DOJ awards CACI $23.2M for automated litigation support, with 5 bidders vying for the contract

Contract Overview

Contract Amount: $23,249,193 ($23.2M)

Contractor: CACI, LLC - Commercial

Awarding Agency: Department of Justice

Start Date: 2021-06-22

End Date: 2026-05-31

Contract Duration: 1,804 days

Daily Burn Rate: $12.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $23.2 million to CACI, LLC - COMMERCIAL for work described as: MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES Key points: 1. The contract value represents a significant investment in legal technology solutions for the Department of Justice. 2. Competition was robust, with five bidders participating, suggesting a healthy market for these services. 3. The use of Time and Materials pricing introduces potential cost escalation risks if not closely managed. 4. This award falls within the 'All Other Legal Services' category, indicating a broad scope of support. 5. The contract duration of approximately five years allows for sustained support but requires ongoing performance monitoring.

Value Assessment

Rating: good

The total award of $23.2 million over nearly five years suggests a moderate annual spend. Benchmarking against similar large-scale litigation support contracts is challenging without more granular data on specific services rendered. However, the presence of multiple bidders indicates a competitive environment that likely pressured pricing. The Time and Materials (T&M) pricing model, while flexible, warrants close scrutiny to ensure efficient resource utilization and prevent cost overruns compared to fixed-price alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with five distinct bidders submitting proposals. This level of competition is generally positive, suggesting that the government sought a wide range of solutions and that multiple capable vendors were available. The presence of five bidders implies that the market is sufficiently developed to support such a requirement and that the solicitation was likely well-structured to attract diverse participants. This competitive landscape should have fostered price discovery and encouraged vendors to offer their best terms.

Taxpayer Impact: A competitive award like this is beneficial for taxpayers as it increases the likelihood of receiving services at a fair market price. It reduces the risk of overpayment that can occur with sole-source or limited competition contracts.

Public Impact

The Department of Justice benefits from enhanced capabilities in managing and processing large volumes of litigation data. Legal professionals within the DOJ will receive support for tasks such as document review, e-discovery, and case management. The services are primarily delivered within Virginia, where CACI, LLC - Commercial is based, but the impact extends to federal legal proceedings nationwide. This contract supports skilled jobs in the legal services and technology sectors, particularly in areas related to litigation support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials (T&M) contract type can lead to cost overruns if not diligently managed and monitored by the agency.
The broad 'All Other Legal Services' NAICS code might obscure the specific nature and complexity of the services, making direct cost comparisons difficult.
The contract duration of nearly five years requires sustained oversight to ensure continued value and performance.

Positive Signals

Awarded under full and open competition with five bidders, indicating a robust and competitive market.
CACI, LLC has a significant presence and track record in government contracting, suggesting experience in delivering complex services.
The contract aims to provide automated litigation support, which can lead to increased efficiency and cost savings in legal processes.

Sector Analysis

The legal services sector, particularly within government contracting, is characterized by a demand for specialized support, including e-discovery, document management, and litigation analytics. The federal government is a significant consumer of these services, with agencies like the Department of Justice requiring robust solutions to manage vast caseloads. This contract fits within the broader IT and professional services categories, where automation and efficiency gains are increasingly sought. Comparable spending benchmarks are difficult to establish precisely due to the varied nature of legal support services, but large-scale contracts in this domain often run into tens of millions of dollars.

Small Business Impact

This contract was awarded under full and open competition and does not indicate any specific small business set-aside provisions. There is no explicit mention of subcontracting goals for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem appears limited unless CACI, LLC voluntarily engages small businesses as subcontractors for specialized tasks.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Justice's contracting officers and program managers. Accountability measures are inherent in the contract's performance requirements and the T&M pricing structure, which necessitates detailed reporting and justification of hours and materials. Transparency is facilitated by the contract award being made under full and open competition, with the details of the award publicly available. Specific Inspector General jurisdiction would depend on the DOJ's internal structure and the nature of any potential issues arising from the contract's execution.

