DOJ's $32M litigation support contract awarded to PAE Labat-Anderson LLC shows fair value and broad competition

Contract Overview

Contract Amount: $32,064,235 ($32.1M)

Contractor: PAE Labat-Anderson LLC

Awarding Agency: Department of Justice

Start Date: 2013-11-26

End Date: 2021-05-31

Contract Duration: 2,743 days

Daily Burn Rate: $11.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::CT::IGF THIS CONTRACT WILL BE USED TO PROVIDE PROFESSIONAL LITIGATION SUPPORT PRODUCTS AND SERVICES TO THE DEPARTMENT OF JUSTICE AND OTHER FEDERAL AGENCIES ON AN INDEFINITE DELIVERY, INDEFINITE QUANTITY TASK ORDER BASIS. INDIVIDUAL TASK ORDERS ISSUED UNDER THIS CONTRACT MAY SUPPORT ANY DEPARTMENT OF JUSTICE ORGANIZATION OR FEDERAL AGENCY ON A LOCAL AND/OR NATIONWIDE BASIS. SERVICES MAY BE REQUIRED ANYWHERE IN OR OUTSIDE OF THE UNITED STATES AND ITS TERRITORIES. THIS CONTRACT WILL ALSO BE USED TO SUPPORT CASE- OR INVESTIGATION-RELATED ADMINISTRATIVE FUNCTIONS

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22101

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $32.1 million to PAE LABAT-ANDERSON LLC for work described as: IGF::CT::IGF THIS CONTRACT WILL BE USED TO PROVIDE PROFESSIONAL LITIGATION SUPPORT PRODUCTS AND SERVICES TO THE DEPARTMENT OF JUSTICE AND OTHER FEDERAL AGENCIES ON AN INDEFINITE DELIVERY, INDEFINITE QUANTITY TASK ORDER BASIS. INDIVIDUAL TASK ORDERS ISSUED UNDER THIS CONTRACT MAY … Key points: 1. Contract provides essential litigation support services across federal agencies, demonstrating broad utility. 2. Awarded under full and open competition, suggesting a competitive pricing environment. 3. Performance period of over 7 years indicates a long-term need for these services. 4. Services are flexible, supporting various DOJ organizations and other federal agencies nationwide and globally. 5. The contract type (Time and Materials) requires careful monitoring to ensure cost control. 6. No small business set-aside was utilized, indicating a focus on prime contractor capabilities.

Value Assessment

Rating: good

The total value of $32,064,234.75 over approximately 7.5 years suggests a moderate annual spend for litigation support. Benchmarking against similar contracts for legal services is challenging without specific task order details, but the overall value appears reasonable for the scope of services. The Time and Materials (T&M) contract type, while flexible, can sometimes lead to higher costs if not managed diligently. However, the competitive award process likely helped establish a baseline for fair pricing.

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 offers. The presence of 4 bids suggests a healthy level of interest and competition for this type of service. A competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Taxpayers benefit from the competitive nature of this award, as it likely drove down prices and ensured the government received value for its investment in litigation support services.

Public Impact

Federal agencies, particularly the Department of Justice, benefit from efficient and comprehensive litigation support. Services delivered include products and support for legal proceedings, administrative functions, and investigations. Geographic impact is nationwide and potentially global, supporting cases and investigations wherever they arise. Workforce implications include support for legal professionals and administrative staff within federal agencies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely monitored.
Broad scope and indefinite delivery/indefinite quantity (IDIQ) nature require robust task order management.
Potential for services to be required anywhere globally could introduce logistical complexities and cost variability.

Positive Signals

Awarded under full and open competition, ensuring a competitive marketplace.
Long performance period (over 7 years) suggests a stable and reliable support mechanism.
Supports multiple federal agencies, demonstrating versatility and broad applicability of services.

Sector Analysis

This contract falls within the professional services sector, specifically legal services and litigation support. The market for such services is substantial, driven by the ongoing needs of government agencies for legal counsel, case management, and investigative support. Comparable spending benchmarks would typically be found within broader categories of professional and business support services, where agencies contract for expertise not available in-house. The $32 million total contract value over its lifespan places it as a significant, but not exceptionally large, award within this domain.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of specific small business subcontracting requirements in the provided data. This suggests that the primary awardee, PAE Labat-Anderson LLC, was selected based on its capabilities to meet the broad requirements of the contract. The absence of set-asides means that opportunities for small businesses would likely be through subcontracting, if the prime contractor chooses to engage them.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Department of Justice and any other utilizing federal agencies. The indefinite delivery, indefinite quantity (IDIQ) nature and Time and Materials (T&M) pricing structure necessitate diligent oversight of task orders to ensure compliance with contract terms, prevent cost overruns, and verify that services are necessary and appropriately priced. Transparency is facilitated through contract award databases, but detailed oversight of individual task orders is an internal agency function.

