GSA awards $2.05M contract for accounting services to Federal Miracle Tech LLC, with a 729-day duration

Contract Overview

Contract Amount: $2,050,988 ($2.1M)

Contractor: Federal Miracle Tech LLC

Awarding Agency: General Services Administration

Start Date: 2025-01-01

End Date: 2026-12-31

Contract Duration: 729 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROVIDE INVOICE AND BILLING SUPPORT SERVICES TO INPUT AND PROCESS FINANCIAL DATA THAT IS USED FOR INVENTORY ADMINISTRATION, PROCESSING CHARGES AND BILLING TO FEDERAL AGENCY CUSTOMERS FOR LOCAL TELECOMMUNICATIONS SERVICE PROVIDED THROUGHOUT THE CONTIN

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20017

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $2.1 million to FEDERAL MIRACLE TECH LLC for work described as: PROVIDE INVOICE AND BILLING SUPPORT SERVICES TO INPUT AND PROCESS FINANCIAL DATA THAT IS USED FOR INVENTORY ADMINISTRATION, PROCESSING CHARGES AND BILLING TO FEDERAL AGENCY CUSTOMERS FOR LOCAL TELECOMMUNICATIONS SERVICE PROVIDED THROUGHOUT THE CONTIN Key points: 1. The contract value of $2.05 million over two years suggests a moderate annual spend for accounting support. 2. Competition was conducted under 'full and open competition after exclusion of sources,' indicating a potentially complex procurement process. 3. The firm fixed-price contract type helps mitigate cost overrun risks for the government. 4. The contract is for invoice and billing support, crucial for managing federal agency customer charges. 5. The service location is Washington D.C., a common hub for federal contracting activities. 6. The North American Industry Classification System (NAICS) code 541219 points to 'Other Accounting Services,' a broad category.

Value Assessment

Rating: fair

The contract value of approximately $2.05 million over two years, averaging around $1.025 million annually, appears to be within a reasonable range for specialized accounting and billing support services for federal agencies. Benchmarking against similar contracts for invoice processing and financial data input would provide a clearer picture of value for money. The firm fixed-price nature of the contract suggests that the contractor bears the risk of cost increases, which is generally favorable for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'full and open competition after exclusion of sources.' This specific procurement method suggests that while the competition was intended to be open, certain sources may have been excluded based on predefined criteria, possibly related to specific capabilities or prior performance. The number of bidders is not explicitly stated, but this method can sometimes lead to fewer than ideal bids compared to a truly unrestricted full and open competition.

Taxpayer Impact: The exclusion of certain sources, even in an otherwise open competition, could potentially limit price discovery and may not guarantee the absolute lowest price for taxpayers. However, it aims to ensure that the selected contractor possesses highly specific qualifications.

Public Impact

Federal agencies utilizing local telecommunications services will benefit from accurate and timely billing and inventory administration. The services provided ensure proper financial data processing for customer charges. The contract supports the operational efficiency of the General Services Administration's Federal Acquisition Service. The primary beneficiaries are federal agencies that procure telecommunications services managed through GSA.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition method warrants further investigation to understand the rationale and potential impact on competition.
Lack of specific performance metrics or service level agreements in the provided data makes it difficult to assess performance outcomes.
The contract duration of two years with no option periods may require future re-competition, incurring additional administrative costs.

Positive Signals

The firm fixed-price contract type provides cost certainty for the government.
The contract is awarded to a specific entity, Federal Miracle Tech LLC, indicating a clear point of accountability.
The services are essential for financial operations related to telecommunications billing for federal customers.

Sector Analysis

This contract falls within the accounting services sector, specifically focusing on invoice and billing support for telecommunications services. The market for government accounting and financial support services is substantial, with numerous firms offering specialized solutions. This contract represents a small portion of the overall federal spending on professional services, which often includes IT, administrative, and financial support. Benchmarking against other contracts for similar services within GSA or other agencies would provide context on pricing and scope.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, Federal Miracle Tech LLC, is not identified as a small business in this context. The impact on the small business ecosystem is neutral, as this contract does not appear to leverage small business participation through set-asides.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. Accountability measures are inherent in the firm fixed-price contract type, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through contract award databases, though detailed performance reports may not be publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Telecommunications Services
Government Accounting Services
Financial Management Support
Invoice Processing Services
Billing Support Services

