Treasury's $20M IT Services Contract with CSRA Systems & Solutions LLC: A Long-Term, Non-Competed Award
Contract Overview
Contract Amount: $20,253,111 ($20.3M)
Contractor: Csra Systems & Solutions LLC
Awarding Agency: Department of the Treasury
Start Date: 2001-06-15
End Date: 2009-04-08
Contract Duration: 2,854 days
Daily Burn Rate: $7.1K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Place of Performance
Location: NEW CARROLLTON, PRINCE GEORGE'S County, MARYLAND, 20784
State: Maryland Government Spending
Plain-Language Summary
Department of the Treasury obligated $20.3 million to CSRA SYSTEMS & SOLUTIONS LLC for work described as: Key points: 1. Significant contract value of over $20 million awarded to a single vendor. 2. Lack of competition raises questions about potential overpayment and best value. 3. Long contract duration (2001-2009) suggests a potentially stable but possibly outdated service model. 4. The 'Other Computer Related Services' NAICS code is broad, making direct sector comparison difficult without more detail.
Value Assessment
Rating: questionable
The contract value of $20.3 million over nearly 8 years, awarded on a firm-fixed-price basis, is difficult to assess without specific deliverables. The lack of competition suggests potential for suboptimal pricing compared to market rates for similar IT services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was explicitly marked as 'NOT COMPETED,' indicating a sole-source award. This method bypasses competitive bidding, potentially limiting price discovery and leading to higher costs for taxpayers.
Taxpayer Impact: The absence of competition likely resulted in higher costs than a competitively bid contract, impacting taxpayer value.
Public Impact
Taxpayers may have paid more for IT services due to the lack of competitive bidding. The long duration of the contract could mean the IRS relied on a single vendor for critical IT support for an extended period. Understanding the specific services provided is crucial to assessing the true value and necessity of this sole-source award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Long contract duration
- Broad service category
Positive Signals
- Firm-fixed-price contract type can provide cost certainty if well-defined.
Sector Analysis
This contract falls under 'Other Computer Related Services,' a broad category within the IT sector. Without specific details on the services rendered, it's challenging to benchmark against typical IT spending. However, IT services represent a significant portion of government operating expenses.
Small Business Impact
The data indicates this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct benefit to small businesses from this specific award.
Oversight & Accountability
The 'NOT COMPETED' designation warrants further oversight to ensure the justification for sole-source procurement was robust and that the government received fair value. Accountability for the decision to not compete is essential.
Related Government Programs
- Other Computer Related Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Sole-source award lacks transparency and competitive pricing.
- Long contract duration may indicate missed opportunities for modernization or cost savings.
- Broad service category makes it difficult to assess value for money.
- No indication of small business participation.
Tags
other-computer-related-services, department-of-the-treasury, md, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $20.3 million to CSRA SYSTEMS & SOLUTIONS LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is CSRA SYSTEMS & SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $20.3 million.
What is the period of performance?
Start: 2001-06-15. End: 2009-04-08.
What specific IT services were provided under this contract, and how did their scope align with the IRS's needs during the contract period?
The contract falls under NAICS code 541519 (Other Computer Related Services). Without a detailed statement of work, it's impossible to know the exact services. These could range from software development and maintenance to IT consulting or infrastructure support. Understanding the specific services is key to evaluating if the $20.3 million expenditure was justified and aligned with the IRS's evolving technological requirements over the 8-year period.
What was the justification for awarding this contract on a sole-source basis, and were alternative solutions considered?
The data explicitly states 'NOT COMPETED,' indicating a sole-source award. The justification for such awards typically involves unique capabilities, urgent needs, or lack of market availability. Without this justification, it's difficult to assess the risk of inflated pricing or missed opportunities for better value through competition. A thorough review of the sole-source justification is necessary to understand the rationale and potential risks.
How effective was CSRA Systems & Solutions LLC in delivering the contracted IT services, and did the firm-fixed-price structure incentivize performance?
Effectiveness is not directly measurable from the provided data. The firm-fixed-price (FFP) contract type generally aims to shift risk to the contractor and incentivize efficient performance by setting a fixed price regardless of the contractor's actual costs. However, the success of FFP relies heavily on a well-defined scope of work and robust contract management to ensure the contractor meets all requirements.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: NOT COMPETED
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: Computer Sciences Corporation (UEI: 009581091)
Address: 15000 CONFERENCE CENTER DR, CHANTILLY, VA, 90
Business Categories: Category Business, Not Designated a Small Business
Parent Contract
Parent Award PIID: TIRNO00D00011
IDV Type: IDC
Timeline
Start Date: 2001-06-15
Current End Date: 2009-04-08
Potential End Date: 2009-04-08 00:00:00
Last Modified: 2010-12-17
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