DOJ awards $3.3M for IT cybersecurity support, extending existing services for 18 months

Contract Overview

Contract Amount: $3,355,850 ($3.4M)

Contractor: Credence Management Solutions Limited Liability Company

Awarding Agency: Department of Justice

Start Date: 2024-09-30

End Date: 2026-03-31

Contract Duration: 547 days

Daily Burn Rate: $6.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: LABOR HOURS

Sector: IT

Official Description: INFORMATION TECHNOLOGY CYBER SECURITY SUPPORT SERVICES 6 MONTH EXT

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $3.4 million to CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY for work described as: INFORMATION TECHNOLOGY CYBER SECURITY SUPPORT SERVICES 6 MONTH EXT Key points: 1. Contract value appears reasonable for specialized cybersecurity support over 18 months. 2. Full and open competition suggests a competitive bidding process was utilized. 3. Potential risk indicators include the short duration of the extension and the specific nature of cybersecurity services. 4. This contract supports the Federal Prison System's ongoing IT security needs. 5. The services fall under administrative management consulting, a broad category. 6. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: good

The contract value of approximately $3.36 million over 18 months, averaging around $1.87 million annually, seems within a reasonable range for specialized IT cybersecurity support services. Benchmarking against similar contracts for cybersecurity support for federal agencies of this size and scope would provide a more precise valuation. However, without specific comparable contract data, the pricing appears fair for the duration and services described. The use of labor hours suggests costs are tied to actual effort expended.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while there might have been prior exclusions, the final award was made through a competitive process open to all eligible offerors. The specific details of 'after exclusion of sources' would require further investigation into the contract's history, but the 'full and open' designation suggests multiple bids were likely considered, promoting price discovery and potentially better value.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation. It ensures that the government is not limited to a single provider, increasing the likelihood of securing services at a fair market price.

Public Impact

The Federal Prison System benefits from enhanced cybersecurity to protect sensitive data and critical infrastructure. Essential IT cybersecurity support services are delivered to maintain operational continuity. The geographic impact is primarily within the Federal Prison System's operational locations, likely nationwide. The contract supports a workforce skilled in cybersecurity and IT management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short contract duration (18 months) may indicate a need for re-competition or potential instability in long-term support.
Cybersecurity is a constantly evolving field, requiring continuous adaptation and potentially leading to scope creep or increased costs if not managed tightly.
Reliance on a single delivery order under a larger IDIQ could concentrate risk if the prime contractor faces performance issues.

Positive Signals

Awarded under full and open competition, suggesting a robust selection process.
Extension of existing services implies a level of satisfaction with the current provider's performance.
Focus on cybersecurity is critical for protecting sensitive government data and operations.

Sector Analysis

The IT services sector, particularly cybersecurity, is a rapidly growing and critical area for government operations. This contract falls within the administrative management and general management consulting services NAICS code (541611), which encompasses a broad range of professional services. The market for cybersecurity support is highly competitive, with numerous firms offering specialized expertise. Government spending in this area is substantial, driven by increasing cyber threats and the need to protect sensitive information and infrastructure.

Small Business Impact

The data indicates that small business participation (sb) is false and there is no small business set-aside (ss) for this contract. This suggests that the contract was not specifically targeted towards small businesses, and larger, established firms likely competed for and were awarded this delivery order. Subcontracting opportunities for small businesses may exist at the discretion of the prime contractor, but there is no explicit requirement indicated in the provided data.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Justice's contracting officers and program managers responsible for the Federal Prison System's IT infrastructure. The contract's performance would be monitored against the terms and conditions outlined in the delivery order and the parent IDIQ contract. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Department of Justice IT Support Contracts
Federal Bureau of Prisons IT Services
Cybersecurity Services for Law Enforcement Agencies
Administrative Management and General Management Consulting Services

Risk Flags

Short contract duration
Cybersecurity service evolution
Potential for scope creep

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.4 million to CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY. INFORMATION TECHNOLOGY CYBER SECURITY SUPPORT SERVICES 6 MONTH EXT

Who is the contractor on this award?

The obligated recipient is CREDENCE MANAGEMENT SOLUTIONS LIMITED LIABILITY COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $3.4 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-03-31.

