Department of State's $109M Visa Program IT Contract Awarded to CGI Federal Inc

Contract Overview

Contract Amount: $109,008,824 ($109.0M)

Contractor: CGI Federal Inc.

Awarding Agency: Department of State

Start Date: 2012-05-29

End Date: 2018-07-28

Contract Duration: 2,251 days

Daily Burn Rate: $48.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IMPLEMENTS THE BUREAU OF GLOBAL SUPPORT STRATEGY VISA PROGRAM IN INDIA.

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $109.0 million to CGI FEDERAL INC. for work described as: IMPLEMENTS THE BUREAU OF GLOBAL SUPPORT STRATEGY VISA PROGRAM IN INDIA. Key points: 1. Contract supports critical visa processing operations in India. 2. Awarded under full and open competition, suggesting broad market engagement. 3. Long duration (2251 days) indicates a need for sustained IT support. 4. Firm-fixed-price contract type aims to control costs for the government. 5. Performance period spans from 2012 to 2018, providing historical context. 6. The contract value of over $109 million signifies a substantial investment in IT services.

Value Assessment

Rating: good

The contract value of $109 million over approximately six years for implementing a visa program strategy in India appears reasonable given the scope of IT services required. Benchmarking against similar large-scale IT support contracts for government agencies suggests that the pricing is within expected ranges for complex system implementation and maintenance. The firm-fixed-price structure provides cost certainty, which is a positive indicator of value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of two bidders suggests a competitive environment, which typically leads to better price discovery and potentially more favorable terms for the government. The selection of a single awardee from this competition implies that CGI Federal Inc. offered the best value proposition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by ensuring that the government receives competitive pricing and a wide range of solutions, maximizing the efficient use of public funds.

Public Impact

Facilitates the implementation of the Bureau of Global Support's visa program strategy in India. Ensures the continuity and efficiency of visa application processing for individuals seeking to enter the United States. Supports diplomatic and consular operations by providing essential IT infrastructure and services. Potentially impacts the workforce by requiring skilled IT professionals for contract execution. Aids in managing international relations and security through effective visa management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to vendor lock-in if not managed carefully.
Reliance on a single contractor for critical IT infrastructure poses a risk if performance falters.
Potential for scope creep if requirements are not clearly defined and managed throughout the contract lifecycle.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Firm-fixed-price contract type helps control costs and provides budget predictability.
The contractor, CGI Federal Inc., has a track record of performing government contracts.
The contract supports a critical government function (visa processing), indicating strategic importance.

Sector Analysis

This contract falls within the Information Technology (IT) and Professional Services sector, specifically focusing on computer facilities management and IT strategy implementation. The market for such services is large and competitive, with numerous firms offering solutions to government agencies. The Department of State's spending in this area is consistent with the broader federal government's reliance on IT contractors to manage complex systems and support global operations. Comparable spending benchmarks for large-scale IT support contracts often run into tens or hundreds of millions of dollars, depending on the duration and complexity.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a small business set-aside. The award to a large prime contractor like CGI Federal Inc. suggests that any small business involvement would likely be through subcontracting opportunities offered by the prime, rather than through direct set-aside provisions.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of State's contracting officers and program managers responsible for the Bureau of Global Support. Accountability measures are inherent in the firm-fixed-price contract structure, which ties payment to performance and delivery. Transparency is generally maintained through contract award databases and reporting requirements, although specific performance metrics and oversight reports may not always be publicly accessible. The Inspector General for the Department of State would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Bureau of Global Support Strategy
Visa Program Management
Department of State IT Modernization Efforts
Federal IT Services Contracts
Consular Affairs IT Support

Risk Flags

Potential for vendor lock-in due to long contract duration.
Reliance on a single contractor for critical IT infrastructure.
Risk of technological obsolescence if not managed proactively.
Need for continuous performance monitoring to ensure service quality.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $109.0 million to CGI FEDERAL INC.. IMPLEMENTS THE BUREAU OF GLOBAL SUPPORT STRATEGY VISA PROGRAM IN INDIA.

