Treasury's $12.5M debt collection contract with Linebarger Goggan awarded competitively, spanning 4 years

Contract Overview

Contract Amount: $12,540,642 ($12.5M)

Contractor: Linebarger Goggan Blair & Sampson, LLP

Awarding Agency: Department of the Treasury

Start Date: 2003-10-01

End Date: 2007-06-30

Contract Duration: 1,368 days

Daily Burn Rate: $9.2K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DEBT COLLECTION SERVICES

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78760, UNITED STATES OF AMERICA

State: Texas Government Spending

Plain-Language Summary

Department of the Treasury obligated $12.5 million to LINEBARGER GOGGAN BLAIR & SAMPSON, LLP for work described as: DEBT COLLECTION SERVICES Key points: 1. Contract awarded through a competitive process, suggesting potential for price discovery. 2. Fixed-price contract type may incentivize contractor efficiency. 3. Contract duration of over 3 years indicates a significant, ongoing need for services. 4. The specific NAICS code suggests a broad category of financial activities. 5. The award was not set aside for small businesses. 6. Contractor is a single entity, indicating a focused relationship for these services.

Value Assessment

Rating: fair

Benchmarking the value of this specific debt collection contract is challenging without comparable data on collection rates and recovery costs for similar services. The fixed-price nature suggests a defined cost expectation, but the ultimate value depends on the effectiveness of the collection efforts. Without insight into the recovery percentage or the cost per dollar collected, a definitive value-for-money assessment is difficult. The contract's duration and total value indicate a substantial investment in debt recovery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded via a 'COMPETITIVE DELIVERY ORDER,' indicating that multiple vendors were likely considered or competed for this specific order. The presence of competition is generally positive for price discovery and ensures that the government is obtaining services from a qualified provider. The exact number of bidders is not specified, but the 'full-and-open' designation implies a broad solicitation.

Taxpayer Impact: A competitive award process helps ensure that taxpayer funds are used efficiently by driving down costs through market forces.

Public Impact

Benefits the Department of the Treasury by aiding in the recovery of outstanding debts. Services delivered include debt collection activities, crucial for financial management. Geographic impact is likely nationwide, as debt collection can span across states. Workforce implications may involve specialized legal and administrative roles within the contractor's firm.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics or recovery rates makes it difficult to assess contractor effectiveness.
Limited transparency on the competitive process beyond 'full-and-open' designation.
No indication of small business subcontracting, potentially limiting broader economic participation.

Positive Signals

Awarded through a competitive process, suggesting potential for cost savings.
Fixed-price contract type can provide cost certainty for the government.
Contract duration indicates a sustained need and potential for established service delivery.

Sector Analysis

This contract falls under miscellaneous financial investment activities, a broad category within the financial services sector. The market for debt collection services is competitive, with numerous firms specializing in recovering delinquent debts for government agencies and private entities. Benchmarking this contract's value is difficult without specific recovery rates, but the total award value suggests a significant volume of debt being managed.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). There is no information provided regarding subcontracting plans or actual subcontracting with small businesses. This means the primary award went to a larger entity, and opportunities for small businesses to participate in this specific contract are not explicitly detailed.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Treasury's Financial Management Service, responsible for managing federal financial operations. Accountability measures would be tied to the contract's performance clauses and the fixed-price agreement. Transparency is limited by the provided data, but standard government contracting regulations would apply.

Related Government Programs

Treasury Debt Management
Federal Debt Collection Programs
Financial Services Contracts
Government Financial Management

Risk Flags

Lack of specific performance metrics
Limited transparency on competition details
No small business subcontracting information

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $12.5 million to LINEBARGER GOGGAN BLAIR & SAMPSON, LLP. DEBT COLLECTION SERVICES

Who is the contractor on this award?

The obligated recipient is LINEBARGER GOGGAN BLAIR & SAMPSON, LLP.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Financial Management Service).

What is the total obligated amount?

