Contract Consolidation Determination and Findings

This is a Contract Consolidation Determination and Findings document from the Department of Interior justifying a proposed contract consolidation strategy for appraisal and valuation services.

Project Overview and Requirements: The Department of Interior seeks to consolidate appraisal and valuation services through a single hybrid Firm Fixed Price (FFP) and Labor Hour (LH) contract with an estimated total value that is redacted and a five-year period of performance. The requirement encompasses appraisal services for acquisitions, disposals, leases, exchanges, and rights-of-way across the United States for diverse property types including residential, commercial, agricultural, timber, and special use properties. Appraisals must be prepared by Certified General Appraisers with minimum five years of relevant experience adhering to UASFLA/Yellow Book and USPAP standards. Consultation services include appraisal reviews, landowner conferences, feasibility studies, market research, environmental assessments, and title reports. The NAICS code is 541611 (Administrative Management & General Consulting Services). Historically, appraisal services ranged from $10,000 to $80,000 per assignment with an average value of approximately $25,000, distributed across three geographic regions: East, Central, and West covering specific states.

Consolidation Rationale and Market Analysis: The consolidation addresses a significant internal backlog impacting appraisal service delivery by centralizing multiple appraiser requirements into one contract vehicle. Market research confirmed appraisal and valuation services are commercially available through small businesses and independent certified appraisers, though the pool of vendors with active federal registrations and demonstrated federal appraisal experience is limited. The consolidation is justified to achieve administrative efficiencies, reduce internal backlog, secure better unit pricing and consistent fee structures, standardize terms across appraisals, improve small business participation through subcontracting, and maintain consistent quality across bureaus and regions. The solicitation will be set aside for small businesses, with no identified negative impact on small business participation. The document requests approval from the Senior Procurement Executive to proceed with this consolidation strategy.