Treasury's IRS awards $2.38M expert witness contract to Landis, Evans and Partners, Inc

Contract Overview

Contract Amount: $238,639 ($238.6K)

Contractor: Landis, Evans and Partners, Inc.

Awarding Agency: Department of the Treasury

Start Date: 2023-07-03

End Date: 2028-07-02

Contract Duration: 1,826 days

Daily Burn Rate: $131/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: EXPERT WITNESS SERVICE

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33624

State: Florida Government Spending

Plain-Language Summary

Department of the Treasury obligated $238,638.5 to LANDIS, EVANS AND PARTNERS, INC. for work described as: EXPERT WITNESS SERVICE Key points: 1. Contract awarded for expert witness services, indicating a need for specialized technical or legal testimony. 2. The contract duration of 1826 days (5 years) suggests a long-term requirement for these services. 3. Awarded as a purchase order, typically used for simpler acquisitions or when specific circumstances apply. 4. The contractor, Landis, Evans and Partners, Inc., will provide services primarily in Florida. 5. The North American Industry Classification System (NAICS) code 541330 points to engineering services, suggesting the expert witness role may involve technical engineering expertise. 6. The contract was not competed under the simplified acquisition procedures (SAP), implying it may have bypassed standard competitive processes for smaller procurements.

Value Assessment

Rating: questionable

The total award amount of $2.38 million over five years for expert witness services requires further benchmarking. Without comparative data on similar expert witness engagements for the IRS or other agencies, it is difficult to definitively assess value for money. The pricing structure, likely based on labor hours, needs to be scrutinized against industry standards for specialized expertise to ensure competitive rates. The lack of competition, as noted below, further complicates a robust value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was awarded as 'NOT COMPETED UNDER SAP,' which is ambiguous. It could indicate a sole-source award, a limited competition, or a procurement that did not follow standard simplified acquisition procedures for reasons not specified. Without further details on the solicitation process, it is impossible to determine the number of bidders or the extent of competition. This lack of clarity raises questions about whether the IRS explored all available sources to secure the best possible pricing and expertise.

Taxpayer Impact: The lack of clear competition means taxpayers may not have benefited from the most cost-effective solution. Without a competitive bidding process, there is a risk that the selected contractor's pricing may not be as competitive as it could have been.

Public Impact

The Internal Revenue Service (IRS) is the primary beneficiary, likely utilizing the expert witness services for litigation or dispute resolution. The services provided are specialized, focusing on expert testimony which could support complex tax cases or investigations. The contract has a geographic focus on Florida (ST: FL, SN: FLORIDA), suggesting the services are needed for cases or operations within that state. The contract may indirectly impact the legal and accounting professions by engaging specialized expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency in the procurement process raises concerns about potential overpayment or suboptimal service selection.
The 'NOT COMPETED UNDER SAP' designation requires further investigation to understand the justification for not pursuing a more open competition.
Without clear benchmarks, assessing the value for money of this expert witness service is challenging.

Positive Signals

The award to a specific firm suggests a perceived need for specialized expertise that this contractor can fulfill.
A five-year contract duration indicates a stable, long-term requirement, potentially leading to more predictable service delivery.

Sector Analysis

Expert witness services fall under professional, scientific, and technical services, often requiring specialized knowledge in fields like engineering, finance, or law. The NAICS code 541330 (Engineering Services) suggests a technical focus for this particular contract. The market for expert witnesses is diverse, with firms and individuals offering specialized testimony across various industries. Government agencies frequently engage such services for litigation, regulatory compliance, and complex project support. Benchmarking this contract's value is difficult without specific details on the nature of the expertise required and comparable rates for similar engagements.

Small Business Impact

The provided data indicates that small business participation (SB: false) was not a factor in this award, and there is no indication of a small business set-aside (SS: false). This suggests that the contract was not specifically targeted towards small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal, and there are no explicit subcontracting opportunities for small businesses mentioned in this award data.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Treasury's Inspector General, who is responsible for auditing and investigating programs and operations within the department. The specific terms of the purchase order and any associated task orders would outline reporting requirements and performance standards. Transparency is limited by the lack of detailed information regarding the procurement process and the specific nature of the expert witness services required.

