DFIC awards $3.9M labor support contract to Northramp LLC for policy governance division

Contract Overview

Contract Amount: $3,944,330 ($3.9M)

Contractor: Northramp LLC

Awarding Agency: U.S. International Development Finance Corporation

Start Date: 2023-12-08

End Date: 2026-11-25

Contract Duration: 1,083 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: POLICY GOVERNANCE DIVISION LABOR SUPPORT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20527

State: District of Columbia Government Spending

Plain-Language Summary

U.S. International Development Finance Corporation obligated $3.9 million to NORTHRAMP LLC for work described as: POLICY GOVERNANCE DIVISION LABOR SUPPORT Key points: 1. Contract value represents a moderate investment in specialized policy support services. 2. Full and open competition suggests a potentially competitive bidding environment. 3. Contract duration of nearly three years allows for sustained support. 4. Labor hours pricing model offers flexibility but requires careful monitoring for efficiency. 5. The contract aligns with DFC's mission to advance U.S. foreign policy and national interests. 6. Focus on policy governance indicates a need for expert advisory and analytical capabilities.

Value Assessment

Rating: good

The contract value of $3.9 million over approximately three years for policy governance labor support appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for expert advisory and analytical support within federal agencies suggests this is within a typical range. The labor hours pricing model, while common, necessitates diligent oversight to ensure cost-effectiveness and prevent scope creep. Without specific performance metrics or detailed cost breakdowns, a precise value-for-money assessment is challenging, but the competitive award process provides a positive signal.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. This approach generally fosters a competitive environment, encouraging multiple bidders to present their best pricing and technical solutions. The specific number of bidders is not provided, but the method of competition suggests that the DFC sought to maximize choice and potentially achieve better pricing through a robust bidding process. This method is preferred for ensuring fair market access and optimal resource allocation.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider range of innovative solutions, potentially reducing overall costs for government services.

Public Impact

The U.S. International Development Finance Corporation (DFC) benefits from enhanced policy governance and operational support. Services delivered include specialized labor support crucial for policy development and implementation. The contract's impact is primarily within the DFC's operational framework, supporting its mission. Workforce implications include the engagement of specialized personnel to fulfill contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if labor hours are not managed efficiently.
Dependence on a single contractor for critical policy support functions.
Risk of knowledge transfer gaps if personnel turnover is high.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Contract duration allows for stability and continuity of services.
Focus on specialized policy support aligns with agency needs.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on management and technical consulting. The market for such services is large and competitive, with numerous firms offering expertise in policy analysis, governance, and program support. Comparable spending benchmarks for similar federal contracts often range from hundreds of thousands to several million dollars, depending on the scope, duration, and specialization required. The DFC's investment aligns with broader government trends in seeking external expertise to enhance policy effectiveness and operational efficiency.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). As such, there are no direct subcontracting implications mandated by a small business set-aside. However, the prime contractor, Northramp LLC, may choose to engage small businesses as subcontractors to fulfill certain aspects of the contract, which could contribute to the small business ecosystem. The absence of a set-aside means that larger, more established firms were likely the primary participants in the competition.

Oversight & Accountability

Oversight for this contract will likely be managed by the U.S. International Development Finance Corporation's contracting officers and program managers. Accountability measures would be embedded within the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through the federal procurement data system where contract awards are reported. While specific Inspector General jurisdiction is not detailed here, the DFC's Office of Inspector General typically oversees agency programs and contracts for waste, fraud, and abuse.

Related Government Programs

Policy Analysis Services
Management and Consulting Services
Government Support Contracts
International Development Programs

Risk Flags

Potential for cost overruns due to labor-hour pricing.
Lack of specific performance metrics in the provided data.
Limited insight into the number of bidders in the competition.

Frequently Asked Questions

What is this federal contract paying for?

U.S. International Development Finance Corporation awarded $3.9 million to NORTHRAMP LLC. POLICY GOVERNANCE DIVISION LABOR SUPPORT

Who is the contractor on this award?