Risk Flags

Competition method 'full and open competition after exclusion of sources' requires further scrutiny.
Lack of detailed performance metrics makes outcome assessment difficult.
Contract duration is fixed at two years with no stated option periods.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $2.1 million to FEDERAL MIRACLE TECH LLC. PROVIDE INVOICE AND BILLING SUPPORT SERVICES TO INPUT AND PROCESS FINANCIAL DATA THAT IS USED FOR INVENTORY ADMINISTRATION, PROCESSING CHARGES AND BILLING TO FEDERAL AGENCY CUSTOMERS FOR LOCAL TELECOMMUNICATIONS SERVICE PROVIDED THROUGHOUT THE CONTIN

Who is the contractor on this award?

The obligated recipient is FEDERAL MIRACLE TECH LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $2.1 million.

What is the period of performance?

Start: 2025-01-01. End: 2026-12-31.

What is the track record of Federal Miracle Tech LLC in performing similar government contracts?

Information regarding the specific track record of Federal Miracle Tech LLC in performing similar government contracts is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes on previous awards. Federal agencies typically maintain Contractor Performance Assessment Reporting System (CPARS) reports, which offer insights into a contractor's performance regarding cost, schedule, technical scope, and management. Without access to these specific reports or a broader contract history, it is difficult to definitively assess their past performance in delivering invoice and billing support services.

How does the annual cost of this contract compare to market rates for similar accounting and billing support services?

The annual cost for this contract is approximately $1.025 million ($2.05 million / 2 years). To benchmark this against market rates, one would need to compare it with similar contracts awarded by federal agencies or analyze pricing data from commercial service providers offering comparable invoice processing, data input, and financial administration for telecommunications services. Factors such as the complexity of the data, the number of customer accounts, the required level of detail in reporting, and the specific security protocols involved would influence market rates. A detailed comparison would involve identifying contracts with similar NAICS codes (541219) and service scopes, adjusting for contract duration and geographic location.

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

The primary risks associated with this contract include potential performance issues (e.g., errors in data input, delays in processing), contractor financial instability, and cybersecurity vulnerabilities related to financial data. Mitigation strategies are partially addressed by the firm fixed-price contract type, which shifts cost overrun risk to the contractor. The GSA's oversight mechanisms and the contractor's need to maintain a good performance record for future opportunities also serve as mitigants. However, specific performance metrics and detailed risk management plans are not provided, making a full assessment of mitigation effectiveness challenging. Cybersecurity risks would be managed through contract clauses and adherence to federal information security standards.

What is the expected effectiveness of the services provided in terms of improving financial data accuracy and billing efficiency?

The expected effectiveness of the services hinges on the contractor's ability to accurately input and process financial data for inventory administration and customer billing. Improved accuracy in data input should lead to more precise charges for federal agency customers and better inventory management. Enhanced processing efficiency can streamline the billing cycle, potentially reducing administrative overhead and improving cash flow management for the services rendered. The effectiveness will be directly measurable through metrics such as error rates in data entry, timeliness of invoice generation, and the reduction in billing discrepancies reported by customer agencies. The contract's success is tied to the contractor's operational capabilities and adherence to service level expectations.

How has federal spending in 'Other Accounting Services' (NAICS 541219) trended over the past five years?

Federal spending in the 'Other Accounting Services' category (NAICS 541219) has generally shown a consistent demand over the past five years, reflecting the ongoing need for specialized financial support across various government agencies. While specific figures fluctuate annually based on agency budgets and program requirements, the overall trend indicates a stable to slightly increasing expenditure. This category encompasses a wide range of services beyond traditional auditing and tax preparation, including bookkeeping, payroll, and financial data processing, which are essential for the operational functions of many federal entities. Agencies like the General Services Administration (GSA), Department of Defense, and others frequently contract for such services to manage their complex financial operations and ensure compliance.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Other Accounting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QTCB24Q0016

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7701 GREENBELT RD STE 501, GREENBELT, MD, 20770

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Joint Venture Economically Disadvantaged Women Owned Small Business, Joint Venture Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,834,148

Exercised Options: $2,050,988

Current Obligation: $2,050,988

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD20D8202

IDV Type: IDC

Timeline