DOJ's $84.5M NIBIN contract awarded to Ultra Electronics for forensic technology services

Contract Overview

Contract Amount: $84,458,073 ($84.5M)

Contractor: Ultra Electronics Forensic Technology Inc.

Awarding Agency: Department of Justice

Start Date: 2008-02-15

End Date: 2013-10-14

Contract Duration: 2,068 days

Daily Burn Rate: $40.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIXED PRICE INCENTIVE

Sector: Other

Official Description: NIBIN (IBIS) EQUIPMENT AND SUPPLIES (CORE SERVICES, BRASSTRAX, REPLACEMENT OF OBSOLETE EQUIPMENT, TRAINING, PROJECT MANAGEMENT)

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20226

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $84.5 million to ULTRA ELECTRONICS FORENSIC TECHNOLOGY INC. for work described as: NIBIN (IBIS) EQUIPMENT AND SUPPLIES (CORE SERVICES, BRASSTRAX, REPLACEMENT OF OBSOLETE EQUIPMENT, TRAINING, PROJECT MANAGEMENT) Key points: 1. Contract awarded on a sole-source basis, raising questions about potential cost savings through competition. 2. The fixed-price incentive contract structure aims to align contractor performance with government objectives. 3. Significant duration of over 5 years suggests a long-term need for these specialized forensic services. 4. The contract's value places it among substantial investments in law enforcement technology. 5. Focus on core services, equipment replacement, and training indicates a comprehensive approach to NIBIN system support. 6. The absence of small business participation warrants further investigation into subcontracting opportunities.

Value Assessment

Rating: fair

Benchmarking the value of this $84.5 million contract is challenging without detailed cost breakdowns and comparisons to similar sole-source procurements. The fixed-price incentive (FPI) contract type suggests an attempt to control costs by incentivizing the contractor to meet certain performance targets, but the overall value proposition depends heavily on the effectiveness of these incentives and the contractor's ability to deliver within projected costs. Without competitive bidding, it's difficult to ascertain if the government secured the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically justified when only one vendor possesses the necessary capabilities, technology, or proprietary rights. The lack of competition means that price discovery through market forces was bypassed, potentially leading to higher costs for the government compared to a competitively awarded contract.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure to drive down prices. The government did not benefit from the potential cost savings that often arise from multiple bidders vying for a contract.

Public Impact

Law enforcement agencies nationwide benefit from enhanced capabilities in ballistics identification through the NIBIN system. The contract supports the provision of essential forensic equipment, software, and training to ATF and other federal, state, and local law enforcement partners. Improved ballistics analysis contributes to faster investigations and the resolution of firearm-related crimes. The contract's scope includes project management, ensuring the efficient deployment and maintenance of critical forensic technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potentially increases costs for taxpayers.
Lack of transparency in the justification for sole-source award.
Contract duration and value suggest a significant reliance on a single provider.
No indication of small business participation or subcontracting goals.

Positive Signals

Fixed-price incentive contract aims to control costs and align contractor performance with government needs.
Comprehensive scope covering equipment, training, and project management ensures full system support.
Supports a critical national program (NIBIN) for firearm violence reduction.

Sector Analysis

This contract falls within the Scientific and Technical Consulting Services sector, specifically supporting forensic technology for law enforcement. The market for such specialized services is often dominated by a few key players due to the technical expertise and proprietary nature of the solutions. The NIBIN program itself represents a significant government investment in leveraging technology to combat gun violence, with spending in this area often driven by public safety needs and technological advancements.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements. This suggests that small businesses may not have had a direct opportunity to participate in this specific procurement. Further analysis would be needed to determine if any subcontracting opportunities were made available through the prime contractor, Ultra Electronics Forensic Technology Inc., and the extent of small business involvement in the overall NIBIN ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Justice, specifically the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Acquisition and Property Management Division. As a fixed-price incentive contract, performance metrics and cost controls would be key areas of oversight. Transparency regarding the sole-source justification and the effectiveness of the incentive clauses would be crucial for accountability. The Inspector General's office within the DOJ would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

National Integrated Ballistic Information Network (NIBIN)
Forensic Science Services
Law Enforcement Technology Procurement
Department of Justice IT and Services Contracts

Risk Flags

Sole-source award may lead to higher costs.
Lack of competitive bidding limits price discovery.
Potential for vendor lock-in with a single provider.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $84.5 million to ULTRA ELECTRONICS FORENSIC TECHNOLOGY INC.. NIBIN (IBIS) EQUIPMENT AND SUPPLIES (CORE SERVICES, BRASSTRAX, REPLACEMENT OF OBSOLETE EQUIPMENT, TRAINING, PROJECT MANAGEMENT)

Who is the contractor on this award?

