USAID awards $8.4M contract to University Research Co. for Guatemala Smart Cities Project
Contract Overview
Contract Amount: $8,433,908 ($8.4M)
Contractor: University Research CO., LLC
Awarding Agency: Agency for International Development
Start Date: 2024-02-02
End Date: 2029-02-01
Contract Duration: 1,826 days
Daily Burn Rate: $4.6K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 6
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: USAID/GUATEMALA SMART AND SECURE CITIES PROJECT.
Plain-Language Summary
Agency for International Development obligated $8.4 million to UNIVERSITY RESEARCH CO., LLC for work described as: USAID/GUATEMALA SMART AND SECURE CITIES PROJECT. Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but requires careful oversight. 3. The project duration is 5 years, indicating a long-term commitment to the initiative. 4. The North American Industry Classification System (NAICS) code 541990 suggests a broad range of professional, scientific, and technical services. 5. The award amount of $8.4 million is modest within the context of large-scale international development projects. 6. The contract is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without more specific details on the 'Smart and Secure Cities' deliverables. The Cost Plus Fixed Fee (CPFF) structure means the final cost is not fixed upfront, making direct price comparisons difficult. However, the award amount of $8.4 million over five years suggests an average annual spend of approximately $1.68 million. This figure needs to be assessed against the scope and expected outcomes of the project to determine true value for money. Without comparable projects or detailed cost breakdowns, a definitive value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that the agency initially considered excluding certain sources but ultimately opened the competition to all eligible bidders. The fact that it was full and open competition is positive for price discovery and ensuring a wide range of potential contractors could participate. The number of bidders is not specified, which limits a deeper analysis of the competitive intensity.
Taxpayer Impact: A full and open competition generally leads to more competitive pricing, which is beneficial for taxpayers by potentially reducing costs and ensuring the government receives the best value.
Public Impact
The primary beneficiaries are likely the citizens of Guatemala, who will experience improvements in urban services and security through the 'Smart and Secure Cities' initiative. The project aims to deliver professional, scientific, and technical services related to urban development and security. The geographic impact is focused on specific urban areas within Guatemala. Workforce implications could include local employment opportunities for technical and support staff involved in project implementation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The CPFF contract type requires robust oversight to manage costs effectively and prevent overruns.
- Lack of specific performance metrics makes it difficult to assess the project's success and impact.
- The broad NAICS code (541990) could indicate a less defined scope, potentially leading to scope creep.
Positive Signals
- Awarded through full and open competition, suggesting a fair and transparent process.
- The five-year duration allows for sustained effort and potential long-term impact.
- USAID's involvement indicates a commitment to international development goals.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically related to urban development and potentially technology integration for smart city initiatives. The market for such services is global, with significant government spending directed towards international development and technical assistance. Comparable spending benchmarks would typically involve other USAID projects or similar international development contracts focused on infrastructure, governance, and security in developing nations. The size of this contract is moderate within the broader landscape of federal contracting.
Small Business Impact
The data indicates that small business participation (ss: false, sb: false) was not a specific set-aside for this contract. There is no information provided regarding subcontracting plans or goals for small businesses. This suggests that the primary focus was on securing the best overall offer through full and open competition, rather than specifically targeting small business engagement. The impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses as subcontractors.
Oversight & Accountability
Oversight for this contract will primarily fall under USAID's contracting officers and program managers. Given the international nature and the CPFF structure, rigorous monitoring of performance, costs, and adherence to project objectives will be crucial. Transparency will depend on USAID's reporting practices and public availability of project progress. Inspector General jurisdiction would typically apply to USAID's operations, including the oversight of this contract, to ensure accountability and prevent fraud, waste, and abuse.
Related Government Programs
- USAID Development Assistance Programs
- International Security Cooperation
- Urban Planning and Development Initiatives
- Technology for Development Projects
Risk Flags
- Cost Plus Fixed Fee contract type requires diligent oversight.
- Lack of specific performance metrics in summary.
- Potential for undefined scope given broad NAICS code.
Tags
usaid, guatemala, smart-cities, security, professional-scientific-technical-services, cost-plus-fixed-fee, full-and-open-competition, delivery-order, international-development, long-term-contract
Frequently Asked Questions
What is this federal contract paying for?
Agency for International Development awarded $8.4 million to UNIVERSITY RESEARCH CO., LLC. USAID/GUATEMALA SMART AND SECURE CITIES PROJECT.
