Deloitte awarded $14.6M contract for financial analysis and project management by PBGC

Contract Overview

Contract Amount: $14,580,661 ($14.6M)

Contractor: Deloitte & Touche LLP

Awarding Agency: Pension Benefit Guaranty Corporation

Start Date: 2022-12-30

End Date: 2026-12-29

Contract Duration: 1,460 days

Daily Burn Rate: $10.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PROFESSIONAL FINANCIAL ANALYSIS AND PROJECT MANAGEMENT SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20024

State: District of Columbia Government Spending

Plain-Language Summary

Pension Benefit Guaranty Corporation obligated $14.6 million to DELOITTE & TOUCHE LLP for work described as: PROFESSIONAL FINANCIAL ANALYSIS AND PROJECT MANAGEMENT SERVICES Key points: 1. Contract value of $14.6M over 4 years. 2. Awarded to Deloitte & Touche LLP. 3. Services include professional financial analysis and project management. 4. Competition type: Full and Open. 5. Contract type: Firm Fixed Price.

Value Assessment

Rating: good

The contract value of $14.6M over four years suggests a reasonable annual spend of $3.65M. Benchmarking against similar large-scale professional services contracts would be necessary for a definitive assessment, but the duration and scope appear aligned with industry standards.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing as multiple qualified vendors can bid.

Taxpayer Impact: Taxpayer funds are being utilized through a competitive process, which should ensure value for money.

Public Impact

Ensures continued financial stability and operational efficiency for the Pension Benefit Guaranty Corporation. Supports critical project management functions, potentially impacting retirement security for beneficiaries. Leverages expertise from a major consulting firm to manage complex financial operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Potential for cost overruns if project scope expands.
Reliance on a single vendor for critical services.

Positive Signals

Awarded through full and open competition.
Firm Fixed Price contract type limits cost uncertainty.
Long-term contract provides stability for PBGC operations.

Sector Analysis

This contract falls within the professional services sector, specifically financial analysis and project management. Spending in this area is common across government agencies to support complex operations and ensure fiscal responsibility. Benchmarks for similar contracts would typically consider the size of the agency and the complexity of its financial obligations.

Small Business Impact

The data indicates this contract was awarded to Deloitte & Touche LLP, a large business. There is no indication of small business participation in this specific award, which is common for large, complex professional services contracts.

Oversight & Accountability

The Pension Benefit Guaranty Corporation is responsible for overseeing this contract. Standard government oversight mechanisms, including performance reviews and audits, should be in place to ensure accountability and proper use of funds.

Related Government Programs

Other Computer Related Services
Pension Benefit Guaranty Corporation Contracting
Pension Benefit Guaranty Corporation Programs

Risk Flags

Potential for vendor lock-in due to specialized services.
Dependence on a single large contractor for critical functions.
Risk of cost escalation if contract scope is not tightly managed.
Limited visibility into specific performance metrics from provided data.

Frequently Asked Questions

What is this federal contract paying for?

Pension Benefit Guaranty Corporation awarded $14.6 million to DELOITTE & TOUCHE LLP. PROFESSIONAL FINANCIAL ANALYSIS AND PROJECT MANAGEMENT SERVICES

Who is the contractor on this award?

The obligated recipient is DELOITTE & TOUCHE LLP.

Which agency awarded this contract?

Awarding agency: Pension Benefit Guaranty Corporation (Pension Benefit Guaranty Corporation).

What is the total obligated amount?

The obligated amount is $14.6 million.

What is the period of performance?

Start: 2022-12-30. End: 2026-12-29.

What specific financial analysis and project management tasks are included in this contract, and how do they align with PBGC's core mission?

The contract likely encompasses a range of activities such as financial reporting, risk assessment, budget management, and strategic project planning. These tasks are crucial for PBGC's mission of protecting retirement income for millions of Americans by managing defined benefit pension plans. Detailed task orders would specify the exact deliverables and their direct contribution to PBGC's operational and fiduciary responsibilities.

How does the firm fixed price structure mitigate risks associated with potential scope creep or unforeseen challenges in financial analysis?

A firm fixed price (FFP) contract establishes a ceiling on the total cost, making the contractor responsible for any overruns. This structure incentivizes efficient project management and cost control by the vendor. While it shifts cost risk to the contractor, PBGC must ensure the initial scope is well-defined to prevent disputes or the need for costly change orders if unforeseen complexities arise.

What is the expected impact of these services on PBGC's ability to effectively manage its pension insurance program and protect beneficiaries?

These services are expected to enhance PBGC's operational efficiency and financial stewardship. Improved financial analysis can lead to better risk management and more accurate financial projections for the pension insurance program. Effective project management ensures that critical initiatives are completed on time and within budget, ultimately supporting PBGC's ability to fulfill its guarantee obligations to plan participants.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 16PBGC22Q0028

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Deloitte Consulting LLP

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,378,758

Exercised Options: $14,580,661

Current Obligation: $14,580,661

Actual Outlays: $9,503,759

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS00F029DA

IDV Type: FSS

Timeline