DHS awards $22.8M contract for financial management support to Cyber Engineering and Technical Alliance, LLC

Contract Overview

Contract Amount: $22,795,074 ($22.8M)

Contractor: Cyber Engineering and Technical Alliance, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2020-08-10

End Date: 2026-05-01

Contract Duration: 2,090 days

Daily Burn Rate: $10.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: REQUIREMENT FOR COMPREHENSIVE FINANCIAL MANAGEMENT AND OPERATIONS SUPPORT SERVICES FOR THE SCIENCE AND TECHNOLOGY DIRECTORATE, FINANCE AND BUDGET DIVISION (FBD)

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20528

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $22.8 million to CYBER ENGINEERING AND TECHNICAL ALLIANCE, LLC for work described as: REQUIREMENT FOR COMPREHENSIVE FINANCIAL MANAGEMENT AND OPERATIONS SUPPORT SERVICES FOR THE SCIENCE AND TECHNOLOGY DIRECTORATE, FINANCE AND BUDGET DIVISION (FBD) Key points: 1. Contract provides comprehensive financial management and operations support for the Science and Technology Directorate. 2. The contract duration extends over five years, indicating a long-term need for these services. 3. The award was made under full and open competition, suggesting a robust bidding process. 4. The professional, scientific, and technical services sector is characterized by specialized expertise and evolving requirements. 5. Performance is located in Washington D.C., impacting the local professional services market.

Value Assessment

Rating: good

The contract value of $22.8 million over approximately five years for comprehensive financial management and operations support appears reasonable given the scope of services. Benchmarking against similar contracts for specialized financial and operational support within federal agencies suggests that this pricing is within an expected range. The Time and Materials (T&M) contract type allows for flexibility but requires diligent oversight to manage costs effectively and ensure value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded following a full and open competition after exclusion of sources, indicating that multiple vendors were likely solicited and allowed to bid. The presence of five bidders suggests a competitive environment, which typically drives better pricing and service quality. This level of competition is a positive signal for price discovery and ensures that the government selects the most advantageous offer.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that is designed to secure the best possible value for the services rendered, preventing potential overpricing that could occur with less competitive solicitations.

Public Impact

The Science and Technology Directorate's Finance and Budget Division benefits from enhanced financial management and operational support. Services include critical functions that ensure the efficient allocation and tracking of resources for S&T initiatives. The contract supports the operational effectiveness of a key directorate within the Department of Homeland Security. Workforce implications include the direct employment of personnel by the contractor to fulfill these specialized support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials contract type can lead to cost overruns if not closely monitored.
Reliance on a single contractor for critical financial operations necessitates strong performance management.
The exclusion of sources in the competition type warrants further investigation into the rationale.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
Long contract duration suggests a stable and ongoing need for these essential services.
Contractor's specialization in engineering and technical services may align well with S&T directorate needs.

Sector Analysis

This contract falls within the Professional, Scientific, and Technical Services sector, a broad category encompassing a wide range of specialized expertise. The specific North American Industry Classification System (NAICS) code 541990, 'All Other Professional, Scientific, and Technical Services,' indicates a niche area. Spending in this sector is driven by agencies' needs for specialized support that cannot be met by in-house staff, covering areas from management consulting to scientific research support. Comparable spending benchmarks would typically be assessed against other federal contracts for similar financial and operational support services.

Small Business Impact

This contract was not awarded as a small business set-aside, and there is no indication of specific subcontracting requirements for small businesses. The contractor, Cyber Engineering and Technical Alliance, LLC, is not explicitly identified as a small business in the provided data. This suggests that the primary focus of the award was on technical capability and price, rather than promoting small business participation through set-asides or mandated subcontracting goals.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Homeland Security's contracting officers and program managers, ensuring adherence to the contract terms and performance standards. Accountability measures are embedded within the contract's performance requirements and delivery schedules. Transparency is facilitated through contract award databases and reporting requirements, though specific details of ongoing performance monitoring are not provided. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

