Department of Labor awards $4.69M for Equitable Transition Model technical assistance to Manhattan Strategy Group

Contract Overview

Contract Amount: $4,685,226 ($4.7M)

Contractor: THE Manhattan Strategy Group LLC

Awarding Agency: Department of Labor

Start Date: 2023-06-30

End Date: 2028-06-29

Contract Duration: 1,826 days

Daily Burn Rate: $2.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EQUITABLE TRANSITION MODEL (ETM) TECHNICAL ASSISTANCE TASK ORDER

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 $4.7 million to THE MANHATTAN STRATEGY GROUP LLC for work described as: EQUITABLE TRANSITION MODEL (ETM) TECHNICAL ASSISTANCE TASK ORDER Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1826 days indicates a long-term need for these services. 3. The fixed-price contract type aims to control costs and provide budget certainty. 4. The task order is for technical assistance related to the Equitable Transition Model. 5. The contractor, The Manhattan Strategy Group LLC, has secured this significant award. 6. The North American Industry Classification System (NAICS) code 541519 points to IT-related services.

Value Assessment

Rating: fair

The contract value of $4.69 million over approximately five years suggests a moderate annual spend. Benchmarking this against similar technical assistance contracts is difficult without more specific service details. However, the fixed-price nature of the award implies that the government has a clear understanding of the expected costs. The number of bids received (2) is on the lower side for a full and open competition, which could indicate potential for higher pricing than if more bidders had participated.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. However, only two bids were received. While this indicates some level of competition, the low number of bidders might suggest that the market for this specific technical assistance is limited, or that other potential bidders did not find the opportunity compelling enough to participate. This could impact price discovery.

Taxpayer Impact: A low number of bidders in a full and open competition can sometimes lead to less competitive pricing, potentially resulting in higher costs for taxpayers than if more firms had vied for the contract.

Public Impact

The primary beneficiaries are likely the Department of Labor's Office of the Assistant Secretary for Administration and Management, which will receive technical assistance. The services delivered will focus on supporting the Equitable Transition Model, likely involving guidance and expertise to ensure fair and equitable transitions in labor-related programs. The geographic impact is centered in the District of Columbia, where the Department of Labor is headquartered. Workforce implications may include the need for specialized technical expertise within the Department or for entities involved in the Equitable Transition Model.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition (2 bidders) may have reduced price pressure.
The specific nature of 'Equitable Transition Model' technical assistance might limit the pool of qualified contractors.
The contract duration is long, requiring sustained performance and oversight.

Positive Signals

Awarded under full and open competition, allowing for broad market participation.
Fixed-price contract type helps control costs and provides budget certainty.
The contractor, The Manhattan Strategy Group LLC, is tasked with providing essential technical assistance.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically under IT-related services (NAICS 541519). This sector is characterized by a wide range of specialized expertise, from IT consulting to management and technical support. The market size for such services is substantial, driven by government and private sector needs for specialized knowledge. This particular contract addresses a niche area of technical assistance related to labor transition models, suggesting a specialized segment within the broader IT services market.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. However, the prime contractor, The Manhattan Strategy Group LLC, may choose to subcontract portions of this work to small businesses as part of their business strategy, though this is not mandated by the contract terms.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Labor's Office of the Assistant Secretary for Administration and Management, which is the contracting activity. Accountability measures are inherent in the firm fixed-price contract type, requiring the contractor to deliver specified services within the agreed-upon budget. Transparency is generally maintained through contract databases like FPDS, where award details are published. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Department of Labor Technical Assistance Programs
Labor Workforce Development Initiatives
Federal IT Services Contracts
Professional and Technical Services

Risk Flags

Limited competition may impact price.
Contractor performance history needs verification.
Scope creep risk in long-term technical assistance contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $4.7 million to THE MANHATTAN STRATEGY GROUP LLC. EQUITABLE TRANSITION MODEL (ETM) TECHNICAL ASSISTANCE TASK ORDER

Who is the contractor on this award?

The obligated recipient is THE MANHATTAN STRATEGY GROUP 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 $4.7 million.

What is the period of performance?

Start: 2023-06-30. End: 2028-06-29.

What is the track record of The Manhattan Strategy Group LLC with federal contracts, particularly with the Department of Labor?

A review of federal procurement data indicates that The Manhattan Strategy Group LLC has a history of receiving federal contracts. While specific details on their performance with the Department of Labor require a deeper dive into contract performance reports and past performance evaluations, their ability to secure this $4.69 million task order suggests they possess the necessary qualifications and experience. Further analysis would involve examining the types of services they have previously provided, their performance ratings on past contracts, and any significant issues or commendations documented in their federal contracting history. Understanding their past performance is crucial for assessing the risk associated with this current award and ensuring successful project delivery.

How does the pricing of this contract compare to similar technical assistance task orders for labor transition models?

Directly comparing the pricing of this $4.69 million task order for the 'Equitable Transition Model (ETM) Technical Assistance' to similar contracts is challenging without access to a broader dataset of comparable procurements. The value is spread over approximately five years, making annual comparisons necessary. Key factors influencing price include the specific scope of work, the level of expertise required, the duration, and the number of bidders. Given that only two bids were received under full and open competition, the pricing might not reflect the most competitive market rates. A more thorough benchmark analysis would involve identifying contracts with similar NAICS codes (541519), service descriptions, and agency involvement, then normalizing for contract duration and inflation to assess value for money.

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

The primary risks associated with this contract include potential performance issues from the contractor, The Manhattan Strategy Group LLC, and the risk of cost overruns if the fixed-price structure is not adequately managed against scope creep. Another risk stems from the limited competition, with only two bidders, which could imply less favorable pricing for the government. Mitigation strategies likely include robust contract oversight by the Department of Labor, clear performance metrics and deliverables outlined in the task order, and regular progress reviews. The fixed-price nature itself is a risk mitigation tool for cost certainty. The agency's selection of a contractor with a demonstrated (though not detailed here) federal contracting history also aims to reduce performance risk.

How effective is the Equitable Transition Model (ETM) likely to be with this technical assistance, and what are the indicators of success?

The effectiveness of the Equitable Transition Model (ETM) hinges on the quality and applicability of the technical assistance provided by The Manhattan Strategy Group LLC. Indicators of success would likely include the successful implementation of ETM principles across relevant Department of Labor programs, measurable improvements in fairness and equity during labor transitions, and positive feedback from stakeholders benefiting from these transitions. The Department of Labor's Office of the Assistant Secretary for Administration and Management will be responsible for defining specific, measurable, achievable, relevant, and time-bound (SMART) goals for the technical assistance. Regular performance reviews and outcome assessments will be crucial to gauge the model's effectiveness and the assistance's contribution to it.

What are the historical spending patterns for technical assistance related to labor transition models by the Department of Labor?

Analyzing historical spending patterns for technical assistance specifically related to labor transition models by the Department of Labor requires access to detailed historical procurement data. This particular award of $4.69 million suggests a significant investment in this area. Without prior data, it's difficult to establish a trend. However, the existence of this contract implies a recognized need and potentially recurring funding for such services. Future analysis could involve searching historical FPDS data for similar contracts awarded by DOL under relevant NAICS codes and service descriptions to understand the frequency, value, and duration of past investments in this domain.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related 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: 1605C5-23-Q-00022

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 420 LEXINGTON AVE RM 300, NEW YORK, NY, 10017

Business Categories: Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,685,226

Exercised Options: $4,685,226

Current Obligation: $4,685,226

Actual Outlays: $2,420,700

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA18D00KV

IDV Type: FSS

Timeline