State Department's $3.4M contract for professional staffing awarded to Creative IT Solutions, LLC

Contract Overview

Contract Amount: $3,400,267 ($3.4M)

Contractor: Creative IT Solutions, LLC

Awarding Agency: Department of State

Start Date: 2023-09-19

End Date: 2026-09-18

Contract Duration: 1,095 days

Daily Burn Rate: $3.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: PROFESSIONAL STAFFING FOR OBO

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $3.4 million to CREATIVE IT SOLUTIONS, LLC for work described as: PROFESSIONAL STAFFING FOR OBO Key points: 1. Contract awarded for administrative management and general management consulting services. 2. The contract duration is 1095 days, spanning three years. 3. This is a delivery order under a larger contract vehicle. 4. The contract was not competed, raising questions about price discovery. 5. The primary place of performance is Virginia. 6. The contract type is labor hours, which can be flexible but requires careful monitoring.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without more specific details on the services provided and the labor categories involved. The 'labor hours' contract type can lead to cost overruns if not managed tightly. Without a competitive process, it's difficult to assess if the pricing reflects fair market value compared to similar staffing contracts. Further analysis would require understanding the specific tasks performed and the rates applied.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to competition from other vendors. This approach is typically used when a specific contractor possesses unique capabilities or when circumstances necessitate an immediate award. The lack of competition limits the government's ability to explore alternative solutions and potentially secure more favorable pricing through a bidding process.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers as the government does not benefit from the price reductions typically achieved through competitive bidding.

Public Impact

The Department of State benefits from specialized professional staffing services. Services are aimed at supporting administrative management and general management functions. The primary geographic impact is within Virginia, where the performance is located. The contract supports the workforce of Creative IT Solutions, LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in suboptimal pricing.
Labor hour contracts require diligent oversight to prevent cost creep.
The specific nature of 'professional staffing' needs further definition to assess true value.

Positive Signals

Awarded to a single vendor, potentially indicating specialized expertise.
Contract duration provides stability for service delivery.
Delivery order structure allows for phased implementation of services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting. This sector is a significant component of federal spending, supporting a wide range of government functions. Benchmarking would involve comparing this contract's value and scope to other similar professional staffing or consulting services procured by federal agencies.

Small Business Impact

The data indicates that this contract was not awarded to a small business (ss: false) and does not appear to have a small business set-aside component (sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from this specific award. The focus is on the prime contractor, Creative IT Solutions, LLC.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's contracting officers and program managers. Accountability measures would be tied to the performance requirements outlined in the contract and the delivery order. Transparency is limited due to the sole-source nature of the award, but contract details should be available through federal procurement databases.

Related Government Programs

Professional and Management Consulting Services
Administrative Support Services
Staff Augmentation Contracts

Risk Flags

Sole-source award limits price competition.
Labor hour contract type requires diligent oversight.
Lack of detailed service description hinders value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $3.4 million to CREATIVE IT SOLUTIONS, LLC. PROFESSIONAL STAFFING FOR OBO

Who is the contractor on this award?

The obligated recipient is CREATIVE IT 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 $3.4 million.

What is the period of performance?

Start: 2023-09-19. End: 2026-09-18.

What specific professional staffing services are being provided under this contract?

The contract is broadly categorized under 'Administrative Management and General Management Consulting Services' (NAICS code 541611). However, the precise nature of the 'professional staffing' is not detailed in the provided data. This could range from project managers, administrative assistants, policy analysts, or other specialized roles required by the Department of State. Understanding the specific job functions, skill sets, and levels of expertise required would be crucial for a thorough value assessment and for comparing this contract to others.

How does the pricing structure for this labor hour contract compare to market rates for similar professional staffing?

Without specific hourly rates for the labor categories involved, a direct comparison to market rates is not possible. Labor hour contracts allow flexibility in staffing but can be susceptible to price inflation if not carefully managed. To benchmark, one would need to identify the specific roles being filled (e.g., senior consultant, junior analyst), their required experience, and then compare the proposed hourly rates against industry benchmarks for those roles in the Washington D.C. metropolitan area or relevant geographic location. The sole-source nature of the award makes external price validation more challenging.

What are the potential risks associated with a sole-source award for professional staffing?

The primary risk of a sole-source award is the potential for paying a premium due to the lack of competitive pressure. This can lead to suboptimal value for taxpayer dollars. Additionally, the government may miss out on innovative solutions or efficiencies that could have been offered by a broader range of competitors. There's also a risk that the chosen contractor may not be the most suitable or cost-effective option in the long run, as alternatives were not explored through a formal bidding process. Robust performance monitoring becomes even more critical.

What is the track record of Creative IT Solutions, LLC in providing similar professional staffing services to the federal government?

Information on Creative IT Solutions, LLC's specific track record for providing professional staffing services under similar contracts is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), other federal contract awards, and their demonstrated capabilities in administrative management and general management consulting. Understanding their experience with the Department of State or similar agencies would also be beneficial.

How does this contract fit within the Department of State's overall spending on professional staffing and consulting services?

This $3.4 million contract represents a specific investment in professional staffing for administrative and management functions. To understand its place within the Department of State's broader spending, one would need to analyze historical data on their procurements for similar services. This includes examining the total annual expenditure on consulting and staffing, the number and value of other contracts awarded for these services, and whether this contract represents a significant shift or continuation of existing strategies. Benchmarking against agency-wide budgets for these support functions would provide further context.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 19AQMM20R0160

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 2000 N CLASSEN BLVD STE 1700, OKLAHOMA CITY, OK, 73106

Business Categories: 8(a) Program Participant, Category Business, Government, Native American Tribal Government, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,280,319

Exercised Options: $3,913,619

Current Obligation: $3,400,267

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 19AQMM21D0001

IDV Type: IDC

Timeline