SEC Awards $335K Time & Materials Contract for Expert Witness Services to CRA International

Contract Overview

Contract Amount: $334,743 ($334.7K)

Contractor: CRA International, Inc.

Awarding Agency: Securities and Exchange Commission

Start Date: 2024-03-06

End Date: 2026-03-30

Contract Duration: 754 days

Daily Burn Rate: $444/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: EXPERT WITNESS SERVICES

Place of Performance

Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02116

State: Massachusetts Government Spending

Plain-Language Summary

Securities and Exchange Commission obligated $334,742.5 to CRA INTERNATIONAL, INC. for work described as: EXPERT WITNESS SERVICES Key points: 1. Contract awarded to a single, well-known firm, suggesting specialized expertise. 2. Time and Materials pricing model can lead to cost overruns if not managed closely. 3. Lack of competition raises questions about potential price discovery and value. 4. The sector involves high-stakes legal and financial consulting, justifying specialized support.

Value Assessment

Rating: questionable

The contract is a Time and Materials type, which inherently carries higher risk for cost control compared to fixed-price contracts. Without a competitive bidding process, it's difficult to benchmark the pricing against similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in a higher price than if multiple vendors had competed.

Taxpayer Impact: The lack of competition means taxpayers may not be receiving the best possible price for these essential expert witness services.

Public Impact

Expert witness services are crucial for complex legal proceedings, ensuring accurate testimony. The Securities and Exchange Commission relies on such expertise for enforcement actions. High-profile cases can have significant financial implications for markets and investors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Time and Materials pricing
Potential for cost overruns

Positive Signals

Awarded to a known entity
Supports critical SEC functions

Sector Analysis

This contract falls under professional services, specifically management consulting, often utilized by government agencies for specialized expertise in complex areas like financial regulation and litigation. Benchmarks for such services vary widely based on specialization and demand.

Small Business Impact

This contract was not awarded to a small business. The nature of specialized expert witness services often favors larger, established firms with proven track records.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the necessity of the service and the reasonableness of costs incurred under the Time and Materials agreement.

Related Government Programs

Administrative Management and General Management Consulting Services
Securities and Exchange Commission Contracting
Securities and Exchange Commission Programs

Risk Flags

Sole-source award limits competition.
Time and Materials pricing increases cost risk.
Potential for unbenchmarked pricing.
Lack of transparency in cost justification.

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $334,742.5 to CRA INTERNATIONAL, INC.. EXPERT WITNESS SERVICES

Who is the contractor on this award?

The obligated recipient is CRA INTERNATIONAL, INC..

Which agency awarded this contract?

Awarding agency: Securities and Exchange Commission (Securities and Exchange Commission).

What is the total obligated amount?

The obligated amount is $334,742.5.

What is the period of performance?

Start: 2024-03-06. End: 2026-03-30.

What is the justification for awarding this contract sole-source, and how was the necessity of CRA International's specific expertise determined?

The justification for a sole-source award typically stems from unique capabilities, critical urgency, or a lack of readily available alternatives. For expert witness services, the agency likely assessed that CRA International possessed specific, indispensable knowledge or experience crucial for the SEC's case, making competition impractical or detrimental to the proceedings.

How will the SEC manage the Time and Materials contract to mitigate risks of cost overruns and ensure fair pricing?

The SEC should implement robust oversight mechanisms, including detailed review of timesheets, expense reports, and task progress. Establishing clear not-to-exceed limits, regular performance reviews, and potentially seeking independent cost analysis can help control expenditures and ensure the pricing remains reasonable relative to the services rendered.

What is the anticipated impact of these expert witness services on the SEC's ability to successfully prosecute its cases?

Effective expert witness testimony can significantly bolster the SEC's case by clarifying complex financial or technical issues for judges and juries. This support is vital for establishing liability, quantifying damages, and ultimately achieving the agency's enforcement objectives, thereby upholding market integrity.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: ERF-896

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 200, CLARENDON STREET, BOSTON, MA, 02116

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $334,743

Exercised Options: $334,743

Current Obligation: $334,743

Actual Outlays: $334,743

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline