DOT awards $2.88M for organizational assessment services to Guidehouse Inc

Contract Overview

Contract Amount: $2,875,953 ($2.9M)

Contractor: Guidehouse Inc.

Awarding Agency: Department of Transportation

Start Date: 2024-03-11

End Date: 2025-12-10

Contract Duration: 639 days

Daily Burn Rate: $4.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: BPA CALL ORDER FOR THE ORGANIZATIONAL ASSESSMENT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $2.9 million to GUIDEHOUSE INC. for work described as: BPA CALL ORDER FOR THE ORGANIZATIONAL ASSESSMENT Key points: 1. Contract awarded for management consulting services to support organizational assessment. 2. The contract duration is approximately 21 months, ending in December 2025. 3. Services fall under Administrative Management and General Management Consulting. 4. Awarded via a BPA Call Order, indicating a pre-competed framework. 5. The contractor, Guidehouse Inc., is a known entity in the consulting space. 6. The contract value is within a moderate range for consulting services of this nature.

Value Assessment

Rating: good

The contract value of $2.88 million for organizational assessment services appears reasonable given the scope and duration. Benchmarking against similar management consulting contracts for federal agencies of this size suggests that the pricing is competitive. The use of a BPA Call Order implies that pricing was likely negotiated at a master agreement level, potentially offering better value than a standalone competitive bid for this specific task order. Further analysis would require detailed labor rates and comparison to market data for similar consulting engagements.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a Full and Open Competition, likely through a Blanket Purchase Agreement (BPA) Call Order. This indicates that the initial BPA was competed broadly, and this call order was then issued to the BPA holder. While the specific number of bidders for the BPA itself is not detailed here, the 'full and open' designation suggests a competitive process was employed. This approach generally leads to a wider pool of potential offerors and can foster better price discovery.

Taxpayer Impact: A full and open competition process, even at the BPA level, is beneficial for taxpayers as it encourages a competitive environment, potentially driving down costs and ensuring the government receives the best value for its investment.

Public Impact

The Federal Transit Administration (FTA) is the primary beneficiary, receiving support for its organizational assessment. Services delivered include administrative management and general management consulting. The geographic impact is centered in the District of Columbia, where the agency is headquartered. The contract supports the agency's internal operational efficiency and strategic planning.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if the organizational assessment is not tightly defined.
Reliance on a single contractor for critical organizational insights.
Ensuring the assessment's recommendations are actionable and implemented effectively.

Positive Signals

Awarded through a competitive BPA Call Order, suggesting pre-negotiated favorable terms.
Contractor has experience in management consulting, likely bringing relevant expertise.
Clear end date provides a defined period for service delivery.

Sector Analysis

The management and consulting services sector is a significant part of federal procurement, with agencies frequently engaging external expertise for strategic planning, organizational assessments, and operational improvements. This contract falls within the broader professional services category, which is characterized by a large number of firms, including large businesses and specialized small businesses. Federal spending in this area often benchmarks against private sector consulting rates, with agencies aiming for value through competitive bidding and established contract vehicles like BPAs.

Small Business Impact

The provided data does not indicate a small business set-aside for this specific BPA Call Order. However, the underlying BPA, which was competed full and open, may have included provisions or goals for small business participation. Guidehouse Inc. is a large business, so direct subcontracting opportunities for small businesses would depend on the specific requirements outlined in the BPA and the call order, and whether Guidehouse chooses to subcontract portions of the work.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and the program office within the Federal Transit Administration. As a BPA Call Order, the underlying BPA likely has established terms and conditions that include reporting requirements and performance standards. Transparency is generally maintained through contract award databases and agency reporting. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Transit Administration Operations Support
Management and Consulting Services
Organizational Improvement Initiatives
Government-wide Acquisition Contracts (GWACs) for professional services

Risk Flags

Potential for inadequate scope definition
Risk of contractor performance issues
Challenges in implementing assessment recommendations

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.9 million to GUIDEHOUSE INC.. BPA CALL ORDER FOR THE ORGANIZATIONAL ASSESSMENT

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Transit Administration).

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2024-03-11. End: 2025-12-10.

What is Guidehouse Inc.'s track record with the Department of Transportation and similar federal agencies?

Guidehouse Inc. has a substantial track record of performing management and consulting services for various federal agencies, including the Department of Transportation. Their past performance often includes work related to strategic planning, financial management, IT modernization, and operational efficiency. For the Department of Transportation specifically, Guidehouse has likely engaged in projects aimed at improving transit systems, regulatory compliance, and internal agency operations. A detailed review of their contract history with DOT and other agencies would reveal the scope, value, and success of their previous engagements, providing context for their ability to deliver on this organizational assessment contract. Their experience suggests a familiarity with federal procurement processes and agency-specific challenges.

How does the $2.88 million contract value compare to similar organizational assessment contracts within the federal government?

The $2.88 million contract value for organizational assessment services over approximately 21 months is within a moderate range for federal consulting engagements. Similar contracts for comprehensive organizational reviews, strategic planning support, or process improvement initiatives for agencies of the Federal Transit Administration's size can range from hundreds of thousands to several million dollars. Factors influencing the cost include the depth of analysis required, the number of personnel involved, the duration of the engagement, and the specific expertise needed. Given that this was awarded via a BPA Call Order, the pricing is likely competitive, reflecting pre-negotiated rates. Without specific details on the labor categories and hours, a precise benchmark is difficult, but the overall value appears aligned with industry standards for federal consulting.

What are the primary risks associated with this type of organizational assessment contract?

Key risks for this organizational assessment contract include the potential for scope creep, where the project's objectives expand beyond the initial agreement, leading to cost overruns and delays. Another risk is the quality and actionability of the assessment's findings; if the recommendations are not data-driven, realistic, or clearly communicated, the value to the FTA could be diminished. Contractor performance is also a risk; if Guidehouse Inc. lacks the necessary expertise or fails to dedicate adequate resources, the assessment may be superficial. Furthermore, internal resistance to change within the FTA could hinder the implementation of assessment recommendations, regardless of their quality. Finally, ensuring data security and confidentiality during the assessment process is critical.

What is the expected effectiveness of this contract in improving FTA's operations?

The expected effectiveness of this contract hinges on the thoroughness and objectivity of the organizational assessment conducted by Guidehouse Inc. If the assessment accurately identifies areas for improvement in efficiency, structure, processes, and resource allocation, and provides actionable, data-backed recommendations, it can significantly enhance the FTA's operations. The contract's success will also depend on the FTA's commitment to implementing the proposed changes and the contractor's ability to facilitate that transition. A well-executed assessment should lead to better decision-making, optimized workflows, improved service delivery, and potentially cost savings, thereby strengthening the FTA's overall mission effectiveness.

What are historical spending patterns for organizational assessment or management consulting services at the FTA or DOT?

Historical spending patterns for organizational assessment and management consulting services at the FTA and the broader Department of Transportation typically show consistent engagement with external experts. Agencies within DOT frequently procure services for strategic planning, program evaluation, regulatory analysis, and operational efficiency improvements. Spending can fluctuate based on specific initiatives, leadership priorities, and budget allocations. While the exact historical figures for organizational assessments at the FTA require specific data retrieval, it is common for such agencies to allocate funds in the low to mid-single-digit millions annually for a portfolio of consulting services. This $2.88 million award appears to be a significant, but not unprecedented, investment for a focused organizational review.

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

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Veritas Capital Fund Management, L.L.C.

Address: 1676 INTERNATIONAL DR STE 800, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $2,875,953

Exercised Options: $2,875,953

Current Obligation: $2,875,953

Actual Outlays: $2,875,953

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 69319522A000005

IDV Type: BPA

Timeline