DOI OIG Financial Audit Contract Awarded to KPMG LLP for $18.77M

Contract Overview

Contract Amount: $18,768,205 ($18.8M)

Contractor: Kpmg LLP

Awarding Agency: Department of the Interior

Start Date: 2021-04-01

End Date: 2025-03-31

Contract Duration: 1,460 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DOI OIG FINANCIAL AUDIT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20240

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $18.8 million to KPMG LLP for work described as: DOI OIG FINANCIAL AUDIT Key points: 1. Contract awarded to KPMG LLP for financial audit services. 2. Full and open competition was utilized for this award. 3. The contract duration is approximately 4 years. 4. This contract falls under the Offices of Certified Public Accountants NAICS code. 5. The total award value is $18,768,204.68.

Value Assessment

Rating: good

The contract's fixed price structure provides cost certainty. Benchmarking against similar financial audit contracts for federal agencies of this size is recommended to ensure competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition suggests a robust price discovery process. This method allows multiple qualified firms to bid, potentially driving down costs and ensuring best value.

Taxpayer Impact: Taxpayer funds are being used efficiently through a competitive bidding process for essential audit services.

Public Impact

Ensures financial accountability and transparency within the Department of the Interior. Supports the integrity of federal financial reporting. Provides independent assurance on the accuracy of financial statements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized
Firm fixed price contract type
Independent financial audit services

Sector Analysis

This contract falls within the professional services sector, specifically accounting and auditing. Spending benchmarks for similar federal audit contracts indicate that this award is within a reasonable range, given the scope and duration.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as it was awarded to KPMG LLP. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

The contract is subject to standard federal oversight mechanisms for financial audits. The Department of the Interior's Office of Inspector General (OIG) is responsible for overseeing the quality and timeliness of the audit.

Related Government Programs

Offices of Certified Public Accountants
Department of the Interior Contracting
Departmental Offices Programs

Risk Flags

Potential for audit findings to reveal significant financial issues.
Risk of delays impacting financial reporting timelines.
Dependence on auditor's independence and objectivity.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $18.8 million to KPMG LLP. DOI OIG FINANCIAL AUDIT

Who is the contractor on this award?

The obligated recipient is KPMG LLP.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $18.8 million.

What is the period of performance?

Start: 2021-04-01. End: 2025-03-31.

What is the value proposition of this contract for the Department of the Interior?

The primary value proposition is the provision of independent, objective assurance on the Department of the Interior's financial statements. This enhances accountability, supports informed decision-making, and builds public trust in the agency's financial management.

What are the key risks associated with this contract?

Key risks include potential delays in audit completion, quality issues with the audit findings, or the auditor identifying significant financial irregularities. Mitigation strategies involve clear performance standards, regular communication, and robust OIG oversight.

How effective is this contract in achieving its stated objectives?

Effectiveness is measured by the timely delivery of a high-quality audit report that accurately reflects the Department's financial position and compliance. The contract's effectiveness will be evaluated based on the audit outcomes and adherence to professional standards.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 140D0421Q0099

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8350 BROAD ST STE 900, MC LEAN, 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: $18,768,205

Exercised Options: $18,768,205

Current Obligation: $18,768,205

Actual Outlays: $18,768,205

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $197,067

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS00F275CA

IDV Type: FSS

Timeline