DOJ awards $5.2M for ISSO support, raising questions about competition and value

Contract Overview

Contract Amount: $5,239,203 ($5.2M)

Contractor: Koniag Data Solutions LLC

Awarding Agency: Department of Justice

Start Date: 2023-01-01

End Date: 2026-12-31

Contract Duration: 1,460 days

Daily Burn Rate: $3.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: ISSO SUPPORT SERVICES

Place of Performance

Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503

State: Alaska Government Spending

Plain-Language Summary

Department of Justice obligated $5.2 million to KONIAG DATA SOLUTIONS LLC for work described as: ISSO SUPPORT SERVICES Key points: 1. Contract awarded on a sole-source basis, limiting price discovery and potentially increasing costs. 2. The contract duration of 1460 days (4 years) suggests a long-term need for these services. 3. Focus on Computer Facilities Management Services indicates a critical IT infrastructure support role. 4. The lack of a small business set-aside raises concerns about opportunities for smaller firms. 5. Performance context is limited due to the 'NOT AVAILABLE FOR COMPETITION' status. 6. The contract's value of over $5 million warrants scrutiny for cost-effectiveness.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without more detailed service descriptions and comparable contract data. The $5.2 million award over four years, for Computer Facilities Management Services, appears to be within a typical range for such support. However, the lack of competitive bidding means there's no direct market validation of the pricing. Further analysis would require comparing the labor hours and rates to industry standards for ISSO support and IT facilities management.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. The 'NOT AVAILABLE FOR COMPETITION' status suggests that the agency identified a specific contractor deemed uniquely qualified or that other justifications for sole-source procurement were met. Without a competitive process, it's difficult to assess the breadth of market interest or the potential for multiple bidders to offer competitive pricing.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as they bypass the price discovery mechanisms inherent in a competitive bidding process.

Public Impact

The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) benefits from continued ISSO support services. Services delivered are critical for maintaining IT infrastructure and ensuring information security. The geographic impact is primarily within the agency's operational locations, likely nationwide. Workforce implications include the direct employment of personnel by the contractor, KONIAG DATA SOLUTIONS LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition and potentially increases costs.
Lack of transparency in the justification for sole-source procurement.
No explicit small business subcontracting goals identified.
Limited public data on specific performance metrics or outcomes.

Positive Signals

Contract addresses a critical need for ISSO support services.
Long-term contract duration suggests stability and continuity of essential functions.
Contractor has been awarded a federal contract, indicating some level of vetting.

Sector Analysis

This contract falls within the IT services sector, specifically Computer Facilities Management Services. The IT services market is vast and highly competitive, with significant government spending. Contracts for ISSO support are crucial for agencies to maintain secure and functional IT systems. Benchmarking this $5.2 million award would involve comparing it to other similar-sized contracts for IT facilities management and information security support across federal agencies, considering the specific scope of work.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting opportunities for small businesses. This suggests that larger businesses or specific sole-source justifications were prioritized. The absence of a small business set-aside means that opportunities for smaller, specialized firms to compete for or participate in this contract may be limited, potentially impacting the broader small business ecosystem within this IT services niche.

Oversight & Accountability

Oversight mechanisms for this contract would typically be managed by the contracting officer's representative (COR) within the ATF Acquisition and Property Management Division. Accountability measures are usually tied to contract performance clauses and deliverables. Transparency is limited by the sole-source nature of the award and the lack of publicly available detailed performance reports. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

IT Facilities Management Services
Information Security Support
Computer Systems Management
Federal IT Procurement
Sole-Source IT Contracts

Risk Flags

Sole-source award raises concerns about competition and potential cost overruns.
Lack of detailed justification for sole-source procurement limits transparency.
Absence of explicit small business subcontracting requirements.
Limited public information on performance metrics and oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $5.2 million to KONIAG DATA SOLUTIONS LLC. ISSO SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is KONIAG DATA SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division).

What is the total obligated amount?

The obligated amount is $5.2 million.

What is the period of performance?

Start: 2023-01-01. End: 2026-12-31.

What specific ISSO support services are being provided under this contract?

The contract is categorized under 'Computer Facilities Management Services' (NAICS code 541513). While the specific details of ISSO (Information System Security Officer) support are not fully elaborated in the provided data, these services typically encompass a range of activities critical to information security. This includes developing and implementing security policies, managing security controls, conducting risk assessments, ensuring compliance with federal security regulations (like FISMA), monitoring systems for security breaches, and responding to security incidents. The contract likely involves personnel dedicated to these functions to support the ATF's IT infrastructure.

What is the justification for awarding this contract on a sole-source basis?

The provided data states the contract type is 'NOT AVAILABLE FOR COMPETITION,' which typically signifies a sole-source award. Federal Acquisition Regulation (FAR) Part 6 outlines the policies for contracting without full and open competition. Common justifications include that only one responsible source can satisfy the agency's needs, or that the agency is a sole provider of a unique product or service. Without further documentation from the Department of Justice or the ATF, the precise justification (e.g., urgency, specialized expertise, follow-on work to a previous sole-source award) remains unspecified. This lack of transparency is a key area for further inquiry.

How does the contract value of $5.2 million compare to similar ISSO support contracts?

Comparing the $5.2 million contract value for four years of ISSO support requires context regarding the scope of services, number of systems supported, and specific security requirements. For a contract of this duration and general IT facilities management focus, the value is not inherently excessive. However, without detailed service level agreements (SLAs) and specific deliverables, a precise benchmark is difficult. If this contract covers a broad range of high-level security management for a large IT infrastructure, the cost might be reasonable. Conversely, if the scope is narrower, the per-year cost of approximately $1.3 million could be on the higher side, especially given the lack of competitive pricing.

What is the track record of KONIAG DATA SOLUTIONS LLC in providing ISSO support services?

KONIAG DATA SOLUTIONS LLC has been awarded this federal contract, indicating they possess the necessary qualifications and have passed initial vetting processes. To assess their track record specifically for ISSO support, one would need to examine their past performance on similar government contracts. This includes reviewing past performance evaluations, any awards or penalties received, and the duration and scope of previous IT security or facilities management contracts they have held. Information on their specific experience with the ATF or similar agencies would also be valuable in gauging their suitability and reliability for this role.

Are there any performance metrics or KPIs associated with this contract?

The provided summary data does not include specific performance metrics (KPIs) or deliverables tied to this contract. Typically, federal contracts include detailed statements of work (SOW) and performance work statements (PWS) that outline expected outcomes, quality standards, and measurement methods. For an ISSO support contract, KPIs might include metrics related to incident response times, vulnerability remediation rates, compliance audit success, and system uptime. The absence of this information in the summary suggests that further investigation into the full contract documentation would be necessary to understand how KONIAG DATA SOLUTIONS LLC's performance is being measured and managed.

What is the historical spending pattern for ISSO support services at the ATF?

The provided data only details this specific $5.2 million contract awarded in 2023. To understand historical spending patterns for ISSO support at the ATF, one would need to analyze procurement data over several preceding fiscal years. This would involve identifying previous contracts for similar services, their values, durations, and the contractors involved. Analyzing this historical data could reveal trends in spending, whether reliance on sole-source awards has been consistent, and if the current contract represents an increase or decrease in overall investment in ISSO support.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - SECURITY AND COMPLIANCE

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 15A00023R00000001

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 3800 CENTERPOINT DR, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,814,894

Exercised Options: $7,563,662

Current Obligation: $5,239,203

Actual Outlays: $3,202,082

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline