DOJ's FBI awards $19M administrative services contract to Guidehouse Inc. under full and open competition

Contract Overview

Contract Amount: $18,996,473 ($19.0M)

Contractor: Guidehouse Inc.

Awarding Agency: Department of Justice

Start Date: 2022-09-30

End Date: 2026-09-29

Contract Duration: 1,460 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: LABOR HOURS

Sector: Other

Official Description: ADMINISTRATIVE AND PROFESSIONAL SERVICES

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $19.0 million to GUIDEHOUSE INC. for work described as: ADMINISTRATIVE AND PROFESSIONAL SERVICES Key points: 1. Contract awarded through a Blanket Purchase Agreement (BPA) Call, indicating a pre-competed framework. 2. The contract spans four years, suggesting a need for sustained support. 3. Administrative Management and General Management Consulting Services (NAICS 541611) are the core services. 4. The award was made under full and open competition, implying a broad search for qualified vendors. 5. The contractor, Guidehouse Inc., has a significant presence in the federal contracting space. 6. The contract type is labor hours, allowing flexibility in resource allocation. 7. The base award amount is $13.01M, with potential for growth over the contract term.

Value Assessment

Rating: good

The contract's value of approximately $19 million over four years for administrative and management consulting services appears reasonable given the scope and duration. Benchmarking against similar contracts for management consulting services to federal agencies suggests this pricing is within expected ranges. The use of a BPA call indicates that the underlying pricing was likely established through a competitive process, providing a degree of value assurance. However, a detailed cost breakdown and comparison to specific market rates for the exact services rendered would be necessary for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit an offer. The use of a BPA Call suggests that the initial BPA was competitively awarded, and this call order further leveraged that established competition. While the specific number of bidders for this particular call order is not provided, the 'full and open' designation generally implies a robust competitive environment, which is beneficial for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by encouraging a wider range of vendors to bid, driving down costs through market forces.

Public Impact

Federal Bureau of Investigation (FBI) personnel will benefit from enhanced administrative and management support. Services delivered include general management consulting, administrative support, and potentially strategic planning assistance. The contract's impact is primarily within the federal government, specifically supporting the FBI's operational needs. Workforce implications include the potential for Guidehouse Inc. to utilize its own personnel to fulfill the contract requirements, supplementing federal staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Reliance on a single contractor for critical administrative functions could pose a risk if performance falters.
The labor hour contract type requires diligent oversight to ensure efficient use of billable hours.

Positive Signals

Awarded under full and open competition, suggesting a competitive pricing structure.
Contractor has experience in federal contracting, indicating familiarity with government processes.
Long-term contract duration (4 years) provides stability and continuity of services.
BPA Call mechanism implies pre-negotiated terms and conditions, potentially streamlining execution.

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector, a significant segment of the professional services market supporting government operations. The federal government is a major consumer of these services, utilizing them for efficiency improvements, strategic planning, and operational support across various agencies. Spending in this sector is driven by the need for specialized expertise that may not be available in-house, and contracts often range from short-term advisory roles to long-term program management support. Comparable spending benchmarks would typically look at the average contract value for NAICS 541611 awarded to large businesses by agencies like the Department of Justice.

Small Business Impact

This contract was awarded to Guidehouse Inc., a large business, and there is no indication of a small business set-aside. The contract details do not specify subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless Guidehouse Inc. voluntarily includes small businesses in its subcontracting efforts. Further analysis would be needed to determine if subcontracting opportunities exist and are being utilized.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the FBI's program officials responsible for the administrative services. The contract's performance will be monitored through regular reporting, milestone reviews, and adherence to the terms and conditions outlined in the BPA Call. Transparency is facilitated by the public nature of contract awards, though detailed performance metrics may not be publicly disclosed. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Administrative Support Services
Management Consulting Services
Professional Services Contracts
Blanket Purchase Agreements (BPAs)
Department of Justice Contracts
Federal Bureau of Investigation Contracts

Risk Flags

Potential for contractor performance issues impacting FBI operations.
Risk of data security breaches if sensitive information is mishandled.
Need for vigilant oversight to manage scope creep and ensure value for money.
Dependence on contractor personnel could impact long-term institutional knowledge.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $19.0 million to GUIDEHOUSE INC.. ADMINISTRATIVE AND PROFESSIONAL SERVICES

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE 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 $19.0 million.

