FBI awards $3M+ contract for administrative support services to Ethic Tech, LLC

Contract Overview

Contract Amount: $3,002,611 ($3.0M)

Contractor: Ethic Tech, LLC

Awarding Agency: Department of Justice

Start Date: 2022-09-22

End Date: 2026-09-23

Contract Duration: 1,462 days

Daily Burn Rate: $2.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE FEDERAL BUREAU OF INVESTIGATION (FBI) REQUIRES PROFESSIONAL ACQUISITION SUPPORT SERVICES AT FBI HEADQUARTERS (HQ), J. EDGAR HOOVER BUILDING IN WASHINGTON DC. THE FBI IS REQUESTING EXECUTIVE ADMINISTRATIVE SUPPORT SERVICES TO SUPPORT SENIOR LEADE

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Justice obligated $3.0 million to ETHIC TECH, LLC for work described as: THE FEDERAL BUREAU OF INVESTIGATION (FBI) REQUIRES PROFESSIONAL ACQUISITION SUPPORT SERVICES AT FBI HEADQUARTERS (HQ), J. EDGAR HOOVER BUILDING IN WASHINGTON DC. THE FBI IS REQUESTING EXECUTIVE ADMINISTRATIVE SUPPORT SERVICES TO SUPPORT SENIOR LEADE Key points: 1. Contract provides essential executive administrative support to senior leadership at FBI Headquarters. 2. The contract is a definitive contract with a firm-fixed-price structure, indicating predictable costs. 3. The duration of the contract is over four years, suggesting a need for sustained support. 4. The award was made to Ethic Tech, LLC, a single vendor. 5. The North American Industry Classification System (NAICS) code 541611 points to management consulting services. 6. The contract is not competitively awarded, raising questions about potential value for money.

Value Assessment

Rating: questionable

The contract value of approximately $3 million over four years for administrative support services requires careful benchmarking. Without comparable contract data or detailed scope of work, assessing the value for money is challenging. The firm-fixed-price structure provides cost certainty, but the lack of competition could lead to a higher price than if the contract were competed. Further analysis would be needed to compare the per-person cost or service level to industry standards.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. The justification for not competing the contract is not provided in the available data. Sole-source awards can sometimes be necessary for specialized services or urgent requirements, but they limit the opportunity for price discovery through competitive bidding and may not always yield the best value for taxpayers.

Taxpayer Impact: The lack of competition means taxpayers may not be benefiting from the most cost-effective solution available in the market. Without a competitive process, there is a risk that the price paid is higher than it would be under an open competition.

Public Impact

Senior leadership within the Federal Bureau of Investigation (FBI) will benefit from enhanced administrative support. The services delivered will ensure the smooth operation of executive functions at FBI Headquarters. The geographic impact is concentrated at the J. Edgar Hoover Building in Washington D.C. The contract supports administrative roles, potentially impacting the FBI's internal workforce structure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in suboptimal pricing.
Limited transparency into the justification for a sole-source award.
Potential for higher costs compared to a competitively bid contract.

Positive Signals

Firm-fixed-price contract provides cost certainty for the FBI.
Long-term contract (over 4 years) ensures continuity of essential administrative support.
Award to a single vendor simplifies contract management.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting services. This sector is crucial for government operations, providing specialized support that enables agencies to focus on their core missions. The market for such services is competitive, but individual contract awards can vary significantly based on scope, duration, and competition level. Benchmarking would typically involve comparing rates and service offerings for similar administrative support roles within federal agencies or the private sector.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is not evident from this award alone. Further investigation into the contractor's subcontracting plan would be necessary to determine any indirect benefits or opportunities for small businesses.

Oversight & Accountability

Oversight for this contract would primarily fall under the Federal Bureau of Investigation's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price contract structure, which defines deliverables and payment terms. Transparency regarding the justification for the sole-source award and performance metrics would be key areas for oversight. The Inspector General for the Department of Justice would have jurisdiction for audits and investigations if any concerns arise regarding waste, fraud, or abuse.

