IRS Secures Expert Witness Services for Litigation, Awarding $1.32M to Real Estate Valuation Advisors LLC
Contract Overview
Contract Amount: $132,189 ($132.2K)
Contractor: Real Estate Valuation Advisors LLC
Awarding Agency: Department of the Treasury
Start Date: 2026-04-02
End Date: 2031-04-01
Contract Duration: 1,825 days
Daily Burn Rate: $72/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: LABOR HOURS
Sector: Other
Official Description: EXPERT WITNESS SERVICES REQUIRED FOR THE LITIGATION OF A CASE BY THE INTERNAL REVENUE SERVICE, CHIEF COUNSEL.
Place of Performance
Location: BIRMINGHAM, JEFFERSON County, ALABAMA, 35213
State: Alabama Government Spending
Plain-Language Summary
Department of the Treasury obligated $132,189 to REAL ESTATE VALUATION ADVISORS LLC for work described as: EXPERT WITNESS SERVICES REQUIRED FOR THE LITIGATION OF A CASE BY THE INTERNAL REVENUE SERVICE, CHIEF COUNSEL. Key points: 1. High value contract for specialized litigation support. 2. Sole-source award raises questions about competition and potential cost savings. 3. Long contract duration (10 years) requires careful monitoring. 4. Focus on real estate valuation indicates a niche, high-stakes area.
Value Assessment
Rating: questionable
The contract value of $1.32M over 10 years for expert witness services is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to market rates for similar specialized litigation support.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed under SAP, indicating a sole-source award. This limits price discovery and may result in higher costs for taxpayers compared to a fully competitive process.
Taxpayer Impact: The lack of competition for this significant contract could lead to taxpayer funds being used inefficiently if the price is not benchmarked against market alternatives.
Public Impact
Taxpayers may bear higher costs due to the sole-source nature of the award. The IRS relies on specialized expertise for critical litigation, impacting case outcomes. Long-term engagement suggests ongoing legal needs within the IRS.
Waste & Efficiency Indicators
Waste Risk Score: 72 / 10
Warning Flags
- Sole-source award
- Long contract duration
- Lack of competition
Positive Signals
- Essential service for IRS litigation
- Experienced contractor identified
Sector Analysis
This contract falls within professional services, specifically expert witness testimony for real estate valuation in legal cases. Benchmarks for such specialized services are highly variable and depend on expertise and case complexity.
Small Business Impact
The awardee is Real Estate Valuation Advisors LLC. Analysis is needed to determine if this is a small business and if opportunities were missed to engage small businesses for ancillary services.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure the IRS is receiving fair value and that the services are critical and cannot be competitively procured.
Related Government Programs
- Offices of Real Estate Appraisers
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Sole-source award limits competition and price discovery.
- Long contract duration (10 years) increases long-term risk.
- Potential for cost overruns without competitive benchmarking.
- Dependency on a single provider for critical litigation support.
- Lack of transparency regarding the justification for sole-sourcing.
Tags
offices-of-real-estate-appraisers, department-of-the-treasury, al, purchase-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $132,189 to REAL ESTATE VALUATION ADVISORS LLC. EXPERT WITNESS SERVICES REQUIRED FOR THE LITIGATION OF A CASE BY THE INTERNAL REVENUE SERVICE, CHIEF COUNSEL.
Who is the contractor on this award?
The obligated recipient is REAL ESTATE VALUATION ADVISORS LLC.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $132,189.
What is the period of performance?
Start: 2026-04-02. End: 2031-04-01.
What is the justification for the sole-source award, and has the IRS explored any competitive alternatives, even for parts of the requirement?
The justification for a sole-source award typically involves unique capabilities or urgent needs. The IRS should provide documentation detailing why Real Estate Valuation Advisors LLC is the only viable option and if any market research was conducted to confirm this exclusivity. Exploring competitive options, even for specific phases or related services, could ensure better value and taxpayer savings.
How will the IRS ensure cost-effectiveness and performance quality over the 10-year duration of this contract, given the lack of initial competition?
To ensure cost-effectiveness and quality, the IRS should implement robust performance metrics and regular reviews. Establishing clear deliverables, milestones, and payment schedules tied to performance is crucial. Periodic market scans for comparable services and renegotiation clauses could also help mitigate risks associated with a long-term, non-competed contract.
What is the potential impact on IRS litigation outcomes and taxpayer burden if the selected expert witness services are not optimal or become outdated?
Suboptimal expert witness services can lead to unfavorable litigation outcomes, potentially costing the government (and taxpayers) significantly more in lost revenue or settlements. If services become outdated, the IRS's ability to effectively argue its cases, particularly in complex real estate valuation disputes, could be compromised, leading to prolonged legal battles and increased costs.
Industry Classification
NAICS: Real Estate and Rental and Leasing › Activities Related to Real Estate › Offices of Real Estate Appraisers
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: LABOR HOURS (Z)
Evaluated Preference: NONE
Contractor Details
Address: 101 PINE RIDGE CIR, MOUNTAIN BRK, AL, 35213
Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $228,719
Exercised Options: $132,189
Current Obligation: $132,189
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Timeline
Start Date: 2026-04-02
Current End Date: 2031-04-01
Potential End Date: 2031-04-01 13:17:08
Last Modified: 2026-04-02
More Contracts from Real Estate Valuation Advisors LLC
- Expert Witness Services - Real Estate Appraiser for Internal Revenue Service Chief Counsel. Tracs0006829/5000220305: Approved 10/07/2025 — $167.8K (Department of the Treasury)
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