Labor Awards $37.2M Contract to Paragon Technical Services for Management Consulting

Contract Overview

Contract Amount: $37,228,406 ($37.2M)

Contractor: Paragon Technical Services, Inc.

Awarding Agency: Department of Labor

Start Date: 2023-09-14

End Date: 2026-09-14

Contract Duration: 1,096 days

Daily Burn Rate: $34.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RESOURCE CENTER CONTRACT - EFFECTIVE 9/15/2023

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 $37.2 million to PARAGON TECHNICAL SERVICES, INC. for work described as: RESOURCE CENTER CONTRACT - EFFECTIVE 9/15/2023 Key points: 1. Contract value of $37.2 million over approximately 3 years. 2. Awarded via full and open competition after exclusion of sources. 3. Risk appears moderate given the fixed-price structure and established vendor. 4. Sector is administrative management and general management consulting services.

Value Assessment

Rating: good

The contract's firm fixed-price structure suggests a clear understanding of scope and cost. Benchmarking against similar administrative management consulting contracts would provide further insight into pricing reasonableness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust price discovery process. The exclusion of sources clause warrants further investigation to understand its justification and potential impact on competition.

Taxpayer Impact: The use of full and open competition generally promotes cost-effectiveness for taxpayers by encouraging competitive pricing.

Public Impact

Supports essential administrative and management functions within the Department of Labor. Ensures continuity of critical consulting services for the Office of the Assistant Secretary. Potential for improved operational efficiency through expert management advice.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Justification for exclusion of sources needs review.
Potential for scope creep in consulting services.

Positive Signals

Firm fixed-price contract.
Awarded through full and open competition.
Experienced vendor with a significant contract award.

Sector Analysis

This contract falls within the administrative management and general management consulting services sector, which is crucial for government agency operations. Spending in this sector can vary widely based on agency needs and project complexity.

Small Business Impact

The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The contract's duration and value suggest it will be subject to standard oversight mechanisms within the Department of Labor to ensure performance and adherence to terms.

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 limited competition due to source exclusion.
Contract duration of three years may lead to evolving needs.
Reliance on a single vendor for critical consulting services.
Need for clear performance metrics to ensure value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $37.2 million to PARAGON TECHNICAL SERVICES, INC.. RESOURCE CENTER CONTRACT - EFFECTIVE 9/15/2023

Who is the contractor on this award?

The obligated recipient is PARAGON TECHNICAL SERVICES, 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 $37.2 million.

What is the period of performance?

Start: 2023-09-14. End: 2026-09-14.

What specific services are included under 'Administrative Management and General Management Consulting Services' for this contract?

These services typically encompass a broad range of support, including organizational analysis, strategic planning, process improvement, human capital management, and general management advisory services. The specific deliverables and scope for this contract would be detailed in the contract's statement of work, outlining the precise consulting activities Paragon Technical Services is expected to perform for the Department of Labor.

What was the rationale behind the 'exclusion of sources' in the full and open competition?

The rationale for excluding sources in a full and open competition typically stems from specific technical requirements, existing infrastructure compatibility, or unique capabilities that only a limited number of vendors possess. Understanding this justification is crucial to ensure that the exclusion was necessary and did not unduly restrict competition, potentially impacting the final price and value obtained by the government.

How will the effectiveness of Paragon Technical Services' consulting be measured and evaluated?

Effectiveness is likely measured through performance metrics outlined in the contract's statement of work, such as successful project completion, achievement of defined objectives, client satisfaction surveys, and adherence to timelines and budgets. Regular performance reviews between the Department of Labor and Paragon Technical Services will assess the quality and impact of the consulting services provided.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 1605C3-23-R-00011

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3455 MILL RUN DR, HILLIARD, OH, 43026

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $67,330,082

Exercised Options: $38,727,430

Current Obligation: $37,228,406

Actual Outlays: $30,156,472

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline