DOL awards $2.5M contract for administrative management consulting services to ABT GLOBAL LLC

Contract Overview

Contract Amount: $2,534,908 ($2.5M)

Contractor: ABT Global LLC

Awarding Agency: Department of Labor

Start Date: 2021-05-25

End Date: 2026-08-31

Contract Duration: 1,924 days

Daily Burn Rate: $1.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: DOL'S CLEARINGHOUSE FOR LABOR EVALUATION AND RESEARCH

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20210

State: District of Columbia Government Spending

Plain-Language Summary

Department of Labor obligated $2.5 million to ABT GLOBAL LLC for work described as: DOL'S CLEARINGHOUSE FOR LABOR EVALUATION AND RESEARCH Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Time and Materials, which can pose cost control risks if not managed closely. 3. The duration of the contract is over 1900 days, indicating a long-term need for these services. 4. The contract is a BPA Call, suggesting it's part of a larger pre-competed agreement. 5. The services fall under Administrative Management and General Management Consulting, a common area for federal support. 6. The contract is not set aside for small businesses, nor does it indicate specific subcontracting goals. 7. The contract is geographically located in Washington D.C.

Value Assessment

Rating: fair

The contract value of $2.5 million over approximately five years for administrative management consulting services appears moderate. Benchmarking against similar contracts is difficult without more specific service details and performance metrics. However, the Time and Materials pricing structure warrants careful monitoring to ensure cost-effectiveness and prevent scope creep. The absence of a fixed price or performance-based elements suggests a higher degree of inherent risk in managing the overall expenditure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This suggests a robust competitive environment was intended. However, the specific number of bidders is not provided, which would offer further insight into the actual level of competition. A high number of bidders typically leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: A competitive bidding process generally benefits taxpayers by driving down prices and encouraging innovative solutions. For this contract, the 'full and open' nature suggests that the Department of Labor sought the best value through a broad solicitation.

Public Impact

The Department of Labor benefits from expert administrative management and general management consulting services. These services are expected to support the operational efficiency and effectiveness of the Office of the Assistant Secretary for Administration and Management. The primary geographic impact is within Washington D.C., where the contract is managed and services are likely delivered. The contract supports the federal workforce by potentially improving management practices and administrative processes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely monitored.
Lack of specific performance metrics makes it difficult to assess value for money objectively.
Limited information on the number of bidders hinders a full assessment of competitive pressure.
No explicit small business set-aside or subcontracting goals mentioned.

Positive Signals

Awarded through full and open competition, indicating an effort to maximize choice and value.
The contract is a BPA Call, suggesting it leverages a pre-competed framework, potentially streamlining acquisition.
The services provided are crucial for administrative functions within the agency.

Sector Analysis

Administrative management and general management consulting services are a significant segment of the professional services market supporting government operations. Federal agencies frequently procure these services to enhance efficiency, implement new policies, and manage complex projects. The market includes a wide range of firms, from large consultancies to specialized small businesses. Spending in this category is often driven by agency needs for strategic planning, organizational development, and operational improvements. Comparable spending benchmarks would depend on the specific scope and duration of the consulting engagement.

Small Business Impact

This contract was not awarded as a small business set-aside. There is no explicit information provided regarding subcontracting plans or goals for small businesses. This means that opportunities for small businesses to participate in this contract are likely limited to subcontracting roles, if any are offered by the prime contractor, ABT GLOBAL LLC. Further investigation into the prime contractor's subcontracting history and policies would be needed to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside within the Department of Labor's Office of the Assistant Secretary for Administration and Management, which is the contracting activity. The Time and Materials nature of the contract necessitates robust oversight to track labor hours and material costs against the contract ceiling. Accountability measures would be tied to the delivery of agreed-upon consulting services. Transparency is generally facilitated through contract databases, though specific performance details may be internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Management and Financial Consulting, Acquisition and Grants Management Support
Professional, Scientific, and Technical Services
Administrative Management and General Management Consulting Services

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of specific performance metrics makes value assessment difficult.
Limited transparency on the number of bidders in the competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $2.5 million to ABT GLOBAL LLC. DOL'S CLEARINGHOUSE FOR LABOR EVALUATION AND RESEARCH

Who is the contractor on this award?

