Mathematica Inc. awarded $20M contract for RETAIN evaluation, a joint SSA, DOL, and state initiative

Contract Overview

Contract Amount: $19,996,594 ($20.0M)

Contractor: Mathematica Inc.

Awarding Agency: Social Security Administration

Start Date: 2018-11-01

End Date: 2026-02-28

Contract Duration: 2,676 days

Daily Burn Rate: $7.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SINGLE AWARD COST PLUS FIXED FEE 5-YEAR CONTRACT FOR RETAINING EMPLOYMENT&TALENT AFTER INJURY/ILLNESS NETWORK (RETAIN) EVALUATION - THIS IS A JOINT PROJECT BETWEEN SSA, THE DEPARTMENT OF LABOR (DOL), AND SEVERAL STATES. THE PURPOSE OF THE CONTRACT IS TO EVALUATE THE IMPACT OF THE VARIOUS INTERVENTIONS IMPLEMENTED UNDER COOPERATIVE AGREEMENTS BETWEEN THE STATES AND THE DOL.

Place of Performance

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

State: District of Columbia Government Spending

Plain-Language Summary

Social Security Administration obligated $20.0 million to MATHEMATICA INC. for work described as: SINGLE AWARD COST PLUS FIXED FEE 5-YEAR CONTRACT FOR RETAINING EMPLOYMENT&TALENT AFTER INJURY/ILLNESS NETWORK (RETAIN) EVALUATION - THIS IS A JOINT PROJECT BETWEEN SSA, THE DEPARTMENT OF LABOR (DOL), AND SEVERAL STATES. THE PURPOSE OF THE CONTRACT IS TO EVALUATE THE IMPACT OF TH… Key points: 1. The contract focuses on evaluating the impact of interventions aimed at retaining employment for individuals experiencing injury or illness. 2. This initiative is a collaborative effort between the Social Security Administration (SSA), the Department of Labor (DOL), and multiple states. 3. The contract type is Cost Plus Fixed Fee, indicating that contractor costs are reimbursed along with a fixed fee for profit. 4. The duration of the contract is over 2.5 years, suggesting a comprehensive evaluation process. 5. The contract was awarded through full and open competition, implying a robust selection process. 6. The primary NAICS code (541720) points to Research and Development in the Social Sciences and Humanities, aligning with the evaluation's nature.

Value Assessment

Rating: good

The contract value of approximately $20 million over roughly 2.6 years for a complex multi-agency evaluation appears reasonable. Benchmarking against similar large-scale social science research and program evaluation contracts is challenging due to the unique multi-stakeholder nature of the RETAIN program. However, the Cost Plus Fixed Fee structure allows for cost reimbursement with a defined profit margin, which can be appropriate for research where scope may evolve. The fixed fee component provides some cost control for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting that multiple qualified bidders had the opportunity to submit proposals. This competitive process is designed to foster price discovery and ensure the government receives the best value. The number of bidders is not specified, but the 'full and open' designation implies a significant level of competition.

Taxpayer Impact: A full and open competition generally benefits taxpayers by driving down costs and encouraging innovative solutions from a wider pool of contractors, leading to potentially better outcomes for the program.

Public Impact

Individuals experiencing injury or illness who may benefit from employment retention programs. The Social Security Administration (SSA) and the Department of Labor (DOL) will gain insights into the effectiveness of their programs. Participating states will receive data and analysis to improve their own intervention strategies. The evaluation aims to inform policy decisions regarding workforce participation and support for vulnerable populations. Researchers and social scientists will contribute to the understanding of labor market dynamics and disability support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in a multi-agency research project.
Ensuring consistent data collection and analysis across different state-level interventions.
The complexity of attributing specific outcomes solely to the RETAIN program interventions.

Positive Signals

Joint effort between federal agencies and states enhances program reach and data diversity.
Focus on evidence-based evaluation to improve future program design and effectiveness.
Full and open competition suggests a commitment to achieving best value for taxpayer dollars.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on social sciences and humanities. The market for program evaluation and social science research is diverse, involving academic institutions, think tanks, and specialized research firms. The RETAIN evaluation is a significant undertaking, requiring expertise in labor economics, public health, and program analysis. Comparable spending benchmarks are difficult to pinpoint due to the unique inter-agency and state-level collaboration, but large-scale social program evaluations can range from millions to tens of millions of dollars.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As a large-scale research and evaluation contract, it likely requires specialized expertise and resources that may favor larger contracting firms. There is no explicit information on subcontracting plans for small businesses, but given the nature of the work, opportunities might exist for specialized research support or data analysis services.

Oversight & Accountability

Oversight for this contract is primarily the responsibility of the Social Security Administration (SSA), as the awarding agency. The joint nature of the project with the Department of Labor (DOL) and participating states suggests a collaborative oversight structure. Transparency will be facilitated through the reporting requirements inherent in a Cost Plus Fixed Fee contract and the public dissemination of evaluation findings. Specific Inspector General jurisdiction would typically align with the primary awarding agency (SSA OIG).

Related Government Programs

Social Security Administration Disability Programs
Department of Labor Employment and Training Administration
State Vocational Rehabilitation Services
Workforce Innovation and Opportunity Act (WIOA) Programs
National Science Foundation Research Grants

Risk Flags

Potential for cost overruns in CPFF contracts.
Complexity of coordinating multi-agency and multi-state research efforts.
Ensuring data integrity and comparability across diverse state-level interventions.