Related Government Programs

Legal Services
Consulting Services
Professional Services
Litigation Support Services

Risk Flags

Lack of Competition
Unclear Procurement Justification
Potential for Overpricing
Limited Transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $238,638.5 to LANDIS, EVANS AND PARTNERS, INC.. EXPERT WITNESS SERVICE

Who is the contractor on this award?

The obligated recipient is LANDIS, EVANS AND PARTNERS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $238,638.5.

What is the period of performance?

Start: 2023-07-03. End: 2028-07-02.

What specific expertise does Landis, Evans and Partners, Inc. bring as an expert witness for the IRS, and how was this determined to be the best fit?

The provided data indicates the NAICS code is 541330 (Engineering Services), suggesting the expert witness role likely involves technical engineering expertise. Landis, Evans and Partners, Inc. is presumably selected based on their demonstrated qualifications, experience, and past performance in providing such specialized engineering testimony relevant to IRS cases. The IRS would have evaluated proposals or qualifications against specific requirements outlined in the solicitation, though details of this evaluation are not available. The 'NOT COMPETED UNDER SAP' designation implies a non-standard procurement, potentially a sole-source justification or limited competition based on unique capabilities or urgent needs that only this firm could meet.

How does the $2.38 million contract value compare to typical spending on expert witness services by the IRS or similar agencies?

Benchmarking the $2.38 million contract value for expert witness services is challenging without more specific data. Expert witness costs can vary significantly based on the complexity of the case, the required expertise (e.g., engineering, financial, forensic accounting), the duration of testimony, and the reputation of the expert. For complex litigation or investigations, multi-million dollar engagements are not uncommon. However, without knowing the specific nature of the IRS's needs for this contract (e.g., number of cases, types of disputes), it's difficult to definitively state if this amount represents high, low, or average spending. A comparison would ideally involve analyzing similar contracts awarded by the IRS or other large federal agencies for comparable expert witness services over similar timeframes.

What are the primary risks associated with a contract that was 'NOT COMPETED UNDER SAP'?

A contract designated as 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures) carries several potential risks. Primarily, it suggests a departure from standard competitive bidding processes typically used for procurements below a certain threshold (e.g., $250,000). This could indicate a sole-source award, where only one vendor was considered, or a limited competition where fewer vendors were solicited than might be optimal. Risks include potentially higher prices due to lack of robust competition, selection of a vendor who may not be the best value overall, and reduced transparency in the procurement process. It also raises questions about whether the agency adequately explored all available market options to ensure the best use of taxpayer funds.

What is the expected impact of this contract on the IRS's ability to resolve tax disputes or conduct investigations?

This contract is expected to significantly bolster the IRS's capabilities in resolving tax disputes and potentially conducting complex investigations that require specialized technical or legal expertise. Expert witnesses provide crucial testimony, analysis, and opinions that can clarify intricate technical issues for judges, juries, or administrative law judges. By securing the services of Landis, Evans and Partners, Inc. for a five-year period, the IRS signals a commitment to leveraging external specialized knowledge to strengthen its position in legal proceedings, potentially leading to more favorable outcomes in tax litigation and ensuring compliance with complex regulations.

How has the IRS historically utilized expert witness services, and does this contract represent a change in strategy or scale?

The IRS has historically utilized expert witness services across various divisions to support litigation, audits, and investigations involving complex financial, accounting, or technical matters. The scale and nature of this $2.38 million, five-year contract suggest a significant and ongoing need for specialized engineering expertise, as indicated by the NAICS code. Without historical spending data specifically for expert witness services categorized under engineering, it's difficult to ascertain if this represents a substantial increase or a shift in strategy. However, the duration and value indicate a sustained reliance on external expertise for potentially critical cases or projects within the agency.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 3810 NORTHDALE BLVD STE 100, TAMPA, FL, 33624

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $238,639

Exercised Options: $238,639

Current Obligation: $238,639

Actual Outlays: $98,833

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline