CNCS Spends $12M on Financial Reporting Support from Ernst & Young LLP

Contract Overview

Contract Amount: $12,082,192 ($12.1M)

Contractor: Ernst & Young LLP

Awarding Agency: Corporation for National and Community Service

Start Date: 2024-09-30

End Date: 2025-04-10

Contract Duration: 192 days

Daily Burn Rate: $62.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BPA CALL 5-THE CONTRACTOR SHALL PROVIDE SUPPORT FOR ENSURING AGENCY FINANCIAL STATEMENTS AND OTHER FINANCIAL REPORTS MEET FEDERAL FINANCIAL REPORTING STANDARDS AND REGULATIONS. THIS INCLUDES BUT IS NOT LIMITED TO THE AMR AND AGENCY BUDGET REQUESTS. T

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Corporation for National and Community Service obligated $12.1 million to ERNST & YOUNG LLP for work described as: BPA CALL 5-THE CONTRACTOR SHALL PROVIDE SUPPORT FOR ENSURING AGENCY FINANCIAL STATEMENTS AND OTHER FINANCIAL REPORTS MEET FEDERAL FINANCIAL REPORTING STANDARDS AND REGULATIONS. THIS INCLUDES BUT IS NOT LIMITED TO THE AMR AND AGENCY BUDGET REQUESTS. T Key points: 1. Contract awarded to Ernst & Young LLP for essential financial reporting compliance. 2. Focus on meeting federal standards for financial statements and budget requests. 3. Potential risk of over-reliance on a single contractor for critical financial functions. 4. IT/Professional Services sector, with a specific focus on accounting and auditing.

Value Assessment

Rating: good

The contract value of $12.1M for approximately 9 months of support appears reasonable given the specialized nature of federal financial reporting. Benchmarking against similar contracts for accounting and auditing services would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is generally effective in achieving fair market prices for services.

Taxpayer Impact: Taxpayer funds are being used to ensure accurate financial reporting, which is crucial for government accountability and transparency.

Public Impact

Ensures compliance with federal financial reporting standards, enhancing government accountability. Supports the agency's budget requests, contributing to sound fiscal management. Provides specialized expertise in accounting and auditing for financial statements.

Waste & Efficiency Indicators

Waste Risk Score: 63 / 10

Warning Flags

Potential for single-source dependency if future needs arise.
Contract duration is relatively short, requiring potential re-competition or extension.

Positive Signals

Awarded through full and open competition.
Addresses critical financial reporting requirements.
Utilizes a reputable contractor with expertise in the field.

Sector Analysis

This contract falls within the professional services sector, specifically accounting and auditing. Spending benchmarks for similar federal financial reporting support contracts are typically in the millions of dollars, depending on scope and duration.

Small Business Impact

The contract was awarded to Ernst & Young LLP, a large business. There is no indication of small business participation in this specific BPA call.

Oversight & Accountability

The contract is managed by the Corporation for National and Community Service. Oversight would involve monitoring performance against the BPA call requirements and ensuring adherence to federal financial regulations.

Related Government Programs

Offices of Certified Public Accountants
Corporation for National and Community Service Contracting
Corporation for National and Community Service Programs

Risk Flags

Contract duration is less than one year.
No small business participation noted.
High reliance on a single contractor for critical financial functions.
Potential for scope creep if additional reporting requirements emerge.

Frequently Asked Questions

What is this federal contract paying for?

Corporation for National and Community Service awarded $12.1 million to ERNST & YOUNG LLP. BPA CALL 5-THE CONTRACTOR SHALL PROVIDE SUPPORT FOR ENSURING AGENCY FINANCIAL STATEMENTS AND OTHER FINANCIAL REPORTS MEET FEDERAL FINANCIAL REPORTING STANDARDS AND REGULATIONS. THIS INCLUDES BUT IS NOT LIMITED TO THE AMR AND AGENCY BUDGET REQUESTS. T

Who is the contractor on this award?

The obligated recipient is ERNST & YOUNG LLP.

Which agency awarded this contract?

Awarding agency: Corporation for National and Community Service (Corporation for National and Community Service).

What is the total obligated amount?

The obligated amount is $12.1 million.

What is the period of performance?

Start: 2024-09-30. End: 2025-04-10.

What is the specific scope of work for "AMR" and how does it compare to typical agency financial reporting needs?

AMR likely refers to Agency Management Reporting or a similar internal financial reporting system. The scope includes ensuring compliance with federal standards and regulations for financial statements and budget requests. This is a standard requirement for federal agencies to maintain fiscal integrity and transparency. The contractor's role is to provide the expertise necessary to meet these complex obligations.

What are the key performance indicators (KPIs) used to measure the success of this contract?

Key performance indicators would likely focus on the accuracy and timeliness of financial reports, adherence to federal regulations (e.g., GASB, FASAB), successful audits, and the contractor's responsiveness to agency requests. Meeting deadlines for budget submissions and ensuring no material weaknesses or significant deficiencies are identified in financial statements would also be critical measures.

How does the pricing structure compare to industry standards for similar federal financial reporting services?

The contract is firm-fixed-price, which provides cost certainty. While the total value of $12.1M for a roughly 9-month period seems substantial, the specialized nature of federal financial reporting, including compliance with numerous regulations and standards, often commands premium pricing. Benchmarking against other federal contracts for similar services would be necessary for a definitive comparison.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Offices of Certified Public Accountants

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 MANHATTAN WEST, NEW YORK, NY, 10001

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,082,192

Exercised Options: $12,082,192

Current Obligation: $12,082,192

Actual Outlays: $12,082,192

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 95332A23A00007

IDV Type: BPA

Timeline