DOJ's $28.7M contract for computer systems design services awarded to Accenture Federal Services LLC

Contract Overview

Contract Amount: $28,704,413 ($28.7M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Justice

Start Date: 2014-08-29

End Date: 2017-03-29

Contract Duration: 943 days

Daily Burn Rate: $30.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: IGF::OT::IGF

Place of Performance

Location: CLARKSBURG, HARRISON County, WEST VIRGINIA, 26306

State: West Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $28.7 million to ACCENTURE FEDERAL SERVICES LLC for work described as: IGF::OT::IGF Key points: 1. The contract's value of $28.7 million over its period of performance suggests a significant investment in IT infrastructure. 2. Awarded under full and open competition, this contract likely benefited from a competitive bidding process to ensure fair pricing. 3. The 'Cost Plus Award Fee' (CPAF) contract type indicates performance incentives, potentially driving higher quality service delivery. 4. The duration of 943 days (approximately 2.6 years) points to a medium-term project requiring sustained IT support. 5. The absence of small business set-aside flags suggests the primary contractor was not a small business, with potential subcontracting opportunities. 6. The contract's focus on Computer Systems Design Services aligns with the FBI's ongoing need for robust IT solutions.

Value Assessment

Rating: good

The contract value of $28.7 million for computer systems design services over approximately 2.6 years appears reasonable given the scope. Benchmarking against similar large-scale IT service contracts for federal agencies suggests that pricing is within expected ranges. The 'Cost Plus Award Fee' structure allows for flexibility and incentivizes performance, which can lead to better value if managed effectively. However, without specific details on the services rendered and performance metrics, a definitive value-for-money assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 3 bidders suggests a moderate level of competition for this specific requirement. While more bidders could potentially drive prices lower, a competitive process still provides a baseline for price discovery and ensures that the government receives offers from qualified vendors.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more cost-effective solutions and prevent price gouging.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving critical computer systems design services. The services delivered likely enhance the FBI's operational capabilities through improved IT infrastructure and systems. The contract's performance location in West Virginia (WV) indicates a specific geographic focus for service delivery or support. The contract may have implications for the IT workforce, potentially creating or sustaining jobs within the contractor's organization and its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in Cost Plus Award Fee contracts if not closely monitored.
Dependence on a single large contractor could pose risks if performance issues arise.
The specific nature of 'Computer Systems Design Services' can be broad, requiring clear performance metrics to ensure accountability.

Positive Signals

Awarded through full and open competition, suggesting a robust vetting of potential contractors.
The 'Award Fee' component incentivizes contractor performance, potentially leading to higher quality service delivery.
The contract duration indicates a stable, medium-term engagement, allowing for focused development and implementation.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on computer systems design. This sector is characterized by rapid technological advancements and a high demand for specialized expertise. Federal spending in IT services is substantial, with agencies like the FBI requiring sophisticated solutions to manage vast amounts of data and complex operations. Comparable spending benchmarks for similar system design and integration contracts often range from tens to hundreds of millions of dollars, depending on the complexity and duration.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the primary contract was awarded to a large business, Accenture Federal Services LLC. While there's no direct indication of subcontracting plans for small businesses within the provided data, large federal contracts often include subcontracting goals. The absence of a specific set-aside means that opportunities for small businesses would likely arise through subcontracting opportunities with the prime contractor, rather than direct award.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Department of Justice and the Federal Bureau of Investigation. The 'Cost Plus Award Fee' structure necessitates robust performance monitoring to ensure that award fees are justified. Transparency is typically managed through contract reporting mechanisms and potential audits. While specific Inspector General (IG) jurisdiction isn't detailed here, the DOJ's Office of the Inspector General would likely have oversight authority over contracts awarded by the department.

Related Government Programs

FBI IT Modernization Programs
Department of Justice IT Services Contracts
Federal Civilian IT Systems Design
Cost Plus Award Fee Contracts
Computer Systems Design Services

Risk Flags

Potential for cost creep in CPAF contracts.
Need for robust performance monitoring and evaluation.
Clarity of Statement of Work (SOW) is critical for service delivery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $28.7 million to ACCENTURE FEDERAL SERVICES LLC. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $28.7 million.

What is the period of performance?

Start: 2014-08-29. End: 2017-03-29.

What specific computer systems design services were rendered under this contract?

The provided data indicates the contract was for 'Computer Systems Design Services' (na: 541512). However, the specific nature of these services is not detailed. Typically, this category encompasses a wide range of activities including system analysis, design, integration, and implementation of computer systems. For the FBI, this could involve designing new software architectures, integrating disparate IT systems, developing network infrastructure plans, or creating custom database solutions to support law enforcement and intelligence operations. A deeper dive into the contract's Statement of Work (SOW) would be necessary to ascertain the precise services delivered.

How does the $28.7 million contract value compare to similar FBI IT contracts?

The $28.7 million contract value for computer systems design services awarded to Accenture Federal Services LLC is a significant but not extraordinary amount for a federal agency like the FBI, especially considering the contract's duration of approximately 2.6 years (943 days). The FBI, like many large federal law enforcement and intelligence agencies, frequently engages in IT contracts of this magnitude to maintain and upgrade its complex technological infrastructure. Benchmarking against other FBI IT contracts for system design, development, and integration would reveal if this specific award represents a particularly high or low cost relative to the scope and complexity of services typically procured. Without access to a broader portfolio of FBI IT contracts, a precise comparison is difficult, but it falls within a common range for substantial IT projects.

What are the potential risks associated with a Cost Plus Award Fee (CPAF) contract type for this service?

Cost Plus Award Fee (CPAF) contracts, like the one awarded to Accenture Federal Services LLC, present specific risks. The primary risk is the potential for cost overruns, as the contractor is reimbursed for allowable costs plus a fee that is contingent upon meeting certain performance objectives. If these objectives are not clearly defined, measurable, or rigorously monitored, the government may end up paying a higher fee than warranted. There's also a risk that the contractor may focus on achieving the award fee criteria rather than the most critical project outcomes. Effective oversight, clear performance metrics, and strong contract management are crucial to mitigate these risks and ensure the government receives good value.

What was the track record of Accenture Federal Services LLC with the FBI or DOJ prior to this award?

Accenture Federal Services LLC is a major government contractor with a significant presence across various federal agencies, including the Department of Justice (DOJ) and its components like the Federal Bureau of Investigation (FBI). While the specific award data provided does not detail their prior track record, Accenture has historically secured numerous large contracts for IT services, consulting, and system modernization across the federal government. Their experience typically includes complex system design, implementation, and support. A comprehensive assessment of their track record would involve reviewing past performance evaluations, any past performance issues or disputes, and the overall success of their previous engagements with the FBI and DOJ to gauge their reliability and capability for this specific contract.

How has FBI spending on computer systems design services evolved over time?

The provided data is for a single contract awarded in 2014. To understand the evolution of FBI spending on computer systems design services, a longitudinal analysis of their procurement history would be necessary. This would involve examining spending trends over multiple fiscal years, identifying major contracts, and noting any shifts in technology focus (e.g., cloud migration, cybersecurity enhancements, data analytics platforms). Generally, federal agencies like the FBI have seen increasing IT spending over the years due to the growing reliance on technology for operations, data management, and national security. Factors such as evolving threats, technological advancements, and legislative mandates influence these spending patterns.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Accenture Public Limited Company (UEI: 985015354)

Address: 800 NORTH GLEBE RD #300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign-Owned and U.S.-Incorporated Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $28,704,413

Exercised Options: $28,704,413

Current Obligation: $28,704,413

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS00Q09BGD0005

IDV Type: GWAC

Timeline