Interior's BLM Awards $2.4M Contract to ATA Services for Accounting, Facing Potential Overpricing Concerns

Contract Overview

Contract Amount: $2,431,893 ($2.4M)

Contractor: ATA Services, Inc.

Awarding Agency: Department of the Interior

Start Date: 2023-05-01

End Date: 2028-04-30

Contract Duration: 1,826 days

Daily Burn Rate: $1.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CASUAL PAYMENT CENTER SERVICE CONTRACT

Place of Performance

Location: BOISE, ADA County, IDAHO, 83705

State: Idaho Government Spending

Plain-Language Summary

Department of the Interior obligated $2.4 million to ATA SERVICES, INC. for work described as: CASUAL PAYMENT CENTER SERVICE CONTRACT Key points: 1. Contract value of $2.4M over 5 years. 2. ATA Services, Inc. is the sole awardee. 3. Potential risk of overpricing due to limited competition. 4. Accounting services sector, NAICS 541211.

Value Assessment

Rating: questionable

The contract's fixed price of $2.4M over five years for accounting services warrants scrutiny. Benchmarking against similar contracts for CPA services is crucial to determine if the pricing is competitive and reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which theoretically should drive competitive pricing. However, the specific details of the bidding process and the number of bids received are not provided, making it difficult to assess the effectiveness of price discovery.

Taxpayer Impact: Taxpayer funds are being used for accounting services. The effectiveness of the competition process will directly impact the value for money received by taxpayers.

Public Impact

Ensures essential accounting functions for the Bureau of Land Management. Supports land management operations through financial oversight. Potential for cost savings if pricing is competitive.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional services sector, specifically accounting. Government spending on accounting services is common across agencies for financial management and compliance. Benchmarks for similar contracts would typically consider the size of the agency and the complexity of its financial operations.

Small Business Impact

The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight of this contract would involve monitoring performance against the fixed-price terms and ensuring that the services provided meet the Bureau of Land Management's requirements. Accountability rests with the agency to manage the contract effectively and ensure fair pricing.

Related Government Programs

Risk Flags

Tags

offices-of-certified-public-accountants, department-of-the-interior, id, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $2.4 million to ATA SERVICES, INC.. CASUAL PAYMENT CENTER SERVICE CONTRACT

Who is the contractor on this award?

The obligated recipient is ATA SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of the Interior (Bureau of Land Management).

What is the total obligated amount?

The obligated amount is $2.4 million.

What is the period of performance?

Start: 2023-05-01. End: 2028-04-30.

What is the specific scope of accounting services required by the Bureau of Land Management under this contract?

The contract is for general accounting services, identified by NAICS code 541211 (Offices of Certified Public Accountants). This typically includes services such as financial statement preparation, auditing, tax preparation, and bookkeeping. The exact deliverables and service levels would be detailed in the contract's statement of work, which is not provided here.

How does the $2.4M contract value compare to industry benchmarks for similar accounting services provided to federal agencies of comparable size?

Without specific details on the scope of work and the number of bids received, a direct comparison is challenging. However, $2.4M over five years averages $480,000 annually. This figure needs to be benchmarked against contracts for similar services at agencies like the Department of the Interior or other land management bodies to assess if it represents a competitive market rate.

What mechanisms are in place to ensure the effectiveness and efficiency of the accounting services provided by ATA Services, Inc. throughout the contract period?

The contract is a firm fixed-price delivery order, which incentivizes the contractor to perform efficiently. The Bureau of Land Management will likely have contract officers and technical monitors to oversee performance, review deliverables, and ensure compliance with the contract terms. Regular performance reviews and feedback mechanisms are standard for ensuring service effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesAccounting, Tax Preparation, Bookkeeping, and Payroll ServicesOffices 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

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 405 URBAN ST, LAKEWOOD, CO, 80228

Business Categories: Category Business, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $2,922,413

Exercised Options: $2,431,893

Current Obligation: $2,431,893

Actual Outlays: $1,583,995

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS23F0088V

IDV Type: FSS

Timeline

Start Date: 2023-05-01

Current End Date: 2028-04-30

Potential End Date: 2028-04-30 00:00:00

Last Modified: 2026-04-08

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