DoD's $32.8M IGF Base Period FIAR Program Services Contract Awarded to Deloitte Consulting LLP

Contract Overview

Contract Amount: $32,791,245 ($32.8M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Defense

Start Date: 2018-09-18

End Date: 2020-07-20

Contract Duration: 671 days

Daily Burn Rate: $48.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::OT::IGF BASE PERIOD FIAR PROGRAM SERVICES

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $32.8 million to DELOITTE CONSULTING LLP for work described as: IGF::OT::IGF BASE PERIOD FIAR PROGRAM SERVICES Key points: 1. Contract awarded for accounting services to support the Financial Improvement and Audit Readiness (FIAR) program. 2. Deloitte Consulting LLP secured the contract through full and open competition. 3. The contract duration is 671 days, with a base period value of $32.8 million. 4. This award falls under 'Other Accounting Services' (NAICS 541219).

Value Assessment

Rating: good

The contract's value of $32.8 million for a 671-day period appears reasonable for specialized accounting services supporting a major government program like FIAR. Benchmarking against similar large-scale financial improvement contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating a robust price discovery process. This method generally leads to competitive pricing as multiple qualified vendors had the opportunity to bid.

Taxpayer Impact: The competitive award process is expected to ensure taxpayer funds are used efficiently for essential accounting services.

Public Impact

Supports critical financial improvement and audit readiness initiatives within the Department of Defense. Ensures compliance with federal financial management regulations. Contributes to the overall financial integrity and accountability of the Navy's operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope expands beyond initial estimates.
Reliance on a single contractor for a critical program function.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Supports a high-priority government initiative (FIAR).

Sector Analysis

The 'Other Accounting Services' sector (NAICS 541219) encompasses a broad range of financial support functions. Spending in this sector for federal contracts can vary significantly based on program complexity and agency needs, but large-scale financial improvement programs often represent substantial investments.

Small Business Impact

The contract was awarded through full and open competition, and there is no indication of specific small business set-asides or participation in this particular award. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The award was made via a delivery order under an existing contract, suggesting that oversight mechanisms were in place during the initial contract award. The Department of the Navy is responsible for ongoing oversight of this contract's performance and financial execution.

Related Government Programs

Other Accounting Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Contract duration of 671 days may not fully cover long-term FIAR needs.
Reliance on a single vendor for critical financial services.
Lack of specific small business participation noted in the award details.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $32.8 million to DELOITTE CONSULTING LLP. IGF::OT::IGF BASE PERIOD FIAR PROGRAM SERVICES

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $32.8 million.

What is the period of performance?

Start: 2018-09-18. End: 2020-07-20.

What is the specific scope of work for the IGF Base Period FIAR Program Services, and how does it align with the overall FIAR objectives?

The specific scope of work for the IGF Base Period FIAR Program Services likely includes tasks related to financial statement preparation, audit support, process improvement, and data reconciliation to meet the Financial Improvement and Audit Readiness (FIAR) mandate. This aligns with the overarching goal of achieving auditable financial statements for the Department of Defense, enhancing transparency and accountability.

What are the key performance indicators (KPIs) used to measure the success of Deloitte Consulting LLP's services under this contract?

Key performance indicators for this contract would likely focus on the timely and accurate completion of FIAR-related tasks, such as the successful preparation of financial reports, the reduction of audit findings, the implementation of improved internal controls, and adherence to project milestones. Meeting these KPIs ensures the contractor is effectively contributing to the DoD's audit readiness goals.

How does the pricing structure (Time and Materials) for this contract ensure cost-effectiveness for the government, given the potential for scope creep?

While Time and Materials (T&M) contracts offer flexibility, they can pose risks for cost-effectiveness if not managed tightly. For this contract, cost-effectiveness is likely ensured through robust government oversight, clearly defined task orders, regular progress reviews, and potentially established labor rate ceilings. The government must actively manage the scope and monitor hours to prevent uncontrolled cost escalation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Other Accounting 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

Solicitation ID: N0018915RZ006

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte Touche Tohmatsu Limited

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

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

Financial Breakdown

Contract Ceiling: $35,157,824

Exercised Options: $35,157,824

Current Obligation: $32,791,245

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $602,245

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0018918DZ013

IDV Type: IDC

Timeline