Justice Department's $3.4M accounting services contract awarded to Keystone Advisors LLC

Contract Overview

Contract Amount: $3,401,245 ($3.4M)

Contractor: Keystone Advisors LLC

Awarding Agency: Department of Justice

Start Date: 2022-09-30

End Date: 2025-12-29

Contract Duration: 1,186 days

Daily Burn Rate: $2.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: Other

Official Description: SERVICES

Place of Performance

Location: SOUTH HOLLAND, COOK County, ILLINOIS, 60473

State: Illinois Government Spending

Plain-Language Summary

Department of Justice obligated $3.4 million to KEYSTONE ADVISORS LLC for work described as: SERVICES Key points: 1. Contract provides essential accounting services to the FBI, supporting critical law enforcement functions. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The contract duration of nearly four years indicates a long-term need for these services. 4. The use of a Blanket Purchase Agreement (BPA) Call suggests a streamlined procurement process for established agreements. 5. The specific accounting code (541219) points to a focus on 'Other Accounting Services', potentially encompassing a broad range of financial support.

Value Assessment

Rating: good

The contract value of $3.4 million over approximately three years for 'Other Accounting Services' appears reasonable given the scope and duration. Benchmarking against similar contracts for accounting support within federal law enforcement agencies would provide a more precise value-for-money assessment. The absence of specific performance metrics in the provided data makes a detailed performance evaluation challenging, but the duration suggests a sustained need and likely satisfactory performance to date.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 3 bids suggests a moderate level of competition for this requirement. A higher number of bidders would typically lead to more aggressive pricing and potentially better value for the government, but three bidders still provide a basis for price discovery and selection of a qualified contractor.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation. The fact that multiple firms vied for this contract suggests that taxpayer funds are being used efficiently through a structured procurement process.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving essential accounting support. Services delivered include 'Other Accounting Services', crucial for financial management and accountability within the agency. The contract is geographically focused on Illinois, as indicated by the 'IL' state code. The contract supports specialized accounting roles, potentially impacting the workforce within the accounting services sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited information on specific performance metrics makes it difficult to fully assess contractor performance.
The 'Other Accounting Services' NAICS code is broad, and the exact nature of services could vary, potentially leading to scope creep if not managed carefully.
Geographic concentration in Illinois might limit broader access to accounting expertise if services could be performed remotely.

Positive Signals

Awarded under full and open competition, indicating a fair and transparent procurement process.
The contract has a defined duration, providing clarity on the expected service period.
The use of a BPA Call suggests an efficient procurement method for an established need.

Sector Analysis

The accounting services sector within the federal government is diverse, encompassing a wide range of financial support functions. This contract falls under 'Other Accounting Services' (NAICS 541219), which can include services like forensic accounting, financial statement preparation, and internal control assessments. Federal spending on accounting and financial consulting services is substantial, with agencies relying on these services to ensure compliance, manage budgets, and support operational efficiency. This contract represents a portion of that broader spending, specifically supporting the investigative and operational needs of the FBI.

Small Business Impact

The provided data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Keystone Advisors LLC, is likely a larger entity. There is no explicit information regarding subcontracting plans for small businesses. Without this information, it's difficult to assess the direct impact on the small business ecosystem, though the absence of a set-aside suggests larger firms were expected to compete.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and program managers within the Federal Bureau of Investigation (FBI). The Department of Justice's Office of the Inspector General (OIG) may also conduct audits or investigations related to financial management and contract performance. Transparency is facilitated through contract databases like FPDS, which provide public access to award details. Accountability measures would be embedded in the contract's terms and conditions, including performance standards and payment schedules.

Related Government Programs

Department of Justice Financial Management Services
FBI Financial Operations Support
Federal Accounting and Auditing Services
Government Contract Accounting

Risk Flags

Potential for scope creep due to broad 'Other Accounting Services' definition.
Reliance on a single geographic location (Illinois) may limit options if broader support is needed.
Lack of specific performance metrics in summary data hinders detailed assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.4 million to KEYSTONE ADVISORS LLC. SERVICES

Who is the contractor on this award?

The obligated recipient is KEYSTONE ADVISORS 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 $3.4 million.

What is the period of performance?

Start: 2022-09-30. End: 2025-12-29.

What is the track record of Keystone Advisors LLC with federal contracts, particularly within the Department of Justice?

A review of federal procurement data would be necessary to fully assess Keystone Advisors LLC's track record. This would involve examining past contract awards, performance evaluations (if publicly available), and any history of contract disputes or terminations. Understanding their experience with similar accounting services, especially within law enforcement or national security contexts, would provide insight into their capability to fulfill the FBI's requirements. Without specific historical data on Keystone Advisors LLC's past performance, it's challenging to definitively gauge their reliability and expertise for this particular contract.

How does the per-unit cost or hourly rate for this contract compare to market rates for similar accounting services?

The provided data does not include specific hourly rates or detailed breakdowns of the contract's cost structure, making a direct per-unit cost comparison difficult. To benchmark this contract's value, one would need to obtain the labor categories and associated rates billed under the BPA Call. These rates could then be compared against industry benchmarks for accounting professionals with similar experience levels and skill sets operating in the Illinois region or nationally. Factors such as the complexity of the accounting tasks, the required security clearances, and the specific expertise needed would influence the appropriate market rate.

What are the key performance indicators (KPIs) used to measure the success of Keystone Advisors LLC under this contract?

The provided data summary does not specify the Key Performance Indicators (KPIs) for this contract. Typically, for accounting services, KPIs might include timeliness of financial reporting, accuracy of financial data, adherence to accounting standards (e.g., GAAP, FASAB), successful completion of audits, and responsiveness to ad-hoc financial inquiries. The effectiveness of oversight mechanisms, such as regular performance reviews conducted by the FBI contracting officer's representative (COR), would be crucial in monitoring these KPIs. Without explicit KPIs, assessing the contractor's performance relies more heavily on qualitative assessments and the absence of reported issues.

What is the historical spending trend for 'Other Accounting Services' by the Federal Bureau of Investigation?

Analyzing historical spending data for 'Other Accounting Services' by the FBI would reveal trends in their reliance on external accounting support. This would involve querying federal procurement databases for contracts awarded under NAICS code 541219 (or similar codes) to the FBI over several fiscal years. Observing an increase or decrease in spending could indicate shifts in internal capabilities, changes in regulatory requirements, or evolving operational needs. Comparing this contract's value ($3.4M) to the historical average or total spending in this category would provide context on its relative significance.

Are there any identified risks associated with Keystone Advisors LLC's performance or the nature of the accounting services provided?

Potential risks associated with this contract could include data security breaches if sensitive financial information is mishandled, performance deficiencies leading to inaccurate financial reporting, or contractor personnel turnover impacting service continuity. The broad nature of 'Other Accounting Services' also presents a risk if the scope of work is not clearly defined and managed, potentially leading to cost overruns or unmet expectations. Mitigation strategies would involve robust security protocols, clear performance standards in the contract, regular performance monitoring, and contingency planning for personnel changes.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Other Accounting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 16000 VAN DRUNEN RD, SOUTH HOLLAND, IL, 60473

Business Categories: Black American Owned Business, Category Business, Economically Disadvantaged Women Owned Small Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $5,622,453

Exercised Options: $5,622,453

Current Obligation: $3,401,245

Actual Outlays: $3,370,150

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15F06722A0000177

IDV Type: BPA

Timeline