DOT awards $31.1M for communications support, extending existing contract services

Contract Overview

Contract Amount: $31,128,546 ($31.1M)

Contractor: Charles Tombras Advertising, Inc.

Awarding Agency: Department of Transportation

Start Date: 2018-07-11

End Date: 2019-10-31

Contract Duration: 477 days

Daily Burn Rate: $65.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: TITLE: 2018 NATIONAL AND REGIONAL COMMUNICATIONS SUPPORT SERVICES - BASE 6 DESCRIPTION: THIS PROCUREMENT SEEKS TO ISSUE A NEW TASK ORDER UNDER DTNH22-13-D-00280L TO CONTINUE THE BASE LEVEL-OF-EFFORT COMMUNICATIONS SERVICES AND ACTIVITIES. STATEMENT OF WORK: THE ATTACHED STATEMENT OF WORK DETAILS THE ACTIVITIES TO BE CONDUCTED DURING THE PERIOD JUNE 1, 2018 THOUGH MARCH 31, 2019. NHTSA IS PROCESSING THIS REQUISITION UNDER SECTION G.4.2 EXPEDITED TASK ORDER PROCESS IN THE BASE CONTRACT, DTNH22-13-D-00280L, UNDER WHICH NHTSA WILL ISSUE THIS TASK ORDER. THE OFFICE OF COMMUNICATIONS AND CONSUMER INFORMATION (OCCI)REQUESTS THAT THE CONTRACTING OFFICER PROVIDE AUTHORIZATION TO BEGIN WORK IF THIS TASK ORDER CANNOT BE AWARDED BY MAY 31, 2018. OCCI IS REQUESTING THIS REQUISITION BE PROCESSED WITH AN EFFECTIVE DATE OF JUNE 1, 2018. THE CURRENT BASE LEVEL-OF-EFFORT (TASK ORDER 0013) EXPIRES ON MAY 31, 2018. THIS TASK ORDER WILL BE INCREMENTALLY FUNDED. ESTIMATED BUDGET: $24,027,063.51 FY 18: $24,027,063.51 SUPPORTING DOCUMENTS 18-000371 SIGNED 4200 18-000371 STATEMENT OF WORK 18-000371 IGCE 18-000371 D AND F CHECKLIST 18-000371 R AND D CHECKLIST 18-000371 IT CHECKLIST 18-000371 EVALUATION FACTORS 18-000371 SIGNED COR NOMINATION MEMO - MASON 18-000371 SIGNED ALTERNATE COR NOMINATION MEMO - JOYCE 18-000371 SIGNED ALTERNATE COR NOMINATION MEMO - MILLEN 18-000371 SIGNED ALTERNATE COR NOMINATION MEMO - NILSSON 18-000371 SIGNED AA LATE MEMO 18-000371 TOMBRAS' QUESTIONS ON THE STATEMENT OF WORK 18-000371 NHTSA'S RESPONSE TO TOMBRAS' QUESTIONS 18-000371 TOMBRAS' TECHNICAL PROPOSAL 18-000371 TOMBRAS' COST PROPOSAL 18-000371 TOMBRAS' ODC BREAKDOWN

Place of Performance

Location: KNOXVILLE, KNOX County, TENNESSEE, 37919

State: Tennessee Government Spending

Plain-Language Summary

Department of Transportation obligated $31.1 million to CHARLES TOMBRAS ADVERTISING, INC. for work described as: TITLE: 2018 NATIONAL AND REGIONAL COMMUNICATIONS SUPPORT SERVICES - BASE 6 DESCRIPTION: THIS PROCUREMENT SEEKS TO ISSUE A NEW TASK ORDER UNDER DTNH22-13-D-00280L TO CONTINUE THE BASE LEVEL-OF-EFFORT COMMUNICATIONS SERVICES AND ACTIVITIES. STATEMENT OF WORK: THE ATTACHED STAT… Key points: 1. Contract focuses on continuing existing communications services, indicating a need for ongoing support rather than new capabilities. 2. The award utilizes an expedited task order process under a base contract, suggesting a time-sensitive requirement. 3. The procurement method implies a pre-existing relationship and established performance metrics with the contractor. 4. The duration of the task order is approximately 16 months, aligning with the specified period of performance. 5. The contract type is Time and Materials, which can pose cost control challenges if not closely managed. 6. The geographic location of the contractor is Tennessee, though the services are likely national in scope given the agency.

Value Assessment

Rating: fair

The total award amount of $31.1 million for a 16-month period for communications support services appears to be within a reasonable range for such services, especially considering it's a continuation of existing efforts. However, without specific details on the scope of work and deliverables, a precise value-for-money assessment is challenging. The Time and Materials (T&M) contract type introduces inherent risks for cost overruns if not managed diligently, as it bases payment on actual labor hours and material costs incurred. Benchmarking against similar T&M contracts for communications support would be necessary for a more definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. However, the specific task order was issued under an existing base contract (DTNH22-13-D-00280L) using an expedited process. While the initial award was competed, the issuance of this task order might have had fewer active bidders due to the expedited nature and reliance on the base contract's pre-qualification. The level of competition for this specific task order is not detailed, but the initial full and open competition for the base contract is a positive sign for price discovery.

Taxpayer Impact: Full and open competition for the base contract generally benefits taxpayers by encouraging a wider range of offers and potentially driving down prices. However, the expedited process for this task order could limit the direct price competition at this stage.

Public Impact

The National Highway Traffic Safety Administration (NHTSA) benefits from continued communications support to execute its mission. The services delivered likely include public outreach, media relations, and consumer information dissemination. The geographic impact is national, supporting NHTSA's nationwide safety initiatives. The contract supports the workforce within the contractor's organization, likely in advertising and communications roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials contract type can lead to increased costs if not managed effectively, as it allows for reimbursement of actual labor hours and material expenses.
The expedited task order process may limit the thoroughness of competition and oversight compared to a standard procurement.
Lack of detailed performance metrics in the provided data makes it difficult to assess the effectiveness and efficiency of the services rendered.

Positive Signals

The contract was awarded under full and open competition for the base contract, suggesting a competitive initial process.
The continuation of services under an existing contract implies a level of satisfaction with the contractor's performance.
The agency (NHTSA) is actively managing its communication needs, indicating a commitment to public engagement and safety awareness.

Sector Analysis

This contract falls within the Advertising Agencies (NAICS 541810) sector, which encompasses firms primarily engaged in creating advertising campaigns and placing them in media. The federal government is a significant consumer of advertising and public relations services to disseminate information, promote programs, and manage public perception. The total federal spending on advertising and related services can fluctuate annually but represents a consistent need across various agencies for public outreach and information campaigns. This specific contract supports NHTSA's communication efforts, a critical function for a safety-focused agency.

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 or specific benefits to the small business ecosystem stemming from a set-aside. The primary contractor, CHARLES TOMBRAS ADVERTISING, INC., is likely a large business, and any subcontracting would be at their discretion, not mandated by a small business set-aside requirement.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Highway Traffic Safety Administration (NHTSA) contracting officers and program managers. As a task order under a base contract, existing oversight mechanisms from the base contract likely apply. The Time and Materials nature of the contract necessitates close monitoring of labor hours and costs to ensure adherence to the ceiling price and prevent cost overruns. Transparency would be enhanced through regular reporting requirements and potential audits by the Department of Transportation's Office of Inspector General, although specific IG involvement is not detailed here.

Related Government Programs

NHTSA Public Information Campaigns
DOT Advertising and Public Relations Services
Federal Communications Support Contracts
Department of Transportation Task Orders

Risk Flags

Time and Materials contract type carries inherent cost overrun risk.
Expedited task order process may limit competition and thoroughness.
Lack of detailed performance metrics in provided data.
Potential for scope creep in T&M contracts if not managed tightly.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $31.1 million to CHARLES TOMBRAS ADVERTISING, INC.. TITLE: 2018 NATIONAL AND REGIONAL COMMUNICATIONS SUPPORT SERVICES - BASE 6 DESCRIPTION: THIS PROCUREMENT SEEKS TO ISSUE A NEW TASK ORDER UNDER DTNH22-13-D-00280L TO CONTINUE THE BASE LEVEL-OF-EFFORT COMMUNICATIONS SERVICES AND ACTIVITIES. STATEMENT OF WORK: THE ATTACHED STATEMENT OF WORK DETAILS THE ACTIVITIES TO BE CONDUCTED DURING THE PERIOD JUNE 1, 2018 THOUGH MARCH 31, 2019. NHTSA IS PROCESSING THIS REQUISITION UNDER SECTION G.4.2 EXPEDITED TASK ORDER PROCESS IN THE BASE CONTRACT, DTNH

Who is the contractor on this award?

The obligated recipient is CHARLES TOMBRAS ADVERTISING, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (National Highway Traffic Safety Administration).

What is the total obligated amount?