The obligated recipient is ULTRA ELECTRONICS FORENSIC TECHNOLOGY INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Bureau of Alcohol, Tobacco, Firearms and Explosives Acquisition and Property Management Division).

What is the total obligated amount?

The obligated amount is $84.5 million.

What is the period of performance?

Start: 2008-02-15. End: 2013-10-14.

What is the specific justification provided by the ATF for awarding this contract on a sole-source basis?

The provided data does not include the specific justification for the sole-source award. Typically, sole-source contracts are awarded when only one responsible source is available or capable of providing the required goods or services. This could be due to proprietary technology, unique capabilities, or a lack of competition in the market for specialized forensic equipment and services like those provided by Ultra Electronics for the NIBIN system. A full justification would usually be documented and publicly available through sources like the Federal Procurement Data System (FPDS) or agency contracting announcements, detailing why competitive procedures were not feasible or would not be in the government's best interest.

How does the fixed-price incentive (FPI) contract structure aim to control costs for this NIBIN equipment and supplies contract?

A Fixed-Price Incentive (FPI) contract establishes a target cost, target profit, and a price ceiling. The final price is determined by the performance of the contractor relative to these targets. If the contractor's final cost is below the target cost, both the government and the contractor share in the savings according to a pre-negotiated formula. Conversely, if the final cost exceeds the target cost, the contractor assumes a larger portion of the overrun up to the price ceiling. This structure incentivizes the contractor to manage costs effectively and achieve performance objectives efficiently, as their profit is directly tied to their ability to meet or beat cost and performance targets, thereby providing a mechanism for cost control beyond a simple fixed-price agreement.

What are the potential risks associated with a sole-source award of this magnitude for critical forensic technology?

The primary risk of a sole-source award of this magnitude ($84.5 million) is the potential for inflated pricing due to the lack of competitive pressure. Without competing bids, the government may not be securing the most cost-effective solution available in the market. Another risk is vendor lock-in, where the government becomes heavily reliant on a single provider, potentially limiting future flexibility in technology adoption or vendor selection. Furthermore, a sole-source award can reduce transparency and accountability, making it harder to benchmark performance and cost against industry standards. This reliance on a single vendor also increases the risk if that vendor experiences financial difficulties, operational issues, or decides to discontinue the product or service.

Can the value of this contract be benchmarked against similar NIBIN or forensic technology procurements?

Benchmarking the value of this $84.5 million contract against similar NIBIN or forensic technology procurements is difficult without access to detailed cost breakdowns and specific contract terms. The NIBIN program is specialized, and procurements for its equipment, software, and services are often unique. While other law enforcement technology contracts exist, direct comparisons are challenging due to variations in scope, technology, contract type (e.g., fixed-price vs. cost-plus), duration, and the specific market conditions at the time of award. The sole-source nature of this award further complicates benchmarking, as competitive pricing data is absent. A thorough analysis would require comparing it to other sole-source awards for similar specialized systems, if available, or to historical spending on NIBIN components.

What is Ultra Electronics Forensic Technology Inc.'s track record with government contracts, particularly within the Department of Justice?

Ultra Electronics Forensic Technology Inc. has a history of securing contracts with government agencies, including those within the Department of Justice, for forensic solutions. Their involvement with the NIBIN program, as indicated by this substantial contract, suggests a recognized capability and established relationship. Analyzing their broader contract portfolio, including past performance ratings, contract modifications, and any past disputes or audits, would provide a more comprehensive view of their track record. Information on their performance on previous NIBIN-related contracts or similar forensic technology procurements would be particularly relevant to assessing their reliability and effectiveness in fulfilling this current agreement.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

Product/Service Code: TECHNICAL REPRESENTATIVE SVCS. › TECHNICAL REPRESENTATIVE SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Address: 5757 BOUL CAVENDISH BUREAU 200, COTE SAINT-LUC

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $84,458,073

Exercised Options: $84,458,073

Current Obligation: $84,458,073

Timeline