DOT awards $13.9M for administrative and course development support to Tipping Point Solutions

Contract Overview

Contract Amount: $13,944,854 ($13.9M)

Contractor: Tipping Point Solutions, Inc.

Awarding Agency: Department of Transportation

Start Date: 2021-08-23

End Date: 2026-08-22

Contract Duration: 1,825 days

Daily Burn Rate: $7.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: Other

Official Description: SPEND PLAN ID: FY21-C-022.1 AND FY21-C-022.2 THIS ACTION IS TO AWARD A NEW TASK ORDER TO TIPPING POINT SOLUTIONS, LLC FOR ADMINISTRATIVE AND COURSE DEVELOPMENT SUPPORT SERVICES FOR THE NTC. THE PERIOD OF PERFORMANCE BASE PERIOD SHALL BE FROM 08

Place of Performance

Location: HIGHLANDS RANCH, DOUGLAS County, COLORADO, 80129

State: Colorado Government Spending

Plain-Language Summary

Department of Transportation obligated $13.9 million to TIPPING POINT SOLUTIONS, INC. for work described as: SPEND PLAN ID: FY21-C-022.1 AND FY21-C-022.2 THIS ACTION IS TO AWARD A NEW TASK ORDER TO TIPPING POINT SOLUTIONS, LLC FOR ADMINISTRATIVE AND COURSE DEVELOPMENT SUPPORT SERVICES FOR THE NTC. THE PERIOD OF PERFORMANCE BASE PERIOD SHALL BE FROM 08 Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Fixed Price Level of Effort, which can provide cost certainty for the government. 3. Performance period spans five years, indicating a long-term need for these services. 4. The North American Industry Classification System (NAICS) code 611430 points to professional and management development training. 5. The award is a delivery order under an existing contract, potentially leveraging pre-negotiated terms. 6. The contractor, Tipping Point Solutions, Inc., has secured this task order. 7. The contract is not set aside for small businesses, nor does it indicate specific subcontracting goals.

Value Assessment

Rating: fair

The total award amount is $13.9 million over five years. Without specific benchmarks for administrative and course development support services for the National Training Center (NTC), a precise value-for-money assessment is challenging. However, the fixed-price level of effort contract type aims to control costs by defining specific deliverables and effort levels. Further analysis would require comparing this rate to similar contracts for comparable services within the Department of Transportation or other federal agencies.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' which typically means that all responsible sources were permitted to submit a bid. The presence of three bids (no) indicates some level of competition. However, the 'exclusion of sources' phrasing might suggest specific requirements or pre-qualification steps that limited the pool of potential bidders, warranting further investigation into the specific solicitation details.

Taxpayer Impact: A competitive process, even with a limited number of bidders, generally benefits taxpayers by encouraging lower prices and better service offerings compared to sole-source awards.

Public Impact

The Federal Motor Carrier Safety Administration (FMCSA) within the Department of Transportation is the primary beneficiary of these services. The contract supports administrative and course development for the National Training Center (NTC). The services are likely to enhance the training capabilities and operational efficiency of the NTC. The geographic impact is primarily within the scope of the NTC's operations, with potential national implications for training standards and delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The specific nature of 'administrative and course development support' is broad and could lead to scope creep if not clearly defined.
The 'exclusion of sources' clause in the competition type warrants a review to ensure it did not unduly restrict competition.
The five-year duration of the contract requires ongoing monitoring to ensure continued value and performance.
Reliance on a single task order for these critical support functions may present a risk if the contractor underperforms.

Positive Signals

Awarded through full and open competition, indicating an effort to secure competitive pricing.
Fixed Price Level of Effort contract type provides cost predictability for the government.
The contract is a delivery order, potentially leveraging existing contract vehicles and established relationships.
The five-year performance period suggests a stable, long-term requirement for these services.

Sector Analysis

This contract falls within the Professional and Management Development Training sector, categorized under NAICS code 611430. This sector includes establishments primarily engaged in providing education and training services, often to businesses and their employees. Federal spending in this area supports the continuous professional development of government personnel and the enhancement of agency training programs. Comparable spending benchmarks would involve analyzing other federal contracts for similar training and administrative support services across various agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and the contractor is Tipping Point Solutions, Inc., which is not explicitly identified as a small business in the provided data. There is no information regarding subcontracting plans or goals for small businesses. This suggests that small businesses may not be directly benefiting from this specific award, and their participation would likely depend on subcontracting opportunities offered by the prime contractor.

Oversight & Accountability

Oversight for this contract would primarily reside with the Federal Motor Carrier Safety Administration (FMCSA) contracting officers and program managers. As a delivery order under a larger contract, existing oversight mechanisms for the parent contract would likely apply. Transparency is facilitated by public contract databases where award details are recorded. Inspector General jurisdiction would typically extend to investigations of fraud, waste, or abuse related to federal funds, including this contract.

