DOJ awards $22M for identity resolution, with Anacapa Micro Products Inc. securing the contract

Contract Overview

Contract Amount: $22,071,319 ($22.1M)

Contractor: Anacapa Micro Products, Inc.

Awarding Agency: Department of Justice

Start Date: 2022-03-30

End Date: 2027-03-29

Contract Duration: 1,825 days

Daily Burn Rate: $12.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: A MODERN IDENTITY/ENTITY RESOLUTION AND ENTITY MATCHING PRODUCT WITH ASSOCIATED SERVICES FOR PRODUCT TECHNICAL SUPPORT, AS WELL AS FOR IMPLEMENTATION AND INTEGRATION SUPPORT.

Place of Performance

Location: VENTURA, VENTURA County, CALIFORNIA, 93006

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $22.1 million to ANACAPA MICRO PRODUCTS, INC. for work described as: A MODERN IDENTITY/ENTITY RESOLUTION AND ENTITY MATCHING PRODUCT WITH ASSOCIATED SERVICES FOR PRODUCT TECHNICAL SUPPORT, AS WELL AS FOR IMPLEMENTATION AND INTEGRATION SUPPORT. Key points: 1. The contract focuses on a critical need for modern identity resolution and entity matching. 2. Services include technical support, implementation, and integration, indicating a comprehensive solution. 3. The award was made under full and open competition after exclusion of sources, suggesting a deliberate selection process. 4. The duration of 1825 days (5 years) points to a long-term strategic investment. 5. The fixed-price contract type provides cost certainty for the government. 6. The contract value of approximately $22 million over five years suggests a significant investment in data management capabilities.

Value Assessment

Rating: good

The contract value of $22,071,319.19 over five years for an identity resolution product and associated services appears reasonable given the specialized nature of the technology and the comprehensive support required. Benchmarking against similar large-scale data management and analytics contracts, this figure falls within expected ranges for solutions addressing complex entity matching needs. The firm fixed-price structure further enhances value by capping potential cost overruns for the government.

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 the competition was intended to be open, specific sources may have been excluded based on predefined criteria, possibly related to capability or prior performance. The number of bidders is not specified, but the 'full and open' designation suggests a competitive process was initiated, aiming to solicit proposals from a broad range of qualified vendors.

Taxpayer Impact: This competitive approach, even with exclusions, aims to ensure the government receives the best value by considering multiple qualified offerors, which can drive down prices and improve service quality for taxpayers.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, enhancing its capabilities in identity and entity resolution. The services delivered will support critical law enforcement and national security functions by improving data accuracy and linkage. The impact is likely nationwide, as the FBI operates across the United States. The contract supports a specialized technology sector, potentially fostering innovation in data analytics and cybersecurity.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the chosen product becomes deeply integrated and difficult to replace.
Reliance on a single vendor for critical identity resolution technology could pose a risk if the vendor experiences financial instability or strategic shifts.
The 'exclusion of sources' clause warrants further scrutiny to understand the rationale and ensure it did not unduly limit competition.

Positive Signals

The use of a firm fixed-price contract provides budget certainty.
The long-term duration suggests a stable, ongoing need and commitment to a robust solution.
Awarding to a single vendor for a specialized product can lead to deep expertise and optimized performance.

Sector Analysis

The contract falls within the 'Other Computer Related Services' NAICS code (541519), a broad category encompassing IT services beyond standard software development or hardware. The market for identity resolution and entity matching is growing rapidly, driven by the increasing volume of data and the need for accurate identification in areas like cybersecurity, fraud detection, and customer relationship management. This contract represents a significant investment in advanced data analytics capabilities for a federal law enforcement agency.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities if Anacapa Micro Products, Inc. chooses to engage them. Without specific subcontracting plans detailed in the award, it's difficult to assess the direct impact on the small business ecosystem, though larger prime contracts often involve a tiered approach to service delivery.