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $20.0 million to MATHEMATICA INC.. SINGLE AWARD COST PLUS FIXED FEE 5-YEAR CONTRACT FOR RETAINING EMPLOYMENT&TALENT AFTER INJURY/ILLNESS NETWORK (RETAIN) EVALUATION - THIS IS A JOINT PROJECT BETWEEN SSA, THE DEPARTMENT OF LABOR (DOL), AND SEVERAL STATES. THE PURPOSE OF THE CONTRACT IS TO EVALUATE THE IMPACT OF THE VARIOUS INTERVENTIONS IMPLEMENTED UNDER COOPERATIVE AGREEMENTS BETWEEN THE STATES AND THE DOL.

Who is the contractor on this award?

The obligated recipient is MATHEMATICA INC..

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $20.0 million.

What is the period of performance?

Start: 2018-11-01. End: 2026-02-28.

What is the track record of Mathematica Inc. in conducting large-scale government program evaluations?

Mathematica Inc. has a well-established track record as a leading research organization conducting evaluations for federal agencies. They have extensive experience in areas such as health policy, education, social welfare programs, and labor market studies. Their work often involves complex data analysis, survey design, and qualitative research methods. For example, Mathematica has conducted evaluations for the Centers for Medicare & Medicaid Services (CMS), the Department of Health and Human Services (HHS), and the Department of Education. Their experience in managing multi-stakeholder projects and delivering rigorous research findings suggests they are well-equipped for the RETAIN evaluation. The agency's history indicates a capacity to handle contracts of this magnitude and complexity, often involving collaboration with multiple government entities and diverse populations.

How does the $20 million cost compare to similar multi-agency program evaluations?

Benchmarking the $20 million cost for the RETAIN evaluation against similar multi-agency program evaluations is complex due to the unique nature of this joint SSA, DOL, and state initiative. However, large-scale social science and program evaluations commissioned by federal agencies can often range from several million to tens of millions of dollars, depending on scope, duration, and complexity. Contracts involving multiple federal departments and state-level participation, as seen in RETAIN, tend to be on the higher end due to the coordination and data integration challenges. For instance, evaluations of national health initiatives or broad workforce development programs can easily exceed $10 million. The Cost Plus Fixed Fee structure means costs are reimbursed, but the fixed fee component provides a defined profit margin, which is a common approach for research where exact costs can be difficult to predict upfront. The value is assessed based on the depth of analysis, methodological rigor, and the potential impact of the findings on policy and program improvement.

What are the primary risks associated with this Cost Plus Fixed Fee contract?

The primary risks associated with a Cost Plus Fixed Fee (CPFF) contract, like the one awarded to Mathematica Inc. for the RETAIN evaluation, revolve around cost control and potential for scope creep. While the fixed fee provides a defined profit margin for the contractor, the 'cost plus' element means the government reimburses allowable costs incurred by the contractor. If cost controls are not robust or if the project scope expands significantly without proper modification, costs could exceed initial estimates. For this specific contract, risks include the complexity of coordinating research across SSA, DOL, and multiple states, which could lead to delays and increased administrative costs. Ensuring consistent data quality and comparability across different state-level interventions also presents a risk. Furthermore, the inherent nature of research can lead to unforeseen challenges in data collection or analysis, potentially impacting timelines and budgets. Effective oversight and clear communication channels are crucial to mitigate these risks.

How effective is the RETAIN program likely to be based on the evaluation's objectives?

The effectiveness of the RETAIN program itself cannot be determined until the evaluation is completed, but the evaluation's objectives are designed to measure this. The contract's purpose is explicitly to 'evaluate the impact of the various interventions implemented under cooperative agreements.' This suggests the evaluation will employ rigorous methodologies to assess whether the RETAIN program successfully helps individuals retain employment after injury or illness. Key metrics likely to be examined include employment retention rates, duration of employment, wage levels, and potentially measures of well-being and access to support services. The success of the RETAIN program will be judged by its ability to demonstrate statistically significant positive outcomes for participants compared to control groups or baseline data. The evaluation's findings will be critical in determining the program's future viability, scalability, and potential modifications needed to enhance its effectiveness.

What are the historical spending patterns for similar program evaluations by SSA and DOL?

Historical spending patterns for program evaluations by the Social Security Administration (SSA) and the Department of Labor (DOL) show a significant investment in research to inform policy and program improvements. Both agencies frequently contract for evaluations of their core programs, including those related to disability, employment services, and workforce development. Spending can vary widely based on the scale and complexity of the program being evaluated. For instance, major evaluations of disability insurance programs or large-scale employment initiatives can command multi-million dollar contracts. The RETAIN evaluation, being a joint project with state involvement, represents a substantial but not unprecedented level of investment for inter-agency research initiatives aimed at improving outcomes for vulnerable populations. Tracking specific historical spending on comparable multi-agency evaluations is challenging without access to detailed procurement databases, but the $20 million figure aligns with the scope of significant federal research endeavors.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 28321318R00000024

Offers Received: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1100 1ST ST NE FL 12, WASHINGTON, DC, 20024

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,325,974

Exercised Options: $19,996,594

Current Obligation: $19,996,594

Actual Outlays: $17,987,449

Subaward Activity

Number of Subawards: 1

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline