DHS's $31.8M contract for records and adjudications support awarded to CMI Management, LLC

Contract Overview

Contract Amount: $31,785,843 ($31.8M)

Contractor: CMI Management, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2009-07-24

End Date: 2010-03-14

Contract Duration: 233 days

Daily Burn Rate: $136.4K/day

Competition Type: NON-COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: RECORDS, FDNS, ADJUDICATIONS SUPPORT

Place of Performance

Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22312

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $31.8 million to CMI MANAGEMENT, LLC for work described as: RECORDS, FDNS, ADJUDICATIONS SUPPORT Key points: 1. Value for money appears fair given the contract type and duration, though specific performance metrics are not detailed. 2. Competition dynamics indicate a sole-source award, potentially limiting price discovery and increasing risk. 3. Risk indicators include the non-competitive nature of the award and a relatively short performance period. 4. Performance context is limited to support services for records and adjudications, with no specific outcomes provided. 5. Sector positioning is within government administrative support services, a common area for federal contracting.

Value Assessment

Rating: fair

The contract's value of $31.8 million for a period of 233 days suggests a daily rate of approximately $136,420. This rate is difficult to benchmark without specific details on the services provided and the personnel involved. Compared to similar contracts for administrative support, the pricing could be considered average to high, especially given the lack of competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a non-competitive delivery order, meaning it was not openly competed. This approach is typically used when a specific contractor is uniquely qualified or when urgent needs arise. The lack of multiple bidders means that the government did not benefit from a competitive bidding process, which could have led to lower prices or better terms.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure. The sole-source nature limits the government's ability to negotiate the best possible price.

Public Impact

Citizens applying for immigration benefits are indirectly impacted through the efficiency of adjudications support. The Department of Homeland Security benefits from support services that aid in processing records and adjudications. The geographic impact is likely national, as USCIS operations are spread across various locations. Workforce implications may involve the contractor's personnel supporting federal employees in processing applications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Limited transparency in the sole-source award process.
Potential for contractor lock-in due to non-competitive nature.

Positive Signals

Contract awarded to support critical government functions (records and adjudications).
Specific contractor (CMI Management, LLC) chosen, implying some level of pre-qualification or existing relationship.
Time and Materials contract type allows flexibility for evolving needs.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on administrative and support services for government agencies. The market for such services is large and competitive, but individual task orders or delivery orders can sometimes be sole-sourced due to specific requirements or existing relationships. Benchmarking is challenging without detailed service descriptions.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This suggests that the primary contractor, CMI Management, LLC, is likely a larger entity or that small business participation was not a specific objective for this particular award.

Oversight & Accountability

Oversight mechanisms would typically involve contract officers and program managers within USCIS. Accountability measures would be tied to the delivery order's terms and conditions. Transparency is limited due to the non-competitive nature of the award, with details primarily available through contract award notices.

Related Government Programs

USCIS Adjudications Support Contracts
Department of Homeland Security Administrative Services
Federal Records Management Contracts
Immigration Services Support

Risk Flags

Non-competitive award
Potential for cost overruns due to T&M pricing
Limited transparency in procurement

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $31.8 million to CMI MANAGEMENT, LLC. RECORDS, FDNS, ADJUDICATIONS SUPPORT

Who is the contractor on this award?

The obligated recipient is CMI MANAGEMENT, LLC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $31.8 million.

What is the period of performance?

Start: 2009-07-24. End: 2010-03-14.

What specific services did CMI Management, LLC provide under this contract?

The data indicates the contract was for 'RECORDS, FDNS, ADJUDICATIONS SUPPORT'. FDNS likely refers to the Fraud Detection and National Security Directorate within USCIS. Therefore, CMI Management, LLC was contracted to provide support services related to managing records, assisting in fraud detection efforts, and aiding in the adjudication of immigration applications. This could encompass a range of tasks such as data entry, document processing, case file management, and potentially analytical support, though the exact nature of the 'support' is not detailed in the provided data.

How does the awarded amount of $31.8 million compare to similar contracts for adjudications support?

Comparing the $31.8 million award to similar contracts is challenging without more specific details on the scope of work, duration, and performance metrics. However, the contract duration was relatively short at 233 days (approximately 7.5 months). This implies a high daily burn rate of roughly $136,420. For context, large-scale federal IT or professional services contracts can run into hundreds of millions or billions over several years. For a focused support function over a short period, this amount could be considered significant, especially if it involved specialized personnel or complex data handling. Without benchmarks for similar sole-source adjudications support contracts, a definitive value comparison is difficult.

What are the primary risks associated with a sole-source award for critical support services?

The primary risks associated with a sole-source award, such as this one for adjudications support, include a lack of price competition, which can lead to higher costs for the government. There's also a reduced incentive for the contractor to innovate or provide exceptional service, as there are no competitors to outperform. Furthermore, sole-source awards can raise concerns about fairness and transparency in the procurement process. If the chosen contractor fails to perform adequately, the government has limited options for recourse without initiating a new, potentially lengthy, sole-source justification process or a full competitive procurement.

What is the historical spending pattern for records and adjudications support by DHS or USCIS?

Historical spending patterns for records and adjudications support by DHS and USCIS are substantial, reflecting the agency's core mission. USCIS processes millions of applications annually, requiring extensive support for record management, data processing, and case adjudication. While this specific $31.8 million contract is a single award, the agency consistently awards numerous contracts, both competitive and non-competitive, for these types of services. Over the years, spending in this category has likely trended upwards with increasing application volumes and complexity, though specific historical figures for this exact service category would require a deeper dive into federal procurement databases.

What does the 'Time and Materials' (T&M) contract type imply for this award?

The 'Time and Materials' (T&M) contract type indicates that the government agreed to pay the contractor based on the actual labor hours expended at specified hourly rates, plus the actual cost of materials used. This type of contract is often used when the scope of work cannot be precisely defined at the outset or is expected to change. For adjudications support, it suggests flexibility in adapting to fluctuating workloads or evolving requirements. However, T&M contracts carry a higher risk for the government regarding cost control, as they offer less certainty on the total price compared to fixed-price contracts. Robust oversight is crucial to manage costs effectively.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Advertising, Public Relations, and Related Services › Direct Mail Advertising

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

Competition & Pricing

Extent Competed: NON-COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4324 EVERGREEN LN STE B, ANNANDALE, VA, 90

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $36,963,476

Exercised Options: $31,785,843

Current Obligation: $31,785,843

Parent Contract

Parent Award PIID: GS10F0138L

IDV Type: FSS

Timeline