Treasury's IRS awards $56M for Tax Collection Services to Continental Service Group, LLC under FAST Act
Contract Overview
Contract Amount: $56,038,673 ($56.0M)
Contractor: Continental Service Group, LLC
Awarding Agency: Department of the Treasury
Start Date: 2016-09-23
End Date: 2021-09-22
Contract Duration: 1,825 days
Daily Burn Rate: $30.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: IGF::CL::IGF FOR CLOSELY ASSOCIATED - CYRBYME-C - TAX COLLECTION SERVICES PURSUANT TO THE FIXING AMERICA'S SURFACE TRANSPORTATION ACT.
Place of Performance
Location: FAIRPORT, MONROE County, NEW YORK, 14450
State: New York Government Spending
Plain-Language Summary
Department of the Treasury obligated $56.0 million to CONTINENTAL SERVICE GROUP, LLC for work described as: IGF::CL::IGF FOR CLOSELY ASSOCIATED - CYRBYME-C - TAX COLLECTION SERVICES PURSUANT TO THE FIXING AMERICA'S SURFACE TRANSPORTATION ACT. Key points: 1. The contract value of $56M for tax collection services is significant. 2. Continental Service Group, LLC is the sole awardee for this delivery order. 3. Potential risks include reliance on a single vendor and effectiveness of collection methods. 4. The IT sector is not directly applicable, but financial services are central.
Value Assessment
Rating: fair
The contract was awarded via a delivery order under a larger IDIQ. Pricing is based on a firm-fixed-price structure, making direct per-unit cost comparisons difficult without knowing the specific services rendered and their associated volumes.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a competitive bidding process. However, this specific award is a delivery order, suggesting the competition may have occurred at the IDIQ level, with this order being placed against that.
Taxpayer Impact: Taxpayer funds are being used for these collection services. The effectiveness of these services in recovering delinquent taxes will determine the ultimate taxpayer impact.
Public Impact
Taxpayers may experience increased contact from collection agencies. The IRS aims to improve delinquent tax recovery rates. Effectiveness of collection services directly impacts government revenue.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Vendor performance in tax collection can be sensitive.
- Reliance on a single vendor for a critical function.
- Effectiveness of collection methods needs monitoring.
Positive Signals
- Awarded under full and open competition.
- Clear contract type (Firm Fixed Price).
Sector Analysis
This contract falls under collection agencies, a service supporting government revenue collection. Benchmarks for spending in this specific sub-sector are not readily available, but it's a critical function for agencies like the IRS.
Small Business Impact
The data does not indicate any specific set-asides for small businesses for this contract. The awardee, Continental Service Group, LLC, is not identified as a small business in this context.
Oversight & Accountability
Oversight would typically involve performance monitoring by the IRS contracting officer and potentially IG reviews to ensure compliance and effectiveness of collection efforts.
Related Government Programs
- Collection Agencies
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Vendor Lock-in Potential
- Effectiveness of Collection Methods
- Data Security and Privacy
- Public Perception of Collection Agencies
Tags
collection-agencies, department-of-the-treasury, ny, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $56.0 million to CONTINENTAL SERVICE GROUP, LLC. IGF::CL::IGF FOR CLOSELY ASSOCIATED - CYRBYME-C - TAX COLLECTION SERVICES PURSUANT TO THE FIXING AMERICA'S SURFACE TRANSPORTATION ACT.
Who is the contractor on this award?
The obligated recipient is CONTINENTAL SERVICE GROUP, 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 $56.0 million.
What is the period of performance?
Start: 2016-09-23. End: 2021-09-22.
What is the historical performance of Continental Service Group, LLC in tax collection for government agencies?
Information on Continental Service Group, LLC's historical performance in tax collection is not provided in the data. A thorough review would require accessing past performance evaluations, contract histories, and any reported issues or successes with similar government contracts to assess their capability and reliability.
How does the cost of these collection services compare to the amount of taxes recovered?
The data provides the contract award amount ($56M) but not the specific recovery amounts or the cost structure per dollar collected. To assess cost-effectiveness, one would need to analyze the recovery rates achieved by Continental Service Group, LLC against the contract cost over its duration.
What are the specific methods and compliance standards employed by Continental Service Group, LLC for tax collection?
The provided data does not detail the specific collection methods or compliance standards used by Continental Service Group, LLC. This information would typically be found in the contract's statement of work and require review of their operational procedures and adherence to IRS regulations and taxpayer protection laws.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Business Support Services › Collection Agencies
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: TIRNO16Q00085
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Commercial Services Group, Inc.
Address: 200 CROSS KEYS OFFICE PARK, FAIRPORT, NY, 14450
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $166,141,793
Exercised Options: $56,038,673
Current Obligation: $56,038,673
Actual Outlays: $42,937,479
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS23F0084P
IDV Type: FSS
Timeline
Start Date: 2016-09-23
Current End Date: 2021-09-22
Potential End Date: 2021-09-22 08:04:21
Last Modified: 2024-07-15
More Contracts from Continental Service Group, LLC
- Critical Function - Igf::ct::igf Private Collection Agency Performs Collection and Administrative Resolution Activities on Debts Resulting From Non-Payment of Student Loans Made Under the Various Federal Student AID Loan Programs — $305.5M (Department of Education)
- Private Collection Agency Performs Collection and Administrative Resolution Activities on Debts Resulting From Non-Payment of Student Loans Made Under the Various Federal Student AID Loan Programs — $221.7M (Department of Education)
- Debt Collection Services — $125.0M (Department of the Treasury)
- Collect on Defaulted Student Loans for the U.S. Department of Education — $48.8M (Department of Education)
- Private Collection Agency (PCA) Services [multiple Award 3 of 6] — $29.8M (Department of the Treasury)
Other Department of the Treasury Contracts
- Advertising Services — $636.5M (True North Communications Inc)
- Cade 2 Ltis3 Covid-19 — $383.8M (Deloitte Consulting LLP)
- Establish a Broad Networking and Telecommunications Service Environment to Meet ITS Network Services (wide Area and Local Area Network), Voice Telecommunications Services, Audio/Video/Web Conferencing, and Cyber Requirements — $320.2M (AT&T Enterprises, LLC)
- THE Internal Revenue Service (IRS), Office of Information Technology Office, Issues This Order Under GSA Alliant 2 (unrestricted). Enterprise Case Management (ECM) Solution Integration Services — $305.5M (Booz Allen Hamilton Inc)
- THE Tfcceis Task Order IS to Transition the Existing Tfcc Services From the Networx Contract Onto the EIS Contract Vehicle in a Manner That Will Enable Continuity of an Enterprise Network of Toll Free Services for the IRS — $264.6M (Verizon Business Network Services LLC)