Treasury's IRS awards $4.49M for Over-the-Phone Interpreter services, utilizing full and open competition

Contract Overview

Contract Amount: $4,487 ($4.5K)

Contractor: Lionbridge Global Solutions II Inc.

Awarding Agency: Department of the Treasury

Start Date: 2023-04-01

End Date: 2024-03-31

Contract Duration: 365 days

Daily Burn Rate: $12/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OVER THE PHONE INTERPRETER (OPI) SERVICES

Place of Performance

Location: WALTHAM, MIDDLESEX County, MASSACHUSETTS, 02451

State: Massachusetts Government Spending

Plain-Language Summary

Department of the Treasury obligated $4,487.25 to LIONBRIDGE GLOBAL SOLUTIONS II INC. for work described as: OVER THE PHONE INTERPRETER (OPI) SERVICES Key points: 1. The contract leverages a Blanket Purchase Agreement (BPA) call, indicating a pre-negotiated framework for efficient procurement. 2. A firm-fixed-price contract type suggests predictable costs for the government, mitigating budget uncertainty. 3. The service category, Translation and Interpretation Services, is crucial for ensuring accessibility and compliance. 4. The award was made under full and open competition, promoting a competitive marketplace. 5. The duration of one year with no options suggests a need for periodic re-evaluation of service requirements. 6. The contract value is relatively modest, likely serving a specific operational need within the IRS.

Value Assessment

Rating: good

The contract value of $4.49 million for one year of OPI services appears reasonable given the specialized nature of translation and interpretation. Benchmarking against similar government-wide contracts for language services would provide a more precise value assessment. The firm-fixed-price structure helps control costs. Without specific metrics on call volume or duration, a detailed per-unit cost analysis is challenging, but the overall award seems aligned with typical needs for such services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The specific mechanism used was a BPA call, which implies that a broader contract vehicle was already in place, and this award is a task order against it. The level of competition for the underlying BPA would be the primary indicator of price discovery, but this specific call likely benefited from that established competition.

Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by encouraging multiple vendors to offer their best rates to secure the business.

Public Impact

Taxpayers who require assistance in languages other than English will benefit from improved accessibility to IRS services. The IRS will be able to provide essential interpretation services, ensuring clear communication during taxpayer interactions. This contract supports the IRS's mission to serve all taxpayers, regardless of their primary language. The services are likely to be utilized across various IRS functions that involve direct taxpayer contact.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service quality variations across different interpreters.
Reliance on a single BPA call might limit flexibility if needs change significantly.
Ensuring consistent interpreter availability during peak demand periods.

Positive Signals

Firm-fixed-price contract provides cost certainty.
Awarded under full and open competition, suggesting competitive pricing.
BPA call mechanism allows for streamlined procurement of established services.

Sector Analysis

The Translation and Interpretation Services sector is a vital component of government operations, particularly for agencies serving diverse populations. The North American Industry Classification System (NAICS) code 541930 covers this sector. Government spending in this area is driven by legal mandates for accessibility and the need for effective communication. Comparable spending benchmarks would involve analyzing other agencies' contracts for similar language support services, often procured through GSA schedules or other GWACs.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. As it was awarded under full and open competition, it is possible that small businesses could have bid, but there is no explicit indication of a set-aside. Subcontracting opportunities for small businesses may exist depending on the prime contractor's strategy, but this is not detailed in the award information.

Oversight & Accountability

The contract is managed by the Internal Revenue Service (IRS), a bureau within the Department of the Treasury. Oversight would typically involve contract officers, program managers, and potentially the Treasury Inspector General for Tax Administration (TIGTA) for audits and investigations. Transparency is facilitated by public contract databases like FPDS. The firm-fixed-price nature of the contract simplifies some aspects of financial oversight.

Related Government Programs

General Services Administration (GSA) Multiple Award Schedules (MAS)
Language Services Contracts
Taxpayer Assistance Programs
Federal Acquisition Regulation (FAR) Part 15 Contracting

Risk Flags

Performance Risk
Quality Assurance
Interpreter Availability

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $4,487.25 to LIONBRIDGE GLOBAL SOLUTIONS II INC.. OVER THE PHONE INTERPRETER (OPI) SERVICES

Who is the contractor on this award?

The obligated recipient is LIONBRIDGE GLOBAL SOLUTIONS II INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $4,487.25.

What is the period of performance?

Start: 2023-04-01. End: 2024-03-31.

What is the track record of LIONBRIDGE GLOBAL SOLUTIONS II INC. in providing similar services to the federal government?

LIONBRIDGE GLOBAL SOLUTIONS II INC. has a history of performing federal contracts, including those related to language and translation services. Analyzing their past performance on similar contracts, particularly those with the IRS or other Treasury bureaus, would reveal their reliability, quality of service, and adherence to contract terms. Past performance evaluations and any reported issues or commendations would be key indicators. Information on their experience with firm-fixed-price contracts and BPA calls would also be relevant to assessing their suitability for this specific award.

How does the awarded price compare to market rates for OPI services?

Determining the precise market rate comparison for this $4.49 million contract requires detailed analysis of the specific services rendered (e.g., per-minute rates, interpreter qualifications, languages supported) and comparing them against industry benchmarks. Government-wide contract vehicles, such as GSA MAS, often provide pre-negotiated rates that serve as a baseline. Without access to the specific rate structure within this BPA call, a direct comparison is difficult. However, the use of full and open competition suggests that the pricing was vetted against multiple market participants, likely resulting in a competitive rate.

What are the primary risks associated with this contract and how are they mitigated?

Key risks include potential variations in interpreter quality and availability, especially during peak demand. Ensuring consistent adherence to accuracy and confidentiality standards is also critical. Mitigation strategies likely involve robust quality assurance processes by the IRS, clear performance standards in the contract, and potentially backup interpreter provisions. The firm-fixed-price structure mitigates financial risk for the government, but performance risk remains. The one-year duration allows for reassessment if issues arise.

How effective is the IRS in leveraging OPI services to improve taxpayer engagement?

The effectiveness of OPI services in improving taxpayer engagement is directly tied to the quality and accessibility of the interpretation provided. When taxpayers can communicate effectively in their preferred language, they are more likely to understand their tax obligations, resolve issues promptly, and feel supported by the IRS. This contract enables the IRS to meet this need. Measuring effectiveness would involve tracking metrics such as taxpayer satisfaction surveys, resolution rates for non-English speaking taxpayers, and the volume of interpretation services utilized.

What has been the historical spending pattern for OPI services at the IRS?

Analyzing historical spending on OPI services at the IRS would reveal trends in demand and budget allocation for language support. This $4.49 million award should be compared to previous years' expenditures to determine if spending is increasing, decreasing, or remaining stable. Significant deviations might indicate changes in taxpayer demographics, new service initiatives, or shifts in procurement strategies. Understanding this pattern helps contextualize the current award and forecast future needs.

What is the potential impact of this contract on the broader language services market?

This contract, awarded through full and open competition via a BPA call, contributes to the overall federal spending in the language services sector. It provides revenue for LIONBRIDGE GLOBAL SOLUTIONS II INC. and potentially other firms if subcontracting occurs. The competitive nature of the award suggests that the market is robust enough to support multiple providers. Continued federal investment in such services signals ongoing demand, which can influence market growth and specialization within the industry.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 890 WINTER ST. SUITE 225, WALTHAM, MA, 02451

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

Financial Breakdown

Contract Ceiling: $4,487

Exercised Options: $4,487

Current Obligation: $4,487

Actual Outlays: $4,487

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 2032H820A00004

IDV Type: BPA

Timeline