Related Government Programs

Department of Justice Litigation Support Services
Federal Legal Services Contracts
Professional and Business Support Services
Indefinite Delivery/Indefinite Quantity (IDIQ) Contracts

Risk Flags

Potential for cost overruns due to T&M pricing
Need for robust oversight of task orders under IDIQ structure
Lack of specific performance metrics in summary data

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $32.1 million to PAE LABAT-ANDERSON LLC. IGF::CT::IGF THIS CONTRACT WILL BE USED TO PROVIDE PROFESSIONAL LITIGATION SUPPORT PRODUCTS AND SERVICES TO THE DEPARTMENT OF JUSTICE AND OTHER FEDERAL AGENCIES ON AN INDEFINITE DELIVERY, INDEFINITE QUANTITY TASK ORDER BASIS. INDIVIDUAL TASK ORDERS ISSUED UNDER THIS CONTRACT MAY SUPPORT ANY DEPARTMENT OF JUSTICE ORGANIZATION OR FEDERAL AGENCY ON A LOCAL AND/OR NATIONWIDE BASIS. SERVICES MAY BE REQUIRED ANYWHERE IN OR OUTSIDE OF THE UNITED STATES AND ITS TERRITORIES. THIS CONTRACT WILL ALSO BE US

Who is the contractor on this award?

The obligated recipient is PAE LABAT-ANDERSON LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $32.1 million.

What is the period of performance?

Start: 2013-11-26. End: 2021-05-31.

What is the historical spending pattern for litigation support services by the Department of Justice?

Historical spending on litigation support by the Department of Justice (DOJ) has been substantial and varied, reflecting the agency's extensive legal responsibilities. While specific figures for this contract show a total of approximately $32 million over its 7.5-year period, broader DOJ spending encompasses a wide array of legal services, including external counsel, expert witnesses, e-discovery, and administrative support. Analyzing historical data from sources like USAspending.gov reveals consistent multi-billion dollar annual expenditures by the DOJ on legal and related services. This particular contract represents a segment of that larger spending, focused on specific litigation support products and services. Trends often show an increasing reliance on specialized support firms, particularly for complex cases involving large volumes of data or requiring niche expertise, driving the need for contracts like this one.

How does the pricing structure (Time and Materials) compare to other contract types for similar litigation support services?

Time and Materials (T&M) contracts, like the one awarded to PAE Labat-Anderson LLC, offer flexibility by reimbursing the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This contrasts with Firm-Fixed-Price (FFP) contracts, where a total price is agreed upon upfront, or Cost-Plus contracts, which reimburse costs plus a negotiated profit. For litigation support, T&M can be advantageous when the scope of work is not well-defined at the outset, allowing for adjustments as cases evolve. However, T&M carries a higher risk of cost growth for the government compared to FFP, as the final cost is not predetermined. Agencies often use T&M for services where the level of effort is uncertain, but they must implement robust oversight to manage labor hours and material costs effectively to ensure fair value.

What is PAE Labat-Anderson LLC's track record with federal litigation support contracts?

PAE Labat-Anderson LLC, now part of PAE Inc. (which has since been acquired), has a significant track record in providing professional services, including litigation support, to various U.S. federal agencies. Their history includes numerous contracts with entities such as the Department of Justice, Department of Homeland Security, and others, often involving complex administrative, technical, and legal support functions. Reviews of federal procurement data indicate a pattern of awards for services similar to those covered under this contract, spanning areas like document management, case support, and administrative processing. While specific performance metrics for individual contracts are not publicly detailed in this summary, the company's sustained presence and repeated awards suggest a generally satisfactory performance history in meeting government requirements for these types of services.

What are the potential risks associated with the indefinite delivery, indefinite quantity (IDIQ) nature of this contract?

The Indefinite Delivery, Indefinite Quantity (IDIQ) nature of this contract, while providing flexibility, introduces several potential risks. Firstly, there's a risk of 'scope creep' if task orders are not carefully defined and managed, potentially leading to services beyond the original intent or requiring additional resources not initially budgeted. Secondly, the government might not achieve the maximum potential value if task orders are minimal, leading to underutilization of the contract's capacity. Conversely, if task orders are excessively high, it could strain agency budgets unexpectedly. Effective risk mitigation requires strong contract administration, clear definition of task order requirements, and continuous monitoring of spending against projected needs and agency priorities to ensure the IDIQ contract serves its intended purpose efficiently and cost-effectively.

How does this contract's value compare to the overall federal spending on legal services?

This contract's total value of approximately $32 million over 7.5 years represents a modest portion of the overall federal spending on legal services. The U.S. government, particularly departments like the Department of Justice, expends billions annually on a wide spectrum of legal support, including external law firms, in-house counsel, expert witnesses, and specialized support services. This contract specifically addresses 'All Other Legal Services' (NAICS code 541199) and focuses on litigation support products and services. While significant for the specific services procured, its value is dwarfed by the total federal legal expenditure, which includes major litigation defense, prosecution, and regulatory enforcement activities often handled by large law firms or through different contracting vehicles. Therefore, this contract is a component of a much larger legal services procurement landscape.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Altegrity, Inc.

Address: 7799 LEESBURG PIKE STE 300N, FALLS CHURCH, VA, 22043

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

Financial Breakdown

Contract Ceiling: $32,064,235

Exercised Options: $32,064,235

Current Obligation: $32,064,235

Actual Outlays: $5,052,816

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $127,074

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DJJ13C2442

IDV Type: IDC

Timeline