USAID Contract to Nathan Associates LLC for Trade and Investment Activity Exceeds $22M

Contract Overview

Contract Amount: $22,456,266 ($22.5M)

Contractor: Nathan Associates LLC

Awarding Agency: Agency for International Development

Start Date: 2021-10-01

End Date: 2025-03-18

Contract Duration: 1,264 days

Daily Burn Rate: $17.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: THE GOAL OF THE TRADE AND INVESTMENT ACTIVITY IS TO DIVERSIFY EXPORTS AND IMPROVE REVENUE COLLECTION TO BOOST NATIONAL GDP AND HOUSEHOLD INCOME FOR GHANANIAN CITIZENS. KEY ACTIVITY OUTCOMES WILL INCLUDE IMPROVED AND INNOVATIVE IMPORT AND EXPORT PROC

Plain-Language Summary

Agency for International Development obligated $22.5 million to NATHAN ASSOCIATES LLC for work described as: THE GOAL OF THE TRADE AND INVESTMENT ACTIVITY IS TO DIVERSIFY EXPORTS AND IMPROVE REVENUE COLLECTION TO BOOST NATIONAL GDP AND HOUSEHOLD INCOME FOR GHANANIAN CITIZENS. KEY ACTIVITY OUTCOMES WILL INCLUDE IMPROVED AND INNOVATIVE IMPORT AND EXPORT PROC Key points: 1. Focus on diversifying exports and improving revenue collection for Ghana. 2. Contract aims to boost national GDP and household income. 3. Competition method is 'Full and Open', suggesting broad market engagement. 4. Sector is 'Professional, Scientific, and Technical Services', with a specific NAICS code of 541990.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The total award amount is substantial, requiring close monitoring of expenditures against the stated goals.

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. This method generally promotes competitive pricing and value for the government.

Taxpayer Impact: The ultimate taxpayer impact is intended to be positive through improved economic activity in Ghana, but direct costs are borne by US taxpayers via USAID funding.

Public Impact

Aims to enhance economic growth and income in Ghana. Focuses on improving import and export processes. Supports diversification of Ghanaian exports.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher costs.
Lack of specific performance metrics makes outcome assessment difficult.
Small business participation is not indicated.

Positive Signals

Full and open competition promotes market fairness.
Clear objective to improve national GDP and household income.
Long contract duration allows for sustained impact.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically related to international trade and economic development. Benchmarks for similar international development contracts vary widely based on scope and region.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed for small businesses in this sector.

Oversight & Accountability

USAID's oversight will be critical in managing the Cost Plus Fixed Fee structure and ensuring the achievement of stated economic development goals. Regular reporting and performance reviews are essential for accountability.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Agency for International Development Contracting
Agency for International Development Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Lack of specific performance metrics.
No indication of small business participation.
Potential for cost overruns.
Difficulty in directly attributing economic changes solely to this contract.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $22.5 million to NATHAN ASSOCIATES LLC. THE GOAL OF THE TRADE AND INVESTMENT ACTIVITY IS TO DIVERSIFY EXPORTS AND IMPROVE REVENUE COLLECTION TO BOOST NATIONAL GDP AND HOUSEHOLD INCOME FOR GHANANIAN CITIZENS. KEY ACTIVITY OUTCOMES WILL INCLUDE IMPROVED AND INNOVATIVE IMPORT AND EXPORT PROC

Who is the contractor on this award?

The obligated recipient is NATHAN ASSOCIATES 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 $22.5 million.

What is the period of performance?

Start: 2021-10-01. End: 2025-03-18.

What specific metrics will be used to measure the 'improved and innovative import and export processes' and the impact on national GDP and household income?

The provided data does not specify the metrics for success. Effective oversight would require clearly defined Key Performance Indicators (KPIs) tied to export diversification, revenue collection increases, GDP growth, and household income improvements. Without these, assessing the contract's true value and effectiveness will be challenging.

What is the risk associated with the Cost Plus Fixed Fee (CPFF) contract type in achieving value for money, given the focus on economic development outcomes?

The CPFF structure carries a risk of cost escalation, as the contractor is reimbursed for allowable costs plus a fixed fee. While it allows for flexibility in scope, it places a significant burden on the agency to meticulously track and control costs to ensure value. This is particularly relevant in long-term development projects where unforeseen challenges can arise.

How will the effectiveness of Nathan Associates LLC's services be evaluated in terms of actual economic impact in Ghana?

Effectiveness will be evaluated by tracking the achievement of the contract's stated goals: diversifying exports, improving revenue collection, and boosting GDP and household income. USAID's monitoring and evaluation framework, including independent assessments and data analysis of Ghanaian economic indicators, will be crucial to gauge the contractor's success beyond just activity completion.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 72064120R00001

Offers Received: 9

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1777 N KENT ST STE 1400, ARLINGTON, VA, 22209

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

Financial Breakdown

Contract Ceiling: $24,817,645

Exercised Options: $24,817,645

Current Obligation: $22,456,266

Actual Outlays: $21,058,753

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline