Commerce Dept. awards $4.17M for HR consulting, with Rividium Inc. to provide administrative support

Contract Overview

Contract Amount: $4,170,020 ($4.2M)

Contractor: Rividium Inc.

Awarding Agency: Department of Commerce

Start Date: 2023-01-09

End Date: 2027-01-31

Contract Duration: 1,483 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: FILE ROOM/EMPLOYEE OFFICIAL PERSONNEL FOLDERS/ADMIN SUPPORT SERVICES

Place of Performance

Location: VIENNA, FAIRFAX County, VIRGINIA, 22182

State: Virginia Government Spending

Plain-Language Summary

Department of Commerce obligated $4.2 million to RIVIDIUM INC. for work described as: FILE ROOM/EMPLOYEE OFFICIAL PERSONNEL FOLDERS/ADMIN SUPPORT SERVICES Key points: 1. Contract focuses on essential administrative support for personnel files, indicating a need for efficient record management. 2. The award was made under full and open competition, suggesting a robust market for these services. 3. Performance period extends over four years, allowing for sustained support and potential for relationship building. 4. The contract type is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle. 5. The North American Industry Classification System (NAICS) code 541612 points to specialized human resources consulting services.

Value Assessment

Rating: good

The contract value of $4.17 million over approximately four years for HR administrative support appears reasonable. Benchmarking against similar contracts for HR consulting services reveals a wide range, but this award falls within typical parameters for specialized administrative functions. The pricing structure, likely based on labor hours, allows for flexibility. Without specific details on the scope of work and deliverables, a precise value-for-money assessment is challenging, but the competitive nature of the award suggests fair market pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors were eligible to bid. The presence of two bids suggests a moderate level of competition for this specific requirement. A higher number of bidders typically leads to more competitive pricing and a wider selection of qualified contractors. However, even with two bidders, the process allows for price discovery and ensures that the government receives proposals from capable firms.

Taxpayer Impact: The full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

The U.S. Patent and Trademark Office (USPTO) benefits from streamlined and efficient management of employee personnel files. Services include crucial administrative support for HR functions, ensuring compliance and operational continuity. The primary geographic impact is within Virginia, where the USPTO's operations are likely centered. The contract supports administrative roles, potentially impacting the HR workforce by outsourcing specific functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if administrative support needs expand beyond initial projections.
Reliance on a single contractor for critical personnel data raises concerns about data security and continuity.
The duration of the contract could lead to vendor lock-in if not managed carefully.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent procurement process.
The contract is for administrative support, a well-defined service that reduces inherent project risk.
The delivery order structure suggests it aligns with an existing IDIQ, potentially streamlining future task orders.

Sector Analysis

The federal HR consulting and administrative support sector is a significant market driven by the government's need for specialized services. This contract fits within the broader professional, scientific, and technical services category. Comparable spending benchmarks for HR consulting can vary widely based on the specific services offered, from payroll processing to complex organizational development. The $4.17 million award for administrative support over four years is a moderate investment within this sector, reflecting the ongoing need for efficient personnel management.

Small Business Impact

This contract was not set aside for small businesses, as indicated by 'ss': false and 'sb': false. The prime contractor, Rividium Inc., is likely a large business. There is no explicit mention of subcontracting requirements for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem for this specific award appears minimal, though Rividium Inc. may engage small businesses as subcontractors independently.

Oversight & Accountability

Oversight for this contract would typically fall under the U.S. Patent and Trademark Office's contracting officers and program managers. Accountability measures are embedded in the contract terms, including performance standards and delivery schedules. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

Human Resources Management Services
Administrative and Business Support Services
Personnel Support Services
Professional and Management Consulting Services

Risk Flags

Potential for data security vulnerabilities with sensitive personnel files.
Contract performance risk if vendor fails to meet service level agreements.
Dependency on a single vendor for critical administrative functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $4.2 million to RIVIDIUM INC.. FILE ROOM/EMPLOYEE OFFICIAL PERSONNEL FOLDERS/ADMIN SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is RIVIDIUM INC..

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Patent and Trademark Office).

What is the total obligated amount?

The obligated amount is $4.2 million.

What is the period of performance?

Start: 2023-01-09. End: 2027-01-31.

What is Rividium Inc.'s track record with federal contracts, particularly in HR administrative support?

Rividium Inc. has a history of federal contracting, though specific details on their performance in HR administrative support require deeper analysis of contract databases. Examining past awards, performance evaluations (e.g., CPARS), and any reported issues would provide a clearer picture of their reliability and expertise. Their ability to secure this contract under full and open competition suggests they meet basic qualification standards. Further investigation into their financial stability and past project successes would offer more insight into their capabilities for this specific role.

How does the $4.17 million contract value compare to similar HR administrative support contracts awarded by the government?

The $4.17 million contract value over approximately four years for HR administrative support is within a reasonable range for specialized government services. However, direct comparisons are difficult without knowing the exact scope of work, number of employees supported, and specific deliverables. Contracts for similar administrative functions can range from hundreds of thousands to tens of millions of dollars depending on complexity and scale. The competitive nature of this award suggests the pricing is fair market value. Benchmarking against contracts with similar NAICS codes (541612) and service descriptions would provide a more precise comparison.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential data security breaches concerning sensitive personnel information, contractor performance issues leading to service disruptions, and cost overruns if the scope expands. Mitigation strategies likely involve robust data security protocols mandated by the contract, clear performance metrics and service level agreements (SLAs), and regular oversight by the USPTO. The contract's duration also presents a risk of vendor lock-in, which can be managed through periodic re-competition or performance reviews. The competitive award process itself helps mitigate risks by selecting a qualified vendor.

How effective is the current administrative support system for USPTO personnel files, and what improvements does this contract aim to achieve?

The effectiveness of the current system is not detailed in the provided data. However, the award of this contract suggests a need for enhanced or specialized administrative support for USPTO personnel files. This contract likely aims to improve efficiency, ensure compliance with record-keeping regulations, enhance data accuracy, and potentially modernize file management processes. The USPTO likely seeks to leverage Rividium Inc.'s expertise to streamline operations, reduce administrative burden on internal staff, and maintain high standards for personnel record integrity.

What are the historical spending patterns for HR administrative support services at the Department of Commerce or USPTO?

Historical spending patterns for HR administrative support at the Department of Commerce or USPTO are not provided in the data. To assess this, one would need to analyze historical contract awards for similar services over several fiscal years. This would involve searching federal procurement databases for contracts with relevant NAICS codes (e.g., 541612) and service descriptions. Understanding past spending levels can help contextualize the current $4.17 million award and identify trends in outsourcing these functions.

What is the significance of the contract being a 'Delivery Order' under an IDIQ contract?

The designation of this award as a 'Delivery Order' indicates it is a task order issued against a pre-existing Indefinite-Delivery/Indefinite-Quantity (IDIQ) contract. IDIQs provide a flexible contracting vehicle where agencies can order specific goods or services up to a certain ceiling amount over a set period. Being a delivery order means this $4.17 million represents a specific call for services under a broader, previously competed IDIQ. This approach allows for streamlined procurement of recurring or anticipated needs, often with pre-negotiated terms and pricing.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Human Resources Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 1333BJ23Q00270002

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 1951 KIDWELL DR STE 400, VIENNA, VA, 22182

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $5,189,847

Exercised Options: $4,170,020

Current Obligation: $4,170,020

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS02F183AA

IDV Type: FSS

Timeline