Labor Department awards $11.8M contract for supply chain research to ICF Macro Inc

Contract Overview

Contract Amount: $11,758,346 ($11.8M)

Contractor: ICF Macro Inc

Awarding Agency: Department of Labor

Start Date: 2022-09-29

End Date: 2026-09-29

Contract Duration: 1,461 days

Daily Burn Rate: $8.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: OBTAIN SERVICES FOR QUALITATIVE AND QUANTITATIVE SUPPLY CHAIN RESEARCH STUDIES IN SUPPORT OF ILABS PRODUCTION OF CONGRESSIONAL AND EXECUTIVE ORDER REPORTS AND PRIORITY POLICY INITIATIVES.

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22031

State: Virginia Government Spending

Plain-Language Summary

Department of Labor obligated $11.8 million to ICF MACRO INC for work described as: OBTAIN SERVICES FOR QUALITATIVE AND QUANTITATIVE SUPPLY CHAIN RESEARCH STUDIES IN SUPPORT OF ILABS PRODUCTION OF CONGRESSIONAL AND EXECUTIVE ORDER REPORTS AND PRIORITY POLICY INITIATIVES. Key points: 1. Contract aims to support qualitative and quantitative supply chain research for policy initiatives. 2. The contract is a delivery order under a larger contract, indicating potential for follow-on work. 3. The firm-fixed-price structure shifts cost risk to the contractor. 4. The contract duration of approximately four years allows for sustained research efforts. 5. The primary service category is Administrative Management and General Management Consulting Services. 6. The contract was awarded through full and open competition, suggesting a competitive bidding process.

Value Assessment

Rating: good

The contract value of $11.8 million over four years for specialized supply chain research appears reasonable, especially given the complexity of policy-driven studies. Benchmarking against similar large-scale research and consulting contracts would provide a more precise value-for-money assessment. The firm-fixed-price nature is generally favorable for the government when scope is well-defined, as it caps potential cost overruns. However, without specific deliverables or performance metrics, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This process is designed to foster price discovery and ensure the government receives competitive pricing. The number of bidders is not specified, but the 'full and open' designation suggests a robust competition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces and encouraging a wider pool of qualified contractors to vie for government work.

Public Impact

The Department of Labor's Office of the Assistant Secretary for Administration and Management is the primary beneficiary, utilizing the research for policy development. The services delivered will support the production of congressional and executive order reports. The research will inform priority policy initiatives related to supply chains. The contract supports the government's broader efforts to understand and manage complex supply chain dynamics.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if research objectives are not clearly defined and managed.
Reliance on a single contractor for critical policy research could create knowledge dependency.
The effectiveness of the research will depend heavily on the contractor's expertise and the clarity of the government's requirements.

Positive Signals

The firm-fixed-price contract type aligns incentives for efficient delivery.
Full and open competition suggests a competitive market for these specialized services.
The contract duration allows for in-depth and sustained research efforts.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management consulting. This sector is characterized by a wide range of expertise, from general business advice to highly specialized research. The market size for government consulting services is substantial, with agencies frequently outsourcing complex analytical tasks. This contract fits within the broader trend of federal agencies leveraging external expertise for policy analysis and report generation, particularly in areas like supply chain management which have gained significant policy attention.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside. However, the prime contractor, ICF Macro Inc., may engage small businesses as subcontractors, depending on their own subcontracting plans and the nature of the research required. Without specific subcontracting goals or reporting, the direct impact on the small business ecosystem is unclear.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and program managers within the Department of Labor's Office of the Assistant Secretary for Administration and Management. Performance monitoring, deliverable reviews, and adherence to the contract terms are standard oversight mechanisms. Transparency is facilitated through contract award databases and public reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Supply Chain Resilience Initiatives
Economic Impact Analysis
Federal Consulting Services
Policy Research and Development
Congressional Reporting

Risk Flags

Potential for research findings to be influenced by contractor's pre-existing biases or methodologies.
Risk of research not fully aligning with evolving policy priorities without clear change management.
Dependency on contractor's subject matter expertise for critical policy insights.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $11.8 million to ICF MACRO INC. OBTAIN SERVICES FOR QUALITATIVE AND QUANTITATIVE SUPPLY CHAIN RESEARCH STUDIES IN SUPPORT OF ILABS PRODUCTION OF CONGRESSIONAL AND EXECUTIVE ORDER REPORTS AND PRIORITY POLICY INITIATIVES.

