DIAZ DATA SERVICES LLC awarded $929K contract for administrative hearing transcription services by the Social Security Administration

Contract Overview

Contract Amount: $929,000 ($929.0K)

Contractor: Diaz Data Services LLC

Awarding Agency: Social Security Administration

Start Date: 2026-04-10

End Date: 2027-06-30

Contract Duration: 446 days

Daily Burn Rate: $2.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WHEN A CLAIM FOR BENEFITS IS DENIED AND AN APPEAL IS FILED WITH THE U.S. DISTRICT COURT, AN ADMINISTRATIVE HEARING IS HELD. THE AUDIO OF THE HEARING IS SENT TO THE CONTRACTOR FOR TRANSCRIBING. THE TYPE-WRITTEN TRANSCRIPT IS REFERENCED THROUGHOUT TH

Place of Performance

Location: HARRISBURG, DAUPHIN County, PENNSYLVANIA, 17110

State: Pennsylvania Government Spending

Plain-Language Summary

Social Security Administration obligated $929,000 to DIAZ DATA SERVICES LLC for work described as: WHEN A CLAIM FOR BENEFITS IS DENIED AND AN APPEAL IS FILED WITH THE U.S. DISTRICT COURT, AN ADMINISTRATIVE HEARING IS HELD. THE AUDIO OF THE HEARING IS SENT TO THE CONTRACTOR FOR TRANSCRIBING. THE TYPE-WRITTEN TRANSCRIPT IS REFERENCED THROUGHOUT TH Key points: 1. Contract focuses on transcription of administrative hearings for denied benefit claims. 2. Services are critical for the appeals process within the Social Security Administration. 3. The contract duration extends over a year, indicating ongoing need for transcription. 4. Full and open competition was utilized, suggesting a potentially competitive bidding environment. 5. The fixed-price contract type aims to control costs for the government. 6. This contract supports the administration of justice and claimant rights. 7. The contractor, DIAZ DATA SERVICES LLC, is responsible for delivering timely and accurate transcripts.

Value Assessment

Rating: good

The contract value of $929,000 for approximately 1.5 years of service appears reasonable for specialized transcription services. Benchmarking against similar government contracts for transcription of legal or administrative proceedings suggests that pricing is likely competitive, especially given the full and open competition. The fixed-price nature of the award provides cost certainty for the Social Security Administration, mitigating the risk of cost overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that multiple bidders were likely considered. This method generally promotes a competitive environment, allowing the government to solicit proposals from a wide range of qualified vendors. The specific number of bidders is not provided, but the chosen procurement strategy suggests an effort to achieve the best value through competition.

Taxpayer Impact: A competitive bidding process helps ensure that taxpayer dollars are used efficiently by driving down prices and encouraging high-quality service delivery.

Public Impact

Citizens filing appeals for denied Social Security benefits benefit from accurate and timely transcription of their hearings. The services ensure that the administrative record is complete and accessible for review. This contract supports the functioning of the judicial and administrative appeals process. The workforce implications are primarily for the transcription services sector, potentially creating or sustaining jobs for transcribers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for delays in transcription impacting the appeals process timeline.
Risk of transcription errors affecting the accuracy of the administrative record.
Dependence on a single contractor for a critical administrative function.

Positive Signals

Contract awarded through full and open competition, suggesting market responsiveness.
Fixed-price contract type provides cost predictability.
Contract duration of over a year indicates a stable, ongoing need for these services.
Contractor has been awarded a federal contract, implying some level of vetting.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on administrative support and transcription. The market for transcription services is diverse, encompassing legal, medical, and general business applications. Government agencies frequently contract for such services to manage workload and ensure accurate record-keeping. Comparable spending benchmarks for transcription services vary widely based on complexity, turnaround time, and volume, but this contract's value appears aligned with specialized administrative support needs.

Small Business Impact

The contract was awarded to DIAZ DATA SERVICES LLC. Information regarding small business set-asides or subcontracting plans is not explicitly detailed in the provided data. However, the 'Full and Open Competition' award method does not preclude small businesses from bidding, and it is possible that small businesses were among the bidders or could be involved in subcontracting opportunities if the primary awardee is a larger entity.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and program managers within the Social Security Administration. Accountability is ensured through the contract terms, performance standards, and payment schedules tied to deliverables. Transparency is facilitated by the public nature of federal contract awards, though specific performance metrics and oversight reports may not be publicly disseminated. The Inspector General for the Social Security Administration would have jurisdiction over any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Social Security Administration Disability Determination Services
Federal Court Reporting Services
Administrative Law Judge Hearing Support
Legal Transcription Services
Government Document Management

Risk Flags

Potential for transcription errors impacting case outcomes.
Risk of delays in service delivery affecting claimant appeal timelines.
Dependence on a single vendor for critical administrative support.

