Commodity Futures Trading Commission awards $3.77M contract for executive assistant support to Strativia LLC under SBA 8(a) program

Contract Overview

Contract Amount: $3,772,984 ($3.8M)

Contractor: Strativia LLC

Awarding Agency: Commodity Futures Trading Commission

Start Date: 2021-05-24

End Date: 2025-05-23

Contract Duration: 1,460 days

Daily Burn Rate: $2.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: EXECUTIVE ASSISTANT SUPPORT UNDER SBA 8(A) PROGRAM

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20581

State: District of Columbia Government Spending

Plain-Language Summary

Commodity Futures Trading Commission obligated $3.8 million to STRATIVIA LLC for work described as: EXECUTIVE ASSISTANT SUPPORT UNDER SBA 8(A) PROGRAM Key points: 1. Contract awarded through the SBA 8(a) program, indicating a focus on supporting small, disadvantaged businesses. 2. The contract type is 'Labor Hours', suggesting payment based on the time and effort of personnel. 3. The duration of the contract is 1460 days, spanning approximately four years. 4. The award was made to a single contractor, Strativia LLC. 5. The North American Industry Classification System (NAICS) code is 541611, pertaining to Administrative Management and General Management Consulting Services. 6. The contract was not competed, suggesting a sole-source or limited competition scenario.

Value Assessment

Rating: questionable

The contract value of $3.77 million over approximately four years for executive assistant support appears high when considering the nature of the services. Without specific details on the scope of duties and the number of personnel, it is difficult to benchmark the value effectively. However, typical executive assistant support roles, even at senior levels, often fall within a lower cost range unless highly specialized or requiring extensive administrative functions for multiple high-level executives. The 'Labor Hours' contract type can also lead to cost overruns if not managed tightly.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was explicitly noted as 'NOT AVAILABLE FOR COMPETITION', indicating a sole-source award. This means the Commodity Futures Trading Commission (CFTC) identified Strativia LLC as the only eligible or capable source for this requirement. The reasons for this sole-source determination are not provided, but it bypasses the standard competitive bidding process, potentially limiting price discovery and the opportunity for other qualified vendors to bid.

Taxpayer Impact: Sole-source awards mean taxpayers may not be receiving the best possible price, as competition is a key driver for cost savings. The absence of a competitive process prevents verification of whether the selected contractor offers the most cost-effective solution.

Public Impact

The primary beneficiaries are the executives and staff within the Commodity Futures Trading Commission who will receive administrative and management support. The services delivered include administrative management and general management consulting, aimed at improving operational efficiency. The geographic impact is concentrated in the District of Columbia, where the CFTC is headquartered. Workforce implications are direct for Strativia LLC, which will provide personnel for these roles, and indirect for CFTC staff who will receive support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpayment and reduced value for taxpayer funds.
The 'Labor Hours' contract type carries inherent risks of cost escalation if not meticulously monitored.
The specific scope of 'executive assistant support' is broad and could encompass a wide range of tasks, making value assessment difficult without further detail.

Positive Signals

Awarding through the SBA 8(a) program supports small, disadvantaged businesses, aligning with federal small business contracting goals.
The contract provides a stable, long-term engagement for Strativia LLC, fostering business growth.
The CFTC is ensuring continuity of essential administrative functions through this award.

Sector Analysis

This contract falls within the administrative and management consulting services sector, a broad category supporting government operations. The market for such services is competitive, with numerous firms offering administrative support and consulting. However, specific set-aside programs like the SBA 8(a) program create designated channels for certain types of businesses. Benchmarking this specific contract is challenging without knowing the exact deliverables and the level of expertise required, but general administrative support services are widely available across the federal contracting landscape.

Small Business Impact

This contract was awarded under the Small Business Administration's (SBA) 8(a) Business Development program, which aims to help small, disadvantaged businesses compete for and win federal contracts. As an 8(a) sole-source award, it directly supports Strativia LLC, a participant in this program. This mechanism ensures that a portion of federal contracting dollars is directed towards businesses that might otherwise face barriers to entry. There is no explicit mention of subcontracting requirements in the provided data, but typically, 8(a) contracts may have subcontracting goals, especially if the prime contractor lacks the full capacity to perform all aspects of the work.