Who is the contractor on this award?

The obligated recipient is ICF MACRO 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 $11.8 million.

What is the period of performance?

Start: 2022-09-29. End: 2026-09-29.

What is the track record of ICF Macro Inc. in performing similar supply chain research for the federal government?

ICF Macro Inc. has a significant history of performing a wide range of professional, scientific, and technical services for various federal agencies. While specific details on their supply chain research for the Department of Labor are not provided in this data snippet, their classification under Administrative Management and General Management Consulting Services suggests a broad capability. To assess their track record thoroughly, one would need to examine past performance evaluations, contract history with agencies like the Department of Commerce, Department of Defense, or others that frequently engage in supply chain analysis, and any publicly available case studies or reports they have produced. Their experience in qualitative and quantitative research methodologies, report generation, and policy analysis would be key indicators of their suitability for this contract.

How does the $11.8 million contract value compare to similar federal contracts for supply chain research?

The $11.8 million contract value for approximately four years of service for qualitative and quantitative supply chain research is within a typical range for complex federal analytical projects. However, a precise comparison requires benchmarking against contracts with similar scope, duration, and complexity. For instance, contracts awarded by agencies like the Department of Commerce's National Institute of Standards and Technology (NIST) or the Department of Defense for supply chain risk management or resilience studies could serve as comparators. The 'Administrative Management and General Management Consulting Services' NAICS code (541611) encompasses a broad range of services, so isolating purely supply chain research contracts is crucial for an accurate benchmark. The firm-fixed-price nature also influences the perceived value, as it caps the government's financial exposure.

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

Primary risks include potential scope creep if research objectives are not precisely defined and managed, leading to cost overruns or delays, although the firm-fixed-price structure mitigates this for the government. Another risk is the quality and relevance of the research findings; if the contractor lacks deep expertise or fails to understand the policy nuances, the output may be insufficient. Mitigation strategies typically involve robust contract management, clear statement of work, regular progress reviews, and performance metrics. The government's oversight team plays a critical role in ensuring the research aligns with policy needs and that deliverables meet quality standards. The contractor's own quality control processes are also a key mitigation factor.

How effective is the firm-fixed-price contract type in ensuring value for money for this specific research requirement?

The firm-fixed-price (FFP) contract type is generally considered effective for ensuring value for money when the scope of work is well-defined and understood. For this contract, which involves qualitative and quantitative supply chain research for specific reports and policy initiatives, an FFP structure shifts the risk of cost overruns to the contractor, ICF Macro Inc. This incentivizes the contractor to manage resources efficiently and deliver the required research within the agreed-upon price. The value for money is realized if the research produced is of high quality and directly supports the Department of Labor's objectives. However, if the research requirements are inherently uncertain or prone to change, an FFP contract could potentially lead to the contractor cutting corners on quality to maintain profitability, or conversely, demanding higher prices upfront due to perceived risk.

What are the historical spending patterns for Administrative Management and General Management Consulting Services at the Department of Labor?

Historical spending patterns for Administrative Management and General Management Consulting Services (NAICS 541611) at the Department of Labor (DOL) would reveal the agency's reliance on external expertise for various operational and policy-related functions. Analyzing past awards under this category would show the typical contract values, durations, and the types of services procured. For example, DOL might frequently contract for human capital consulting, organizational efficiency studies, or, as in this case, policy-related research. Understanding these patterns helps contextualize the $11.8 million award, indicating whether it represents a typical investment or an outlier. It also highlights which DOL sub-agencies are the largest consumers of such services and the prevailing contract vehicles used (e.g., GSA schedules, direct solicitations).

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-00097

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1902 RESTON METRO PLZ, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $18,031,634

Exercised Options: $12,870,800

Current Obligation: $11,758,346

Actual Outlays: $8,436,714

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $1,531,903

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS00F189CA

IDV Type: FSS

Timeline