Department of Labor awards $8M Disability Support Services contract to Humanitas, Inc. for 5 years

Contract Overview

Contract Amount: $8,003,862 ($8.0M)

Contractor: Humanitas, Inc.

Awarding Agency: Department of Labor

Start Date: 2022-02-25

End Date: 2027-02-24

Contract Duration: 1,825 days

Daily Burn Rate: $4.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: OJC TASK ORDER FOR A DISABILITY SUPPORT SERVICES CONTRACT.

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20910

State: Maryland Government Spending

Plain-Language Summary

Department of Labor obligated $8.0 million to HUMANITAS, INC. for work described as: OJC TASK ORDER FOR A DISABILITY SUPPORT SERVICES CONTRACT. Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is for Administrative Management and General Management Consulting Services. 3. Humanitas, Inc. is the sole awardee for this specific task order. 4. The contract duration is 5 years, indicating a long-term need for these services.

Value Assessment

Rating: fair

The contract's Time and Materials pricing structure can lead to cost overruns if not closely monitored. Benchmarking against similar administrative management consulting services is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing. However, the Time and Materials (T&M) pricing model allows for flexibility but can obscure true cost discovery compared to fixed-price contracts.

Taxpayer Impact: Taxpayer funds are being used for administrative management and consulting services. The T&M structure necessitates robust oversight to ensure cost-effectiveness and prevent potential overspending.

Public Impact

Ensures continued disability support services for employees. Potential for job creation within Humanitas, Inc. Government reliance on external consultants for administrative functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost escalation.
Lack of specific performance metrics in provided data.
Small business participation not indicated.

Positive Signals

Awarded through full and open competition.
Long-term contract provides service stability.
Supports essential employee services.

Sector Analysis

This contract falls under administrative management and general management consulting services, a common area for government outsourcing. Spending benchmarks for this sector vary widely based on the specific services rendered and contract duration.

Small Business Impact

The provided data does not indicate any specific provisions or set-asides for small businesses in this contract award. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The Department of Labor's Office of the Assistant Secretary for Administration and Management is responsible for this contract. Oversight will be crucial, especially given the Time and Materials pricing, to ensure adherence to scope and budget.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Labor Contracting
Office of the Assistant Secretary for Administration and Management Programs

Risk Flags

Potential for cost overruns due to T&M pricing.
Lack of detailed performance metrics in the provided data.
No clear indication of small business participation.
Long contract duration requires sustained oversight.
Reliance on a single contractor for this task order.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $8.0 million to HUMANITAS, INC.. OJC TASK ORDER FOR A DISABILITY SUPPORT SERVICES CONTRACT.

Who is the contractor on this award?

The obligated recipient is HUMANITAS, INC..

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 $8.0 million.

What is the period of performance?

Start: 2022-02-25. End: 2027-02-24.

What specific administrative management and consulting services are included in this task order, and how do they align with the Department of Labor's mission?

The task order is for disability support services, likely encompassing case management, benefits administration, and related consulting. These services directly support the Department of Labor's mission to foster, promote, and ensure the welfare of the wage earners, job seekers, and retirees of the United States by improving working conditions, advancing opportunities, and providing benefits.

How will the Department of Labor ensure cost control and value for money with a Time and Materials contract over a five-year period?

Effective cost control will rely on stringent monitoring of labor hours, rates, and direct costs. The Department must establish clear performance metrics and milestones, conduct regular reviews of contractor performance against these benchmarks, and enforce contract clauses that limit overall expenditure and require justification for all costs incurred.

What is the expected impact of these disability support services on employee productivity and retention within the Department of Labor?

Comprehensive disability support services are expected to positively impact employee productivity and retention by providing necessary accommodations, resources, and assistance. This can lead to reduced absenteeism, improved morale, and enable employees with disabilities to perform their duties effectively, contributing to overall organizational efficiency and a supportive work environment.

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: 1605C2-22-Q-00002

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8201 CORPORATE DR, LANDOVER, MD, 20785

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

Financial Breakdown

Contract Ceiling: $8,843,395

Exercised Options: $8,843,395

Current Obligation: $8,003,862

Actual Outlays: $6,888,815

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAA20D005X

IDV Type: FSS

Timeline