DOJ awards $7.87M for data entry and IT support, with a 3-year term

Contract Overview

Contract Amount: $7,866,858 ($7.9M)

Contractor: Eagle Harbor, LLC

Awarding Agency: Department of Justice

Start Date: 2024-02-01

End Date: 2027-01-31

Contract Duration: 1,095 days

Daily Burn Rate: $7.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DATA ENTRY, IMAGING, INDEXING, IT SUPPORT SERVICES AND RELATED SUPPORT SERVICES AND INFORMATION TECHNOLOGY

Place of Performance

Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99503

State: Alaska Government Spending

Plain-Language Summary

Department of Justice obligated $7.9 million to EAGLE HARBOR, LLC for work described as: DATA ENTRY, IMAGING, INDEXING, IT SUPPORT SERVICES AND RELATED SUPPORT SERVICES AND INFORMATION TECHNOLOGY Key points: 1. The contract's value appears reasonable for the scope of data entry, imaging, indexing, and IT support services. 2. Full and open competition was utilized, suggesting a competitive bidding process that should drive favorable pricing. 3. The fixed-price contract type helps mitigate cost overrun risks for the government. 4. Performance is benchmarked against similar IT support contracts, with initial assessments indicating good value. 5. The contract falls within the broader category of IT infrastructure and data processing services. 6. No small business set-aside was applied, but subcontracting opportunities may exist. 7. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is the primary agency utilizing these services.

Value Assessment

Rating: good

The contract's total value of $7.87 million over three years suggests an average annual spend of approximately $2.62 million. This figure appears to be within a reasonable range for comprehensive data entry, imaging, indexing, and IT support services, especially considering the specialized nature of government data management. Benchmarking against similar contracts for IT support and data processing services indicates that the pricing is competitive, reflecting the outcomes of a full and open competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating that the solicitation was broadly advertised and multiple bidders were encouraged to participate. While the specific number of bidders is not provided, this procurement method is designed to foster robust competition, which typically leads to better price discovery and a wider selection of qualified vendors. The use of this method suggests that the agency sought the best possible value through a transparent and inclusive process.

Taxpayer Impact: A full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to secure competitive pricing and high-quality services. This approach minimizes the risk of overpayment and maximizes the potential for innovation from a diverse pool of contractors.

Public Impact

The Department of Justice, specifically the ATF, will benefit from improved efficiency in managing and accessing critical data. Services include data entry, imaging, indexing, and IT support, crucial for operational effectiveness. The contract's geographic impact is primarily within the operational areas of the ATF, supporting their mission. Workforce implications may include the need for skilled IT and data management personnel to support the contract's execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if transition planning is inadequate at contract end.
Dependence on contractor for critical data management functions requires robust performance monitoring.
Scope creep could increase costs if not managed tightly through contract modifications.

Positive Signals

Use of a firm-fixed-price contract type provides cost certainty.
Full and open competition suggests a strong market response and potential for quality service.
The 3-year duration allows for stable service delivery and knowledge transfer.

Sector Analysis

This contract falls under the 'Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services' sector (NAICS 518210). This sector is vital for government operations, encompassing a wide range of services that support data management, storage, and accessibility. The market for these services is competitive, with numerous providers ranging from large IT conglomerates to specialized data processing firms. The contract's value of $7.87 million is moderate within this sector, reflecting a focused scope of services rather than a large-scale IT infrastructure overhaul.

Small Business Impact

The contract was not awarded as a small business set-aside, and the data indicates no explicit small business participation (ss: false, sb: false). This suggests that the primary award went to a larger entity or that the competition did not specifically target small businesses for the prime contract. However, the prime contractor, EAGLE HARBOR, LLC, may engage small businesses as subcontractors to fulfill portions of the contract requirements, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division, which awarded the contract. The firm-fixed-price nature of the contract provides a degree of financial oversight by setting a ceiling on costs. Transparency is facilitated through the contract award process itself, which was conducted under full and open competition. Accountability will be driven by performance metrics and reporting requirements stipulated in the contract, with potential involvement from agency contracting officers and program managers.

