State Dept. awards $90M for Office Admin Services to Alutiiq International Solutions, LLC
Contract Overview
Contract Amount: $90,236,879 ($90.2M)
Contractor: Alutiiq International Solutions, LLC
Awarding Agency: Department of State
Start Date: 2007-09-19
End Date: 2015-07-15
Contract Duration: 2,856 days
Daily Burn Rate: $31.6K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: PROFESSIONAL AND SUPPORT SERVICES
Place of Performance
Location: DUNN LORING, FAIRFAX County, VIRGINIA, 22027, UNITED STATES OF AMERICA
State: Virginia Government Spending
Plain-Language Summary
Department of State obligated $90.2 million to ALUTIIQ INTERNATIONAL SOLUTIONS, LLC for work described as: PROFESSIONAL AND SUPPORT SERVICES Key points: 1. Significant contract value of $90.2M over 8 years. 2. Sole-source award limits competition and potentially price discovery. 3. Contract duration of 2856 days (approx. 7.8 years) indicates long-term need. 4. Focus on Office Administrative Services (NAICS 561110) is a common government function.
Value Assessment
Rating: fair
Contract type is Time and Materials, which can lead to cost overruns if not managed closely. Benchmarking is difficult without specific task orders and comparable contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This method bypasses competitive bidding, potentially impacting the government's ability to secure the best possible price.
Taxpayer Impact: The sole-source nature of this award means taxpayers may not have benefited from competitive pricing, potentially leading to higher costs than if multiple vendors had competed.
Public Impact
Supports essential administrative functions within the Department of State. Long-term award suggests a stable, ongoing requirement for these services. Potential for impact on other administrative service providers if this is a recurring sole-source award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition.
- Time and Materials contract type carries cost overrun risk.
- Long contract duration.
Positive Signals
- Addresses a clear government need for administrative support.
- Award to a single entity may ensure continuity of service.
Sector Analysis
Office Administrative Services are a common support function across many government agencies. Spending benchmarks for this category vary widely based on agency size and specific needs, but $90M over 8 years represents a substantial investment.
Small Business Impact
The awardee, Alutiiq International Solutions, LLC, is listed as a small business. However, the contract value is significant, and it's unclear if subcontracting opportunities were mandated or pursued.
Oversight & Accountability
Oversight would be crucial to ensure the Time and Materials contract remains within budget and that services are delivered effectively, especially given the sole-source nature and long duration.
Related Government Programs
- Office Administrative Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Sole-source award
- Time and Materials contract type
- Lack of transparency in pricing
- Long contract duration
- Potential for cost overruns
Tags
office-administrative-services, department-of-state, va, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $90.2 million to ALUTIIQ INTERNATIONAL SOLUTIONS, LLC. PROFESSIONAL AND SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is ALUTIIQ INTERNATIONAL SOLUTIONS, LLC.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $90.2 million.
What is the period of performance?
Start: 2007-09-19. End: 2015-07-15.
What was the justification for the sole-source award, and were any efforts made to explore competitive alternatives?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of market availability. Without specific documentation, it's difficult to assess if competitive alternatives were thoroughly explored. Agencies must demonstrate that competition is not feasible or would be detrimental to the government's interests to justify a sole-source procurement.
How does the per-unit cost or labor rate compare to industry benchmarks for similar administrative support services?
Benchmarking the per-unit cost or labor rate for this Time and Materials contract is challenging without access to the specific rates agreed upon and detailed task orders. Generally, sole-source contracts and T&M types can be more expensive than fixed-price or competitively awarded contracts if not rigorously managed and benchmarked against market data.
What mechanisms are in place to ensure effective service delivery and prevent cost overruns throughout the contract's 8-year duration?
Effective oversight mechanisms, including regular performance reviews, detailed reporting requirements, and vigilant contract management, are essential. For Time and Materials contracts, establishing ceiling prices, monitoring labor hours, and validating direct costs are critical to prevent cost overruns and ensure value for taxpayer money.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Afognak Native Corp (UEI: 052089695)
Address: 3909 ARCTIC BLVD. SUITE 400, ANCHORAGE, AK, 99503
Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations
Financial Breakdown
Contract Ceiling: $90,237,085
Exercised Options: $90,237,085
Current Obligation: $90,236,879
Parent Contract
Parent Award PIID: SAQMMA07D0044
IDV Type: IDC
Timeline
Start Date: 2007-09-19
Current End Date: 2015-07-15
Potential End Date: 2015-07-15 00:00:00
Last Modified: 2015-07-16
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