Who is the contractor on this award?

The obligated recipient is CGI FEDERAL INC..

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $109.0 million.

What is the period of performance?

Start: 2012-05-29. End: 2018-07-28.

What is CGI Federal Inc.'s track record with the Department of State and similar federal agencies?

CGI Federal Inc. has a significant history of contracting with the U.S. federal government, including the Department of State. They have been awarded numerous contracts across various agencies for IT services, systems integration, and business process outsourcing. For the Department of State specifically, CGI Federal has been involved in projects related to passport systems, visa operations, and other critical IT infrastructure. Their track record generally indicates experience in managing large-scale, complex government IT programs. However, like many large federal contractors, they have also faced scrutiny and performance reviews on specific contracts. A detailed review of their past performance ratings and any past performance issues with the Department of State would provide a more granular understanding of their reliability for this specific contract.

How does the value of this contract compare to similar IT support contracts for visa processing or global IT operations?

The $109 million contract value over approximately six years for implementing and supporting the visa program strategy in India is substantial, reflecting the complexity and scale of such an undertaking. When compared to similar large-scale IT support contracts for global operations or critical infrastructure management within federal agencies, this contract's value appears to be within a reasonable range. For instance, contracts supporting large IT systems for agencies like the Department of Homeland Security or the Social Security Administration often reach similar or higher figures, especially when encompassing system development, implementation, and long-term maintenance. The firm-fixed-price nature also suggests that the government sought to establish clear cost parameters upfront, which is a common approach for managing large IT investments and ensuring value for money.

What are the primary risks associated with a long-duration IT contract like this, and how are they mitigated?

Long-duration IT contracts, such as this six-year award, carry inherent risks including technological obsolescence, potential for scope creep, vendor lock-in, and contractor performance degradation over time. Technological obsolescence is a risk because IT environments can change rapidly; mitigation involves incorporating flexibility and upgrade clauses within the contract. Scope creep is managed through rigorous change control processes and clear initial requirements definition. Vendor lock-in can be mitigated by ensuring data portability, maintaining competitive awareness, and planning for future contract transitions. Contractor performance degradation is addressed through ongoing performance monitoring, defined service level agreements (SLAs), and clear remedies for non-performance, including potential termination for default. The Department of State's oversight mechanisms are crucial for identifying and mitigating these risks throughout the contract's lifecycle.

What is the expected impact of this contract on the efficiency and effectiveness of the U.S. visa program in India?

This contract is intended to directly improve the efficiency and effectiveness of the U.S. visa program in India by implementing the Bureau of Global Support's strategy through robust IT systems. Enhanced IT infrastructure and services are expected to streamline application processing, reduce wait times for applicants, improve data management for consular staff, and bolster security features. By providing reliable and modern IT facilities, the contract aims to ensure that the visa process is more seamless for applicants and more manageable for the Department of State personnel. Ultimately, the goal is to support diplomatic objectives and national security interests by facilitating legitimate travel while maintaining stringent security protocols.

How has federal spending on IT services for global operations, like visa processing, evolved over the period this contract was active (2012-2018)?

Federal spending on IT services for global operations, including visa processing, saw a significant increase and evolution during the 2012-2018 period. This era was characterized by a push towards IT modernization across government agencies, driven by needs for greater efficiency, enhanced security, and improved citizen services. Agencies like the Department of State increasingly relied on contractors to manage complex, globally distributed IT systems. There was a growing emphasis on cloud computing, cybersecurity, and data analytics, shifting from traditional on-premise infrastructure. Spending also reflected the need to support diplomatic missions and consular services worldwide, making IT a critical enabler. This contract's value aligns with the trend of substantial investments in IT to support such vital international functions during that timeframe.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL 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: CGI Inc (UEI: 248513116)

Address: 12601 FAIR LAKES CIR, FAIRFAX, VA, 22033

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $109,008,824

Exercised Options: $109,008,824

Current Obligation: $109,008,824

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SAQMMA10D0018

IDV Type: IDC

Timeline