The obligated amount is $31.1 million.

What is the period of performance?

Start: 2018-07-11. End: 2019-10-31.

What is the historical spending pattern for communications support services by NHTSA under the base contract DTNH22-13-D-00280L?

The provided data focuses on a single task order valued at $31.1 million for a period of approximately 16 months. To understand historical spending patterns, one would need to examine all task orders issued under the base contract DTNH22-13-D-00280L. This would involve querying federal procurement databases for all awards against this contract vehicle, summing their values, and analyzing their durations and scopes of work. Without access to the full history of task orders under this base contract, it's impossible to establish a comprehensive spending trend. However, the issuance of this significant task order suggests a substantial and ongoing need for communications support by NHTSA.

How does the per-hour labor cost for this contract compare to industry benchmarks for similar communications support services?

The contract is awarded on a Time and Materials (T&M) basis, meaning payment is based on actual labor hours and costs, plus a fixed fee or percentage for overhead and profit. To compare per-hour labor costs to industry benchmarks, specific labor categories (e.g., project manager, communications specialist, graphic designer) and their associated rates billed under this contract would be required. These rates would then need to be benchmarked against industry salary surveys, commercial pricing data for similar roles, and potentially other government T&M contracts. The provided data does not include the detailed labor rates, making a direct comparison impossible. However, T&M contracts are generally scrutinized for potentially higher costs compared to fixed-price contracts if not managed tightly.

What specific communication activities are covered under this task order, and how do they align with NHTSA's strategic goals?

The Statement of Work (SOW) details the activities to be conducted, focusing on 'Base Level-of-Effort Communications Services and Activities.' While the exact nature of these activities isn't fully elaborated in the provided summary, typical communications support for NHTSA includes public awareness campaigns (e.g., seatbelt use, impaired driving prevention), media relations, development of educational materials, website content management, and social media engagement. These activities directly align with NHTSA's strategic goals of reducing traffic fatalities and injuries by educating the public and promoting safe driving behaviors. The continuation of these services suggests they are considered effective and essential for achieving these safety objectives.

What is the track record of CHARLES TOMBRAS ADVERTISING, INC. in performing similar government contracts, particularly with NHTSA or the Department of Transportation?

CHARLES TOMBRAS ADVERTISING, INC. is the contractor for this task order. To assess their track record, one would need to review their past performance on federal contracts. This involves searching contract databases (like FPDS or SAM.gov) for previous awards to this contractor, examining contract values, durations, and agencies served. Particular attention should be paid to their performance history with NHTSA and the Department of Transportation. Government contract performance evaluations (e.g., CPARS reports) would provide insights into their timeliness, quality of work, and overall customer satisfaction. A positive performance history on similar contracts would indicate a lower risk for this current task order.

What are the potential risks associated with the Time and Materials (T&M) contract type for this communications support service?

The primary risk with a T&M contract is the potential for cost overruns, as the government pays for the actual time and materials expended by the contractor, plus a profit margin. Unlike fixed-price contracts, there is less incentive for the contractor to control costs efficiently. For communications support, this could manifest as extended project timelines, inefficient use of labor hours, or higher-than-expected material costs. Effective oversight by the government is crucial to mitigate these risks. This includes closely monitoring labor hours, verifying the necessity of materials, and ensuring that the work performed aligns with the SOW and project objectives. Without robust oversight, T&M contracts can become significantly more expensive than initially anticipated.

How does the $31.1M award for 16 months of communications support compare to other federal agencies' spending on similar services?

Comparing this $31.1 million award over 16 months (approximately $1.94 million per month) to other federal agencies requires access to comprehensive spending data across the government for similar services. Agencies like the Department of Defense, Health and Human Services, or Veterans Affairs also procure extensive communications and public affairs support. Benchmarking would involve identifying comparable contracts based on scope (e.g., public awareness campaigns, media outreach, strategic communications) and agency size/mission. Anecdotally, this level of spending for a specialized agency like NHTSA is substantial but not unusual for comprehensive, multi-faceted communication programs. A detailed analysis would necessitate a broader data pull and comparison of contract types, durations, and specific deliverables across multiple agencies.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Advertising, Public Relations, and Related Services › Advertising Agencies

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 630 CONCORD ST, KNOXVILLE, TN, 37919

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

Financial Breakdown

Contract Ceiling: $31,128,546

Exercised Options: $31,128,546

Current Obligation: $31,128,546

Actual Outlays: $8,570

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTNH2213D00280

IDV Type: IDC

Timeline