The obligated amount is $12.5 million.

What is the period of performance?

Start: 2003-10-01. End: 2007-06-30.

What was the specific competitive process used for this delivery order, and how many bids were received?

The contract was awarded as a 'COMPETITIVE DELIVERY ORDER' under NAICS code 523999. While this indicates a competitive process, the specific details of the solicitation, the number of bids received, and the evaluation criteria are not provided in the available data. Typically, a competitive delivery order implies that the government sought proposals from multiple sources, potentially from an existing contract vehicle or a pre-qualified list. The 'full-and-open' designation further suggests a broad solicitation approach. Without more granular data, it's difficult to assess the intensity of the competition or the specific advantages gained from it beyond the general principle of market engagement.

How does the total contract value of $12.5 million compare to other federal debt collection contracts?

Comparing the total contract value of $12.5 million requires context regarding the volume and age of the debt being collected, as well as the recovery rates achieved. Federal debt collection contracts vary widely in value based on these factors. For instance, contracts for collecting delinquent taxes might be significantly larger than those for smaller, older debts. Without specific benchmarks for the type of debt this contract addresses or data on the performance of similar contracts, it's challenging to definitively state whether $12.5 million represents a high, low, or average value. However, it signifies a substantial commitment to debt recovery efforts by the Treasury.

What are the key performance indicators (KPIs) for this debt collection contract, and how was the contractor's performance measured?

The provided data does not specify the key performance indicators (KPIs) or the methods used to measure the contractor's performance for this debt collection contract. Typically, debt collection contracts include metrics such as the percentage of debt recovered, the cost per dollar collected, the timeliness of collections, and compliance with legal and ethical standards. The fixed-price nature of the contract (PT: FIRM FIXED PRICE) suggests that the contractor is incentivized to manage costs effectively, but the ultimate measure of success would be the amount of debt successfully recovered. Further details on performance would likely be found in the contract's statement of work and associated performance standards.

What is the track record of Linebarger Goggan Blair & Sampson, LLP with federal debt collection contracts?

The provided data identifies Linebarger Goggan Blair & Sampson, LLP as the contractor for this specific Treasury debt collection contract. However, it does not offer details about their broader track record with federal agencies. To assess their experience, one would need to examine their history with other government contracts, including past performance evaluations, contract values, and the types of services they have provided. A comprehensive review would involve searching federal procurement databases for other awards and performance data related to this firm, particularly in the realm of debt collection and financial services.

What is the estimated cost per dollar collected under this contract, and how does it benchmark against industry standards?

The provided data does not include information on the cost per dollar collected for this contract. This metric is crucial for assessing the efficiency and value-for-money of debt collection services. To determine this, one would need to know the total amount of debt recovered by the contractor and divide it by the total contract value or the contractor's fees. Benchmarking against industry standards would involve comparing this calculated cost per dollar to rates charged by other debt collection agencies for similar types of debt and recovery volumes. Without this recovery data, a precise cost-per-dollar analysis is not possible.

What types of debt are being collected under this contract, and what is the average age of the debt?

The data indicates the contract is for 'DEBT COLLECTION SERVICES' under the Department of the Treasury, with a broad NAICS code of 523999 (Miscellaneous Financial Investment Activities). However, it does not specify the exact types of debt being collected (e.g., delinquent taxes, fines, fees, loans) or the average age of this debt. This information is critical for understanding the complexity of the collection efforts and for benchmarking the contract's value and performance against similar specialized contracts. The Treasury manages a wide array of financial obligations, so the scope of this contract could be quite varied.

Industry Classification

NAICS: Finance and Insurance › Other Financial Investment Activities › Miscellaneous Financial Investment Activities

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 1949 S IH 35, AUSTIN, TX, 78741

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $16,203,559

Exercised Options: $16,203,559

Current Obligation: $12,540,642

Parent Contract

Parent Award PIID: GS23F0159L

IDV Type: FSS

Timeline