Guidehouse Inc. awarded $1.99M for FIAR task order by Department of the Army
Contract Overview
Contract Amount: $1,994,070 ($2.0M)
Contractor: Guidehouse Inc.
Awarding Agency: Department of Defense
Start Date: 2025-01-22
End Date: 2026-01-21
Contract Duration: 364 days
Daily Burn Rate: $5.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: NEW FIAR TASK ORDER
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $2.0 million to GUIDEHOUSE INC. for work described as: NEW FIAR TASK ORDER Key points: 1. Value for money appears reasonable given the fixed-price nature of the contract. 2. Full and open competition suggests a competitive pricing environment. 3. The contract duration of 364 days is standard for this type of service. 4. Performance is expected to be in Virginia, aligning with typical defense support locations. 5. This contract falls within the Engineering Services sector, supporting financial improvement and audit readiness. 6. The award amount is modest within the broader context of defense spending.
Value Assessment
Rating: good
The contract's fixed-price structure provides cost certainty. Benchmarking against similar Financial Improvement and Audit Readiness (FIAR) support contracts would offer more precise value assessment. However, the award amount of approximately $2 million for a year-long task order is within a typical range for specialized consulting services supporting complex government initiatives.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This competitive process is expected to drive fair pricing and encourage the selection of the most capable offeror. The presence of four bidders, as suggested by the 'no' field, further supports the notion of a healthy competitive landscape.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a market that drives down costs and improves the quality of services received.
Public Impact
The Department of the Army is the primary beneficiary, receiving critical support for its Financial Improvement and Audit Readiness (FIAR) initiatives. Services delivered will likely include financial analysis, process improvement, and audit support to meet federal financial management requirements. The geographic impact is concentrated in Virginia, where the contractor will likely perform the work. Workforce implications may include the engagement of specialized financial and audit professionals by Guidehouse Inc.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if the FIAR requirements are not clearly defined and managed.
- Dependence on contractor expertise could pose a risk if knowledge transfer is insufficient.
Positive Signals
- Fixed-price contract provides cost predictability.
- Full and open competition suggests a robust selection process.
- Contract duration aligns with typical task order lengths for specialized services.
Sector Analysis
This contract falls under the Engineering Services (NAICS 541330) sector, specifically addressing the critical need for Financial Improvement and Audit Readiness (FIAR) within the Department of Defense. The market for such services is substantial, driven by regulatory mandates and the government's ongoing efforts to modernize financial management systems. Comparable spending benchmarks for FIAR support can vary widely based on agency size and complexity, but this $1.99 million task order represents a focused investment in a specific audit readiness objective.
Small Business Impact
The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary focus of competition was likely on larger, established firms with demonstrated expertise in FIAR. There is no explicit information regarding subcontracting plans for small businesses, but given the nature of the services, it is possible that specialized support could be subcontracted.
Oversight & Accountability
Oversight for this contract will be managed by the Department of the Army, likely through a contracting officer and a contract specialist. The fixed-price nature of the award provides a degree of accountability by linking payment to deliverables. Transparency is facilitated by the public nature of contract awards, and any specific Inspector General (IG) jurisdiction would be determined by the DoD's internal oversight structure for financial management and audit readiness.
Related Government Programs
- Financial Improvement and Audit Readiness (FIAR) Programs
- Department of Defense Financial Management
- Engineering and Management Consulting Services
- Federal Audit Support
Risk Flags
- Potential for scope creep
- Dependence on contractor expertise
- Complexity of FIAR requirements
Tags
engineering-services, department-of-defense, department-of-the-army, financial-improvement-and-audit-readiness, full-and-open-competition, firm-fixed-price, delivery-order, consulting, virginia, fy2025, guidehouse-inc
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $2.0 million to GUIDEHOUSE INC.. NEW FIAR TASK ORDER
Who is the contractor on this award?
The obligated recipient is GUIDEHOUSE INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $2.0 million.
What is the period of performance?
Start: 2025-01-22. End: 2026-01-21.
What is Guidehouse Inc.'s track record with similar FIAR contracts for the Department of Defense?
Guidehouse Inc. has a significant track record supporting federal agencies, including the Department of Defense, with financial management, audit, and transformation initiatives. They have been involved in various aspects of audit readiness, including system modernization, process improvement, and data analytics to support audit efforts. While specific details on past FIAR task orders with the Army are not provided in this data snippet, their broader experience suggests a capability to handle complex financial challenges. Further analysis would involve reviewing their contract history for similar scope, value, and performance metrics on prior DoD engagements to assess their demonstrated success in delivering FIAR-related outcomes.
How does the $1.99 million award compare to other FIAR support contracts awarded by the Department of the Army?
The $1.99 million award for this specific FIAR task order is a moderate-sized contract within the broader landscape of Department of the Army spending on financial improvement and audit readiness. Larger, multi-year programs or enterprise-wide system implementations can run into tens or hundreds of millions of dollars. However, for a focused, one-year task order addressing specific audit readiness objectives, this amount is consistent with the cost of specialized consulting services. Benchmarking against similar, discrete task orders for FIAR support would reveal if this price point is competitive, but it does not appear to be an outlier on its face.
What are the primary risks associated with this contract, and how are they mitigated?
Key risks for this contract include potential scope creep if the FIAR requirements are not precisely defined and managed, leading to cost overruns or schedule delays. Another risk is the contractor's ability to deliver the specialized expertise required for complex financial audits and system integrations. Mitigation strategies likely include robust contract management by the Army, clear definition of deliverables and performance standards, and potentially performance-based payment structures. The fixed-price nature of the contract also incentivizes the contractor to manage costs effectively. Furthermore, the full and open competition process aims to select a contractor with a proven ability to manage such risks.
How effective is the current approach to achieving FIAR within the Department of the Army, and how does this contract contribute?
The effectiveness of the Department of the Army's FIAR efforts is a complex, ongoing challenge, marked by significant progress but also persistent hurdles in achieving auditable financial statements. This specific task order contributes by providing targeted support, likely focused on specific audit areas, process improvements, or system enhancements necessary to meet audit requirements. Its effectiveness will be measured by its contribution to closing audit gaps, improving data quality, and ultimately enabling a successful audit. The success of this contract is contingent on clear objectives, adequate resources, and strong government oversight, all aimed at advancing the Army's overall FIAR goals.
What have been the historical spending patterns for FIAR support services by the Department of the Army over the last five years?
Historical spending on FIAR support by the Department of the Army has been substantial and generally increasing over the last five years, reflecting the persistent mandate to achieve auditable financial statements. While precise aggregate figures require detailed analysis of federal procurement data, it is evident that the Army consistently invests in a range of services including consulting, system implementation, and audit support. This spending is distributed across numerous contracts, task orders, and contract vehicles, often involving large prime contractors and their subcontractors. The trend indicates a sustained commitment to financial reform, with significant portions allocated to external expertise to bridge capability gaps.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
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
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Peraton Technology Services Inc.
Address: 1676 INTERNATIONAL DR STE 800, MC LEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $11,073,978
Exercised Options: $1,994,070
Current Obligation: $1,994,070
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00Q14OADU142
IDV Type: IDC
Timeline
Start Date: 2025-01-22
Current End Date: 2026-01-21
Potential End Date: 2026-01-21 12:01:00
Last Modified: 2026-01-08
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