Who is the contractor on this award?
The obligated recipient is UNIVERSITY RESEARCH CO., LLC.
Which agency awarded this contract?
Awarding agency: Agency for International Development (Agency for International Development).
What is the total obligated amount?
The obligated amount is $8.4 million.
What is the period of performance?
Start: 2024-02-02. End: 2029-02-01.
What specific 'smart' and 'secure' technologies or methodologies are being implemented under this project, and what are the expected measurable outcomes?
The provided data does not detail the specific technologies or methodologies. The contract's description as 'USAID/GUATEMALA SMART AND SECURE CITIES PROJECT' and the NAICS code '541990' (All Other Professional, Scientific, and Technical Services) suggest a broad scope. Expected outcomes would typically involve improved urban infrastructure, enhanced public safety, more efficient resource management (e.g., energy, water), and potentially better citizen engagement through technology. However, without access to the full contract statement of work or project plan, precise metrics and deliverables remain undefined in this summary.
How does the Cost Plus Fixed Fee (CPFF) structure for this contract ensure value for money, and what are the potential risks associated with this pricing model?
The CPFF structure aims to provide value by allowing the contractor to be reimbursed for all allowable costs plus a predetermined fixed fee representing profit. This can be advantageous when the scope of work is not precisely defined upfront, as it allows for flexibility. The 'fixed fee' element provides some incentive for the contractor to control costs, as their profit is capped. However, the primary risk is that the government bears the brunt of cost overruns if the initial cost estimates are inaccurate or if unforeseen issues arise. Robust oversight, detailed cost tracking, and clear performance milestones are essential to mitigate these risks and ensure the government receives good value.
What is the track record of University Research Co., LLC in managing similar international development projects, particularly those involving smart city or security initiatives?
University Research Co., LLC (URC) has a significant history in global health and international development. Their work often focuses on improving health systems, providing technical assistance, and implementing programs in various countries. While their expertise is well-established in areas like public health, specific experience directly managing large-scale 'smart city' or urban security technology projects might be less prominent compared to their health-focused initiatives. A deeper dive into URC's project portfolio would be necessary to ascertain the extent of their direct experience in this specific domain.
How does the $8.4 million award compare to other USAID-funded smart city or urban development projects in Latin America?
Without specific data on comparable USAID projects in Latin America focused on 'smart cities,' a direct comparison is difficult. However, $8.4 million over five years ($1.68 million annually) is a moderate investment for a project of this nature. Larger, more infrastructure-intensive smart city projects, especially those involving significant hardware deployment or major civil works, could easily run into tens or hundreds of millions of dollars. This contract likely focuses on the technical assistance, planning, policy development, and potentially pilot technology implementations rather than large-scale infrastructure build-out.
What are the key performance indicators (KPIs) that will be used to measure the success of the 'Smart and Secure Cities Project' in Guatemala?
The provided summary data does not include specific Key Performance Indicators (KPIs) for this contract. Typically, KPIs for such a project would be detailed in the contract's Statement of Work (SOW) or Performance Work Statement (PWS). They would likely relate to improvements in urban service delivery efficiency, crime reduction rates, citizen satisfaction with city services, adoption of new technologies, and the sustainability of implemented solutions. The absence of this information in the summary highlights a need for further detail to assess project success.
What is the historical spending pattern of USAID on professional, scientific, and technical services in Guatemala, and how does this contract fit within that trend?
Analyzing USAID's historical spending patterns in Guatemala for 'professional, scientific, and technical services' (NAICS 541990 and related codes) would require access to detailed federal procurement data. Generally, USAID allocates significant funds to technical assistance, capacity building, and project implementation in partner countries. This $8.4 million contract appears to be a substantial, but not necessarily outlier, investment within the context of a multi-year development initiative. Its specific fit within historical trends would depend on whether USAID has previously funded similar 'smart city' or security-focused technical projects in Guatemala.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 6
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 5404 WISCONSIN AVE, CHEVY CHASE, MD, 20815
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $47,359,235
Exercised Options: $47,359,235
Current Obligation: $8,433,908
Actual Outlays: $4,591,220
Subaward Activity
Number of Subawards: 1
Total Subaward Amount: $175,000
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: 7200AA21D00022
IDV Type: IDC
Timeline
Start Date: 2024-02-02
Current End Date: 2029-02-01
Potential End Date: 2029-02-01 00:00:00
Last Modified: 2026-03-20
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