HHS awards $12M for Print/Binding Services to Brogan & Partners, spanning over 18 years

Contract Overview

Contract Amount: $12,013,926 ($12.0M)

Contractor: Brogan & Partners Advertising Consultancy, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2001-12-12

End Date: 2007-12-31

Contract Duration: 2,210 days

Daily Burn Rate: $5.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PRINT/BINDING SERVICES

Place of Performance

Location: DETROIT, WAYNE County, MICHIGAN, 48202

State: Michigan Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.0 million to BROGAN & PARTNERS ADVERTISING CONSULTANCY, INC. for work described as: PRINT/BINDING SERVICES Key points: 1. Contract value of $12M over 18 years suggests a significant, long-term need for these services. 2. Full and open competition was utilized, indicating a potentially competitive bidding process. 3. The contract's duration and fixed-price nature present potential risks for cost escalation if not managed effectively. 4. Services fall under the 'Other' sector, lacking specific industry benchmarks for direct comparison.

Value Assessment

Rating: fair

The contract value of $12M over 2210 days (approx. 18 years) averages to roughly $5,430 per day. Without specific details on the volume and type of printing/binding, it's difficult to benchmark against similar contracts. The long duration may indicate a stable but potentially outdated pricing structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. However, the extended contract duration (over 18 years) might have limited the number of active bidders or the competitiveness of pricing over time, especially if market conditions changed significantly.

Taxpayer Impact: Taxpayer funds are utilized for these services. The long-term nature and fixed-price contract warrant scrutiny to ensure value for money throughout the period.

Public Impact

Public health information dissemination may rely on these printing and binding services. Long-term contracts can lead to complacency or missed opportunities for cost savings through re-competition. The extended timeline raises questions about the adaptability of services to evolving printing technologies and needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended contract duration (18+ years)
Lack of specific service details for benchmarking
Potential for outdated pricing due to long term

Positive Signals

Full and open competition utilized
Fixed price contract provides cost certainty (if initial price is fair)

Sector Analysis

The contract falls under 'Other' services, specifically print and binding. Without a more defined sector like IT or Healthcare, it's challenging to establish direct spending benchmarks. General government spending on administrative and operational support services is common across all agencies.

Small Business Impact

The data indicates the awardee is BROGAN & PARTNERS ADVERTISING CONSULTANCY, INC., a firm. There is no explicit information provided regarding small business participation or subcontracting in this data snippet.

Oversight & Accountability

The long duration of this contract (over 18 years) suggests a need for robust oversight to ensure continued relevance, fair pricing, and adherence to contract terms. Periodic reviews and performance assessments would be crucial.

Related Government Programs

Periodical Publishers
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Extended contract duration (18+ years)
Lack of detailed service scope
Potential for price inflation over time
Risk of service obsolescence
Limited visibility into small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.0 million to BROGAN & PARTNERS ADVERTISING CONSULTANCY, INC.. PRINT/BINDING SERVICES

Who is the contractor on this award?

The obligated recipient is BROGAN & PARTNERS ADVERTISING CONSULTANCY, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $12.0 million.

What is the period of performance?

Start: 2001-12-12. End: 2007-12-31.

What specific types and volumes of print/binding services were procured under this contract, and how did they align with NIH's evolving needs over 18 years?

The provided data lacks specifics on the exact services rendered. Understanding the scope, such as the quantity of reports, publications, or promotional materials, is crucial. Over an 18-year period, NIH's needs likely evolved with technological advancements and changing research priorities, making it essential to assess if the contracted services remained relevant and cost-effective throughout the contract's lifespan.

Given the 18-year duration, what mechanisms were in place to mitigate the risk of cost escalation or service obsolescence?

A fixed-price contract offers some cost certainty, but over 18 years, inflation and market shifts can significantly impact the real value. Mechanisms like periodic price adjustments based on an agreed index, or clauses allowing for renegotiation if technology or requirements drastically changed, would be important. Without such provisions, the government risks overpaying or receiving outdated services.

How effective was the full and open competition in securing competitive pricing for such a long-term service contract?

While full and open competition is the preferred method, its effectiveness diminishes over extended periods. The initial competition might have secured a fair price, but market dynamics change. The long duration could deter new entrants for subsequent periods, potentially leading to less competitive renewals or a lack of innovation. Periodic re-competition or market research would be vital to ensure ongoing value.

Industry Classification

NAICS: Information › Newspaper, Periodical, Book, and Directory Publishers › Periodical Publishers

Product/Service Code: PHOTO, MAP, PRINT, PUBLICATION › PHOTOGR, MAPPING, PRINTING, PUBLISH

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 3011 W GRAND BLVD # 1900, DETROIT, MI, 90

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $24,828,906

Exercised Options: $14,657,001

Current Obligation: $12,013,926

Timeline