DOT's FAA Awards $16.4M for Communications Support to CTG, Inc., Lacking Competition

Contract Overview

Contract Amount: $16,377,755 ($16.4M)

Contractor: CTG, Inc.

Awarding Agency: Department of Transportation

Start Date: 2018-03-12

End Date: 2024-02-29

Contract Duration: 2,180 days

Daily Burn Rate: $7.5K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::OT::IGF EFAST PA 18-006-CS COMMUNICATIONS SUPPORT IN SUPPORT OF THE OFFICE OF COMMUNICATIONS (AOC) CREATIVE SERVICES AND CORPORATE COMMUNICATIONS DIVISIONS

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $16.4 million to CTG, INC. for work described as: IGF::OT::IGF EFAST PA 18-006-CS COMMUNICATIONS SUPPORT IN SUPPORT OF THE OFFICE OF COMMUNICATIONS (AOC) CREATIVE SERVICES AND CORPORATE COMMUNICATIONS DIVISIONS Key points: 1. Significant contract value of $16.4M for communications support. 2. Sole-source award to CTG, Inc. raises concerns about competition. 3. Long contract duration (2018-2024) with potential for price creep. 4. NAICS code 541519 suggests IT-related services, but description is broad. 5. Awarded under a BPA Call, indicating a pre-existing framework.

Value Assessment

Rating: questionable

The contract is a Time and Materials award, which can be less cost-effective than fixed-price contracts if not managed carefully. Without competitive bidding, it's difficult to assess if the $16.4M price is optimal.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not competed under Simplified Acquisition Procedures (SAP) and was awarded as a BPA Call. The limited competition raises questions about whether the government received the best possible price and value.

Taxpayer Impact: The lack of robust competition for a $16.4M contract may result in taxpayers paying more than necessary for these communications support services.

Public Impact

Taxpayers may be overpaying due to limited competition. Potential for reduced quality or innovation without competitive pressure. Lack of transparency in the procurement process. Long-term reliance on a single vendor for critical communications support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of Competition
  • Time and Materials Pricing
  • Long Contract Duration
  • Potential for Scope Creep

Positive Signals

  • Established Vendor Relationship (BPA Call)
  • Support for Critical Communications Functions

Sector Analysis

The Federal Aviation Administration (FAA) often procures IT and professional services. While the NAICS code points to IT, the description is broad. Benchmarks for similar communications support contracts are difficult to ascertain without more specific service details.

Small Business Impact

The contract was awarded to CTG, Inc. and was not competed under SAP, nor is it indicated as being set aside for small businesses. This suggests no direct benefit or opportunity for small businesses in this specific award.

Oversight & Accountability

The award was made via a BPA Call, which implies some level of pre-qualification. However, the lack of competition for this significant dollar amount warrants further oversight to ensure fair pricing and effective service delivery.

Related Government Programs

  • Other Computer Related Services
  • Department of Transportation Contracting
  • Federal Aviation Administration Programs

Risk Flags

  • Lack of Competition
  • Time and Materials Contract Type
  • Long Contract Duration (2018-2024)
  • Potential for Overpricing
  • Broad Service Description

Tags

other-computer-related-services, department-of-transportation, dc, bpa-call, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $16.4 million to CTG, INC.. IGF::OT::IGF EFAST PA 18-006-CS COMMUNICATIONS SUPPORT IN SUPPORT OF THE OFFICE OF COMMUNICATIONS (AOC) CREATIVE SERVICES AND CORPORATE COMMUNICATIONS DIVISIONS

Who is the contractor on this award?

The obligated recipient is CTG, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $16.4 million.

What is the period of performance?

Start: 2018-03-12. End: 2024-02-29.

What specific communications support services are being provided under this contract, and how do they align with the NAICS code 541519?

The contract specifies 'Communications Support in Support of the Office of Communications (AOC) Creative Services and Corporate Communications Divisions.' While IT services can encompass creative and corporate communications support, the broad description makes it difficult to precisely align with NAICS 541519 ('Other Computer Related Services'). Further detail on the nature of the IT services, such as digital media, content management systems, or internal communication platforms, would clarify the fit.

What was the justification for not competing this $16.4M contract, especially given its long duration?

The data indicates the contract was 'NOT COMPETED UNDER SAP' and awarded as a 'BPA CALL'. Without a specific justification (e.g., sole-source justification, urgent need, specific capabilities only available from CTG), the lack of competition for a contract of this magnitude and duration is a significant concern regarding potential value and taxpayer impact.

How is the effectiveness and value for money being monitored for this Time and Materials contract awarded without full and open competition?

Monitoring effectiveness and value for money on a Time and Materials contract, especially one awarded with limited competition, relies heavily on robust contract oversight. This includes diligent tracking of labor hours, rates, and direct costs against the stated objectives, along with performance metrics and regular reviews to ensure the services provided are necessary and achieving desired outcomes.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 10461 WHITE GRANITE DR STE 250, OAKTON, VA, 22124

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $16,758,527

Exercised Options: $16,377,755

Current Obligation: $16,377,755

Actual Outlays: $12,915,761

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DTFAWA10A00087

IDV Type: BPA

Timeline

Start Date: 2018-03-12

Current End Date: 2024-02-29

Potential End Date: 2024-05-31 00:00:00

Last Modified: 2025-09-08

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