HHS awards $1.2M for Transportation Support to Southwest Key Programs Inc. under full and open competition

Contract Overview

Contract Amount: $12,198,090 ($12.2M)

Contractor: Southwest KEY Programs Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2020-04-24

End Date: 2020-09-30

Contract Duration: 159 days

Daily Burn Rate: $76.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Transportation

Official Description: ASSET DEPLOYMENT TASK AREA -TRANSPORTATION SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20201

State: District of Columbia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.2 million to SOUTHWEST KEY PROGRAMS INC for work described as: ASSET DEPLOYMENT TASK AREA -TRANSPORTATION SUPPORT Key points: 1. Spending of $1.2M on emergency relief services. 2. Contract awarded via full and open competition. 3. Potential risk associated with time and materials pricing. 4. Sector: Transportation support services.

Value Assessment

Rating: fair

The contract value of $1.2M for a 5-month period appears reasonable for specialized transportation support. Benchmarking against similar HHS contracts for emergency relief services is needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the use of Time and Materials pricing may limit price discovery and could lead to cost overruns if not closely managed.

Taxpayer Impact: Taxpayer funds are utilized for essential transportation support services during a critical period. The competitive award aims to ensure value, but T&M pricing requires vigilant oversight to control costs.

Public Impact

Ensures critical transportation services for emergency relief efforts. Supports vulnerable populations by facilitating access to essential services. Demonstrates government's ability to procure necessary support rapidly.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the broader category of support services for government agencies, specifically related to transportation. Spending benchmarks for similar emergency relief transportation contracts are not readily available but are typically driven by demand and urgency.

Small Business Impact

The contract was awarded to Southwest Key Programs Inc., a non-profit organization. There is no specific indication of small business subcontracting in the provided data.

Oversight & Accountability

The use of Time and Materials pricing necessitates robust oversight from the Department of Health and Human Services to monitor hours, costs, and ensure efficient service delivery, preventing potential waste.

Related Government Programs

Risk Flags

Tags

emergency-and-other-relief-services, department-of-health-and-human-services, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.2 million to SOUTHWEST KEY PROGRAMS INC. ASSET DEPLOYMENT TASK AREA -TRANSPORTATION SUPPORT

Who is the contractor on this award?

The obligated recipient is SOUTHWEST KEY PROGRAMS INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Office of the Assistant Secretary for Administration).

What is the total obligated amount?

The obligated amount is $12.2 million.

What is the period of performance?

Start: 2020-04-24. End: 2020-09-30.

What is the specific nature of the 'Emergency and Other Relief Services' provided under this contract?

The data indicates the contract is for 'Emergency and Other Relief Services' within the Transportation Support Task Area. This likely involves logistical support, transportation of personnel or supplies, and potentially patient movement related to emergency situations or public health initiatives managed by HHS.

What are the potential risks associated with the Time and Materials (T&M) pricing structure for this contract?

The primary risk with T&M is the potential for cost escalation as the contractor is reimbursed for actual labor hours and material costs. Without strict controls and clear task definitions, this can lead to higher-than-expected expenditures and reduced cost certainty for the government.

How effectively does the 'full and open competition' method ensure value for money in this specific transportation support contract?

Full and open competition generally promotes value by allowing multiple qualified vendors to bid, fostering price competition. However, the effectiveness is contingent on the clarity of the solicitation, the evaluation criteria, and the subsequent management of the contract, especially given the T&M pricing.

Industry Classification

NAICS: Health Care and Social AssistanceCommunity Food and Housing, and Emergency and Other Relief ServicesEmergency and Other Relief Services

Product/Service Code: SOCIAL SERVICESSOCIAL 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: 6002 JAIN LN, AUSTIN, TX, 78721

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

Financial Breakdown

Contract Ceiling: $12,198,090

Exercised Options: $12,198,090

Current Obligation: $12,198,090

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HHSP233201500178I

IDV Type: IDC

Timeline

Start Date: 2020-04-24

Current End Date: 2020-09-30

Potential End Date: 2020-09-30 00:00:00

Last Modified: 2025-10-14

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