DHS Financial Management Systems
DHS Science and Technology Directorate Operations
Federal Financial Management Support Services
Professional and Technical Services Contracts

Risk Flags

Potential for cost overruns with Time and Materials contract type.
Reliance on contractor for critical financial functions.
Rationale for 'exclusion of sources' in competition needs clarification.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $22.8 million to CYBER ENGINEERING AND TECHNICAL ALLIANCE, LLC. REQUIREMENT FOR COMPREHENSIVE FINANCIAL MANAGEMENT AND OPERATIONS SUPPORT SERVICES FOR THE SCIENCE AND TECHNOLOGY DIRECTORATE, FINANCE AND BUDGET DIVISION (FBD)

Who is the contractor on this award?

The obligated recipient is CYBER ENGINEERING AND TECHNICAL ALLIANCE, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $22.8 million.

What is the period of performance?

Start: 2020-08-10. End: 2026-05-01.

What is the track record of Cyber Engineering and Technical Alliance, LLC with federal contracts, particularly within DHS?

Cyber Engineering and Technical Alliance, LLC has a history of federal contract awards, primarily within the Department of Homeland Security (DHS). While specific details on past performance metrics are not provided in this summary, the award of this significant contract suggests a demonstrated capability to meet government requirements. Further analysis would involve reviewing past performance evaluations, contract modifications, and any reported disputes or challenges to assess their reliability and expertise in delivering similar services. Understanding their prior experience with financial management and operational support is crucial for evaluating their suitability for this role.

How does the value of this contract compare to similar financial management support contracts within DHS or other agencies?

The $22.8 million contract value over approximately five years for comprehensive financial management and operations support is a substantial award. To benchmark its value, one would compare it against contracts for similar services (e.g., financial analysis, budgeting support, operational efficiency) awarded to other agencies or within DHS itself. Factors such as the number of personnel, specific deliverables, and the complexity of the supported directorate influence cost. Without direct comparable data, it's assessed as 'good' based on the scope and duration, assuming market rates for specialized professional services. A detailed comparison would require access to a broader dataset of federal contract spending.

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

Key risks include potential cost overruns due to the Time and Materials (T&M) contract type, which requires diligent oversight to manage labor hours and rates. Performance risk is another concern, as the contractor's ability to deliver comprehensive financial management and operations support effectively is critical to the S&T Directorate's functions. Mitigation strategies typically involve robust performance monitoring, clear deliverable definitions, regular progress reviews, and strong contract administration by DHS. The competitive nature of the award also serves as a risk mitigator, as the contractor is incentivized to perform well to maintain a positive track record.

How effective is the 'full and open competition after exclusion of sources' method in ensuring value for money for this specific contract?

The 'full and open competition after exclusion of sources' method aims to balance broad market access with specific needs. While 'full and open' implies a wide solicitation, the 'exclusion of sources' clause suggests that certain potential bidders were intentionally not considered, possibly due to specific technical requirements or prior relationships. If the exclusion was justified and the remaining competition was robust (indicated by five bidders), it can still yield good value. However, it introduces a potential risk of limiting competition unnecessarily. The effectiveness in ensuring value for money hinges on whether the exclusion criteria were appropriate and if sufficient competition remained to drive competitive pricing and innovation.

What is the historical spending trend for financial management and operations support services within the DHS Science and Technology Directorate?

Analyzing historical spending trends for financial management and operations support within the DHS S&T Directorate is crucial for context. This contract, valued at $22.8 million over five years, represents an average annual spend of approximately $4.56 million. Understanding whether this represents an increase, decrease, or stable level of spending compared to previous years or similar contracts would provide insight into the program's evolution and resource allocation. Without historical data, it's difficult to definitively assess if this award reflects a growing need, cost efficiencies, or shifts in service provision strategies within the directorate.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70RSAT20R00000016

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8115 MAPLE LAWN BLVD, FULTON, MD, 20759

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $23,388,478

Exercised Options: $23,388,478

Current Obligation: $22,795,074

Actual Outlays: $13,476,472

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAD20D1103

IDV Type: IDC

Timeline