Related Government Programs

FBI Administrative Support Services
Department of Justice Management Consulting Contracts
Federal Executive Administrative Support
Government Professional Services Contracts

Risk Flags

Sole-source award lacks competitive pricing.
Limited transparency on justification for non-competition.
Potential for higher costs compared to market rates.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.0 million to ETHIC TECH, LLC. THE FEDERAL BUREAU OF INVESTIGATION (FBI) REQUIRES PROFESSIONAL ACQUISITION SUPPORT SERVICES AT FBI HEADQUARTERS (HQ), J. EDGAR HOOVER BUILDING IN WASHINGTON DC. THE FBI IS REQUESTING EXECUTIVE ADMINISTRATIVE SUPPORT SERVICES TO SUPPORT SENIOR LEADE

Who is the contractor on this award?

The obligated recipient is ETHIC TECH, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2022-09-22. End: 2026-09-23.

What is the specific scope of 'Professional Acquisition Support Services' required by the FBI?

The provided data indicates the requirement is for 'Professional Acquisition Support Services' and specifically mentions 'Executive Administrative Support Services to support senior leadership' at FBI Headquarters. While the NAICS code 541611 points to Administrative Management and General Management Consulting Services, the exact deliverables, such as scheduling, travel arrangements, document preparation, meeting coordination, and other executive assistance functions, are not detailed. A comprehensive understanding of the scope would require reviewing the detailed Performance Work Statement (PWS) or Statement of Work (SOW) associated with this contract. This would clarify the specific tasks, responsibilities, and expected outcomes for Ethic Tech, LLC.

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

The data explicitly states the contract was 'NOT AVAILABLE FOR COMPETITION,' indicating a sole-source award. However, the specific justification for this determination is not provided. Common reasons for sole-source awards include unique capabilities of the contractor, urgent and compelling needs where competition is not feasible, or when only one responsible source exists. Without the official Justification for Other Than Full and Open Competition (JOFOC), it is impossible to definitively assess the validity of the sole-source determination. This lack of transparency is a key area for further inquiry, as sole-source awards bypass the competitive process designed to ensure best value for taxpayers.

How does the pricing of this contract compare to similar administrative support contracts within the federal government?

Direct comparison of pricing is difficult without access to detailed pricing structures and the specific scope of services for comparable contracts. The total value is approximately $3 million over four years. To benchmark effectively, one would need to analyze the labor categories, hourly rates, and estimated hours proposed by Ethic Tech, LLC, and compare these against government-wide contract vehicles (like GSA schedules) or recently awarded similar contracts for administrative support. The firm-fixed-price nature means the total cost is set, but the underlying rates and efficiency are critical for value assessment. The absence of competition makes a direct price-for-value comparison more challenging.

What is Ethic Tech, LLC's track record with federal contracts, particularly with the FBI or Department of Justice?

The provided data identifies Ethic Tech, LLC as the awardee but does not offer details on their past performance or track record with federal agencies. To assess their suitability and reliability for this contract, a review of their contract history, including past performance evaluations, any awards or penalties, and experience with similar services would be necessary. Information from sources like the Federal Procurement Data System (FPDS) or the Contractor Performance Assessment Reporting System (CPARS) would be crucial for evaluating their performance history and determining if they have a proven ability to deliver on government contracts effectively.

What are the potential risks associated with a sole-source award for administrative support services?

The primary risk associated with a sole-source award is the potential for reduced value for money due to the absence of competition. Without competing bids, the government may pay a higher price than necessary. Other risks include a lack of innovation, as the contractor may have less incentive to propose cost-saving efficiencies or improved service methods. Furthermore, the justification for the sole-source award itself can be a point of concern if it is not robust or transparent, potentially indicating a lack of due diligence in exploring competitive options. This can also limit opportunities for new or small businesses to enter the market.

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: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 401 WYNN DR NW, HUNTSVILLE, AL, 35805

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

Financial Breakdown

Contract Ceiling: $4,612,566

Exercised Options: $4,612,566

Current Obligation: $3,002,611

Actual Outlays: $2,424,953

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline