Treasury's IRS awards $18.6M for investigative support, leveraging IT services for data exploitation

Contract Overview

Contract Amount: $18,601,134 ($18.6M)

Contractor: Suvi Global Services LLC

Awarding Agency: Department of the Treasury

Start Date: 2024-09-30

End Date: 2026-09-29

Contract Duration: 729 days

Daily Burn Rate: $25.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CRIMINAL INVESTIGATION (CI) DIVISION TASK ORDER FOR INVESTIGATIVE CASE SUPPORT AND DATA EXPLOITATION

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of the Treasury obligated $18.6 million to SUVI GLOBAL SERVICES LLC for work described as: CRIMINAL INVESTIGATION (CI) DIVISION TASK ORDER FOR INVESTIGATIVE CASE SUPPORT AND DATA EXPLOITATION Key points: 1. Contract value represents a significant investment in specialized IT services for law enforcement support. 2. The procurement method suggests a competitive process, aiming for optimal value and service. 3. Performance period extends over two years, indicating a need for sustained support. 4. The task order falls under IT services, aligning with the IRS's digital transformation efforts. 5. Fixed-price contract type helps manage cost certainty for the government. 6. The awardee, SUVI GLOBAL SERVICES LLC, will provide critical data exploitation capabilities.

Value Assessment

Rating: good

The contract value of $18.6 million for two years of investigative case support and data exploitation appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for advanced data analytics and investigative IT support would provide a more precise value assessment. However, the firm fixed-price structure suggests that the contractor bears the risk of cost overruns, which is generally favorable for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while a broad competition was initially considered, specific circumstances led to the exclusion of certain sources before the final award. The exact number of bidders and the rationale for source exclusion are not detailed, but this method aims to balance competition with specific project needs.

Taxpayer Impact: This procurement approach, while not fully open, suggests an effort to ensure a competitive environment to secure fair pricing for taxpayers, though the exclusion of sources warrants further scrutiny.

Public Impact

Benefits the IRS Criminal Investigation (CI) Division by enhancing their ability to investigate financial crimes and tax evasion. Delivers crucial data exploitation and investigative case support services. Geographic impact is primarily national, supporting IRS operations across the United States. Workforce implications include the potential for specialized IT and investigative support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition method requires further understanding to ensure maximum taxpayer value.
Lack of detailed public information on the specific services and deliverables could obscure performance monitoring.
The specialized nature of data exploitation may present unique oversight challenges.

Positive Signals

Firm fixed-price contract type provides cost certainty.
The two-year performance period allows for sustained support and relationship building.
Awarding to a single entity for this task order streamlines management and accountability.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a critical component of the broader IT services industry. This sector is characterized by rapid technological advancements and a high demand for specialized expertise in areas like data analytics, cybersecurity, and system integration. The IRS's need for data exploitation services aligns with the growing trend of government agencies leveraging advanced IT solutions to improve operational efficiency and combat complex threats.

Small Business Impact

Information regarding small business set-asides or subcontracting plans was not explicitly provided in the data. As the contract was awarded under a full and open competition after exclusion of sources, it is possible that small businesses were considered or participated in the initial stages. Further analysis would be needed to determine the specific impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would likely fall under the IRS's internal procurement and program management offices, with potential involvement from the Treasury Inspector General for Tax Administration (TIGTA). The firm fixed-price nature provides a degree of accountability by shifting cost overrun risks to the contractor. Transparency would be enhanced by detailed performance reporting and regular reviews of deliverables against contract requirements.

Related Government Programs

IRS Criminal Investigation Programs
Federal Law Enforcement Support Services
Data Analytics and Exploitation Contracts
IT Professional Services

Risk Flags

Competition method requires further clarification on 'exclusion of sources'.
Potential for performance gaps if specialized expertise is lacking.
Data security risks associated with sensitive IRS information.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $18.6 million to SUVI GLOBAL SERVICES LLC. CRIMINAL INVESTIGATION (CI) DIVISION TASK ORDER FOR INVESTIGATIVE CASE SUPPORT AND DATA EXPLOITATION

Who is the contractor on this award?

The obligated recipient is SUVI GLOBAL 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 $18.6 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-09-29.

What specific data exploitation techniques and technologies will SUVI GLOBAL SERVICES LLC employ under this contract?

The provided data does not specify the exact data exploitation techniques or technologies. However, given the context of IRS Criminal Investigation, these likely include advanced data mining, forensic analysis of digital evidence, pattern recognition, predictive analytics, and potentially the use of artificial intelligence or machine learning tools to identify illicit financial activities, tax fraud schemes, and other criminal enterprises. The contract's focus on 'data exploitation' suggests a need for capabilities beyond simple data storage or retrieval, implying sophisticated analysis to derive actionable intelligence from large, complex datasets.

How does the $18.6 million contract value compare to similar federal contracts for investigative IT support and data exploitation?

Benchmarking the $18.6 million contract value requires comparing it against similar task orders or contracts awarded to other agencies for comparable services. Contracts for specialized IT support, particularly those involving sensitive data analysis for law enforcement, can vary significantly based on scope, duration, and the specific technologies employed. Without access to a comprehensive database of comparable contracts, a precise value-for-money assessment is challenging. However, for a two-year engagement requiring advanced data exploitation capabilities for a major federal agency like the IRS, this figure appears to be within a plausible range, assuming the scope of work is substantial and requires highly skilled personnel and sophisticated tools.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential performance issues if the contractor lacks the specialized expertise required for complex data exploitation, data security breaches given the sensitive nature of IRS data, and cost overruns if the fixed-price model is not adequately managed. Mitigation strategies likely involve rigorous contractor vetting, clearly defined performance metrics and deliverables, robust security protocols mandated by the contract, and regular oversight by the IRS contracting officer and technical team. The firm fixed-price nature also places the financial risk of cost overruns primarily on the contractor, which can incentivize efficient performance.

What is the historical spending pattern of the IRS for similar investigative support and data exploitation services?

The provided data does not include historical spending patterns for the IRS on similar services. To assess this, one would need to analyze past contracts awarded by the IRS Criminal Investigation Division or related IRS functions for IT support, data analytics, and investigative case management. Understanding historical spending would reveal trends in contract values, types of services procured, and the number of contractors utilized. This context is crucial for determining if the current $18.6 million award represents an increase, decrease, or stable level of investment in these capabilities.

What is the track record of SUVI GLOBAL SERVICES LLC in performing similar government contracts, particularly those involving sensitive data or law enforcement support?

The provided data does not include information on SUVI GLOBAL SERVICES LLC's specific track record. A thorough assessment would require reviewing their past performance evaluations on federal contracts, including any past performance questionnaires (PPQs) or CPARS (Contractor Performance Assessment Reporting System) reports. It would be important to ascertain if they have successfully executed contracts of similar size, complexity, and sensitivity, especially those involving data exploitation for government agencies or law enforcement entities. Their experience in handling classified or sensitive information and their ability to meet stringent security and performance requirements would be critical factors.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2553 DULLES VIEW DR STE 700, HERNDON, VA, 20171

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,994,811

Exercised Options: $18,601,134

Current Obligation: $18,601,134

Actual Outlays: $10,827,477

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCB22D0275

IDV Type: GWAC

Timeline