DOJ's FBI Spends $25.8M on Accounting Services from Guidehouse LLP via Full and Open Competition

Contract Overview

Contract Amount: $25,876,315 ($25.9M)

Contractor: Guidehouse LLP

Awarding Agency: Department of Justice

Start Date: 2015-06-24

End Date: 2021-06-30

Contract Duration: 2,198 days

Daily Burn Rate: $11.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IGF::OT::IGF- ACCOUNTING AND AUDITING SUPPORTS SERVICES FOR FINANCE DIVISION

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $25.9 million to GUIDEHOUSE LLP for work described as: IGF::OT::IGF- ACCOUNTING AND AUDITING SUPPORTS SERVICES FOR FINANCE DIVISION Key points: 1. Significant contract value of $25.8M for specialized accounting and auditing support. 2. Awarded through full and open competition, indicating a competitive bidding process. 3. Contract duration spans over 6 years, suggesting a long-term need for these services. 4. The service falls under accounting and auditing, a critical function for financial oversight.

Value Assessment

Rating: good

The contract value of $25.8M for accounting and auditing services appears reasonable given the 6-year duration and the specialized nature of the support. Benchmarking against similar large-scale accounting support contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely led to more favorable pricing than a sole-source or limited competition scenario.

Public Impact

Ensures financial integrity and compliance within the FBI's finance division. Supports critical auditing functions, potentially uncovering inefficiencies or fraud. Provides specialized expertise that may not be readily available in-house.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to price increases over time if not managed.
Reliance on a single vendor for extended periods might reduce flexibility.
Potential for scope creep if not clearly defined and monitored.

Positive Signals

Awarded via full and open competition, suggesting competitive pricing.
Services are essential for financial oversight and compliance.
Multiple delivery orders indicate ongoing need and flexibility within the contract.

Sector Analysis

This contract falls within the professional services sector, specifically accounting and auditing. Spending benchmarks for similar government contracts of this size and duration would typically focus on hourly rates and overall contract value relative to the scope of work.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors. The primary awardee is Guidehouse LLP, a large professional services firm. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract was awarded by the Department of Justice's FBI, a major law enforcement agency. Oversight would typically involve contract officers, program managers, and potentially Inspectors General to ensure performance and proper use of funds.

Related Government Programs

Offices of Certified Public Accountants
Department of Justice Contracting
Federal Bureau of Investigation Programs

Risk Flags

Long contract duration (over 6 years).
Significant contract value ($25.8M).
Potential for vendor lock-in.
Reliance on external expertise for critical financial functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $25.9 million to GUIDEHOUSE LLP. IGF::OT::IGF- ACCOUNTING AND AUDITING SUPPORTS SERVICES FOR FINANCE DIVISION

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE LLP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.9 million.

What is the period of performance?

Start: 2015-06-24. End: 2021-06-30.

What specific accounting and auditing functions are being performed under this contract, and how do they align with the FBI's core mission?

The contract, identified by NAICS code 541211 (Offices of Certified Public Accountants), suggests services related to financial record-keeping, auditing, tax preparation, and potentially forensic accounting. These functions are crucial for the FBI's financial management, accountability, and ensuring compliance with federal regulations. They support the agency's ability to track its own finances accurately and provide auditable records for oversight bodies.

Given the $25.8M value and 6-year duration, what are the primary risks associated with this contract for the FBI?

Key risks include potential vendor lock-in, where the FBI becomes overly reliant on Guidehouse LLP, making future transitions difficult or costly. There's also a risk of price escalation over the contract's lifespan if not managed through contract modifications or performance reviews. Furthermore, if the quality of service degrades or specific expertise is lost by the vendor, it could impact the FBI's financial operations and compliance.

How effective is the 'full and open competition' method in ensuring value for money for these types of specialized accounting services?

Full and open competition is generally effective in driving value for money by fostering a competitive environment where multiple firms vie for the contract. This encourages competitive pricing and innovation. For specialized services like accounting and auditing, it allows the government to select a vendor with the most suitable expertise and cost-effectiveness, provided the solicitation is well-defined and evaluation criteria are robust.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Offices of Certified Public Accountants

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: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pricewaterhousecoopers Public Sector LLP

Address: 1800 TYSONS BLVD 7TH FL, MCLEAN, VA, 22102

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,876,315

Exercised Options: $25,876,315

Current Obligation: $25,876,315

Actual Outlays: $10,257,087

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS23F0165N

IDV Type: FSS

Timeline