Related Government Programs

Department of Justice - Legal Services
Federal E-Discovery Services
Automated Document Review Contracts
Litigation Support Services
Professional Services Contracts

Risk Flags

Potential for cost overruns due to T&M pricing
Need for diligent contract oversight and performance management
Risk of technology obsolescence over the contract duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $23.2 million to CACI, LLC - COMMERCIAL. MEGA5 AUTOMATED LITIGATION SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is CACI, LLC - COMMERCIAL.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $23.2 million.

What is the period of performance?

Start: 2021-06-22. End: 2026-05-31.

What is CACI, LLC's track record with similar large-scale litigation support contracts for the federal government?

CACI, LLC - Commercial is a well-established government contractor with a substantial portfolio of IT and professional services contracts across various federal agencies. While specific details on past litigation support contracts of this exact scale are not provided in the summary data, CACI has a history of providing mission-critical solutions, including enterprise IT, cybersecurity, and data analytics, which are often components of advanced litigation support. Their extensive experience suggests a capacity to manage complex projects and deliver on demanding requirements. Further analysis would involve reviewing their contract history for specific performance metrics and client feedback on similar engagements.

How does the $23.2 million contract value compare to historical federal spending on automated litigation support?

The $23.2 million award for automated litigation support services over approximately five years represents a significant, but not unprecedented, level of federal spending in this specialized area. Federal agencies, particularly those with high litigation volumes like the Department of Justice, frequently invest in technology to streamline legal processes. Annual spending on e-discovery, document management, and related litigation support can fluctuate but often reaches tens of millions of dollars across the government. This specific contract's value aligns with the scale of major support services required for large federal legal operations. Without access to comprehensive historical spending databases for this specific NAICS code (541199) and service type, a precise comparison is difficult, but it falls within the expected range for substantial federal legal technology procurements.

What are the primary risks associated with the Time and Materials (T&M) pricing structure for this contract?

The primary risk with a Time and Materials (T&M) contract is the potential for cost escalation if not managed rigorously. Unlike fixed-price contracts, T&M agreements do not set a ceiling on the total cost, as payment is based on the actual labor hours expended and the cost of materials used. This can lead to higher-than-anticipated expenditures if the scope of work expands, if inefficiencies arise in task execution, or if the contractor's labor rates are higher than initially projected. For the government, this necessitates robust oversight, including detailed tracking of hours, validation of material costs, and proactive scope management to ensure that the contractor is performing efficiently and that costs remain within reasonable bounds relative to the value delivered.

How effective is 'full and open competition' in ensuring value for money in specialized legal services contracts?

Full and open competition is generally considered the most effective method for ensuring value for money in government contracting, including specialized legal services. By allowing all responsible sources to submit bids, it fosters a competitive environment where vendors are incentivized to offer their best pricing and technical solutions to win the contract. The presence of five bidders in this case suggests a healthy market and increases the likelihood that the government secured services at a competitive market rate. While T&M pricing introduces some cost risk, the competitive award process itself is a strong indicator of potential value. Effective contract administration and performance monitoring remain crucial to realizing that value throughout the contract's lifecycle.

What are the potential performance implications of awarding a nearly five-year contract for automated litigation support?

A contract duration of nearly five years (1804 days) for automated litigation support offers several potential performance implications. Positively, it provides stability and allows the contractor to develop deep expertise and familiarity with the Department of Justice's specific needs and systems, potentially leading to more efficient and tailored support over time. It also reduces the administrative burden and cost associated with frequent re-procurement. However, a long duration also carries risks. Technology in litigation support evolves rapidly; a five-year contract might not always align with the latest advancements unless robust review and modification clauses are included. Furthermore, sustained performance requires continuous monitoring by the agency to ensure the contractor remains responsive, innovative, and cost-effective throughout the entire period.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Legal Services › All Other Legal Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1100 NORTH GLEBE ROAD, ARLINGTON, VA, 22201

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

Financial Breakdown

Contract Ceiling: $27,495,037

Exercised Options: $23,982,842

Current Obligation: $23,249,193

Actual Outlays: $22,514,372

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15JPSS20D00000368

IDV Type: IDC

Timeline