State Department's $27.7M administrative consulting contract awarded to Alutiq Technical Services LLC

Contract Overview

Contract Amount: $27,735,419 ($27.7M)

Contractor: Alutiiq Technical Services LLC

Awarding Agency: Department of State

Start Date: 2014-03-01

End Date: 2016-08-31

Contract Duration: 914 days

Daily Burn Rate: $30.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IGF::OT::IGF DS/T/ATA DOMESTIC STAFF DC METROPOLITAN AREA

Place of Performance

Location: DUNN LORING, FAIRFAX County, VIRGINIA, 22027

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $27.7 million to ALUTIIQ TECHNICAL SERVICES LLC for work described as: IGF::OT::IGF DS/T/ATA DOMESTIC STAFF DC METROPOLITAN AREA Key points: 1. Contract awarded via a non-competitive process, raising questions about potential cost savings. 2. Services provided are in administrative management and general management consulting. 3. The contract duration was 914 days, indicating a medium-term engagement. 4. The contract was a delivery order, suggesting it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 5. The base contract value was $30.3M, with this delivery order representing a significant portion. 6. The contract was not set aside for small businesses.

Value Assessment

Rating: questionable

Benchmarking the value for this contract is challenging due to the lack of competitive bidding. The per-unit cost, while not explicitly provided, would need to be compared against similar administrative management consulting services procured competitively to assess true value for money. Without a competitive baseline, it's difficult to ascertain if the $27.7 million spent represents a fair market price or if taxpayers could have achieved better rates through a more open procurement process.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This limits the opportunity for multiple vendors to offer their services and potentially drive down costs through competition. The rationale for a sole-source award would typically involve specific capabilities or circumstances that only one contractor could meet, but this information is not detailed here.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government does not benefit from the price discovery mechanisms inherent in a competitive bidding process.

Public Impact

The primary beneficiary is the Department of State, receiving administrative and management consulting support. Services likely improved operational efficiency and management practices within the department. The geographic impact is centered in the Washington D.C. metropolitan area, where the Department of State's headquarters are located. The contract supported professional services roles, contributing to the workforce in the administrative consulting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may have resulted in higher costs than a competitive award.
Sole-source justification needs thorough review to ensure necessity.
Transparency is reduced without a competitive bidding process.

Positive Signals

Contract was awarded to a known entity, potentially ensuring continuity of service.
Delivery order mechanism suggests it was part of an existing, possibly vetted, contracting vehicle.

Sector Analysis

Administrative Management and General Management Consulting Services (NAICS 541611) is a broad sector encompassing firms that provide expertise in organizational efficiency, strategic planning, and operational improvements. The federal government is a significant consumer of these services across various agencies to support complex administrative functions. This contract fits within the government's ongoing need for specialized consulting to manage its vast operations and implement policy.

Small Business Impact

This contract was not awarded as a small business set-aside, nor is there information indicating significant subcontracting opportunities for small businesses. The award to Alutiq Technical Services LLC, a company that may or may not be classified as small depending on its size standards for specific contracts, suggests the primary focus was on the service provider rather than specifically fostering small business participation through this particular award.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Inspector General oversight is also a standard mechanism for federal contracts to ensure accountability and identify potential fraud, waste, or abuse. Transparency is limited by the sole-source nature of the award, but contract award data is generally publicly available.

Related Government Programs

Department of State Administrative Support Contracts
Management and Consulting Services
Federal Professional Services Contracts

Risk Flags

Sole-source award lacks competitive pricing.
Potential for higher costs due to non-competitive nature.
Transparency limited by sole-source justification.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $27.7 million to ALUTIIQ TECHNICAL SERVICES LLC. IGF::OT::IGF DS/T/ATA DOMESTIC STAFF DC METROPOLITAN AREA

Who is the contractor on this award?

The obligated recipient is ALUTIIQ TECHNICAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $27.7 million.

What is the period of performance?

Start: 2014-03-01. End: 2016-08-31.

What specific administrative and management consulting services were delivered under this contract?

The contract falls under NAICS code 541611, which covers Administrative Management and General Management Consulting Services. While specific deliverables are not detailed in the provided data, such services typically include areas like organizational structure analysis, process improvement, strategic planning support, policy development assistance, and general management advisory. The Department of State likely utilized these services to enhance its internal operations, improve efficiency in administrative functions, and support the implementation of its strategic objectives. The exact nature of the work would be outlined in the Statement of Work (SOW) associated with the delivery order.

How does the $27.7 million award compare to other similar administrative consulting contracts awarded by the Department of State or other agencies?

Direct comparison is difficult without knowing the specific scope, duration, and complexity of services rendered. However, $27.7 million for a nearly two-year engagement (914 days) in administrative consulting is a substantial amount. Federal agencies frequently award large contracts for management and consulting services. To assess value, one would need to benchmark against contracts with similar labor categories, skill levels, and service requirements, ideally those awarded competitively. The sole-source nature of this award makes a direct value-for-money comparison against market rates or competitive benchmarks challenging, as the government did not leverage competition to establish a price.

What is the track record of Alutiq Technical Services LLC in performing federal contracts, particularly for the Department of State?

Alutiq Technical Services LLC has a history of performing federal contracts. Without access to a comprehensive contract performance database, a detailed analysis of their track record is limited. However, the fact that they were awarded this significant delivery order suggests they have a prior relationship or existing contract vehicle with the Department of State or another agency that allowed for this sole-source award. Further investigation into their past performance ratings, any past performance issues, and the types of contracts they have successfully executed would provide a clearer picture of their capabilities and reliability.

What were the specific justifications for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT AVAILABLE FOR COMPETITION,' which is synonymous with a sole-source award. Specific justifications for sole-source procurements typically fall under exceptions to the Competition in Contracting Act (CICA). Common reasons include unique capabilities, urgent and compelling needs, or when only one responsible source can provide the required services. For this contract, the justification would need to be documented by the Department of State, detailing why competition was not feasible or practicable. Without that documentation, the precise reason remains unknown.

What is the historical spending pattern for administrative management and general management consulting services at the Department of State?

The Department of State, like many large federal agencies, consistently spends significant amounts on management and consulting services to support its complex global operations. Historical spending data would reveal trends in the volume and value of contracts awarded in this category. Analyzing this pattern over several fiscal years would show whether spending on such services has increased or decreased, and whether there's a reliance on specific contractors or contracting vehicles. This context helps in understanding if the $27.7 million award is an outlier or part of a sustained investment in external expertise.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Afognak Native Corp (UEI: 052089695)

Address: 3909 ARCTIC BLVD STE 400, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,735,419

Exercised Options: $27,735,419

Current Obligation: $27,735,419

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SAQMMA14D0037

IDV Type: IDC

Timeline