Treasury's IRS Awards $3.24M for FARS Applications O&M Support to Creative Systems and Consulting

Contract Overview

Contract Amount: $3,242,186 ($3.2M)

Contractor: Creative Systems and Consulting L.L.C.

Awarding Agency: Department of the Treasury

Start Date: 2024-01-14

End Date: 2027-01-13

Contract Duration: 1,095 days

Daily Burn Rate: $3.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THIS ORDER IS UNDER ADSS BPA 2032H5-21-A-00024. THE CONTRACTOR IS RESPONSIBLE FOR PROVIDING FARS APPLICATIONS O&M SUPPORT SERVICES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Treasury obligated $3.2 million to CREATIVE SYSTEMS AND CONSULTING L.L.C. for work described as: THIS ORDER IS UNDER ADSS BPA 2032H5-21-A-00024. THE CONTRACTOR IS RESPONSIBLE FOR PROVIDING FARS APPLICATIONS O&M SUPPORT SERVICES. Key points: 1. Contract awarded under an existing BPA, indicating potential for streamlined procurement. 2. Focus on custom computer programming services (NAICS 541511) suggests specialized IT support. 3. The contract value of $3.24M over 3 years warrants scrutiny for value for money. 4. No small business participation noted, which could be a missed opportunity for economic inclusion.

Value Assessment

Rating: fair

The contract value of $3.24M for 3 years of O&M support for FARS applications appears reasonable given the specialized nature of custom computer programming services. Benchmarking against similar contracts for IT O&M would provide a clearer picture of cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under a BPA call, which implies that the initial BPA was competed full and open. This method can lead to competitive pricing if the BPA itself was well-competed and the call-off process maintains competitive pressure.

Taxpayer Impact: Taxpayer funds are being used for essential IT operational support. The value for money achieved through the competitive BPA process will determine the ultimate taxpayer impact.

Public Impact

Ensures continued operation of critical FARS applications, supporting tax administration. Supports a specific IT service provider, Creative Systems and Consulting, L.L.C. The contract's duration of 3 years provides stability for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls within the IT sector, specifically custom computer programming services. Spending benchmarks for IT O&M support vary widely based on system complexity and criticality, but $3.24M over three years for specialized applications is within a typical range.

Small Business Impact

The data indicates that this contract was not awarded to a small business (sb: false). Further analysis would be needed to determine if small business set-asides were considered or if opportunities were missed.

Oversight & Accountability

The contract is managed by the IRS, a component of the Department of the Treasury. Oversight would involve monitoring performance, ensuring adherence to contract terms, and verifying that the services provided meet the agency's needs.

Related Government Programs

Risk Flags

Tags

custom-computer-programming-services, department-of-the-treasury, dc, bpa-call, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $3.2 million to CREATIVE SYSTEMS AND CONSULTING L.L.C.. THIS ORDER IS UNDER ADSS BPA 2032H5-21-A-00024. THE CONTRACTOR IS RESPONSIBLE FOR PROVIDING FARS APPLICATIONS O&M SUPPORT SERVICES.

Who is the contractor on this award?

The obligated recipient is CREATIVE SYSTEMS AND CONSULTING L.L.C..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $3.2 million.

What is the period of performance?

Start: 2024-01-14. End: 2027-01-13.

How does the pricing for these FARS Applications O&M support services compare to industry benchmarks for similar custom computer programming contracts?

A comprehensive comparison requires detailed service level agreements and specific technical requirements. However, the $3.24M value over three years for specialized O&M suggests a significant investment. Benchmarking against contracts with similar scope, complexity, and service level agreements within the federal government and private sector would be crucial to assess cost-effectiveness and identify potential areas for savings or optimization.

What specific risks are associated with relying on Creative Systems and Consulting, L.L.C. for critical FARS application support, and how are these risks being mitigated?

Potential risks include vendor lock-in, key personnel dependency, and performance issues. Mitigation strategies likely involve robust contract management, performance monitoring, clearly defined service level agreements (SLAs), and contingency planning. The IRS should ensure clear exit strategies and knowledge transfer protocols are in place to minimize disruption should the relationship change.

To what extent does this contract contribute to the IRS's overall mission effectiveness and technological modernization efforts?

The FARS applications are integral to tax administration, making their reliable operation crucial for IRS mission effectiveness. Continued O&M support ensures system stability and availability, preventing disruptions to taxpayer services and internal processes. The effectiveness of this contract hinges on the vendor's ability to maintain and potentially enhance these systems, aligning with the IRS's broader goals for technological advancement.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2550 S CLARK ST FL 12, ARLINGTON, VA, 22202

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $6,582,878

Exercised Options: $4,089,179

Current Obligation: $3,242,186

Actual Outlays: $2,759,385

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 2032H521A00024

IDV Type: BPA

Timeline

Start Date: 2024-01-14

Current End Date: 2027-01-13

Potential End Date: 2029-01-13 00:00:00

Last Modified: 2026-01-13

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