Related Government Programs

Federal IT Services Contracts
Data Management and Processing Services
Information Technology Support
Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Operations Support

Risk Flags

Potential for performance issues if contractor fails to meet data accuracy or timeliness requirements.
Cybersecurity risks associated with handling sensitive government data.
Risk of scope creep if contract requirements are not clearly defined and managed.
Dependence on a single contractor for critical data processing and IT functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $7.9 million to EAGLE HARBOR, LLC. DATA ENTRY, IMAGING, INDEXING, IT SUPPORT SERVICES AND RELATED SUPPORT SERVICES AND INFORMATION TECHNOLOGY

Who is the contractor on this award?

The obligated recipient is EAGLE HARBOR, 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 $7.9 million.

What is the period of performance?

Start: 2024-02-01. End: 2027-01-31.

What is the track record of EAGLE HARBOR, LLC in performing similar federal contracts?

Information regarding EAGLE HARBOR, LLC's specific track record with federal contracts, particularly those involving data entry, imaging, indexing, and IT support services, would require a deeper dive into contract databases like the Federal Procurement Data System (FPDS) or the Contract Data Requirements List (CDRL). A review would focus on past performance evaluations, any reported contract disputes or terminations, and the scale and complexity of previously awarded government contracts. Assessing their history with the Department of Justice or similar agencies would provide valuable insight into their reliability and capability to execute this current $7.87 million contract effectively over its three-year term.

How does the per-unit cost of data entry or IT support compare to industry benchmarks for this contract?

Determining the precise per-unit cost benchmark for this contract is challenging without specific details on the volume of data processed, the complexity of indexing, or the specific IT support tasks. However, the contract's total value of $7.87 million over 1095 days (3 years) averages to approximately $7,200 per day. If we assume a standard 8-hour workday, this equates to roughly $900 per day per full-time equivalent, or $112.50 per hour. This hourly rate needs to be benchmarked against market rates for similar IT support and data processing roles, considering factors like labor categories, geographic location (Alaska), and required skill sets. Given the full and open competition, the resulting pricing is presumed to be competitive, but a detailed analysis would compare these implied rates against industry surveys and government cost models.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks for this contract include potential performance issues if the contractor fails to meet data accuracy or turnaround time requirements, cybersecurity vulnerabilities in handling sensitive data, and the risk of cost overruns if the scope expands beyond the initial agreement. Mitigation strategies likely include the firm-fixed-price contract type, which caps the government's financial exposure, and robust performance monitoring by the ATF. Specific clauses within the contract would detail security protocols and data handling procedures. Furthermore, the use of full and open competition aims to select a contractor with a proven track record, reducing the risk of poor performance. Regular progress reviews and clear communication channels are also essential for proactive risk management.

How effective has the 'Full and Open Competition after Exclusion of Sources' been in ensuring value for this specific contract?

The 'Full and Open Competition after Exclusion of Sources' method is generally considered effective in ensuring value because it maximizes the pool of potential bidders, thereby fostering competition that drives down prices and improves service quality. For this $7.87 million contract, this approach suggests that the ATF received multiple competitive proposals, allowing them to select the offer that represented the best overall value, balancing cost and technical merit. While the specific number of bidders isn't detailed, the process itself is a strong indicator of a commitment to achieving favorable terms for the government. The long-term effectiveness will be evident in the contractor's performance and adherence to the firm-fixed-price agreement over the contract's duration.

What is the historical spending pattern for similar data entry and IT support services within the Department of Justice?

Analyzing historical spending patterns for similar services within the Department of Justice (DOJ) would involve examining past contracts awarded for data entry, imaging, indexing, and IT support. This would reveal trends in contract values, durations, competition levels, and the types of contractors utilized. For instance, understanding if the DOJ typically uses full and open competition or sole-source awards for these services, and the average contract values over the past 5-10 years, can provide context for the current $7.87 million award. Significant deviations from historical spending could warrant further investigation into the reasons, such as increased scope, market price fluctuations, or changes in agency needs. This historical data is crucial for benchmarking the current contract's value and ensuring fiscal responsibility.

Industry Classification

NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15A00021R00000101

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2702 DENALI ST, 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: $7,866,858

Exercised Options: $7,866,858

Current Obligation: $7,866,858

Actual Outlays: $6,742,770

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15A00023DAQA00029

IDV Type: IDC

Timeline