Treasury's IRS Awards $18.6M JOC Recompete Contract to Wisemen Multimedia, LLC for IT Services
Contract Overview
Contract Amount: $18,574,056 ($18.6M)
Contractor: Wisemen Multimedia, LLC
Awarding Agency: Department of the Treasury
Start Date: 2023-09-30
End Date: 2026-09-29
Contract Duration: 1,095 days
Daily Burn Rate: $17.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: JOC RECOMPETE
Place of Performance
Location: ATLANTA, DEKALB County, GEORGIA, 30341
State: Georgia Government Spending
Plain-Language Summary
Department of the Treasury obligated $18.6 million to WISEMEN MULTIMEDIA, LLC for work described as: JOC RECOMPETE Key points: 1. The contract is a recompete, suggesting potential for stable pricing and performance. 2. WISEMEN MULTIMEDIA, LLC is the incumbent, which could offer continuity but also limit new competitive advantages. 3. The contract is for 'Other Computer Related Services,' a broad category within IT. 4. The award value of $18.6M over three years warrants scrutiny for value for money.
Value Assessment
Rating: fair
The contract value of $18.6M over 1095 days averages to approximately $17,000 per day. Benchmarking against similar 'Other Computer Related Services' contracts would be necessary to assess if this daily rate is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is positive for price discovery. However, as a recompete, the incumbent's advantage may have influenced the bidding process.
Taxpayer Impact: Taxpayer funds are being used for IT services. The competitive nature of the award aims to ensure fair pricing, but the specific value for money needs further analysis.
Public Impact
Taxpayers benefit from competitive bidding processes designed to secure fair prices for government services. The IRS relies on IT services to manage tax administration and taxpayer data securely. The duration of the contract (3 years) indicates a significant commitment of resources.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Recompete dynamics may limit true price innovation.
- Broad service category could mask specific cost drivers.
- Incumbent advantage might affect competitive intensity.
Positive Signals
- Full and open competition was utilized.
- Firm Fixed Price contract type provides cost certainty.
- Awarded to a single vendor, potentially streamlining service delivery.
Sector Analysis
This contract falls under IT services, specifically 'Other Computer Related Services.' Spending in this sector is substantial across government agencies, with significant variation based on the complexity and scope of services required.
Small Business Impact
The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation would be needed to assess small business participation.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a degree of oversight in the procurement process. However, ongoing performance monitoring and cost reviews are crucial for accountability.
Related Government Programs
- Other Computer Related Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Potential for incumbent advantage to limit competitive pricing.
- Broad service category may obscure specific cost drivers.
- Lack of small business participation data.
- Need for detailed performance metrics to ensure value.
Tags
other-computer-related-services, department-of-the-treasury, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $18.6 million to WISEMEN MULTIMEDIA, LLC. JOC RECOMPETE
Who is the contractor on this award?
The obligated recipient is WISEMEN MULTIMEDIA, 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 $18.6 million.
What is the period of performance?
Start: 2023-09-30. End: 2026-09-29.
What specific IT services are included under 'Other Computer Related Services' for the IRS, and how do they align with agency needs?
The 'Other Computer Related Services' category is broad and can encompass a wide range of IT support, maintenance, and consulting. For the IRS, this likely includes services related to maintaining tax processing systems, data management, cybersecurity, and user support. A detailed statement of work would clarify the exact services, ensuring they directly address the agency's operational requirements and modernization efforts.
How does the awarded price compare to market benchmarks for similar IT services, considering the incumbent status of the awardee?
Benchmarking the $18.6 million award against similar contracts for 'Other Computer Related Services' is essential. While full and open competition was used, the recompete nature means the incumbent, WISEMEN MULTIMEDIA, LLC, had prior knowledge and performance history. Analyzing pricing trends from previous contracts and comparing them to current market rates for comparable services will reveal if the price reflects true value or if the incumbent advantage led to less aggressive pricing.
What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure effectiveness and value for taxpayer money?
Effective oversight requires clearly defined KPIs tied to service delivery, system uptime, response times, and security compliance. The IRS must have robust mechanisms to track these metrics throughout the contract's duration. Regular performance reviews and audits will ensure WISEMEN MULTIMEDIA, LLC is meeting its obligations and delivering the expected value, thereby safeguarding taxpayer funds and ensuring the critical IT infrastructure supporting tax administration remains operational and secure.
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
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1954 AIRPORT RD, CHAMBLEE, GA, 30341
Business Categories: Black American Owned Business, Category Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $31,302,050
Exercised Options: $18,574,056
Current Obligation: $18,574,056
Actual Outlays: $13,815,448
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 47QTCA20D0024
IDV Type: FSS
Timeline
Start Date: 2023-09-30
Current End Date: 2026-09-29
Potential End Date: 2029-09-29 13:24:17
Last Modified: 2025-09-22
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