DOJ's FBI awarded $29.8M for testing services, with 3 bidders competing

Contract Overview

Contract Amount: $29,866,584 ($29.9M)

Contractor: American Systems Corporation

Awarding Agency: Department of Justice

Start Date: 2013-08-30

End Date: 2015-10-31

Contract Duration: 792 days

Daily Burn Rate: $37.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::CT::IGF - SERVICES

Place of Performance

Location: LORTON, FAIRFAX County, VIRGINIA, 22079

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $29.9 million to AMERICAN SYSTEMS CORPORATION for work described as: IGF::CT::IGF - SERVICES Key points: 1. Value for money appears reasonable given the fixed-price contract and competitive bidding. 2. Competition dynamics indicate a healthy market for these specialized testing services. 3. Risk indicators are low due to the firm fixed-price structure and defined period of performance. 4. Performance context is within the scope of standard laboratory and testing services. 5. Sector positioning places this contract within the broader professional, scientific, and technical services industry.

Value Assessment

Rating: good

The contract's firm fixed-price nature suggests a predictable cost structure. Benchmarking against similar contracts for testing laboratories and services would provide a clearer picture of value. The total award amount of $29.8 million over two years indicates a significant but not extraordinary investment for federal testing needs. Without specific per-unit cost data, a precise value assessment is challenging, but the competitive award suggests a fair market price was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with three bidders vying for the opportunity. The presence of multiple bidders suggests that the market for these services is sufficiently robust to support competition. This level of competition is generally favorable for price discovery and ensuring that the government receives competitive pricing for the services rendered.

Taxpayer Impact: Taxpayers benefit from the competitive process, which helps to drive down costs and ensure that federal funds are used efficiently for essential testing services.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, receiving critical testing and laboratory services. These services likely support a range of FBI operations, including forensic analysis and quality assurance. The geographic impact is primarily national, supporting federal law enforcement activities across the United States. Workforce implications may include specialized technical roles within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if testing requirements are not clearly defined.
Dependence on contractor expertise could be a risk if key personnel depart.

Positive Signals

Firm fixed-price contract limits cost overrun risks for the government.
Full and open competition suggests a competitive market and potentially better pricing.
Defined period of performance provides clear expectations and limits long-term financial commitment.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to testing laboratories. This sector is vital for government operations, supporting everything from research and development to quality control and compliance. The market for such services is competitive, with numerous firms offering specialized expertise. Comparable spending benchmarks would depend on the specific type of testing performed, but federal agencies consistently invest in these capabilities.

Small Business Impact

The provided data does not indicate any small business set-aside or subcontracting requirements for this contract. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer's representative (COR) within the FBI, responsible for monitoring performance and ensuring compliance with contract terms. The firm fixed-price nature simplifies financial oversight. Transparency is generally maintained through contract award databases, though specific performance metrics are not publicly detailed.

Related Government Programs

FBI Laboratory Services
Department of Justice - General Services Administration Contracts
Federal Law Enforcement Support Services

Risk Flags

Potential for performance issues if contractor expertise is not maintained.
Risk of cost increases if contract scope is not tightly managed (mitigated by FFP).

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $29.9 million to AMERICAN SYSTEMS CORPORATION. IGF::CT::IGF - SERVICES

Who is the contractor on this award?

The obligated recipient is AMERICAN SYSTEMS CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $29.9 million.

What is the period of performance?

Start: 2013-08-30. End: 2015-10-31.

What specific types of testing services were procured under this contract?

The contract NAICS code 541380 indicates 'Testing Laboratories and Services.' While the specific nature of the testing is not detailed in the provided data, it likely encompasses a range of laboratory analyses and evaluations relevant to the Federal Bureau of Investigation's mission. This could include forensic testing, materials analysis, environmental testing, or quality assurance testing for equipment and supplies. The firm fixed-price contract suggests that the scope of services was defined upfront to allow for a fixed cost.

How does the $29.8 million award compare to typical spending for similar FBI testing services?

Comparing the $29.8 million award requires context on the duration and scope of services. This contract spanned approximately two years (August 2013 to October 2015). To benchmark effectively, one would need to analyze historical FBI spending on testing laboratories and services, looking at contracts with similar durations and service descriptions. The presence of three bidders suggests a competitive market, which generally leads to more favorable pricing. However, without specific per-unit cost data or detailed service descriptions, a definitive comparison to typical spending is difficult.

What are the primary risks associated with this type of testing services contract?

Key risks for a testing services contract include potential inaccuracies in testing results if quality control is lacking, delays in service delivery impacting operational timelines, and the possibility of the contractor overcharging if the scope is not well-defined or if there are unforeseen complexities. For the government, there's also the risk of over-reliance on a single contractor's expertise. However, the firm fixed-price structure mitigates financial risk for the government, and the competitive award process suggests a degree of market vetting.

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

Information regarding AMERICAN SYSTEMS CORPORATION's specific track record prior to this award is not provided in the data. However, their selection as a prime contractor by the FBI under full and open competition suggests they met the technical and financial qualifications required for the contract. Further due diligence would involve reviewing past performance evaluations and any relevant contract history with federal agencies.

How does the number of bidders (3) influence the perceived value for taxpayers?

A competition with three bidders is generally considered healthy and indicates sufficient market interest. This level of competition typically provides a strong incentive for bidders to offer competitive pricing and favorable terms to secure the contract. For taxpayers, this means there is a higher likelihood that the government secured the testing services at a fair market price, avoiding potential overpayment that could occur in a sole-source or limited-competition scenario. It suggests that the $29.8 million award was likely a result of market forces rather than a lack of alternatives.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Testing Laboratories and Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14151 PARK MEADOW DR STE 500, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $29,866,584

Exercised Options: $29,866,584

Current Obligation: $29,866,584

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DJFJFBI12189

IDV Type: IDC

Timeline