Oversight & Accountability

Oversight for this contract would primarily fall under the Commodity Futures Trading Commission's contracting officers and program managers. They are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. The contract's duration and 'Labor Hours' nature necessitate diligent oversight to manage costs and ensure the services provided align with the stated objectives. Transparency is limited due to the sole-source nature of the award, but contract performance data should be available through federal procurement databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

SBA 8(a) Business Development Program
Administrative Support Services Contracts
Management Consulting Services Contracts
Commodity Futures Trading Commission Operations

Risk Flags

Sole-source award bypasses competition, potentially impacting value for money.
Labor hours contract type requires diligent oversight to control costs.
High contract value for administrative support warrants scrutiny of scope and deliverables.

Frequently Asked Questions

What is this federal contract paying for?

Commodity Futures Trading Commission awarded $3.8 million to STRATIVIA LLC. EXECUTIVE ASSISTANT SUPPORT UNDER SBA 8(A) PROGRAM

Who is the contractor on this award?

The obligated recipient is STRATIVIA LLC.

Which agency awarded this contract?

Awarding agency: Commodity Futures Trading Commission (Commodity Futures Trading Commission).

What is the total obligated amount?

The obligated amount is $3.8 million.

What is the period of performance?

Start: 2021-05-24. End: 2025-05-23.

What specific tasks and responsibilities are included under 'Executive Assistant Support' for this contract?

The provided data does not detail the specific tasks and responsibilities encompassed by 'Executive Assistant Support'. Typically, this can range from managing calendars, scheduling meetings, preparing correspondence, making travel arrangements, and handling phone calls to more complex duties like preparing reports, conducting research, and assisting with project management. For this contract, given the NAICS code 541611 (Administrative Management and General Management Consulting Services), the scope might extend beyond basic administrative duties to include advisory or consulting functions related to administrative processes. A detailed Statement of Work (SOW) would be necessary to fully understand the scope and ensure appropriate value for money.

How does the $3.77 million contract value compare to similar executive assistant support contracts awarded by federal agencies?

Benchmarking this $3.77 million contract value for executive assistant support is challenging without a precise definition of the services and the number of personnel involved. However, for standard executive assistant roles, the average federal salary plus benefits and overhead typically falls significantly below the implied annual cost of this contract (approximately $940,000 per year). This contract's value might be justified if it involves supporting multiple high-level executives, requires specialized skills beyond typical administrative support (e.g., policy analysis, budget tracking, extensive project coordination), or includes significant consulting components as suggested by the NAICS code. Without a detailed breakdown of labor hours, rates, and specific duties, a direct comparison to standard administrative support contracts is difficult, but the overall value appears high for what is commonly understood as executive assistant support.

What are the potential risks associated with a sole-source award for administrative support services?

Sole-source awards, like this one to Strativia LLC, carry several risks. Primarily, the absence of competition means the government cannot be certain it is obtaining the best possible price or the most innovative solution. This can lead to overpayment and reduced value for taxpayer money. There's also a risk that the selected contractor may not be as responsive or efficient as they might be under competitive pressure. Furthermore, without a competitive process, it's harder to assess the contractor's true capabilities and track record against potential alternatives. The government must have a strong justification for a sole-source award to mitigate these risks, often relying on specific program requirements or unique capabilities.

What is the significance of awarding this contract under the SBA 8(a) program?

The significance of awarding this contract under the SBA 8(a) program is that it directly supports the government's mandate to provide opportunities for small businesses owned and controlled by socially and economically disadvantaged individuals. Strativia LLC, as an 8(a) certified company, benefits from this program by receiving direct access to federal contracting opportunities, often through sole-source or limited competition awards. This mechanism helps these businesses grow, gain experience, and become more competitive in the broader federal marketplace. For the agency (CFTC), it fulfills a portion of its small business contracting goals and ensures that these businesses contribute to government services.

How does the 'Labor Hours' contract type impact cost control and performance monitoring for this executive assistant support contract?

The 'Labor Hours' contract type means the government pays for the actual time spent by contractor personnel on the contract, plus a fixed hourly rate. This type of contract is often used when the scope of work is not clearly defined or when the level of effort is uncertain. For this executive assistant support contract, it implies that the CFTC will be billed based on the hours Strativia LLC employees work. This necessitates robust monitoring by the CFTC to ensure that only necessary hours are being worked and that the personnel are performing efficiently. Without strict oversight, 'Labor Hours' contracts can lead to cost overruns if hours are inflated or if the work is not completed as efficiently as possible. Performance is typically measured by the successful completion of tasks within the allocated time, but the 'labor hours' aspect focuses heavily on tracking and validating the time spent.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 9523ZY21R0001

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 1401 MERCANTILE LANE SUITE 501, LARGO, MD, 20774

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,014,591

Exercised Options: $4,014,591

Current Obligation: $3,772,984

Actual Outlays: $3,597,862

Contract Characteristics

Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Timeline