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

Positive Signals

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

Risk Flags

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 ServicesComputer Systems Design and Related ServicesComputer 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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