What is the period of performance?

Start: 2022-09-30. End: 2026-09-29.

What is Guidehouse Inc.'s track record with the federal government, particularly with the Department of Justice and FBI?

Guidehouse Inc. has a substantial track record of performing contracts with various federal agencies, including the Department of Justice (DOJ) and its components like the Federal Bureau of Investigation (FBI). Their experience often spans areas such as management consulting, financial services, technology modernization, and program management. Reviewing past performance evaluations and contract histories for Guidehouse Inc. with these specific entities would reveal their reliability, quality of service, and ability to meet federal requirements. Data from contract databases often shows a pattern of successful contract completions, though specific details on performance ratings and any past issues would require deeper investigation into individual contract records.

How does the $13.01M base award compare to the total potential value over the four-year period?

The base award amount of $13.01 million represents the initial funding allocated for the contract. The contract has a duration of 1460 days (approximately four years) and a total potential value that could be significantly higher than the base award, depending on task orders issued and funding availability. Without specific ceiling amounts or details on how the remaining value is structured (e.g., options, task orders), it's difficult to precisely quantify the total potential. However, the difference between the base and the potential ceiling often indicates the anticipated level of service delivery and flexibility required over the contract's life. A common scenario is that the base funds initial work, and subsequent funding is added as needed, up to a pre-defined maximum.

What are the primary risks associated with this type of administrative services contract for the FBI?

Key risks for the FBI in this administrative services contract include potential over-reliance on contractor personnel, leading to a loss of institutional knowledge if federal staff are reduced. There's also a risk of scope creep, where the services provided expand beyond the original intent without adequate cost control. Performance variability from the contractor is another concern; if Guidehouse Inc. fails to deliver quality services, it could disrupt FBI operations. Furthermore, ensuring data security and confidentiality of sensitive FBI information handled by contractor staff is paramount. The labor-hour contract type necessitates robust oversight to prevent inefficient use of billable hours and ensure value for money.

How effective are BPA Calls in ensuring competitive pricing for administrative services?

Blanket Purchase Agreement (BPA) Calls are generally effective in ensuring competitive pricing, especially when the underlying BPA was established through full and open competition. The BPA itself represents a pre-competed agreement with established terms and pricing structures. A BPA Call then allows an agency to quickly solicit specific services or products from one or more vendors already on the BPA. If multiple vendors are on the BPA and are allowed to bid on the call, or if the call is competed among a subset of BPA holders, it can drive competitive pricing. However, the effectiveness is maximized when the BPA holders are diverse and the call itself is structured to encourage competitive offers, rather than being a simple administrative order.

What is the historical spending pattern for administrative management and general management consulting services at the FBI?

Historical spending patterns for administrative management and general management consulting services at the FBI, and within the broader DOJ, typically show a consistent need for external expertise. Agencies like the FBI often contract for services related to organizational efficiency, strategic planning, process improvement, and specialized project management. Spending in this category can fluctuate based on specific initiatives, budget allocations, and the availability of internal resources. Analyzing past contract awards for NAICS code 541611 to the FBI would reveal trends in contract values, durations, and the types of services most frequently procured, providing context for the current award.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 15F06722Q0000254

Offers Received: 4

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Veritas Capital Fund Management, L.L.C.

Address: 1676 INTERNATIONAL DR STE 800, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $28,411,758

Exercised Options: $21,799,329

Current Obligation: $18,996,473

Actual Outlays: $16,522,782

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 15F06722A0000176

IDV Type: BPA

Timeline