The obligated recipient is NORTHRAMP LLC.

Which agency awarded this contract?

Awarding agency: U.S. International Development Finance Corporation (U.S. International Development Finance Corporation).

What is the total obligated amount?

The obligated amount is $3.9 million.

What is the period of performance?

Start: 2023-12-08. End: 2026-11-25.

What is Northramp LLC's track record with federal contracts, particularly in policy governance or similar service areas?

Information regarding Northramp LLC's specific track record with federal contracts, especially in policy governance or closely related fields, is not detailed in the provided data snippet. A comprehensive assessment would require reviewing historical contract awards, performance evaluations (if publicly available), and any past performance information submitted during the bidding process. Federal procurement databases like SAM.gov or FPDS can offer insights into a contractor's history, including the types of services provided, contract values, and agencies served. Without this specific historical data, it is difficult to definitively assess Northramp LLC's experience and past performance in this specialized domain.

How does the $3.9 million contract value compare to similar policy governance support contracts awarded by other federal agencies?

The $3.9 million contract value for policy governance labor support over approximately three years is a moderate investment. To benchmark effectively, one would compare it to contracts for similar services (e.g., policy analysis, strategic planning, program management support) awarded by agencies like the State Department, USAID, or other entities involved in international affairs or policy development. Factors such as contract duration, scope of work, required expertise, and geographic location of services influence pricing. Generally, contracts of this magnitude suggest a need for specialized, ongoing support rather than short-term, project-specific assistance. A detailed comparison would involve analyzing the number of labor hours, skill levels required, and specific deliverables outlined in comparable solicitations and awards.

What are the primary risks associated with this contract, and what mitigation strategies are likely in place?

Primary risks associated with this labor-hour contract include potential cost overruns if work is inefficiently managed or scope creep occurs. There's also a risk of over-reliance on the contractor for critical functions and potential knowledge transfer gaps if key personnel leave. Mitigation strategies likely involve robust contract oversight by the DFC, including regular performance reviews, detailed progress reporting, and strict adherence to defined scope. The use of a labor-hour contract necessitates careful monitoring of hours expended against milestones and deliverables. The DFC may also implement knowledge management processes to ensure continuity and reduce dependence on specific individuals.

How effective is the 'labor hours' contract type for ensuring value for money in policy governance support?

The 'labor hours' contract type can be effective for ensuring value for money in policy governance support when managed diligently, but it also carries inherent risks. Its primary advantage is flexibility, allowing the DFC to adapt to evolving needs and unforeseen requirements common in policy work. This flexibility can prevent the need for costly contract modifications. However, value for money is contingent on the contractor's efficiency and the agency's oversight. Without clear performance metrics and vigilant monitoring of hours worked relative to progress and outcomes, labor-hour contracts can lead to inflated costs. The DFC must ensure that the contractor's proposed labor rates are competitive and that work is performed efficiently to realize the full value.

What is the historical spending pattern for policy governance support at the U.S. International Development Finance Corporation?

Historical spending patterns for policy governance support at the U.S. International Development Finance Corporation (DFC) are not detailed in the provided data. To understand this, one would need to analyze past contract awards related to policy, strategic planning, and governance functions within the DFC or its predecessor organizations (like the Overseas Private Investment Corporation - OPIC). This analysis would involve examining the frequency, value, and duration of previous contracts, as well as the types of services procured and the contractors utilized. Such a review would reveal trends in how the DFC has historically resourced its policy governance functions, whether through internal staff, sole-source contracts, or competitive procurements, and identify any significant shifts in spending over time.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 77344424Q0014

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 1818 LIBRARY ST, RESTON, VA, 20190

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $5,002,538

Exercised Options: $3,944,330

Current Obligation: $3,944,330

Actual Outlays: $2,557,745

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 77344422A0003

IDV Type: BPA

Timeline