (TASK ORDER) IS TO PROVIDE MANAGEMENT AND COLLABORATION SUPPORT (MCS) SERVICES FOR THE OFFICE OF THE COMPTROLLER OF THE CURRENCY (OCC).

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of the Treasury obligated $31.6 million to PROCENTRIX, LLC for work described as: THE PURPOSE OF THIS CONTRACT (TASK ORDER) IS TO PROVIDE MANAGEMENT AND COLLABORATION SUPPORT (MCS) SERVICES FOR THE OFFICE OF THE COMPTROLLER OF THE CURRENCY (OCC). Key points: 1. Contract awarded to Procentrix, LLC for Management and Collaboration Support (MCS) services. 2. Total value of the task order is $31.6 million. 3. Competition method was 'Full and Open Competition', indicating broad market access. 4. Services are for the Office of the Comptroller of the Currency (OCC).

Value Assessment

Rating: fair

The contract is a labor hours type, which can lead to cost overruns if not managed carefully. Benchmarking against similar MCS contracts is difficult without more detailed service descriptions and performance metrics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The full and open competition aims to ensure taxpayer funds are used efficiently by leveraging market competition.

Public Impact

Ensures continued operational support for the OCC's financial oversight functions. Supports collaboration and management processes within a key financial regulatory body. Potential for improved efficiency in OCC operations through dedicated support services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Labor hours contract type can be prone to cost escalation.
Limited insight into specific performance metrics and value realization.
Contract duration extends to 2026, requiring ongoing monitoring.

Positive Signals

Awarded under full and open competition.
Supports a critical government function (financial regulation).
Established vendor with a multi-year award.

Sector Analysis

This contract falls under 'Other Computer Related Services' (NAICS 541519), often encompassing a wide range of IT support and consulting. Spending in this category can vary significantly based on agency needs, but management and collaboration support is a common requirement.

Small Business Impact

The contract does not indicate any specific set-asides for small businesses, and the awardee, Procentrix, LLC, is not listed as a small business in this context. Therefore, direct small business participation appears limited.

Oversight & Accountability

The Office of the Comptroller of the Currency (OCC) is the primary agency overseeing this contract. Standard government oversight mechanisms for task orders and delivery orders would apply, focusing on performance and financial accountability.

Related Government Programs

Other Computer Related Services
Department of the Treasury Contracting
Office of the Comptroller of the Currency Programs

Risk Flags

Labor Hours contract type.
Limited performance metric visibility.
Long contract duration (until 2026).
No explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $31.6 million to PROCENTRIX, LLC. THE PURPOSE OF THIS CONTRACT (TASK ORDER) IS TO PROVIDE MANAGEMENT AND COLLABORATION SUPPORT (MCS) SERVICES FOR THE OFFICE OF THE COMPTROLLER OF THE CURRENCY (OCC).

Who is the contractor on this award?

The obligated recipient is PROCENTRIX, LLC.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Office of the Comptroller of the Currency).

What is the total obligated amount?

The obligated amount is $31.6 million.

What is the period of performance?

Start: 2021-07-09. End: 2026-07-10.

What specific metrics are used to measure the effectiveness of the Management and Collaboration Support (MCS) services provided by Procentrix, LLC?

The provided data does not specify the performance metrics for the MCS services. Effective oversight would require the OCC to define clear deliverables, key performance indicators (KPIs), and regular performance reviews to ensure Procentrix, LLC is meeting expectations and delivering value. Without these, assessing the true effectiveness of the support is challenging.

How does the 'Full and Open Competition' process ensure optimal value for taxpayer money in this specific contract?

Full and open competition allows any interested and qualified vendor to submit a bid, fostering a competitive environment. This process is intended to drive down prices and encourage innovation as vendors vie for the contract. The OCC's evaluation criteria would determine if the lowest price technically acceptable or best value approach was used, impacting the final value realized by taxpayers.

What are the potential risks associated with a 'Labor Hours' contract type for these MCS services, and how are they mitigated?

Labor hours contracts carry the risk of cost escalation if the scope of work expands or if labor rates are higher than anticipated. Mitigation strategies include robust contract management, clear scope definition, regular progress monitoring, and potentially incorporating cost controls or fixed-price elements for specific tasks. The OCC must actively manage the hours and effort expended.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 2031JW21Q00070

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 2551 DULLES VIEW DR STE 600, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $42,525,749

Exercised Options: $38,701,816

Current Obligation: $31,604,815

Actual Outlays: $34,163,432

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F0294T

IDV Type: FSS

Timeline