The obligated recipient is ABT GLOBAL LLC.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $2.5 million.

What is the period of performance?

Start: 2021-05-25. End: 2026-08-31.

What is the track record of ABT GLOBAL LLC in performing similar federal contracts?

Information regarding ABT GLOBAL LLC's specific track record on similar federal contracts is not detailed in the provided data. To assess their performance history, one would typically review past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any documented issues or successes. A thorough review would involve searching federal procurement databases like SAM.gov and FPDS for previous awards to ABT GLOBAL LLC, examining the scope of work, contract values, and duration of those contracts. Understanding their experience with Time and Materials contracts and their ability to manage costs effectively would be particularly relevant for this analysis.

How does the awarded value of $2.5 million compare to similar administrative consulting contracts?

The awarded value of $2.5 million for administrative management and general management consulting services over approximately five years is a moderate figure in the federal contracting landscape. However, a direct comparison is challenging without knowing the specific deliverables, complexity of services, and the number of personnel involved. Federal consulting contracts can range from tens of thousands to hundreds of millions of dollars. To benchmark effectively, one would need to identify contracts with similar North American Industry Classification System (NAICS) codes (541611), similar agencies, and comparable contract durations and pricing structures (e.g., Time and Materials vs. Firm-Fixed-Price). The 'BPA Call' nature also suggests it might be a smaller task order under a larger, pre-negotiated agreement, which could influence its relative size.

What are the primary risks associated with a Time and Materials contract for consulting services?

The primary risk with a Time and Materials (T&M) contract for consulting services is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer project durations or less efficient work if not managed rigorously. Key risks include scope creep, where the project expands beyond its original intent without a corresponding increase in contract ceiling, and difficulty in accurately forecasting the total cost. Effective risk mitigation requires strong government oversight, detailed tracking of hours and expenses, and clear communication with the contractor to ensure alignment with project goals and budget constraints.

What is the expected impact of these consulting services on the Department of Labor's operational effectiveness?

The expected impact of these consulting services is to enhance the operational effectiveness of the Department of Labor, specifically within the Office of the Assistant Secretary for Administration and Management. These services likely aim to improve internal processes, optimize resource allocation, provide strategic guidance, and potentially implement new management techniques or technologies. By leveraging external expertise, the Department can address specific administrative challenges, streamline workflows, and ensure efficient support functions. The ultimate goal is to contribute to the overall mission accomplishment of the DOL by ensuring its administrative and management infrastructure is robust and responsive.

How has federal spending in Administrative Management and General Management Consulting Services (NAICS 541611) trended over the past five years?

Federal spending in Administrative Management and General Management Consulting Services (NAICS 541611) has generally shown a consistent demand over the past five years, reflecting the ongoing need for agencies to improve efficiency, manage change, and optimize operations. While specific year-over-year fluctuations can occur due to budget cycles, agency priorities, and major initiatives, the overall trend indicates a stable to slightly increasing market. Data from sources like the Federal Procurement Data System (FPDS) would show aggregate spending figures, often in the tens of billions of dollars annually across all federal agencies. This category remains a significant area for federal procurement, supporting a wide array of agency functions from strategic planning to human capital management.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 1605C2-21-Q-00027

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6130 EXECUTIVE BLVD, ROCKVILLE, MD, 20852

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

Financial Breakdown

Contract Ceiling: $4,862,930

Exercised Options: $4,862,930

Current Obligation: $2,534,908

Actual Outlays: $4,358,622

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $1,105,044

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1605DC18A0037

IDV Type: BPA

Timeline