DOJ's $18.9M IT Help Desk Contract Awarded to CGI Federal Inc. Amidst Full and Open Competition

Contract Overview

Contract Amount: $18,881,321 ($18.9M)

Contractor: CGI Federal Inc.

Awarding Agency: Department of Justice

Start Date: 2024-05-01

End Date: 2026-04-30

Contract Duration: 729 days

Daily Burn Rate: $25.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: UFMS UAMS JEDI HELP DESK SUPPORT FOR BOP

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $18.9 million to CGI FEDERAL INC. for work described as: UFMS UAMS JEDI HELP DESK SUPPORT FOR BOP Key points: 1. Value for money assessed through competitive bidding process. 2. Full and open competition suggests a healthy market for IT support services. 3. Contract duration of 729 days provides a stable service period. 4. Time and Materials pricing model introduces potential cost variability. 5. Contractor CGI Federal Inc. has a significant presence in government IT services. 6. Service category 'Other Computer Related Services' is broad, requiring detailed performance monitoring. 7. No small business set-aside indicates a focus on large prime contractors for this specific award.

Value Assessment

Rating: good

The contract's value of approximately $18.9 million over two years for IT help desk support appears reasonable given the scope of services typically required by a federal agency like the Department of Justice. Benchmarking against similar large-scale IT support contracts for federal agencies suggests that pricing is likely competitive due to the full and open competition. However, the Time and Materials (T&M) pricing structure warrants close monitoring to ensure costs remain within expected parameters and do not escalate beyond initial projections.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but the nature of the competition suggests a robust bidding process. This level of competition is generally favorable for price discovery and ensures that the government receives offers from multiple qualified vendors, potentially leading to more competitive pricing.

Taxpayer Impact: A full and open competition for IT help desk services allows taxpayers to benefit from potentially lower prices due to vendor rivalry. It also ensures that the most capable and cost-effective provider is selected, maximizing the value of taxpayer dollars.

Public Impact

Federal employees within the Bureau of Prisons (BOP) and potentially other DOJ components will benefit from enhanced IT help desk support. The contract delivers essential IT support services, including troubleshooting, technical assistance, and help desk operations. The primary geographic impact is likely within the operational areas of the Bureau of Prisons, which has facilities nationwide. The contract supports the IT workforce by engaging a large federal contractor, indirectly impacting IT professionals through service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to the Time and Materials (T&M) pricing model if not managed diligently.
Scope creep could increase costs and extend timelines if not clearly defined and controlled.
Dependence on a single contractor for critical IT support services poses a risk if performance falters.
Ensuring consistent service quality across all supported locations and user groups requires robust performance metrics and oversight.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing and selection of a qualified vendor.
The contractor, CGI Federal Inc., is an established entity with significant experience in government IT services.
A defined contract period (729 days) provides a clear service delivery timeline.
The contract aims to provide essential IT help desk support, crucial for agency operations.

Sector Analysis

The IT services sector, particularly IT support and help desk operations, is a significant area of federal spending. This contract falls under the 'Other Computer Related Services' NAICS code (541519), which encompasses a wide range of IT support functions. Federal agencies consistently require robust IT infrastructure and support to maintain operations, making this a recurring and essential category of procurement. Spending in this sector is driven by the need for modernization, cybersecurity, and efficient digital service delivery.

Small Business Impact

This contract was not awarded as a small business set-aside, and the data indicates no explicit small business subcontracting requirements were mandated for this specific award (sb: false). This suggests that the primary focus was on securing services from large, established prime contractors capable of handling the scale and complexity of the requirement. While this may limit direct opportunities for small businesses as prime contractors on this particular award, it does not preclude them from potentially participating as subcontractors to CGI Federal Inc., depending on the prime's subcontracting strategy.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the designated contract specialist within the Department of Justice. Performance monitoring will be crucial, especially given the Time and Materials pricing structure, to ensure services are delivered as specified and costs remain controlled. The contract's performance metrics and reporting requirements will serve as key accountability measures. Transparency is facilitated through contract award databases, though detailed performance reports are typically internal.

Related Government Programs

Federal IT Support Services
Bureau of Prisons IT Contracts
Department of Justice IT Services
Help Desk Services Contracts
GSA Schedule IT Contracts

Risk Flags

Potential for cost overruns due to T&M pricing.
Broad scope of 'Other Computer Related Services' requires diligent oversight.
Dependence on a single contractor for critical support.
Ensuring consistent service quality across diverse locations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $18.9 million to CGI FEDERAL INC.. UFMS UAMS JEDI HELP DESK SUPPORT FOR BOP

Who is the contractor on this award?

The obligated recipient is CGI FEDERAL INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $18.9 million.

What is the period of performance?

Start: 2024-05-01. End: 2026-04-30.

What is CGI Federal Inc.'s track record with the Department of Justice and other federal agencies for similar IT support contracts?

CGI Federal Inc. is a well-established government contractor with a substantial history of providing IT services to various federal agencies, including the Department of Justice. Their portfolio often includes help desk support, IT infrastructure management, and application development. Analyzing past performance reviews, contract modifications, and any past performance issues or awards associated with CGI Federal Inc. for similar contracts would provide a clearer picture of their reliability and capability. For instance, examining their performance on previous DOJ contracts or large-scale IT support BPA calls can indicate their ability to meet service level agreements, manage costs effectively, and adapt to evolving agency needs. A review of contract databases and federal procurement reports would reveal the extent and nature of their prior engagements.

How does the $18.9 million contract value compare to similar IT help desk support contracts awarded by the DOJ or other large federal agencies?

The $18.9 million contract value for two years of IT help desk support is within a typical range for large federal agencies. To benchmark effectively, one would compare this to contracts for similar scope and duration awarded by agencies of comparable size and complexity, such as the FBI, DEA, or other large components within the Department of Homeland Security or Defense. Factors like the number of users supported, the criticality of the systems, and the geographic distribution of support personnel significantly influence pricing. A comparison would involve looking at per-user-per-year costs or total contract value relative to the agency's IT budget. Given the full and open competition, it is reasonable to assume the pricing is competitive, but a detailed analysis would require access to specific contract details and performance metrics of comparable awards.

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

The primary risk with a Time and Materials (T&M) pricing structure is the potential for cost overruns if not managed diligently. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual time and materials used, which can lead to unpredictable expenses if the scope of work expands or if inefficiencies arise. For this contract, mitigation strategies would typically involve robust oversight from the contracting officer's representative (COR), strict adherence to defined labor categories and rates, and detailed tracking of hours and resources. Establishing clear ceilings or not-to-exceed (NTE) clauses within the contract, along with regular performance reviews and audits, are crucial for controlling costs and ensuring value for taxpayer money. The agency must actively manage the contractor's effort to prevent scope creep and ensure efficient service delivery.

How effective is the 'full and open competition' approach in ensuring the best value for this IT help desk support requirement?

A full and open competition approach is generally considered the most effective method for ensuring the best value for IT help desk support requirements. It maximizes the pool of potential bidders, fostering a competitive environment that drives down prices and encourages innovation. By allowing all responsible sources to participate, the government increases its chances of selecting a vendor that offers not only competitive pricing but also superior technical capabilities and a proven track record. The effectiveness is further enhanced when the solicitation clearly defines performance standards, service level agreements (SLAs), and evaluation criteria, allowing the agency to objectively compare proposals and select the offer that provides the greatest overall value, balancing cost, technical merit, and past performance.

What historical spending patterns exist for IT help desk support within the Bureau of Prisons or the Department of Justice?

Historical spending patterns for IT help desk support within the Bureau of Prisons (BOP) and the broader Department of Justice (DOJ) would likely show a consistent and significant investment in these services. Federal agencies, particularly those with large operational footprints like the BOP, rely heavily on IT infrastructure and require continuous support to maintain functionality. Spending in this area typically fluctuates based on agency-wide IT modernization initiatives, changes in user base, and the evolution of technology. Analyzing past contracts for similar services, including their duration, value, and the contractors involved, would reveal trends in spending levels, preferred contract types (e.g., T&M vs. fixed-price), and the competitive landscape over time. This historical data is crucial for budget forecasting and identifying potential efficiencies or areas of concern.

What are the implications of the 'Other Computer Related Services' (NAICS 541519) classification for the scope and oversight of this contract?

The classification under NAICS code 541519, 'Other Computer Related Services,' indicates a broad scope for this contract, encompassing a wide array of IT support functions beyond standard help desk operations. This could include services such as IT consulting, systems integration, network management, data processing, and disaster recovery planning, in addition to core help desk functions. The broadness of this classification necessitates meticulous oversight to ensure the contractor remains within the defined scope and delivers the intended services effectively. The contracting officer's representative (COR) must have a clear understanding of all potential services covered and establish precise performance metrics and deliverables to manage the contract's execution and prevent scope creep or unauthorized work.

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 - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 12601 FAIR LAKES CIR # 100, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $18,881,321

Exercised Options: $18,881,321

Current Obligation: $18,881,321

Actual Outlays: $15,448,433

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $1,250,417

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 15JPSS22A00000026

IDV Type: BPA

Timeline