DOJ awards $11.3M contract to Straitsys Inc. for FBI Lab IT expertise

Contract Overview

Contract Amount: $11,363,858 ($11.4M)

Contractor: Straitsys Inc

Awarding Agency: Department of Justice

Start Date: 2023-09-29

End Date: 2027-09-28

Contract Duration: 1,460 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THE REQUISITION WILL ALLOW FOR AWARD OF A CONTRACT OBTAINING SUBJECT MATTER EXPERTISE PERTAINING TO THE CONSOLIDATION, OPERATIONS, AND FUNCTIONING OF THE FBI LABORATORYS INFORMATION TECHNOLOGY RESOURCES AND STRATEGIES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20535

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $11.4 million to STRAITSYS INC for work described as: THE REQUISITION WILL ALLOW FOR AWARD OF A CONTRACT OBTAINING SUBJECT MATTER EXPERTISE PERTAINING TO THE CONSOLIDATION, OPERATIONS, AND FUNCTIONING OF THE FBI LABORATORYS INFORMATION TECHNOLOGY RESOURCES AND STRATEGIES. Key points: 1. Contract focuses on consolidating and optimizing FBI Lab IT resources and strategies. 2. Straitsys Inc. secured the award, indicating potential specialized expertise. 3. The contract value is substantial, requiring careful monitoring of deliverables. 4. IT services sector, specifically computer-related services, is the focus.

Value Assessment

Rating: fair

The contract value of $11.3M for IT expertise over 4 years appears reasonable given the specialized nature of FBI lab operations. Benchmarking against similar IT consulting contracts for federal agencies would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition. This method may impact price discovery, potentially leading to higher costs than a fully open process.

Taxpayer Impact: Taxpayer funds are being used for specialized IT consulting. The effectiveness of the IT consolidation and operational improvements will determine the ultimate value for taxpayers.

Public Impact

Enhances FBI's technological capabilities in critical laboratory operations. Aims to improve efficiency and security of sensitive IT systems. Potential for cost savings through IT consolidation and optimized strategies. Ensures continuity and modernization of essential law enforcement technology.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

Limited competition may impact cost-effectiveness.
Performance metrics and oversight are crucial for success.
Dependence on a single contractor for critical IT strategy.

Positive Signals

Focus on critical IT infrastructure modernization.
Potential for significant operational improvements.
Clear contract duration and defined scope.

Sector Analysis

This contract falls within the IT services sector, specifically 'Other Computer Related Services.' Federal spending in this area is significant, driven by the need for agencies to modernize and secure their digital infrastructure.

Small Business Impact

The contract was not awarded to a small business. There is an opportunity to ensure future IT procurements include provisions for small business participation where appropriate.

Oversight & Accountability

The Department of Justice and the Federal Bureau of Investigation are responsible for oversight. Clear performance metrics and regular reporting will be essential to ensure accountability and effective use of funds.

Related Government Programs

Other Computer Related Services
Department of Justice Contracting
Federal Bureau of Investigation Programs

Risk Flags

Limited competition
Potential for cost overruns
Contract performance monitoring
Vendor lock-in risk
Need for clear deliverables

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $11.4 million to STRAITSYS INC. THE REQUISITION WILL ALLOW FOR AWARD OF A CONTRACT OBTAINING SUBJECT MATTER EXPERTISE PERTAINING TO THE CONSOLIDATION, OPERATIONS, AND FUNCTIONING OF THE FBI LABORATORYS INFORMATION TECHNOLOGY RESOURCES AND STRATEGIES.

Who is the contractor on this award?

The obligated recipient is STRAITSYS 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 $11.4 million.

What is the period of performance?

Start: 2023-09-29. End: 2027-09-28.

What specific metrics will be used to measure the success of the IT consolidation and operational improvements?

Success metrics should focus on quantifiable improvements such as reduced IT operational costs, enhanced system uptime and reliability, improved data security posture, and faster processing times for laboratory information. Regular performance reviews and milestone achievements tied to these metrics will be crucial for assessing the contractor's effectiveness and ensuring taxpayer value.

How will the limited competition impact the long-term cost-effectiveness of the FBI's IT strategy?

Limited competition can sometimes lead to higher prices due to reduced market pressure. To mitigate this, the contract should include robust performance standards and potentially options for future competitive bidding. Continuous market research and exploring opportunities for broader competition in subsequent phases will be vital to ensure long-term cost-effectiveness.

What is the potential risk of vendor lock-in with Straitsys Inc. given the specialized nature of the IT expertise required?

There is a moderate risk of vendor lock-in, as Straitsys Inc. will gain deep knowledge of the FBI Lab's IT infrastructure. To counter this, the contract should mandate knowledge transfer and documentation requirements. The FBI should also plan for potential future transitions to ensure flexibility and avoid over-reliance on a single vendor.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - DELIVERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15F06723Q0000056

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8600 ADVANCED GATEWAY SW, HUNTSVILLE, AL, 35808

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

Financial Breakdown

Contract Ceiling: $20,942,838

Exercised Options: $11,363,858

Current Obligation: $11,363,858

Actual Outlays: $6,965,287

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline