Treasury's IRS awards $133M for Portal Delivery Services to Accenture Federal Services
Contract Overview
Contract Amount: $133,381,347 ($133.4M)
Contractor: Accenture Federal Services LLC
Awarding Agency: Department of the Treasury
Start Date: 2021-11-30
End Date: 2024-06-02
Contract Duration: 915 days
Daily Burn Rate: $145.8K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: TASK ORDER 0021 - PORTAL DELIVERY SERVICES
Place of Performance
Location: LANHAM, PRINCE GEORGES County, MARYLAND, 20706
State: Maryland Government Spending
Plain-Language Summary
Department of the Treasury obligated $133.4 million to ACCENTURE FEDERAL SERVICES LLC for work described as: TASK ORDER 0021 - PORTAL DELIVERY SERVICES Key points: 1. Significant contract value of $133.4M for IT services. 2. Accenture Federal Services, a large business, secured the award. 3. The contract falls under Computer Systems Design Services (NAICS 541512). 4. Firm Fixed Price contract type suggests cost certainty. 5. No small business participation noted.
Value Assessment
Rating: good
The $133.4M award for portal delivery services appears reasonable given the 3-year duration and the nature of IT system design and support. Benchmarking against similar large-scale IT service contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and ensures the government receives competitive pricing.
Taxpayer Impact: Full and open competition aims to maximize taxpayer value by fostering a competitive environment that drives down costs and improves service quality.
Public Impact
Impacts IRS taxpayer portal functionality and user experience. Ensures continued delivery of critical digital services to taxpayers. Supports IRS modernization efforts through IT system enhancements.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Potential for vendor lock-in with a large prime contractor.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type.
Sector Analysis
This contract falls within the IT sector, specifically computer systems design services. Government spending in this area is substantial, supporting agency operations and digital transformation initiatives. Benchmarks for similar large IT contracts can vary widely based on scope and duration.
Small Business Impact
The contract was not awarded to a small business, and there is no indication of small business subcontracting. This represents a missed opportunity for small business participation in a significant federal IT contract.
Oversight & Accountability
The award was made under full and open competition, suggesting a structured procurement process. Oversight will be crucial to ensure Accenture Federal Services meets performance requirements and delivers value within the firm fixed price.
Related Government Programs
- Computer Systems Design Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- No small business participation.
- Potential for vendor lock-in.
- Reliance on a single large prime contractor for critical services.
- Complexity of managing large IT contracts.
Tags
computer-systems-design-services, department-of-the-treasury, md, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $133.4 million to ACCENTURE FEDERAL SERVICES LLC. TASK ORDER 0021 - PORTAL DELIVERY SERVICES
Who is the contractor on this award?
The obligated recipient is ACCENTURE FEDERAL SERVICES 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 $133.4 million.
What is the period of performance?
Start: 2021-11-30. End: 2024-06-02.
What specific portal delivery services are included in this task order, and how do they align with IRS modernization goals?
This task order likely encompasses a range of services critical to the IRS's taxpayer portal, including development, maintenance, enhancement, and potentially cloud migration or integration of new features. These services are essential for modernizing the IRS's digital infrastructure, improving taxpayer experience, and ensuring the secure and efficient delivery of tax-related information and services.
What are the key performance indicators (KPIs) for this contract, and how will Accenture's performance be measured?
Key performance indicators would likely focus on system uptime, response times, security compliance, user satisfaction, and timely delivery of project milestones. The IRS will monitor these KPIs through regular reporting, performance reviews, and potentially user feedback mechanisms to ensure Accenture Federal Services meets contractual obligations and delivers high-quality portal services.
Given the firm fixed price, what mechanisms are in place to manage scope creep and ensure cost control throughout the contract duration?
With a firm fixed price, the primary mechanism for cost control is strict adherence to the defined scope of work. Change management processes will be critical, requiring formal approval and potentially contract modifications for any scope changes. The IRS will need robust project management to prevent scope creep and ensure the contractor delivers the agreed-upon services within the fixed price.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Novetta Solutions, LLC
Address: 800 NORTH GLEBE RD #300, ARLINGTON, VA, 22203
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $267,717,514
Exercised Options: $135,883,089
Current Obligation: $133,381,347
Actual Outlays: $133,381,347
Subaward Activity
Number of Subawards: 254
Total Subaward Amount: $58,259,799
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: TIRNO17D00004
IDV Type: IDC
Timeline
Start Date: 2021-11-30
Current End Date: 2024-06-02
Potential End Date: 2024-06-02 16:41:59
Last Modified: 2025-04-23
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