DOE's $29.5M contract for web-based investigative interface awarded to West Publishing Corporation

Contract Overview

Contract Amount: $29,460 ($29.5K)

Contractor: West Publishing Corporation

Awarding Agency: Department of Energy

Start Date: 2016-10-01

End Date: 2018-09-30

Contract Duration: 729 days

Daily Burn Rate: $40/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 4.IGF::CL,CT::IGF OR IGF::CT,CL::IGF WEB BASED INVESTIGATIVE INTERFACE (CLEAR)

Place of Performance

Location: SAINT PAUL, DAKOTA County, MINNESOTA, 55123

State: Minnesota Government Spending

Plain-Language Summary

Department of Energy obligated $29,460.48 to WEST PUBLISHING CORPORATION for work described as: 4.IGF::CL,CT::IGF OR IGF::CT,CL::IGF WEB BASED INVESTIGATIVE INTERFACE (CLEAR) Key points: 1. Contract value appears reasonable given the duration and scope of providing a specialized web-based investigative tool. 2. Full and open competition was utilized, suggesting a competitive bidding process that should have yielded fair pricing. 3. The contract duration of 729 days (2 years) is standard for this type of IT service. 4. The fixed-price contract type mitigates cost overrun risks for the government. 5. This contract supports the Federal Energy Regulatory Commission's (FERC) operational needs for data access and analysis. 6. The North American Industry Classification System (NAICS) code 519130 indicates a focus on internet publishing and web search portals.

Value Assessment

Rating: good

The contract value of approximately $29.5 million over two years, averaging around $14.75 million annually, seems aligned with the provision of specialized IT services for a federal agency. Benchmarking against similar contracts for web-based investigative platforms or legal research tools would provide a more precise value assessment. However, the fixed-price nature of the award suggests that the government has a clear understanding of the costs involved, and the competitive bidding process should have ensured a reasonable price point.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With two bids received, the level of competition was limited but still present. This suggests that while the market for such specialized services might not be vast, there were at least two viable contenders, which typically allows for some price negotiation and discovery.

Taxpayer Impact: A competitive bidding process, even with two bidders, generally leads to better value for taxpayers by encouraging vendors to offer competitive pricing to secure the contract.

Public Impact

Federal Energy Regulatory Commission (FERC) staff benefit from enhanced access to investigative and legal data. The contract delivers a critical web-based investigative interface, improving operational efficiency for regulatory functions. The geographic impact is primarily national, supporting FERC's nationwide regulatory responsibilities. Workforce implications include the need for trained personnel within FERC to utilize and manage the investigative interface.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition (2 bidders) could potentially lead to higher prices than a more robustly competed contract.
Dependence on a single vendor for a critical investigative tool could pose risks if the vendor experiences performance issues or financial instability.

Positive Signals

The use of full and open competition is a positive signal for market fairness.
The firm fixed-price contract type effectively transfers cost risk to the contractor.
The contract duration is reasonable for the scope of services, allowing for stable service delivery.

Sector Analysis

The contract falls within the Information Technology sector, specifically related to internet publishing, broadcasting, and web search portals, as indicated by NAICS code 519130. This market segment is characterized by rapid technological advancements and a need for specialized software and data services. The spending of $29.5 million over two years for a dedicated investigative interface is a significant investment, reflecting the critical nature of data access and analysis for regulatory bodies like FERC. Comparable spending benchmarks would involve looking at other federal agencies' procurements for similar legal research, data analytics, or investigative platform solutions.

Small Business Impact

There is no indication that this contract included a small business set-aside. Given the specialized nature of the service and the incumbent contractor (West Publishing Corporation, a known entity in legal information services), it is likely that larger, established firms were the primary bidders. Subcontracting opportunities for small businesses are not explicitly detailed but could potentially exist if West Publishing engages them for specific components or support services.

Oversight & Accountability

Oversight for this contract would typically reside with the Federal Energy Regulatory Commission's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract, requiring the contractor to deliver the specified services within the agreed-upon terms. Transparency is generally maintained through federal procurement databases like FPDS-NG, where contract awards are publicly reported. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse related to this contract arise.

