USAID awards $59.3M contract for professional services to DT GLOBAL INC, with $5.9M additional funding

Contract Overview

Contract Amount: $59,293,811 ($59.3M)

Contractor: DT Global Inc

Awarding Agency: Agency for International Development

Start Date: 2020-08-12

End Date: 2025-02-26

Contract Duration: 1,659 days

Daily Burn Rate: $35.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: FUND THE ACTIVITY BY $5,877,918

Plain-Language Summary

Agency for International Development obligated $59.3 million to DT GLOBAL INC for work described as: FUND THE ACTIVITY BY $5,877,918 Key points: 1. Contract value of $59.3M indicates significant investment in professional services. 2. DT GLOBAL INC is the sole awardee, raising questions about competition. 3. The contract spans over five years, suggesting a long-term need. 4. The 'All Other Professional, Scientific, and Technical Services' NAICS code is broad, potentially masking specific service areas.

Value Assessment

Rating: fair

The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed carefully. Benchmarking against similar contracts is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Despite being awarded as a definitive contract, the description implies full and open competition. However, the single awardee raises concerns about the effectiveness of the competition process in achieving the best value.

Taxpayer Impact: Taxpayer funds are being utilized for professional services, with the potential for cost efficiencies dependent on robust oversight and competitive pricing.

Public Impact

Supports critical international development activities through professional services. Potential for job creation within the professional services sector. Ensures continuity of essential services for the Agency for International Development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category. Spending in this sector is substantial across government, supporting diverse operational needs.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract award.

Oversight & Accountability

The duration and value of this contract necessitate strong oversight from USAID to ensure performance, cost control, and adherence to contract terms.

Related Government Programs

Risk Flags

Tags

all-other-professional-scientific-and-te, agency-for-international-development, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $59.3 million to DT GLOBAL INC. FUND THE ACTIVITY BY $5,877,918

Who is the contractor on this award?

The obligated recipient is DT GLOBAL INC.

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 $59.3 million.

What is the period of performance?

Start: 2020-08-12. End: 2025-02-26.

What specific professional, scientific, and technical services are being procured under this contract, and how do they align with USAID's mission objectives?

The NAICS code 541990 is very broad. Understanding the specific deliverables, such as research, consulting, or technical assistance, is crucial to assess the value and effectiveness of this $59.3 million award. Without this detail, it's difficult to determine if the funds are optimally allocated towards USAID's strategic goals.

Given the 'full and open competition' designation, why was there only one awardee, and what mechanisms were in place to ensure a competitive price?

A single award under full and open competition can sometimes indicate a highly specialized requirement or a lack of sufficient bidder interest. It is important to review the solicitation documents and award justification to understand the rationale. Robust price negotiation and cost analysis by the agency are critical to ensure taxpayer value when competition is limited in practice.

How will the Cost Plus Fixed Fee (CPFF) structure be managed to mitigate risks of cost overruns and ensure efficient use of taxpayer funds over the contract's five-year term?

CPFF contracts require vigilant oversight. USAID must implement stringent monitoring of DT GLOBAL INC's costs, regular audits, and performance reviews. Clear milestones and performance metrics tied to the fixed fee are essential to incentivize efficiency and prevent scope creep or unnecessary expenditures, ensuring the $59.3 million is spent effectively.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll 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: SEALED BID

Solicitation ID: 72066818R00002

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: DT Global LLC

Address: 1625 I STREET, NW SUITE 200, WASHINGTON, DC, 20006

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

Financial Breakdown

Contract Ceiling: $66,698,643

Exercised Options: $66,698,643

Current Obligation: $59,293,811

Actual Outlays: $52,525,594

Subaward Activity

Number of Subawards: 25

Total Subaward Amount: $4,007,215

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2020-08-12

Current End Date: 2025-02-26

Potential End Date: 2025-02-26 00:00:00

Last Modified: 2025-05-30

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