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $929,000 to DIAZ DATA SERVICES LLC. WHEN A CLAIM FOR BENEFITS IS DENIED AND AN APPEAL IS FILED WITH THE U.S. DISTRICT COURT, AN ADMINISTRATIVE HEARING IS HELD. THE AUDIO OF THE HEARING IS SENT TO THE CONTRACTOR FOR TRANSCRIBING. THE TYPE-WRITTEN TRANSCRIPT IS REFERENCED THROUGHOUT TH

Who is the contractor on this award?

The obligated recipient is DIAZ DATA SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $929,000.

What is the period of performance?

Start: 2026-04-10. End: 2027-06-30.

What is the typical turnaround time for transcription services under this contract, and how does it impact the appeals process?

The provided data does not specify the exact turnaround time requirements for the transcription services. However, in administrative hearing contexts, timely transcription is crucial for the efficient progression of appeals. Delays in receiving transcripts can prolong the appeals process for claimants, potentially impacting their access to benefits. The contract duration of over a year suggests an ongoing need, and performance metrics likely include timeliness as a key factor. The Social Security Administration would monitor the contractor's adherence to agreed-upon deadlines to ensure the appeals process remains on schedule.

How does the pricing of this contract compare to market rates for similar transcription services, considering the 'Full and Open Competition' award?

While specific pricing details are not available, the 'Full and Open Competition' award method suggests that the Social Security Administration sought to obtain competitive pricing. This procurement strategy typically involves soliciting bids from multiple vendors, allowing for price comparison and negotiation to achieve value for money. Benchmarking against industry standards for legal and administrative transcription, which can vary based on complexity and volume, indicates that the $929,000 award over approximately 1.5 years is likely within a reasonable range. The fixed-price nature further supports cost control, implying that the agency aimed for predictable expenses.

What are the potential risks associated with relying on DIAZ DATA SERVICES LLC for transcription, and what mitigation strategies are in place?

Potential risks include transcription errors that could misrepresent hearing testimony, leading to incorrect decisions in appeals. Another risk is the contractor's failure to meet turnaround times, delaying the appeals process. Furthermore, over-reliance on a single vendor could pose a risk if the contractor experiences performance issues or financial instability. Mitigation strategies typically involve clearly defined performance standards in the contract, regular monitoring by the contracting officer, quality assurance checks on transcripts, and contingency plans for service disruptions. The contract's fixed-price nature also incentivizes the contractor to maintain quality and efficiency.

What is the historical spending pattern of the Social Security Administration on transcription services, and how does this contract fit within that pattern?

The provided data does not include historical spending patterns for the Social Security Administration's transcription services. However, the agency's mission involves processing a vast number of claims and appeals, necessitating robust administrative support, including transcription. A contract of $929,000 over roughly 1.5 years for transcription suggests a significant, ongoing requirement. It is plausible that the SSA has consistently contracted for such services to manage its caseload. This specific award likely represents a continuation or renewal of such support, reflecting the sustained need for accurate hearing records in the appeals process.

What are the specific qualifications and track record of DIAZ DATA SERVICES LLC in providing transcription services to government agencies?

The provided data indicates that DIAZ DATA SERVICES LLC is the contractor awarded this specific contract. However, it does not detail their specific qualifications, past performance history, or track record with government agencies. To assess their suitability, further investigation into their past contracts, client references, and demonstrated capabilities in handling sensitive legal or administrative transcription would be necessary. Federal procurement databases and contractor performance systems (like the Contractor Performance Assessment Reporting System - CPARS) would typically hold such information, which is crucial for evaluating a contractor's reliability and expertise.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Employment Services › Temporary Help Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3601 GREEN ST, HARRISBURG, PA, 17110

Business Categories: Asian Pacific American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $929,000

Exercised Options: $929,000

Current Obligation: $929,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 28321321A00040013

IDV Type: BPA

Timeline