DHS USCIS awards $2.26M for audit software, raising questions on value and competition

Contract Overview

Contract Amount: $225,662 ($225.7K)

Contractor: Countertrade Products, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2025-09-30

End Date: 2027-09-29

Contract Duration: 729 days

Daily Burn Rate: $310/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROCUREMENT OF AUDIT SOFTWARE TO SUPPORT THE AUDIT TEAM AT THE DEPARTMENT OF HOMELAND SECURITY (DHS) UNITED STATES CITIZENSHIP AND IMMIGRATION SERVICES (USCIS) IMMIGRANT INVESTOR PROGRAM OFFICE (IPO).

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $225,661.67 to COUNTERTRADE PRODUCTS, INC. for work described as: PROCUREMENT OF AUDIT SOFTWARE TO SUPPORT THE AUDIT TEAM AT THE DEPARTMENT OF HOMELAND SECURITY (DHS) UNITED STATES CITIZENSHIP AND IMMIGRATION SERVICES (USCIS) IMMIGRANT INVESTOR PROGRAM OFFICE (IPO). Key points: 1. The contract's value appears reasonable given the specialized nature of audit software for a niche program. 2. Limited competition dynamics may have influenced the final price. 3. The firm-fixed-price contract type mitigates cost overrun risks for the government. 4. Performance is tied to the Immigrant Investor Program Office's audit needs. 5. This procurement falls within the broader IT services sector for government agencies. 6. The duration of the contract suggests a need for sustained support.

Value Assessment

Rating: fair

The contract value of $2.26 million over two years for audit software is within a typical range for specialized government IT procurements. However, without specific feature comparisons or detailed cost breakdowns, a precise value-for-money assessment is challenging. Benchmarking against similar audit software procurements within DHS or other agencies could provide further insight into whether the pricing reflects market rates for comparable solutions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests a limited competitive environment. While not a sole-source award, the specific exclusion of other sources implies that only a select number of potential bidders were considered. This limited competition could potentially lead to less aggressive pricing than a truly open competition with multiple bidders.

Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers compared to what might have been achieved with broader market participation.

Public Impact

The primary beneficiaries are the audit teams within USCIS's Immigrant Investor Program Office, who will receive enhanced tools for their work. The service delivered is specialized audit software, crucial for ensuring compliance and integrity within the investor program. The geographic impact is concentrated within the District of Columbia, where USCIS headquarters is located. There are no direct workforce implications mentioned, but the software aims to improve the efficiency of existing audit personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition could lead to suboptimal pricing.
Lack of detailed performance metrics makes assessing effectiveness difficult.
The specific nature of the software might lead to vendor lock-in.

Positive Signals

Firm-fixed-price contract reduces cost uncertainty.
The procurement addresses a clear need for audit support.
The contract duration aligns with expected program support requirements.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on specialized software for audit and compliance functions. The market for government audit software is competitive, with numerous vendors offering solutions ranging from general accounting tools to highly specific regulatory compliance platforms. The size of this contract ($2.26M) is moderate for a federal IT procurement, suggesting a focused need rather than a large-scale enterprise system deployment. Comparable spending benchmarks would involve looking at other agencies' procurements for similar audit or case management software.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular award. The prime contractor, Countertrade Products, Inc., is not identified as a small business in the provided data.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. Citizenship and Immigration Services (USCIS) contracting officers and program managers within the Department of Homeland Security. Accountability measures are embedded in the firm-fixed-price contract type, requiring delivery of specified software by a certain date. Transparency is facilitated through federal procurement databases where contract awards are publicly reported. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

DHS IT Modernization Programs
USCIS Case Management Systems
Federal Audit and Compliance Software
Immigrant Investor Program Administration

Risk Flags

Limited competition may impact price.
Lack of detailed performance metrics.
Potential for vendor lock-in with specialized software.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $225,661.67 to COUNTERTRADE PRODUCTS, INC.. PROCUREMENT OF AUDIT SOFTWARE TO SUPPORT THE AUDIT TEAM AT THE DEPARTMENT OF HOMELAND SECURITY (DHS) UNITED STATES CITIZENSHIP AND IMMIGRATION SERVICES (USCIS) IMMIGRANT INVESTOR PROGRAM OFFICE (IPO).

Who is the contractor on this award?

The obligated recipient is COUNTERTRADE PRODUCTS, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $225,661.67.

What is the period of performance?

Start: 2025-09-30. End: 2027-09-29.

What is the track record of Countertrade Products, Inc. in providing similar audit software to federal agencies?

Information regarding Countertrade Products, Inc.'s specific track record in providing audit software to federal agencies is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and client references for this vendor, particularly concerning similar IT solutions. Understanding their experience with government procurement processes and their ability to deliver specialized software on time and within budget is crucial for evaluating future performance risk. Further research into federal contract databases and past performance information repositories would be necessary to fully ascertain their capabilities and reliability in this domain.

How does the $2.26 million contract value compare to similar audit software procurements within DHS or other agencies?

The $2.26 million contract value for audit software over two years is a moderate sum for a specialized government IT procurement. To benchmark this effectively, comparisons should be made with contracts for similar audit, compliance, or case management software within the Department of Homeland Security (DHS) or other agencies with comparable needs. Factors such as the scope of functionality, number of users, integration requirements, and contract duration would need to be aligned for a meaningful comparison. Without access to detailed specifications of comparable contracts, it's difficult to definitively state if this represents excellent, fair, or questionable value. However, the specialized nature for the Immigrant Investor Program Office suggests a potentially niche market.

What are the specific risks associated with the 'Full and Open Competition After Exclusion of Sources' procurement method used?

The 'Full and Open Competition After Exclusion of Sources' method, while not a sole-source procurement, inherently carries risks related to limited competition. The primary risk is that by excluding certain sources, the government may not be exposed to the full spectrum of available solutions or the most competitive pricing. This can lead to higher costs for taxpayers and potentially a less optimal solution if the excluded sources offered superior capabilities or better value. It also raises questions about the justification for excluding other potential bidders, which could indicate a lack of thorough market research or pre-determined preferences. Ensuring that the exclusion was properly justified and documented is key to mitigating these risks.

What are the expected improvements in program effectiveness or efficiency for the USCIS Immigrant Investor Program Office due to this software?

The expected improvements in program effectiveness and efficiency for the USCIS Immigrant Investor Program Office (IPO) stem from providing audit teams with enhanced tools. This specialized audit software is intended to streamline the auditing process, improve data analysis capabilities, and ensure more thorough compliance checks within the investor program. By automating certain tasks and providing better insights into financial and operational data, the software should enable auditors to identify risks, verify compliance more effectively, and potentially reduce the time required for audits. This, in turn, supports the integrity and smooth operation of the Immigrant Investor Program.

What has been the historical spending trend for audit software or related IT services by USCIS or DHS?

Historical spending trends for audit software or related IT services by USCIS or DHS are not provided in the current data. To analyze this, one would need to examine past contract awards for similar services over several fiscal years. This would involve looking at the frequency of such procurements, the average contract values, and the types of vendors historically awarded these contracts. Understanding these trends could reveal whether spending on audit software is increasing, decreasing, or remaining stable, and whether USCIS/DHS has a pattern of relying on specific types of solutions or vendors for these needs.

Are there any specific performance metrics or KPIs defined in the contract to measure the success of the audit software?

The provided data does not specify the performance metrics or Key Performance Indicators (KPIs) defined within the contract to measure the success of the audit software. Typically, such contracts would include clauses related to software functionality, uptime, user support, and potentially metrics related to audit efficiency improvements. Without these details, it is difficult to objectively assess whether the software will meet the government's needs and deliver the intended value. A review of the full contract document would be necessary to identify any defined performance standards and associated remedies for non-performance.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70SBUR25Q00000150

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7585 W 66TH AVE, ARVADA, CO, 80003

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

Financial Breakdown

Contract Ceiling: $304,208

Exercised Options: $225,662

Current Obligation: $225,662

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG15SC65B

IDV Type: GWAC

Timeline