DOJ's $42.5M administrative support contract to CGI Federal shows fair value, but limited competition data

Contract Overview

Contract Amount: $42,518,940 ($42.5M)

Contractor: CGI Federal Inc.

Awarding Agency: Department of Justice

Start Date: 2017-10-01

End Date: 2018-09-30

Contract Duration: 364 days

Daily Burn Rate: $116.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IGF::OT::IGF ADMINISTRATIVE SUPPORT SERVICES FOR FASS YRG$ T460016

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20530

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $42.5 million to CGI FEDERAL INC. for work described as: IGF::OT::IGF ADMINISTRATIVE SUPPORT SERVICES FOR FASS YRG$ T460016 Key points: 1. Contract awarded to CGI Federal Inc. for administrative support services. 2. The contract duration was 364 days, indicating a short-term need. 3. The contract was awarded under full and open competition. 4. The total award amount was approximately $42.5 million. 5. The contract was a delivery order under a larger contract. 6. The primary service category is Facilities Support Services. 7. The contract was primarily labor hours based. 8. The contract was awarded to a single vendor, CGI Federal Inc.

Value Assessment

Rating: fair

The contract's value for money is assessed as fair given the $42.5 million award for a one-year period of performance. Benchmarking against similar administrative support contracts is challenging without more detailed service descriptions and performance metrics. However, the award amount suggests a significant operational scope. The pricing structure, based on labor hours, can be efficient if managed well, but also carries a risk of cost overruns if not closely monitored. The absence of detailed performance data makes a definitive value assessment difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which theoretically allows for the widest possible participation from qualified vendors. However, the data indicates this was a delivery order, suggesting it was placed against an existing contract vehicle. The specific competition details for this delivery order, such as the number of bids received or the evaluation process, are not provided. A full and open competition for the underlying contract vehicle is positive, but the specifics of this individual order's competition are unclear.

Taxpayer Impact: A full and open competition process for the parent contract is generally beneficial for taxpayers by fostering a competitive environment that can lead to better pricing and service quality. However, the lack of specific details on the competition for this particular delivery order limits the ability to confirm if taxpayers received the best possible value through robust price discovery.

Public Impact

The Department of Justice (DOJ) benefits from the provision of essential administrative support services. These services likely include a range of functions critical to the daily operations of the DOJ's Offices, Boards and Divisions. The geographic impact is concentrated in Washington D.C., where the DOJ is headquartered. The contract supports a workforce engaged in administrative and facilities support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it difficult to assess the quality and efficiency of services provided.
The reliance on labor hours for pricing could lead to cost escalations if not rigorously managed.
Limited information on the specific administrative tasks performed hinders a comprehensive value-for-money assessment.
The contract was a delivery order, raising questions about the competition dynamics for this specific task order versus the parent contract.
The absence of small business subcontracting data makes it difficult to assess the impact on smaller businesses.

Positive Signals

Awarded under a full and open competition framework, suggesting a broad initial market engagement.
The contract addresses essential administrative support needs for a major federal agency.
The vendor, CGI Federal Inc., is an established entity in the federal contracting space.
The contract was a delivery order, which can sometimes streamline the acquisition process for specific needs.

Sector Analysis

This contract falls within the Facilities Support Services sector, a broad category encompassing a wide range of services essential for the operation and maintenance of government facilities. The market for these services is substantial, with numerous large and small businesses competing for federal contracts. Comparable spending benchmarks are difficult to establish without more granular data on the specific services rendered, but federal agencies consistently allocate significant resources to facility management and administrative support to ensure smooth operations.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a small business set-aside. Analysis of potential subcontracting opportunities with the prime contractor, CGI Federal Inc., would require further investigation into the contract's statement of work and the prime's subcontracting plan, if applicable.

Oversight & Accountability

Oversight for this contract would typically reside within the Department of Justice's contracting and program management offices. Accountability measures would be tied to the terms and conditions of the delivery order, including performance standards and payment schedules. Transparency is facilitated through contract databases like FPDS, which provide basic award information. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected.

Related Government Programs

Federal Administrative Services Contracts
Facilities Management Contracts
Department of Justice Contracts
IT and Administrative Support Services
General Services Administration (GSA) Schedules

Risk Flags

Potential for cost overruns due to labor-hour pricing.
Lack of detailed performance metrics.
Limited transparency on competition for the specific delivery order.
Scope definition and management risks.
Vendor lock-in potential.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $42.5 million to CGI FEDERAL INC.. IGF::OT::IGF ADMINISTRATIVE SUPPORT SERVICES FOR FASS YRG$ T460016

Who is the contractor on this award?

The obligated recipient is CGI FEDERAL INC..

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $42.5 million.

What is the period of performance?

Start: 2017-10-01. End: 2018-09-30.

What specific administrative support services were provided under this contract?

The provided data categorizes this contract under NAICS code 561210 (Facilities Support Services) and indicates it was for 'ADMINISTRATIVE SUPPORT SERVICES FOR FASS'. While the exact scope of services is not detailed, it likely encompassed a range of functions critical to the operational efficiency of the Department of Justice's Offices, Boards and Divisions. This could include tasks such as document management, scheduling, logistical support, basic IT assistance, and other administrative functions necessary for the smooth running of these departmental units. The 'FASS' acronym might refer to a specific DOJ program or system requiring support. Without a detailed Statement of Work (SOW), the precise nature of these services remains general.

How does the $42.5 million award compare to similar administrative support contracts within the federal government?

Comparing the $42.5 million award for a single year of administrative support services requires context that is not fully available in the provided data. Federal administrative support contracts can vary significantly in scope, duration, and complexity. Contracts for large agencies or those with extensive operational needs can easily reach tens of millions of dollars annually. However, without knowing the specific deliverables, the number of personnel supported, or the geographic spread of the services, a direct comparison is difficult. It is a substantial award, suggesting a significant level of support was required, but its relative value depends heavily on the specifics of the services rendered and the market rates for those services at the time of award.

What is the track record of CGI Federal Inc. in providing administrative support services to the federal government?

CGI Federal Inc. is a well-established government contractor with a significant presence in providing a wide array of IT and business services to federal agencies. Their track record includes numerous contracts across various departments, often involving complex IT solutions, systems integration, and business process outsourcing. While this specific contract focuses on administrative support, it aligns with CGI's broader capabilities in managing large-scale service delivery. Historical performance data, available through sources like the Federal Procurement Data System (FPDS), would provide more granular insights into their past performance ratings, any past performance issues, and their success in similar administrative support roles. Generally, CGI is considered a major player capable of handling large federal contracts.

What are the potential risks associated with a contract of this size and duration?

A contract of this magnitude ($42.5 million for one year) carries several potential risks. One primary risk is the potential for cost overruns, especially since it was awarded on a labor-hour basis. If the required labor hours exceed initial estimates or if labor rates increase unexpectedly, the total cost could escalate beyond the initial award amount. Another risk is performance variability; ensuring consistent quality and efficiency of administrative support across all required functions for a year can be challenging. There's also a risk of vendor lock-in if the services become deeply integrated into DOJ operations, making transitions difficult. Finally, if the scope of work is not clearly defined or managed, there's a risk of scope creep, where additional tasks are added without corresponding adjustments to cost or timeline, leading to inefficiencies and potential dissatisfaction.

How does the 'Delivery Order' award type impact the analysis of this contract?

The fact that this was a 'Delivery Order' (aw: DELIVERY ORDER) means it was issued against a pre-existing, larger contract vehicle. This typically implies that the foundational contract (the 'parent contract') underwent a full and open competition or other approved procurement method. The delivery order itself is then used to procure specific goods or services under the terms and conditions established in that parent contract. For analysis, this means the competition for the *parent contract* is more significant than the competition for this individual order, which might have been awarded to the incumbent or based on a streamlined process among pre-qualified vendors. It can streamline acquisition but might offer less price discovery for the specific order compared to a standalone contract.

What does the 'Facilities Support Services' classification suggest about the contract's focus?

The classification under NAICS code 561210, 'Facilities Support Services,' indicates that the primary purpose of this contract was to provide services related to the operation, maintenance, and support of physical facilities. While the data specifies 'Administrative Support Services for FASS,' the overarching category suggests that these administrative functions are closely tied to facility management. This could include tasks like managing building access, coordinating maintenance requests, overseeing janitorial or security services, managing space allocation, or providing administrative support to facility managers. It implies a focus on the infrastructure and operational environment within which the DOJ's offices function, rather than purely back-office administrative tasks.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: CGI Inc (UEI: 248513116)

Address: 12601 FAIR LAKES CIR, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $42,518,940

Exercised Options: $42,518,940

Current Obligation: $42,518,940

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: DJJ10C1978

IDV Type: IDC

Timeline