DOJ's FBI contract for management consulting services awarded to Guidehouse Inc. for over $24.8M

Contract Overview

Contract Amount: $24,855,900 ($24.9M)

Contractor: Guidehouse Inc.

Awarding Agency: Department of Justice

Start Date: 2017-06-22

End Date: 2022-11-30

Contract Duration: 1,987 days

Daily Burn Rate: $12.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: IDIQ TASK ORDER 001 FOSS-WASHINGTON D.C.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20535

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $24.9 million to GUIDEHOUSE INC. for work described as: IDIQ TASK ORDER 001 FOSS-WASHINGTON D.C. Key points: 1. The contract was awarded on a fixed-price level-of-effort basis, suggesting a defined scope of work with predictable costs. 2. The contract's duration of nearly 2,000 days indicates a long-term need for the services provided. 3. The award was made under full and open competition, implying a robust bidding process. 4. The primary service category is Administrative Management and General Management Consulting Services, a broad area. 5. The contract value of over $24.8 million positions it as a significant investment in consulting services for the FBI. 6. The contract was issued as a delivery order under an IDIQ, a common contracting vehicle for ongoing needs.

Value Assessment

Rating: good

The contract value of over $24.8 million for nearly five years of management consulting services appears reasonable given the scope and duration. Benchmarking against similar large-scale consulting contracts for federal agencies suggests that pricing within this range is typical for complex projects requiring specialized expertise. The fixed-price nature of the contract provides cost certainty for the government, although the level-of-effort component means actual costs could fluctuate based on resource utilization.

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 offers. The presence of 5 offers suggests a healthy level of competition for this requirement. A competitive bidding process generally leads to better price discovery and ensures that the government receives proposals from a range of qualified contractors, potentially driving down costs and improving service quality.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically results in more competitive pricing and a wider selection of qualified vendors, leading to better value for the government's investment.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving management and administrative consulting services. Services delivered likely support the FBI's operational efficiency, strategic planning, and administrative functions. The contract's geographic impact is centered in the District of Columbia, where the FBI's headquarters and many operations are located. The contract may have implications for the management consulting workforce, potentially creating or sustaining jobs within the sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in fixed-price level-of-effort contracts if not managed diligently.
Reliance on a single contractor for extended periods may reduce flexibility in adapting to evolving needs.
The broad nature of 'Administrative Management and General Management Consulting Services' could lead to ambiguity in service delivery.

Positive Signals

Awarded under full and open competition, ensuring a competitive process.
Fixed-price contract type provides cost predictability for the government.
Long contract duration suggests a stable and ongoing need, potentially indicating successful past performance.

Sector Analysis

The federal management and consulting services sector is a significant market, with agencies frequently procuring expertise in areas such as strategic planning, organizational efficiency, and administrative support. This contract falls within the broader professional services category, which is characterized by a mix of large established firms and specialized smaller businesses. Spending in this sector is driven by the government's need for specialized knowledge and temporary capacity to address complex challenges and implement reforms.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. The award to Guidehouse Inc., a large professional services firm, suggests that small business participation may be limited unless subcontracting opportunities are actively pursued and awarded by the prime contractor.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the FBI's program management officials. The fixed-price level-of-effort structure requires careful monitoring of performance against defined objectives and resource utilization. Transparency is generally maintained through contract reporting requirements and the Federal Procurement Data System (FPDS). Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

FBI Administrative Support Services
Department of Justice Management Consulting Contracts
Federal Management and Consulting Services
IDIQ Contract Vehicles

Risk Flags

Potential for undefined scope in level-of-effort contracts.
Long contract duration may limit flexibility.
Contractor lock-in risk.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $24.9 million to GUIDEHOUSE INC.. IDIQ TASK ORDER 001 FOSS-WASHINGTON D.C.

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $24.9 million.

What is the period of performance?

Start: 2017-06-22. End: 2022-11-30.

What specific types of management and administrative consulting services were delivered under this contract?

While the contract falls under the broad category of 'Administrative Management and General Management Consulting Services' (NAICS 541611), the specific deliverables are not detailed in the provided data. Typically, such contracts can encompass a wide range of services including strategic planning, organizational assessment, process improvement, policy development, program management support, and administrative efficiency initiatives. Given the client is the FBI, services might have focused on enhancing operational effectiveness, supporting internal reform efforts, or improving administrative functions critical to law enforcement operations. Further analysis of contract performance reports or statements of work would be necessary to ascertain the precise nature of the services rendered.

How does the awarded amount of over $24.8 million compare to similar FBI consulting contracts?

Comparing the $24.8 million award to similar FBI consulting contracts requires access to a broader dataset of historical procurements. However, for a contract spanning nearly five years (June 2017 to November 2022) and awarded under full and open competition, this value is within a reasonable range for significant consulting engagements. The FBI, as a large federal law enforcement agency, often requires extensive support for complex projects. Without specific benchmarks for comparable FBI contracts in management consulting, it's difficult to definitively state if this represents high or low spending. However, the competitive award process suggests an effort to secure value for money.

What are the key risks associated with a fixed-price level-of-effort contract of this magnitude and duration?

A primary risk with fixed-price level-of-effort contracts is the potential for the contractor to expend the maximum effort allowed without necessarily achieving the desired outcomes, especially if the statement of work is not precisely defined. For a contract of this size and duration, there's also a risk of scope creep, where the scope of work may expand beyond the original intent without adequate adjustments to price or schedule, or conversely, the contractor may limit effort to stay within the fixed price. Another risk is the potential for the contractor to become entrenched, making it difficult for the agency to adapt to new technologies or approaches if the contractor's expertise becomes the primary reference point. Diligent oversight and clear performance metrics are crucial to mitigate these risks.

What was the contractor's track record prior to receiving this contract?

The provided data does not include information on Guidehouse Inc.'s track record prior to or during the performance of this specific contract. However, Guidehouse is a well-established professional services firm with a significant presence in government contracting. Agencies typically conduct pre-award assessments of a contractor's past performance, including their ability to meet schedule, cost, and technical requirements on previous contracts. A comprehensive review would involve examining past performance evaluations, any documented issues, and the contractor's overall reputation within the federal contracting community.

How has FBI spending on management and administrative consulting services trended over the past decade?

Analyzing the FBI's spending trends on management and administrative consulting services over the past decade would require access to historical federal procurement data. Generally, federal agencies, including law enforcement bodies like the FBI, often increase their reliance on external consulting services during periods of significant organizational change, technological adoption, or when facing complex policy challenges. Spending can fluctuate based on budget allocations, specific program needs, and administration priorities. Without specific historical data for the FBI in this category, it is difficult to provide a precise trend, but it is plausible that spending has been substantial given the agency's scale and evolving mission.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Parent Company: Pricewaterhousecoopers Public Sector LLP

Address: 1676 INTERNATIONAL DR STE 800, MCLEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $142,363,117

Exercised Options: $27,754,627

Current Obligation: $24,855,900

Actual Outlays: $22,808,988

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DJF171200V0004176

IDV Type: IDC

Timeline