Consumer Financial Protection Bureau awards $16.3M for legal tech support, with Infotrend Inc. as prime

Contract Overview

Contract Amount: $16,270,984 ($16.3M)

Contractor: Infotrend Incorporated

Awarding Agency: Consumer Financial Protection Bureau

Start Date: 2023-05-01

End Date: 2027-01-15

Contract Duration: 1,355 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LEGAL TECH SUPPORT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20552

State: District of Columbia Government Spending

Plain-Language Summary

Consumer Financial Protection Bureau obligated $16.3 million to INFOTREND INCORPORATED for work described as: LEGAL TECH SUPPORT SERVICES Key points: 1. Contract value represents a significant investment in modernizing legal operations. 2. Full and open competition suggests a potentially competitive bidding process. 3. Fixed-price contract type may offer cost certainty but could limit flexibility. 4. Contract duration extends over multiple fiscal years, indicating a long-term need. 5. The award falls within the custom computer programming services NAICS code. 6. Geographic concentration in Washington D.C. may indicate a focus on federal agency needs.

Value Assessment

Rating: good

The contract value of $16.3 million over its period of performance appears reasonable for comprehensive legal technology support services. Benchmarking against similar contracts for custom computer programming and legal support services within federal agencies suggests this is within a typical range. The firm-fixed-price structure provides cost predictability for the agency, though it's important to ensure the scope adequately covers all anticipated needs to avoid change orders.

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 number of bidders is not specified, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The agency's decision to use full and open competition suggests confidence in the market's ability to provide suitable solutions.

Taxpayer Impact: Taxpayers benefit from a competitive process that is intended to drive down costs and ensure the government receives the best value for its investment in legal technology support.

Public Impact

The Consumer Financial Protection Bureau (CFPB) is the primary beneficiary, gaining enhanced legal technology capabilities. Services delivered are expected to improve efficiency and effectiveness of legal operations within the CFPB. The geographic impact is concentrated in Washington D.C., where the CFPB is headquartered. The contract supports the IT and legal sectors, potentially involving specialized technical and legal personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if initial requirements are not precisely defined under the fixed-price contract.
Dependence on a single contractor for critical legal technology infrastructure.
Ensuring adequate knowledge transfer and documentation for long-term maintainability.

Positive Signals

Firm-fixed-price contract provides budget certainty for the agency.
Full and open competition suggests a robust market response and potential for value.
Long-term contract duration allows for sustained support and development of specialized expertise.

Sector Analysis

The legal technology sector is a growing segment within the broader IT services market, focusing on software and services that support legal professionals and processes. This contract fits within the custom computer programming services category, indicating a need for tailored solutions rather than off-the-shelf products. Spending in this area is driven by the increasing complexity of legal work, regulatory compliance demands, and the push for digital transformation within government agencies.

Small Business Impact

This contract was not awarded as a small business set-aside, and there is no indication of specific subcontracting goals for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for subcontracting opportunities. Further analysis would be needed to determine if small businesses are participating in the supply chain.

Oversight & Accountability

Oversight will likely be managed by the contracting officer and program managers within the Consumer Financial Protection Bureau. The firm-fixed-price nature of the contract provides a degree of accountability for deliverables. Transparency is generally facilitated through federal procurement databases, but specific oversight mechanisms and Inspector General jurisdiction would depend on internal CFPB policies and the nature of the services provided.

Related Government Programs

Legal Services
IT Support Services
Custom Software Development
Professional Services
Government Technology Modernization

Risk Flags

Potential for cost overruns if scope is not clearly defined.
Risk of vendor lock-in and technological obsolescence.
Dependence on contractor performance for critical legal functions.

Frequently Asked Questions

What is this federal contract paying for?

Consumer Financial Protection Bureau awarded $16.3 million to INFOTREND INCORPORATED. LEGAL TECH SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is INFOTREND INCORPORATED.

Which agency awarded this contract?

Awarding agency: Consumer Financial Protection Bureau (Consumer Financial Protection Bureau).

What is the total obligated amount?

The obligated amount is $16.3 million.

What is the period of performance?

Start: 2023-05-01. End: 2027-01-15.

What is the track record of Infotrend Incorporated with the Consumer Financial Protection Bureau and other federal agencies?

A review of federal procurement data indicates that Infotrend Incorporated has a history of receiving contracts from various federal agencies, including the Consumer Financial Protection Bureau. Specific details on past performance, such as contract values, types of services rendered, and performance ratings, would require a deeper dive into contract databases like FPDS-NG or SAM.gov. Analyzing past performance on similar contracts, particularly those involving legal technology or custom programming, would provide insight into their capabilities and reliability. Examining past performance reviews and any reported issues or successes would be crucial for a comprehensive assessment of their track record.

How does the $16.3 million contract value compare to similar legal tech support services procured by other federal agencies?

The $16.3 million contract value for legal tech support services over approximately 3.5 years (May 2023 - Jan 2027) appears to be within a reasonable range for comprehensive IT and legal support for a federal agency. Benchmarking against similar contracts for custom computer programming (NAICS 541511) and specialized legal support services across agencies like the Department of Justice or other regulatory bodies would provide a more precise comparison. Factors such as the scope of services, complexity of the legal environment, and the size of the agency influence pricing. Without specific details on the deliverables, a direct comparison is challenging, but the overall investment aligns with the trend of federal agencies modernizing their technological infrastructure for legal operations.

What are the primary risks associated with this firm-fixed-price contract for legal technology support?

The primary risks associated with this firm-fixed-price (FFP) contract revolve around scope definition and potential for cost overruns if the scope is not adequately defined upfront. If the CFPB's needs evolve or are underestimated, change orders may be necessary, potentially increasing the total cost beyond the initial $16.3 million. Another risk is the contractor's potential to cut corners on quality or service to maintain profitability under the FFP structure, especially if performance metrics are not robust. Furthermore, over-reliance on a single vendor for critical legal technology infrastructure can pose a risk if the vendor experiences financial instability or fails to innovate, potentially leading to technological obsolescence.

How effective is the 'full and open competition' strategy likely to be in ensuring value for money for this legal tech support contract?

The 'full and open competition' strategy is generally considered the most effective method for ensuring value for money in federal contracting. By allowing all responsible sources to compete, it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive bids that drive down prices and improve service quality. For this legal tech support contract, this approach suggests that the CFPB sought a wide range of solutions and pricing structures. The success in achieving value for money will ultimately depend on the clarity of the solicitation's requirements, the evaluation criteria used, and the responsiveness of the market to the specific needs outlined in the request for proposals.

What are the historical spending patterns for legal technology support services at the Consumer Financial Protection Bureau?

Historical spending data for legal technology support services at the Consumer Financial Protection Bureau (CFPB) prior to this $16.3 million award would provide crucial context. Analyzing previous contracts for similar services, their values, durations, and the contractors involved would reveal trends in the CFPB's investment in this area. Understanding whether this $16.3 million award represents an increase, decrease, or consistent level of spending compared to past periods is important. It would also indicate whether the CFPB has historically relied on full and open competition or other procurement methods for these types of services, and whether Infotrend Incorporated has been a previous recipient of such contracts.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7761 DIAMONDBACK DRIVE, SUITE 02-113, COLLEGE PARK, MD, 20742

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,330,504

Exercised Options: $20,922,364

Current Obligation: $16,270,984

Actual Outlays: $14,248,463

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F495DA

IDV Type: FSS

Timeline