Treasury's $80.3M Deloitte Consulting BPA Call for Admin Management Services Faces Scrutiny
Contract Overview
Contract Amount: $80,346,773 ($80.3M)
Contractor: Deloitte Consulting LLP
Awarding Agency: Department of the Treasury
Start Date: 2022-09-21
End Date: 2026-09-20
Contract Duration: 1,460 days
Daily Burn Rate: $55.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: TEOAF FFIAS
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20005
Plain-Language Summary
Department of the Treasury obligated $80.3 million to DELOITTE CONSULTING LLP for work described as: TEOAF FFIAS Key points: 1. Significant contract value ($80.3M) awarded to a single vendor, Deloitte Consulting LLP. 2. Administrative Management and General Management Consulting Services (NAICS 541611) is a common but competitive sector. 3. Potential risk associated with a large, multi-year BPA call potentially limiting future competition. 4. The contract is for Firm Fixed Price, which can offer cost certainty but may reduce flexibility.
Value Assessment
Rating: fair
The contract's $80.3M value over four years suggests a substantial investment. Benchmarking against similar large-scale administrative consulting contracts is needed to assess if the pricing is competitive, especially given the firm-fixed-price structure.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition via a BPA Call. While this indicates initial competition, the long duration and single award nature of the BPA call could limit future price discovery and vendor engagement.
Taxpayer Impact: Taxpayer funds are being utilized for consulting services. The effectiveness and efficiency of these services will determine the ultimate value for taxpayers.
Public Impact
Federal agencies rely on consulting services for operational efficiency and strategic planning. The use of large, multi-year BPA calls can streamline procurement but requires careful oversight. Transparency in how these consulting funds are utilized is crucial for public trust.
Waste & Efficiency Indicators
Waste Risk Score: 55 / 10
Warning Flags
- Large contract value concentrated with one vendor.
- Potential for limited future competition due to BPA call structure.
- Lack of specific performance metrics in provided data.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type offers cost predictability.
- Contract duration aligns with potential long-term project needs.
Sector Analysis
This contract falls within the professional services sector, specifically administrative and management consulting. Spending in this area is common across federal agencies seeking expertise in operational improvement and strategic guidance. Benchmarks vary widely based on the specific services and scope.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to Deloitte Consulting LLP, a large business. There is no indication of subcontracting opportunities for small businesses within the provided details.
Oversight & Accountability
Oversight will be critical to ensure Deloitte Consulting LLP delivers effective administrative management and general management consulting services within the agreed-upon budget and timeline. The Department of the Treasury's contracting officers are responsible for monitoring performance and ensuring accountability.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of the Treasury Contracting
- Departmental Offices Programs
Risk Flags
- Potential for vendor lock-in due to large, multi-year BPA call.
- Lack of transparency on specific deliverables and performance metrics.
- Concentration of significant federal spending with a single large contractor.
- Need for detailed cost-benefit analysis to justify the expenditure.
Tags
administrative-management-and-general-ma, department-of-the-treasury, dc, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $80.3 million to DELOITTE CONSULTING LLP. TEOAF FFIAS
Who is the contractor on this award?
The obligated recipient is DELOITTE CONSULTING LLP.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Departmental Offices).
What is the total obligated amount?
The obligated amount is $80.3 million.
What is the period of performance?
Start: 2022-09-21. End: 2026-09-20.
What specific administrative and management challenges is the Department of the Treasury aiming to address with this $80.3M contract, and how will success be measured?
The contract aims to provide expert consulting services to enhance the operational efficiency and strategic management of the Department of the Treasury's various offices. Success will be measured through defined performance metrics and deliverables outlined in the BPA call's statement of work, focusing on improvements in process optimization, policy implementation, and overall administrative effectiveness.
Given the full and open competition, what was the rationale for awarding a large, multi-year BPA call to a single vendor, and are there mechanisms to ensure ongoing cost-effectiveness?
The rationale likely stems from the need for a consistent, long-term partner to address complex, evolving administrative needs. While a single vendor simplifies management, ongoing cost-effectiveness relies on robust performance monitoring, periodic reviews of market rates, and potential for task order competition within the BPA framework.
How does the $80.3M expenditure align with the Treasury's overall budget for administrative consulting services, and what is the anticipated return on investment?
This expenditure represents a significant allocation for consulting services. Its alignment with the overall budget requires comparison against historical spending and planned initiatives. The anticipated return on investment is expected through quantifiable improvements in agency efficiency, cost savings in specific programs, and enhanced strategic decision-making capabilities.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1919 N LYNN ST, ARLINGTON, VA, 22209
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $101,280,166
Exercised Options: $80,346,773
Current Obligation: $80,346,773
Actual Outlays: $62,645,956
Subaward Activity
Number of Subawards: 8
Total Subaward Amount: $7,241,822
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 2032H322A00006
IDV Type: BPA
Timeline
Start Date: 2022-09-21
Current End Date: 2026-09-20
Potential End Date: 2027-09-20 00:00:00
Last Modified: 2026-04-06
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