What is the specific nature of the cybersecurity support services being provided under this contract?

The provided data classifies the contract under NAICS code 541611 (Administrative Management and General Management Consulting Services), but the description specifies 'INFORMATION TECHNOLOGY CYBER SECURITY SUPPORT SERVICES'. This suggests the services likely encompass a range of activities aimed at protecting the Federal Prison System's IT infrastructure and data. These could include vulnerability assessments, penetration testing, security monitoring, incident response, security policy development, and implementation of security controls. The exact scope would be detailed in the Statement of Work (SOW) for this delivery order, which is not provided here. Understanding the specific services is crucial for assessing value and risk.

How does the annual cost of this contract compare to similar cybersecurity support contracts within the Department of Justice or other federal agencies?

The contract's total value is $3.36 million over 18 months, equating to an average annual cost of approximately $1.87 million. To benchmark this effectively, we would need to compare it against contracts for similar IT cybersecurity support services awarded to agencies of comparable size and complexity, particularly within the Department of Justice or other correctional/law enforcement entities. Factors such as the number of users supported, the criticality of the systems, and the specific services rendered heavily influence pricing. Without access to a database of comparable contracts with detailed service descriptions and pricing, a precise benchmark is difficult. However, for specialized cybersecurity expertise, this annual figure appears within a plausible range for federal contracts.

What is the track record of Credence Management Solutions Limited Liability Company in providing cybersecurity services to the federal government?

Credence Management Solutions LLC is a known federal contractor. To assess their track record specifically for cybersecurity services, a review of their past performance on similar contracts would be necessary. This would involve examining contract databases for awards to Credence in the cybersecurity domain, looking at contract values, durations, and any available performance ratings or past performance questionnaires. Information on any past issues, contract disputes, or successful project completions would provide insight into their reliability and capability in delivering cybersecurity support. A positive track record would reduce performance risk for this delivery order.

What are the potential risks associated with extending cybersecurity support services for the Federal Prison System?

Key risks include the evolving nature of cyber threats, which may outpace the contractor's ability to adapt or require scope adjustments not covered by the current contract. There's also the risk of vendor lock-in if the services become deeply integrated into the agency's operations, making future transitions costly. Performance degradation over time, insufficient staffing by the contractor, or security vulnerabilities introduced by the contractor's own processes are also potential concerns. Furthermore, the short duration of the extension (18 months) might indicate underlying issues or a strategic shift, necessitating close monitoring to ensure continuity and effectiveness.

How does the 'Full and Open Competition After Exclusion of Sources' designation impact the value and competition for this contract?

The 'Full and Open Competition' aspect is positive, indicating that multiple bidders were likely considered, which generally leads to better pricing and service options for the government. The 'After Exclusion of Sources' part suggests that prior to this specific award, certain sources may have been excluded, perhaps due to specific requirements or previous contract history. However, the final award was open. This designation implies a deliberate procurement strategy. If the exclusions were justified and the subsequent full and open competition yielded multiple strong bids, it suggests a healthy competitive environment that should benefit taxpayers by ensuring fair market pricing and access to qualified providers.

What is the historical spending pattern for cybersecurity support services within the Federal Prison System or the Department of Justice?

Analyzing historical spending on cybersecurity support services within the Federal Prison System (FPS) and the broader Department of Justice (DOJ) is crucial for context. This would involve examining contract databases over several fiscal years to identify trends in spending, the types of services procured, and the primary contractors. Understanding whether spending has been increasing, decreasing, or remaining stable can indicate evolving needs or budget priorities. Comparing the current $3.36 million award against this historical baseline helps determine if it represents a significant increase or is in line with past investments. Significant deviations might warrant further investigation into the drivers behind the spending.

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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ALTERNATIVE SOURCES

Solicitation ID: 15BNAS21Q00000009

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 8609 WESTWOOD CTR DR STE 300, VIENNA, VA, 22182

Business Categories: Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,741,109

Exercised Options: $7,741,109

Current Obligation: $3,355,850

Actual Outlays: $1,232,394

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15BNAS21D00000108

IDV Type: IDC

Timeline