Related Government Programs

Federal Training Programs
Administrative Support Services
Professional Development Contracts
Department of Transportation Contracts
Federal Acquisition Regulation (FAR) Compliance

Risk Flags

Potential for scope creep due to broad service description.
Risk of contractor performance degradation over the five-year period.
Need to verify 'exclusion of sources' did not unduly limit competition.
Lack of explicit small business subcontracting goals.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $13.9 million to TIPPING POINT SOLUTIONS, INC.. SPEND PLAN ID: FY21-C-022.1 AND FY21-C-022.2 THIS ACTION IS TO AWARD A NEW TASK ORDER TO TIPPING POINT SOLUTIONS, LLC FOR ADMINISTRATIVE AND COURSE DEVELOPMENT SUPPORT SERVICES FOR THE NTC. THE PERIOD OF PERFORMANCE BASE PERIOD SHALL BE FROM 08

Who is the contractor on this award?

The obligated recipient is TIPPING POINT SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Motor Carrier Safety Administration).

What is the total obligated amount?

The obligated amount is $13.9 million.

What is the period of performance?

Start: 2021-08-23. End: 2026-08-22.

What is the historical spending pattern for administrative and course development support services at the National Training Center (NTC) prior to this award?

Historical spending data for administrative and course development support at the NTC prior to this award is not directly available in the provided data snippet. However, the award of a new task order suggests a continuing or evolving need for these services. To understand historical patterns, one would need to examine previous contracts, task orders, and spending associated with the NTC's training and administrative functions. This would involve searching federal procurement databases for prior awards to Tipping Point Solutions, Inc. or other contractors performing similar functions for the NTC or FMCSA. Analyzing the duration, value, and scope of previous agreements would reveal trends in investment and service provision, helping to contextualize the current $13.9 million award over five years.

How does the pricing structure of this Fixed Price Level of Effort contract compare to market rates for similar services?

The provided data does not include detailed pricing breakdowns or specific labor rates, making a direct comparison to market rates challenging. A Fixed Price Level of Effort (FPLE) contract aims to provide cost certainty by establishing a fixed price for a specified level of effort. To assess the pricing, one would need to benchmark the total contract value against the estimated effort (e.g., labor hours, specific deliverables) and compare this to industry standards for administrative and course development support. This would involve researching salary data for relevant professional roles, overhead rates, and typical profit margins in the training and professional development sector. Without this granular data, it's difficult to definitively state if the pricing is competitive, though the full and open competition suggests an attempt to achieve fair market value.

What are the specific performance metrics and deliverables associated with this contract?

The provided data snippet is limited and does not detail the specific performance metrics or deliverables for this contract. It only states that the award is for 'administrative and course development support services for the NTC.' A full understanding would require reviewing the Statement of Work (SOW) or Performance Work Statement (PWS) within the task order. Typically, for administrative support, metrics might include response times, accuracy rates, and adherence to procedures. For course development, metrics could involve the number of courses developed, quality of training materials, adherence to learning objectives, and successful completion rates by trainees. The FPLE structure implies that the contractor is expected to provide a defined level of effort to achieve these (unspecified) outcomes.

What is the track record of Tipping Point Solutions, Inc. in performing similar federal contracts?

The provided data identifies Tipping Point Solutions, Inc. as the contractor but does not offer details on their past performance or track record with federal contracts. To assess their track record, one would need to consult federal procurement databases (like SAM.gov or FPDS) to review their award history, past performance evaluations (if publicly available), and any history of contract disputes or terminations. Understanding their experience with similar administrative and course development services, particularly within the Department of Transportation or for training centers, would be crucial. A positive track record with successful past performance would increase confidence in their ability to meet the requirements of this new task order.

What are the potential risks associated with the five-year duration of this contract?

The primary risks associated with a five-year contract duration include potential changes in government requirements, technology obsolescence, and contractor performance degradation over time. Government needs for administrative and course development support may evolve, requiring flexibility that might be difficult to accommodate within a fixed-price structure established years in advance. Technological advancements could render current course development tools or administrative processes outdated. Furthermore, maintaining consistent high performance from the contractor over an extended period can be challenging, potentially leading to decreased efficiency or quality if not actively managed and monitored through robust oversight and performance reviews.

Industry Classification

NAICS: Educational Services › Business Schools and Computer and Management Training › Professional and Management Development Training

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 693JJ421R000002

Offers Received: 3

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 9092 RIDGELINE BLVD, HIGHLANDS RANCH, CO, 80129

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $13,944,854

Exercised Options: $13,944,854

Current Obligation: $13,944,854

Actual Outlays: $11,852,015

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QREB21D0016

IDV Type: IDC

Timeline