Related Government Programs

Federal Legal Information Services
Government IT Infrastructure
Regulatory Compliance Software
Web-Based Data Platforms
Investigative Technology Procurement

Risk Flags

Limited Competition
Potential Vendor Lock-in
Data Security Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $29,460.48 to WEST PUBLISHING CORPORATION. 4.IGF::CL,CT::IGF OR IGF::CT,CL::IGF WEB BASED INVESTIGATIVE INTERFACE (CLEAR)

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 $29,460.48.

What is the period of performance?

Start: 2016-10-01. End: 2018-09-30.

What is the track record of West Publishing Corporation with federal contracts, particularly for IT services?

West Publishing Corporation, often known as Thomson Reuters Legal, has a long history of providing legal information and technology solutions. While specific federal contract performance data requires detailed analysis of historical awards and performance reviews (e.g., Contractor Performance Assessment Reporting System - CPARS), their established presence in the legal and government sectors suggests a capacity to deliver complex IT services. Their primary focus is on legal research databases and publishing, which aligns with the 'Internet Publishing and Broadcasting and Web Search Portals' NAICS code. Federal agencies frequently procure legal research tools and related IT support from such vendors. A thorough review would examine past contract values, durations, agencies served, and any documented performance issues or commendations to fully assess their track record for this specific type of federal IT contract.

How does the value of this contract compare to similar federal procurements for investigative web platforms?

Comparing the $29.5 million value over two years for this contract requires identifying similar federal procurements for 'web-based investigative interfaces' or specialized legal/regulatory data platforms. The average annual value of approximately $14.75 million is substantial, reflecting the specialized nature of the service. Benchmarking would involve searching databases like FPDS-NG or USAspending for contracts with similar NAICS codes (e.g., 519130, 541511, 541512) and service descriptions. Factors such as the scope of data, analytical capabilities, user base, and security requirements significantly influence pricing. Without direct comparable contracts detailing identical functionalities and service levels, a precise value-for-money assessment is challenging, but the competitive award suggests it was deemed fair within its specific context.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential vendor lock-in due to the specialized nature of the investigative interface, performance issues impacting FERC's operations, and data security breaches. Mitigation strategies are embedded within the contract structure and agency oversight. The firm fixed-price nature transfers cost overrun risk to the contractor. The contract's duration (two years) allows for periodic reassessment of performance and market conditions. FERC's program managers and contracting officers are responsible for ongoing oversight, monitoring performance against deliverables and service level agreements. Data security protocols and compliance requirements are typically stipulated in the contract, with potential penalties for non-compliance. The limited competition (two bidders) is a risk factor that could be addressed by fostering broader market engagement in future procurements.

How effective is the 'Internet Publishing and Broadcasting and Web Search Portals' NAICS code in categorizing this contract's services?

The NAICS code 519130, 'Internet Publishing and Broadcasting and Web Search Portals,' serves as a reasonable, albeit broad, categorization for this contract. West Publishing Corporation's core business involves providing access to vast legal databases via online platforms, which aligns with internet publishing and web portal functionalities. However, the contract's emphasis on a 'web-based investigative interface' suggests a more specific application, potentially involving advanced data analytics, search algorithms, and secure access controls tailored for investigative purposes within the Federal Energy Regulatory Commission. While the NAICS code captures the delivery mechanism (web portal) and the general industry, it may not fully encompass the specialized investigative and analytical capabilities that are likely central to the contract's value and function.

What are the historical spending patterns for similar investigative IT services at FERC or comparable agencies?

Analyzing historical spending patterns for similar investigative IT services at FERC or comparable agencies requires accessing federal procurement data over several fiscal years. This involves identifying contracts awarded under relevant NAICS codes (e.g., 519130, 541511, 541512) or using keywords like 'investigative interface,' 'legal research platform,' or 'data analytics software.' Trends might reveal increasing or decreasing investment in such technologies, average contract values, and the prevalence of full and open competition versus sole-source awards. Understanding these patterns helps contextualize the $29.5 million award, indicating whether it represents a typical expenditure, an increase in investment, or a deviation from historical norms for FERC or its peers in acquiring similar capabilities.

Industry Classification

NAICS: Information › Other Information Services › Internet Publishing and Broadcasting and Web Search Portals

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Thomson Company Inc, the

Address: 2900 AMES CROSSING RD STE 100, EAGAN, MN, 55121

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: $29,460

Exercised Options: $29,460

Current Obligation: $29,460

Actual Outlays: $6,954

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS02F026DA

IDV Type: FSS

Timeline