DHS awards $5.68M for air travel services to Concur Technologies, Inc. under full and open competition

Contract Overview

Contract Amount: $5,683,908 ($5.7M)

Contractor: Concur Technologies, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2024-06-04

End Date: 2026-06-03

Contract Duration: 729 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: E-GOVERNMENT TRAVEL SERVICES

Place of Performance

Location: BELLEVUE, KING County, WASHINGTON, 98004

State: Washington Government Spending

Plain-Language Summary

Department of Homeland Security obligated $5.7 million to CONCUR TECHNOLOGIES, INC. for work described as: E-GOVERNMENT TRAVEL SERVICES Key points: 1. Contract awarded for scheduled passenger air transportation services. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract is a delivery order with a firm fixed price. 4. Duration of the contract is approximately two years. 5. The awardee, Concur Technologies, Inc., is a known entity in travel management. 6. The contract value is within a moderate range for federal travel services.

Value Assessment

Rating: good

The contract value of $5.68 million for two years of air transportation services appears reasonable. Benchmarking against similar federal contracts for travel management solutions indicates that this award is in line with market rates. The firm fixed-price structure provides cost certainty for the government, mitigating risks associated with fluctuating travel expenses. Further analysis would require detailed service level agreements and usage data to fully assess value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but the nature of the competition suggests a healthy market for these services. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Full and open competition helps ensure that taxpayer dollars are used efficiently by driving down costs through market forces.

Public Impact

Benefits federal employees of U.S. Immigration and Customs Enforcement (ICE) by facilitating necessary travel. Ensures the delivery of scheduled passenger air transportation. Geographic impact is national, supporting ICE operations across the United States. Workforce implications include enabling ICE personnel to perform their duties effectively through travel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits a full assessment of competitive intensity.
The provided data does not detail performance metrics or service level agreements, making it difficult to assess operational effectiveness.
No information is available on potential subcontracting, which could impact small business participation.

Positive Signals

Awarded under full and open competition, indicating a robust bidding environment.
Firm fixed-price contract provides cost predictability for the government.
The awardee is a recognized provider in the travel services sector.

Sector Analysis

The federal travel services market is a significant sector, encompassing a wide range of solutions from booking platforms to managed travel programs. This contract for air transportation services falls within the broader e-government and professional services categories. Spending in this area is driven by the operational needs of various federal agencies. Comparable spending benchmarks would typically involve analyzing contracts for travel management systems and booking services across different departments.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb=false). There is no information provided regarding subcontracting plans or performance. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor actively engages small businesses for subcontracting opportunities, which is not specified here.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of Homeland Security's contracting officers and potentially its Inspector General's office. Transparency is facilitated by public contract databases, but detailed performance reviews and audits are usually internal. Accountability measures would be tied to the terms and conditions of the firm fixed-price delivery order and any associated performance standards.

Related Government Programs

E-Government Services
Travel Management Services
Federal Aviation Administration Contracts
Department of Homeland Security Procurement

Risk Flags

Potential for cost increases if travel volume exceeds projections.
Dependence on vendor performance for service delivery.
Limited transparency on specific performance metrics and bidder numbers.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $5.7 million to CONCUR TECHNOLOGIES, INC.. E-GOVERNMENT TRAVEL SERVICES

Who is the contractor on this award?

The obligated recipient is CONCUR TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $5.7 million.

What is the period of performance?

Start: 2024-06-04. End: 2026-06-03.

What is the track record of Concur Technologies, Inc. in fulfilling federal contracts for travel services?

Concur Technologies, Inc., now part of SAP Concur, has a significant history of providing travel and expense management solutions to both government and commercial clients. Within the federal sector, they have been awarded numerous contracts across various agencies for services ranging from travel booking to expense reporting and policy compliance. Their experience typically includes navigating federal procurement regulations, security requirements, and specific agency needs. While this specific award is for air transportation, their broader portfolio often encompasses integrated travel management. A review of past performance evaluations and contract histories would provide a more detailed understanding of their reliability, quality of service, and adherence to contract terms in previous federal engagements.

How does the awarded amount of $5.68 million compare to similar federal contracts for air transportation services?

The awarded amount of $5.68 million over approximately two years for air transportation services for U.S. Immigration and Customs Enforcement (ICE) appears to be within a reasonable range for federal contracts of this nature. Benchmarking requires comparing it to contracts with similar scope, duration, and agency size. Federal agencies often procure travel services through various mechanisms, including large enterprise-wide agreements and smaller, agency-specific delivery orders. Given that this is a delivery order under a larger framework (implied by 'delivery order' type), its value is relative to the specific services it covers. Without knowing the exact volume of travel or specific service level agreements, a precise comparison is difficult, but the overall value does not immediately suggest overpricing when considering the scale of a federal law enforcement agency like ICE.

What are the primary risks associated with this contract, and how are they mitigated?

Primary risks associated with this contract include potential cost overruns if travel demand significantly exceeds projections (though mitigated by the firm fixed-price structure), service disruptions from the vendor, and non-compliance with federal travel regulations. Mitigation strategies are embedded in the contract's firm fixed-price nature, which shifts some cost risk to the contractor. The government's oversight mechanisms, including performance monitoring and the potential for contract termination for default, also serve as risk mitigators. Furthermore, the use of a full and open competition process suggests that the government selected a vendor based on demonstrated capability and competitive pricing, reducing the risk of selecting an underqualified provider. Ensuring clear performance standards and reporting requirements within the delivery order is crucial for ongoing risk management.

How effective is the 'full and open competition' approach in ensuring value for money for this specific contract?

The 'full and open competition' approach is generally considered the most effective method for ensuring value for money in federal contracting, as it maximizes the pool of potential bidders and encourages competitive pricing. For this contract, it implies that multiple vendors had the opportunity to bid on providing air transportation services to ICE. This competitive pressure should theoretically drive down prices and encourage innovation. The extent to which value for money is achieved depends on factors such as the number of bids received, the clarity of the solicitation requirements, and the evaluation criteria used. If the competition was robust, with several qualified bidders submitting proposals, it is highly likely that the government secured favorable pricing and terms. However, the ultimate measure of value includes the quality and reliability of the services delivered over the contract's duration.

What are the historical spending patterns for air transportation services within U.S. Immigration and Customs Enforcement (ICE)?

Historical spending patterns for air transportation services within U.S. Immigration and Customs Enforcement (ICE) are typically substantial, given the agency's mission which often requires extensive travel for personnel, enforcement operations, and transportation of individuals. While specific historical figures for this exact contract vehicle are not provided, ICE's overall budget and operational tempo suggest consistent and significant expenditure on travel. Analyzing past contract awards for travel management, air charter services, and related logistical support would reveal trends in spending volume, average costs per trip or passenger, and the types of travel services most frequently procured. Such analysis would help contextualize the current $5.68 million award within ICE's broader financial landscape and operational requirements.

Industry Classification

NAICS: Transportation and Warehousing › Scheduled Air Transportation › Scheduled Passenger Air Transportation

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - PLATFORM

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 70CMSW24Q00000014

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: SAP SE

Address: 601 108TH AVE NE STE 1000, BELLEVUE, WA, 98004

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

Financial Breakdown

Contract Ceiling: $7,858,373

Exercised Options: $5,703,848

Current Obligation: $5,683,908

Actual Outlays: $2,419,362

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS33FY0026

IDV Type: IDC

Timeline