USDA Awards $121M for Rural Water Circuit Rider Program to National Rural Water Association

Contract Overview

Contract Amount: $121,215,476 ($121.2M)

Contractor: National Rural Water Association

Awarding Agency: Department of Agriculture

Start Date: 2020-11-01

End Date: 2026-04-30

Contract Duration: 2,006 days

Daily Burn Rate: $60.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CONTRACTOR SERVICES FOR USDA, RURAL UTILITIES SERVICE, WATER AND ENVIRONMENTAL PROGRAMS (RUS/WEP) RURAL WATER CIRCUIT RIDER TECHNICAL ASSISTANCE PROGRAM. THE CONTRACTOR SERVICES ARE REQUIRED IAW/ATTACHMENT J-1, PWS.

Place of Performance

Location: DUNCAN, STEPHENS County, OKLAHOMA, 73533

State: Oklahoma Government Spending

Plain-Language Summary

Department of Agriculture obligated $121.2 million to NATIONAL RURAL WATER ASSOCIATION for work described as: CONTRACTOR SERVICES FOR USDA, RURAL UTILITIES SERVICE, WATER AND ENVIRONMENTAL PROGRAMS (RUS/WEP) RURAL WATER CIRCUIT RIDER TECHNICAL ASSISTANCE PROGRAM. THE CONTRACTOR SERVICES ARE REQUIRED IAW/ATTACHMENT J-1, PWS. Key points: 1. The contract focuses on administrative and management consulting services for water and environmental programs. 2. National Rural Water Association is the sole awardee, raising questions about competition. 3. The contract duration is substantial, spanning from 2020 to 2026. 4. The program aims to provide technical assistance for rural water systems.

Value Assessment

Rating: fair

The contract value of $121.2 million over approximately 5.5 years suggests a significant investment. Benchmarking against similar consulting contracts for rural infrastructure programs is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under full and open competition, but the specific awardee is the National Rural Water Association. Further details are needed to understand if this was a sole-source or limited competition scenario, impacting price discovery.

Taxpayer Impact: Taxpayer funds are being used to support essential rural water infrastructure through technical assistance and management services.

Public Impact

Ensures continued technical support for rural water and wastewater systems across the nation. Aims to improve the operational efficiency and compliance of these critical utilities. Supports the USDA's mission to enhance rural infrastructure and public health. The long-term nature of the contract provides stability for program delivery.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Lack of clarity on competition details for the specific awardee.
Significant contract value requires robust oversight.

Positive Signals

Addresses a critical need for rural water infrastructure support.
Long-term contract ensures program continuity.
Focus on technical assistance can lead to improved service delivery.

Sector Analysis

This contract falls under administrative management and general management consulting services, specifically targeting the vital area of rural water infrastructure. The spending benchmark for such specialized technical assistance programs can vary widely based on scope and duration.

Small Business Impact

The data indicates that small businesses were not directly involved in this specific contract award. Opportunities for small business participation in subcontracting or related support services are not detailed.

Oversight & Accountability

Oversight will be crucial given the contract's value and duration. The USDA's Rural Utilities Service (RUS) is responsible for monitoring performance and ensuring funds are used effectively to meet program objectives.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Agriculture Contracting
Rural Housing Service Programs

Risk Flags

Potential for limited competition impacting overall value.
Significant contract value requires diligent oversight.
Dependence on a single entity for critical technical assistance.
Need for clear performance metrics to ensure effectiveness.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $121.2 million to NATIONAL RURAL WATER ASSOCIATION. CONTRACTOR SERVICES FOR USDA, RURAL UTILITIES SERVICE, WATER AND ENVIRONMENTAL PROGRAMS (RUS/WEP) RURAL WATER CIRCUIT RIDER TECHNICAL ASSISTANCE PROGRAM. THE CONTRACTOR SERVICES ARE REQUIRED IAW/ATTACHMENT J-1, PWS.

Who is the contractor on this award?

The obligated recipient is NATIONAL RURAL WATER ASSOCIATION.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Rural Housing Service).

What is the total obligated amount?

The obligated amount is $121.2 million.

What is the period of performance?

Start: 2020-11-01. End: 2026-04-30.

What specific metrics are used to measure the effectiveness of the technical assistance provided under this contract?

The effectiveness of the technical assistance is likely measured through a combination of factors, including improvements in water system operational efficiency, compliance rates with environmental regulations, successful implementation of upgrades, and the number of systems served. Performance work statements typically outline key performance indicators (KPIs) and reporting requirements to track progress and ensure the contractor meets its obligations.

How does the USDA ensure that the National Rural Water Association is providing competitive and cost-effective services compared to potential alternatives?

While the contract was awarded under full and open competition, the specific awardee's role might suggest a specialized capability. The USDA would ensure cost-effectiveness through contract clauses, regular performance reviews, and potentially by comparing the contractor's performance and costs against industry benchmarks or similar programs. Periodic re-competition or contract modifications could also be used to ensure ongoing value.

What is the long-term impact of this contract on the sustainability and resilience of rural water infrastructure?

This contract aims to bolster the sustainability and resilience of rural water infrastructure by providing essential technical expertise. By helping water systems operate more efficiently, maintain compliance, and adopt best practices, the program contributes to the long-term viability of these services, reducing the risk of failures and ensuring access to safe drinking water for rural communities.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 12SAD120R0012

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2915 S 13TH ST, DUNCAN, OK, 73533

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $123,234,264

Exercised Options: $123,234,264

Current Obligation: $121,215,476

Actual Outlays: $68,369,805

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline