DOE's $1.7M Legal Subscription Contract with West Publishing Corporation Raises Value Concerns

Contract Overview

Contract Amount: $1,707,587 ($1.7M)

Contractor: West Publishing Corporation

Awarding Agency: Department of Energy

Start Date: 2012-09-24

End Date: 2017-09-30

Contract Duration: 1,832 days

Daily Burn Rate: $932/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ON-LINE SUBSCRIPTION SERVICE FOR LEGAL RESOURCES AND INFORMATION

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20426

State: District of Columbia Government Spending

Plain-Language Summary

Department of Energy obligated $1.7 million to WEST PUBLISHING CORPORATION for work described as: ON-LINE SUBSCRIPTION SERVICE FOR LEGAL RESOURCES AND INFORMATION Key points: 1. The contract awarded to West Publishing Corporation for legal resources represents a significant expenditure. 2. Competition was full and open, but the pricing assessment needs further scrutiny. 3. Potential risks include the long duration and the fixed-price nature of the contract. 4. The sector is Information Services, with potential for cost savings through competitive bidding.

Value Assessment

Rating: questionable

The contract's value of $1.7 million over five years for online legal resources warrants further investigation. Without specific benchmarks or comparisons to similar services, it's difficult to definitively assess if the pricing is competitive or represents good value for the taxpayer.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery. However, the long duration and fixed-price nature may limit the government's ability to benefit from market fluctuations or negotiate better terms over time.

Taxpayer Impact: The long-term commitment and fixed-price structure could potentially lead to overpayment if market prices for legal resources decrease or if usage patterns change significantly.

Public Impact

Federal agencies rely on access to legal resources for regulatory compliance and operational needs. The cost of information services can be substantial, impacting overall agency budgets. Ensuring competitive pricing for subscription services is crucial for responsible stewardship of taxpayer funds.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Information Services sector, particularly for specialized legal resources, can be prone to high costs due to proprietary databases and limited providers. Benchmarking against similar government or commercial contracts is essential to ensure fair pricing.

Small Business Impact

The data does not indicate whether small businesses were involved in this procurement. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Federal Energy Regulatory Commission (FERC) awarded this contract. Oversight would involve monitoring usage, ensuring service delivery meets requirements, and evaluating the ongoing need and cost-effectiveness of the subscription.

Related Government Programs

Risk Flags

Tags

all-other-information-services, department-of-energy, dc, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $1.7 million to WEST PUBLISHING CORPORATION. ON-LINE SUBSCRIPTION SERVICE FOR LEGAL RESOURCES AND INFORMATION

Who is the contractor on this award?

The obligated recipient is WEST PUBLISHING CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Energy (Federal Energy Regulatory Commission).

What is the total obligated amount?

The obligated amount is $1.7 million.

What is the period of performance?

Start: 2012-09-24. End: 2017-09-30.

What is the specific legal information provided by West Publishing Corporation, and how critical is it to FERC's operations?

The specific legal resources likely include case law, statutes, regulations, and legal analysis tools essential for FERC's regulatory functions. Understanding the criticality helps justify the expenditure and assess potential risks associated with service disruption or inadequate coverage.

Were there alternative providers considered during the full and open competition, and what were their proposed costs?

Investigating alternative providers and their bids would reveal the competitiveness of West Publishing Corporation's offer. If other providers offered similar services at a significantly lower cost, it would indicate potential overpricing or a missed opportunity for savings.

How will FERC ensure the value and necessity of this subscription are re-evaluated throughout its 5-year term?

FERC should establish clear performance metrics and conduct periodic reviews of the subscription's utilization and relevance. This includes assessing if the content remains current and essential, and exploring opportunities for renegotiation or seeking more cost-effective solutions if market conditions change.

Industry Classification

NAICS: InformationOther Information ServicesAll Other Information Services

Product/Service Code: BOOKS, MAPS, OTHER PUBLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Thomson Company Inc, the

Address: 610 OPPERMAN DR, SAINT PAUL, MN, 55123

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

Financial Breakdown

Contract Ceiling: $1,707,587

Exercised Options: $1,707,587

Current Obligation: $1,707,587

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: LC09D7012

IDV Type: IDC

Timeline

Start Date: 2012-09-24

Current End Date: 2017-09-30

Potential End Date: 2017-09-30 00:00:00

Last Modified: 2026-04-10

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