State Department's $3.6M professional staffing contract awarded to Creative IT Solutions, LLC

Contract Overview

Contract Amount: $3,638,517 ($3.6M)

Contractor: Creative IT Solutions, LLC

Awarding Agency: Department of State

Start Date: 2024-09-18

End Date: 2026-09-17

Contract Duration: 729 days

Daily Burn Rate: $5.0K/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 $3.6 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. Focus on professional staffing indicates a need for specialized expertise. 3. The contract duration of 729 days suggests a medium-term need for these services. 4. Awarded under the Virginia contract vehicle, potentially streamlining procurement. 5. No small business set-aside was applied to this contract. 6. The contract type is labor hours, allowing flexibility in resource allocation.

Value Assessment

Rating: fair

The total award amount is $3,638,517.28. Without specific performance metrics or a breakdown of labor categories and rates, it is difficult to benchmark the value for money. The contract is for professional staffing, which can be a significant cost driver. Comparing this to similar administrative management consulting contracts would require more detailed data on the scope of work and the specific services provided. The 'not available for competition' status also limits the ability to assess pricing against competitive bids.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed and was awarded under a sole-source basis. The data indicates it was 'NOT AVAILABLE FOR COMPETITION'. This means that the agency identified a specific contractor, Creative IT Solutions, LLC, as the only viable source for these services. Without a competitive bidding process, it is challenging to determine if the pricing reflects market rates or if alternative solutions were considered.

Taxpayer Impact: Sole-source awards can limit opportunities for other businesses and may not always result in the most cost-effective outcome for taxpayers, as the benefit of competition in driving down prices is absent.

Public Impact

The Department of State benefits from specialized professional staffing to support its administrative and management functions. Services delivered are likely to enhance operational efficiency and management capabilities within the agency. The geographic impact is primarily within Virginia, where the contract vehicle is registered. Workforce implications include the engagement of professional staff, potentially augmenting the existing federal workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and limited contractor innovation.
The sole-source nature of the award prevents a broader market assessment of capabilities and costs.
Absence of specific performance metrics makes it difficult to assess the effectiveness and efficiency of the services provided.

Positive Signals

Awarding to a specific contractor may indicate a pre-existing relationship or specialized expertise required for the task.
The use of a contract vehicle (Virginia) suggests an established procurement channel that may offer some efficiencies.
The contract is for professional staffing, implying a focus on skilled personnel to meet specific agency needs.

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector (NAICS code 541611). This sector encompasses a wide range of services aimed at improving organizational efficiency and management practices. The market for these services is competitive, with numerous firms offering expertise in areas such as human resources, strategic planning, and operational improvement. The Department of State's spending in this area is likely driven by the need for specialized support that may not be readily available within its internal workforce.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss': false and 'sb': false. This means the contract was not specifically reserved for small businesses. Consequently, there are no direct subcontracting implications for small businesses mandated by this award. The absence of a set-aside suggests that the agency did not prioritize small business participation for this particular procurement, potentially limiting opportunities for smaller firms in this specific contract.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of State's contracting officers and program managers. As it is a professional staffing contract, performance monitoring and quality assurance would be key oversight mechanisms. Transparency is limited due to the sole-source nature of the award. There is no explicit mention of Inspector General jurisdiction in the provided data, but the IG typically has oversight over all agency spending.

Related Government Programs

Professional Services Schedules (PSS)
Management and Consulting Services Contracts
Administrative Support Services
Department of State Professional Staffing Initiatives

Risk Flags

Sole-source award limits competitive pricing.
Lack of detailed performance metrics hinders value assessment.
No small business participation requirement noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $3.6 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 $3.6 million.

What is the period of performance?

Start: 2024-09-18. End: 2026-09-17.

What is the track record of Creative IT Solutions, LLC with the Department of State or other federal agencies?

The provided data does not include specific details on the track record of Creative IT Solutions, LLC. To assess their performance, one would need to review past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or issues with federal agencies. A thorough review would involve searching federal procurement databases and agency records for prior engagements. Without this information, it's difficult to gauge their reliability and past success in delivering similar services. The current award being sole-source might suggest a prior positive relationship or unique capability, but this requires verification.

How does the estimated value of this contract compare to similar professional staffing contracts at the Department of State?

Direct comparison of the $3.64 million award value for professional staffing is challenging without more granular data. The contract is for administrative management and general management consulting services, with a labor hours pricing model. To benchmark effectively, we would need to know the specific labor categories, the number of hours anticipated for each, and the associated hourly rates. We would also need to understand the exact scope of work and the duration of services. Comparing this to other State Department contracts for similar professional staffing needs, especially those competed, would provide a better sense of whether the pricing is competitive or if it represents a premium due to the sole-source nature.

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

The primary risks associated with a sole-source award for professional staffing include potential overpricing, reduced quality, and limited innovation. Without competition, the contractor may not feel the same pressure to offer the most competitive rates or to continuously improve service delivery. There's also a risk that the agency may not be aware of alternative, potentially more cost-effective solutions or contractors with specialized expertise that could better meet their needs. Furthermore, a sole-source award can create a perception of favoritism or a lack of transparency, potentially undermining public trust and accountability. The agency must have a strong justification for not competing the requirement to mitigate these risks.

What specific administrative management and general management consulting services are being procured?

The provided data identifies the contract as being for 'PROFESSIONAL STAFFING FOR OBO' under NAICS code 541611 (Administrative Management and General Management Consulting Services). However, it does not detail the specific services being procured. 'Professional Staffing' implies the provision of personnel with specialized skills to support the agency's management and administrative functions. This could encompass a wide range of activities, such as project management support, policy analysis, strategic planning assistance, organizational development, or operational efficiency consulting. The 'OBO' likely refers to an office or bureau within the Department of State, which would further define the context of the staffing needs.

What is the historical spending pattern for administrative management and general management consulting services at the Department of State?

The provided data does not offer historical spending patterns for administrative management and general management consulting services at the Department of State. To analyze this, one would need to access historical federal procurement data (e.g., FPDS-NG or USASpending.gov) and filter for the Department of State and relevant NAICS codes (like 541611) over several fiscal years. This analysis would reveal trends in spending, identify major contractors, and indicate whether this $3.64 million award is an outlier or part of a consistent pattern of expenditure in this service category. Understanding historical spending can help contextualize the current contract's size and necessity.

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: $9,093,433

Exercised Options: $3,926,852

Current Obligation: $3,638,517

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