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The Real Deal on DHS 'No-Bid' Deal
By Tom Shoop | Thursday, June 28, 2007  |  01:47 PM

The Washington Post lets fly today with another of its periodic salvos against federal agencies' contracting processes, with a piece about the Homeland Security Department's $2 billion million "no-bid contract" with Booz-Allen Hamilton that ballooned into a $124 million project to create an information analysis and infrastructure protection organization.

A couple of quick thoughts about the piece:


  • The repeated use of the highly charged phrase "no-bid" conjures up cronyistic contracts shoveled out to preferred contractors with connections, political or otherwise. But it's clear from the story that these weren't no-bid deals in the sense of being doled out without any competition. The Veterans Affairs Department handled the procurement on behalf of DHS, using General Services Administration contract vehicles. Booz Allen had to go through a level of competition simply to be included on one of those vehicles.
  • What's more, is the "no-bid" aspect really the point? If the contracts had been properly bid out with full procedures, DHS would in all likelihood have had to spend even more money to get the office off the ground. The real issue here is that the department utterly lacked the internal capacity not only to fulfill the mission it was assigned, but even to find a contractor to do it for them. Any way you slice it, they were going to have to spend a ton of money with contractors to do the job they were assigned to do.


Comments


Correct me if I'm wrong, but aren't Federal agencies and their employees barred from even giving the impression of favoritism? This was public policy in my day, and a sound one at that. So why even have "no bid" deals in the first place? The point is not what DHS saved or could have saved (I happen to know that DHS is quite secretive about that information). The point is that DHS gives the impression, right or wrong, that they are engaged in cronyism. Unfortunately, i9n some aspects DHS actually is involved in such practices, so why doubt that they were on this contract? Until yuo give me reason to trust you, I don't have to. DHS hasn't given me any, and I was a founding employee!

former CBP employee  | Friday, June 29, 2007 |  08:27 AM



GSA contract vehicles are not "competitive"; basically any company that responds to a GSA schedule solicitation is awarded a contract. There is no comparison between the companies based on price or any other real criteria.

Contracting Officer  | Friday, June 29, 2007 |  07:32 AM



So if they lacked the "internal capacity" or even the ability to find someone to "do it for them", why on earth was DHS allowed to attempt this at all?

Robert L Sowders  | Thursday, June 28, 2007 |  11:13 PM




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