Oversight & Accountability

Oversight for this contract will likely be managed by the FBI's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract type, requiring the vendor to deliver specified services within the agreed budget. Transparency is facilitated through federal contract databases like FPDS, where award details are published. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

FBI Data Analytics Programs
Identity Management Systems
Entity Resolution Software
Cybersecurity Services Contracts
Law Enforcement Technology Procurement

Risk Flags

Potential for vendor lock-in
Reliance on single vendor for critical function
Limited competition due to source exclusion

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $22.1 million to ANACAPA MICRO PRODUCTS, INC.. A MODERN IDENTITY/ENTITY RESOLUTION AND ENTITY MATCHING PRODUCT WITH ASSOCIATED SERVICES FOR PRODUCT TECHNICAL SUPPORT, AS WELL AS FOR IMPLEMENTATION AND INTEGRATION SUPPORT.

Who is the contractor on this award?

The obligated recipient is ANACAPA MICRO PRODUCTS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2022-03-30. End: 2027-03-29.

What is the specific nature of the 'identity resolution and entity matching' product being procured, and how does it differ from standard database solutions?

The product procured is described as a 'modern identity/entity resolution and entity matching product.' This implies a sophisticated system designed to identify, link, and manage unique entities (individuals, organizations, etc.) across disparate datasets. Unlike standard databases that store information, entity resolution products employ advanced algorithms, machine learning, and data linkage techniques to resolve ambiguities, deduplicate records, and establish a single, authoritative view of an entity. This is crucial for combating fraud, enhancing security, and improving data integrity in complex environments like those faced by the FBI, where information may be fragmented or inconsistent across various systems.

How does the 'full and open competition after exclusion of sources' process impact the value proposition for the government compared to a standard full and open competition?

The 'full and open competition after exclusion of sources' (FOUAES) process suggests that while the competition was broadly advertised, certain potential offerors were intentionally excluded. This exclusion is typically based on specific, documented criteria, such as lack of required qualifications, past performance issues, or specific technological incompatibilities. While it aims to ensure only capable vendors participate, it can potentially limit the number of bidders compared to a pure full and open competition. The value proposition impact depends on the justification for exclusions; if exclusions were valid and focused on ensuring high-quality, relevant proposals, it could lead to a more efficient evaluation and potentially a better-suited solution. However, if exclusions were overly restrictive, it might reduce competitive pressure and potentially lead to a less optimal price or solution.

What are the key performance indicators (KPIs) likely used to measure the success of this identity resolution contract?

Key performance indicators for this contract would likely focus on the accuracy, efficiency, and completeness of the identity resolution and entity matching processes. Examples include: Match Accuracy Rate (percentage of correctly identified entities), False Positive Rate (percentage of incorrect matches), False Negative Rate (percentage of missed matches), Processing Speed (time taken to resolve entities), Data Coverage (percentage of relevant datasets integrated), System Uptime and Availability, and User Satisfaction. The FBI would also assess the product's ability to support specific mission-critical use cases, such as identifying individuals involved in criminal activities or linking related entities for intelligence purposes.

What are the potential risks associated with relying on a single vendor for such a critical 'identity resolution' capability?

Relying on a single vendor for a critical capability like identity resolution presents several risks. Firstly, vendor lock-in is a significant concern; the proprietary nature of specialized software can make it technically challenging and costly to switch vendors later. Secondly, the government's negotiating power could diminish over time, potentially leading to price increases or less favorable terms. Thirdly, the vendor's financial stability or strategic direction could impact the long-term availability and support of the product. Finally, if the vendor experiences security breaches or product vulnerabilities, it could compromise the integrity and security of the government's sensitive data.

How does the $22 million contract value compare to historical spending on similar IT services by the FBI or DOJ?

While specific historical spending on 'identity resolution' products by the FBI or DOJ isn't detailed here, $22 million over five years for a specialized IT solution is a substantial investment. The FBI, in particular, handles vast amounts of data and requires advanced analytical tools for its missions. Comparing this to broader IT services spending, which can run into hundreds of millions or billions across the DOJ annually, this contract represents a significant, but likely proportionate, allocation for a critical, targeted capability. The average annual value of approximately $4.4 million suggests a high-value, mission-essential service rather than a commodity IT purchase.

Industry Classification

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

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Anacapa Micro Products Inc.

Address: 1901 SOLAR DR STE 150, OXNARD, CA, 93036

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,185,263

Exercised Options: $22,071,319

Current Obligation: $22,071,319

Actual Outlays: $23,793,900

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD08B

IDV Type: GWAC

Timeline