DOJ awards $354M contract for expert witness services to Stout Risius Ross, LLC

Contract Overview

Contract Amount: $354,450 ($354.4K)

Contractor: Stout Risius Ross, LLC

Awarding Agency: Department of Justice

Start Date: 2020-04-28

End Date: 2027-04-27

Contract Duration: 2,555 days

Daily Burn Rate: $139/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: EXPERT WITNESS

Place of Performance

Location: ROYAL OAK, OAKLAND County, MICHIGAN, 48067

State: Michigan Government Spending

Plain-Language Summary

Department of Justice obligated $354,450 to STOUT RISIUS ROSS, LLC for work described as: EXPERT WITNESS Key points: 1. Contract awarded for expert witness services, a critical support function for legal proceedings. 2. Stout Risius Ross, LLC is the sole awardee, raising questions about competition. 3. The contract duration is 7 years, indicating a long-term need for these services. 4. The 'Other Accounting Services' NAICS code suggests a broad scope of potential expertise.

Value Assessment

Rating: questionable

The contract value is substantial at $354.45 million over 7 years. Without comparable contract data or a clear breakdown of services, assessing value for money is difficult. The 'NOT AVAILABLE FOR COMPETITION' status further complicates pricing assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded sole-source, meaning no competition was sought. This significantly limits price discovery and potentially leads to higher costs for taxpayers. The justification for a sole-source award is not provided.

Taxpayer Impact: The lack of competition for a contract of this magnitude may result in the government paying more than necessary, impacting taxpayer funds.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The long contract duration could lock the government into potentially suboptimal pricing. The broad nature of 'expert witness services' could encompass a wide range of costs. Transparency regarding the justification for the sole-source award is limited.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Department of Justice frequently procures professional services, including expert witnesses, to support litigation and investigations. Benchmarks for 'Other Accounting Services' are difficult to establish due to the specialized and often unique nature of expert witness testimony.

Small Business Impact

This contract does not appear to have any specific provisions for small business participation. The sole-source nature of the award further limits opportunities for small businesses to compete for this work.

Oversight & Accountability

The sole-source justification is critical for oversight. Without it, it's difficult to assess if the government received fair value and followed proper procurement procedures. Further review of the justification and performance monitoring is recommended.

Related Government Programs

Risk Flags

Tags

other-accounting-services, department-of-justice, mi, definitive-contract, 100k-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $354,450 to STOUT RISIUS ROSS, LLC. EXPERT WITNESS

Who is the contractor on this award?

The obligated recipient is STOUT RISIUS ROSS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $354,450.

What is the period of performance?

Start: 2020-04-28. End: 2027-04-27.

What was the specific justification for awarding this contract on a sole-source basis, and does it align with federal procurement regulations?

The provided data does not include the specific justification for the sole-source award. Federal regulations (like FAR 6.302) allow for sole-source procurements under specific circumstances, such as when only one responsible source can provide the required supplies or services. A thorough review of the agency's justification document is necessary to determine its validity and compliance.

How does the 'time and materials' pricing structure impact the overall cost-effectiveness and risk of overspending for these expert witness services?

Time and materials contracts can be cost-effective when the scope of work is uncertain or difficult to define upfront. However, they carry a higher risk of overspending if not closely monitored, as costs are directly tied to labor hours and material expenses. Robust oversight and clear task definitions are crucial to mitigate this risk.

What specific types of expert witness services are being procured under this contract, and how are their costs benchmarked against industry standards?

The data indicates 'Other Accounting Services' (NAICS 541219) and 'Expert Witness' as the service type. However, the specific sub-services are not detailed. Benchmarking is challenging without knowing the exact expertise required (e.g., forensic accounting, valuation, economic analysis) and the associated market rates for such specialized skills.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesAccounting, Tax Preparation, Bookkeeping, and Payroll ServicesOther Accounting 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: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1 S WACKER DR FL 38, CHICAGO, IL, 60606

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $354,450

Exercised Options: $354,450

Current Obligation: $354,450

Actual Outlays: $272,030

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2020-04-28

Current End Date: 2027-04-27

Potential End Date: 2027-04-27 00:00:00

Last Modified: 2026-04-07

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