State Department awards $9.7M financial management support contract to Integrated Finance and Accounting Solutions, LLC

Contract Overview

Contract Amount: $9,688,471 ($9.7M)

Contractor: Integrated Finance and Accounting Solutions, LLC.

Awarding Agency: Department of State

Start Date: 2023-08-01

End Date: 2026-07-31

Contract Duration: 1,095 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: FINANCIAL MANAGEMENT SUPPORT SERVICES- GFO CLAIMS DP 1064

Place of Performance

Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29405

State: South Carolina Government Spending

Plain-Language Summary

Department of State obligated $9.7 million to INTEGRATED FINANCE AND ACCOUNTING SOLUTIONS, LLC. for work described as: FINANCIAL MANAGEMENT SUPPORT SERVICES- GFO CLAIMS DP 1064 Key points: 1. Contract focuses on financial management and claims processing, crucial for departmental operations. 2. Awarded via full and open competition, suggesting a competitive bidding process. 3. The contract duration of three years provides a stable period for service delivery. 4. The North American Industry Classification System (NAICS) code 541219 indicates a focus on accounting services. 5. The contract type is Time and Materials, which can pose cost control challenges if not managed carefully. 6. The base award amount is $8.8M, with potential for growth up to $9.7M.

Value Assessment

Rating: good

The contract's value of approximately $9.7 million over three years for financial management support appears reasonable given the scope of services. Benchmarking against similar contracts for financial management support services within federal agencies is necessary for a definitive assessment. However, the Time and Materials pricing structure warrants close monitoring to ensure cost efficiency and prevent scope creep, which could inflate the final cost beyond initial projections. The contract's ceiling of $9.7M suggests a potential for increased work or services over its term.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the competition was intended to be open, certain sources were excluded, potentially limiting the pool of bidders. The specific reasons for exclusion are not detailed, but this approach can sometimes lead to less robust competition than a truly unrestricted full and open process. Further information on the number of bidders and the rationale for source exclusion would be needed for a complete assessment.

Taxpayer Impact: While the competition was not fully unrestricted, the 'full and open' aspect suggests an effort to solicit multiple bids. This should have provided some level of price discovery, potentially benefiting taxpayers. However, the exclusion of sources may have limited the extent of this benefit.

Public Impact

The Department of State benefits from enhanced financial management and claims processing capabilities. Services delivered are critical for the efficient functioning of the department's financial operations. The contract supports financial operations primarily within the agency's headquarters and potentially its global missions. The contract likely supports a team of financial analysts and administrative staff, impacting the workforce within the accounting and finance sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely monitored for scope and efficiency.
The 'exclusion of sources' in the competition method might have limited the number of competitive bids received.
Lack of specific performance metrics in the provided data makes it difficult to assess service quality objectively.

Positive Signals

Awarded through a 'full and open competition' process, indicating an attempt to ensure a competitive environment.
The contract provides a multi-year period (three years), offering stability and continuity for essential financial services.
The contractor, Integrated Finance and Accounting Solutions, LLC, is tasked with critical financial management functions for the Department of State.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically accounting services (NAICS 541219). This sector is characterized by a wide range of firms, from large consultancies to specialized small businesses. Federal spending in accounting and financial management support is substantial, driven by the need for compliance, auditing, and efficient resource allocation across government agencies. The market size for such services is significant, with agencies constantly seeking expertise to manage complex financial landscapes.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The primary contractor is Integrated Finance and Accounting Solutions, LLC, and its size status relative to small business definitions is not specified in this data.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of State. Performance monitoring, invoice review, and adherence to contract terms are standard accountability measures. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected or reported.

Related Government Programs

Financial Management Services
Accounting Support Contracts
Department of State IT and Professional Services
Federal Claims Processing Contracts
Professional Services Acquisition

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Limited competition due to exclusion of sources.
Need for robust oversight to ensure contractor efficiency and performance.
Dependence on contractor's past performance for successful service delivery.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $9.7 million to INTEGRATED FINANCE AND ACCOUNTING SOLUTIONS, LLC.. FINANCIAL MANAGEMENT SUPPORT SERVICES- GFO CLAIMS DP 1064

Who is the contractor on this award?

The obligated recipient is INTEGRATED FINANCE AND ACCOUNTING SOLUTIONS, LLC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $9.7 million.

What is the period of performance?

Start: 2023-08-01. End: 2026-07-31.

What is the track record of Integrated Finance and Accounting Solutions, LLC with federal contracts?

A review of federal contract databases would be necessary to fully assess the track record of Integrated Finance and Accounting Solutions, LLC. This would involve examining past performance on similar contracts, including contract values, duration, and any reported performance issues or awards. Understanding their history with the Department of State or other agencies would provide insight into their reliability and capability in delivering financial management support services. Without specific historical data, it's difficult to gauge their established performance level.

How does the awarded price compare to market rates for similar financial management support services?

Benchmarking the $9.7 million contract value against similar financial management support services requires access to a broader dataset of federal contracts and private sector pricing. Factors such as the specific services required, geographic location, contract duration, and the complexity of the agency's financial systems influence pricing. The Time and Materials (T&M) nature of this contract means the final cost is dependent on actual hours worked and labor rates, making direct comparison challenging without detailed service level agreements and labor category rates. A comprehensive market analysis would be needed to determine if this contract represents good value.

What are the primary risks associated with a Time and Materials contract for financial management support?

The primary risk with a Time and Materials (T&M) contract for financial management support is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual time and materials used. This can lead to increased costs if the scope of work expands, if the contractor is inefficient, or if labor rates are higher than anticipated. Effective oversight, clear task definitions, and robust monitoring of hours and expenses are crucial to mitigate these risks and ensure the government receives value for its investment. Without strong controls, the ceiling price may be exceeded.

How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method in ensuring competitive pricing?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method aims to balance broad competition with specific requirements that might necessitate excluding certain types of vendors. While it is more competitive than a sole-source award, the exclusion of specific sources can limit the number of potential bidders compared to unrestricted full and open competition. The effectiveness in ensuring competitive pricing depends heavily on the reasons for exclusion and the number of qualified bidders remaining. If the exclusions significantly reduce the bidder pool, it could potentially lead to less aggressive pricing than if all eligible sources were allowed to compete.

What is the historical spending pattern for financial management support services at the Department of State?

Analyzing historical spending patterns for financial management support services at the Department of State would involve reviewing contract data over several fiscal years. This would reveal trends in contract values, types of services procured, and the contractors utilized. Understanding this history can help identify whether spending has been consistent, increasing, or decreasing, and whether this $9.7 million award aligns with previous investment levels. It can also highlight any shifts in procurement strategies or service needs over time.

What are the potential performance implications of awarding this contract to Integrated Finance and Accounting Solutions, LLC?

The performance implications depend on Integrated Finance and Accounting Solutions, LLC's demonstrated capabilities and past performance. If the company has a strong history of delivering high-quality financial management services, the implications are positive, suggesting reliable support for the Department of State. Conversely, if they have a history of performance issues, there could be risks to service continuity, accuracy, and efficiency. The Department of State's source selection process should have evaluated these factors, but ongoing monitoring during contract execution is essential to ensure satisfactory performance.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Other Accounting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: SAQMMA17R0193

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4500 POND WAY, STE. 270, WOODBRIDGE, VA, 22192

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $12,121,209

Exercised Options: $12,095,816

Current Obligation: $9,688,471

Actual Outlays: $349,899

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM22D0034

IDV Type: IDC

Timeline