CFTC awards $4.2M for HR support to Grey Street Consulting, LLC, under a sole-source contract

Contract Overview

Contract Amount: $4,211,702 ($4.2M)

Contractor: Grey Street Consulting, LLC

Awarding Agency: Commodity Futures Trading Commission

Start Date: 2023-09-26

End Date: 2026-09-25

Contract Duration: 1,095 days

Daily Burn Rate: $3.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: COMPREHENSIVE HUMAN RESOURCES SUPPORT FOR CFTC

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 $4.2 million to GREY STREET CONSULTING, LLC for work described as: COMPREHENSIVE HUMAN RESOURCES SUPPORT FOR CFTC Key points: 1. Contract awarded on a sole-source basis, limiting competitive pricing benefits. 2. Duration of 1095 days suggests a need for sustained HR expertise. 3. Focus on Human Resources Consulting Services indicates support for personnel management functions. 4. Contract value of $4.2M over three years requires careful performance monitoring. 5. Geographic location in Washington D.C. aligns with agency presence.

Value Assessment

Rating: fair

The contract value of $4.2 million over three years for human resources consulting services appears to be within a reasonable range for a sole-source award of this nature. Benchmarking against similar sole-source HR support contracts is challenging due to limited public data. However, the per-unit cost, if calculated based on labor hours, would need to be compared against industry standards for HR consulting to assess value for money. The absence of competition may lead to a higher price than if the contract were competed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. The justification for this approach is not provided in the available data. Sole-source awards can limit price discovery and potentially lead to higher costs for the government compared to contracts that undergo a competitive bidding process. The lack of multiple bidders means there was no direct comparison of offers to determine the most cost-effective solution.

Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the absence of a competitive bidding process. This could result in a higher expenditure for the services rendered.

Public Impact

The Commodity Futures Trading Commission (CFTC) benefits from specialized human resources support. Services delivered include consulting on human resources functions, aiding in personnel management. The contract has a geographic impact primarily in Washington D.C., where the CFTC is headquartered. Workforce implications include potential support for CFTC's internal HR department and its employees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing.
Lack of transparency regarding the justification for sole-sourcing.
Potential for cost overruns if not closely monitored due to lack of competition.

Positive Signals

Contract awarded to a specific entity, Grey Street Consulting, LLC, suggesting a known or trusted provider.
Definitive contract type implies a clear scope and commitment.
Long-term duration (3 years) indicates a stable need for services.

Sector Analysis

The human resources consulting services sector is a vital component of government operations, supporting agencies in managing their workforce effectively. This contract falls within the professional services category, which is a significant area of federal spending. Comparable spending benchmarks for HR consulting services can vary widely based on the scope, duration, and complexity of the services required. Given the sole-source nature, direct comparison to other HR contracts is limited, but the overall market for HR consulting is robust.

Small Business Impact

This contract was not awarded as a small business set-aside, nor is there an indication of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal. The focus is on Grey Street Consulting, LLC, as the prime contractor, without specific provisions to engage smaller firms.

Oversight & Accountability

Oversight for this contract would typically fall under the Commodity Futures Trading Commission's internal procurement and program management offices. Accountability measures would be tied to the performance metrics outlined in the contract and the delivery of human resources consulting services. Transparency is limited by the sole-source nature of the award, but contract details are usually available through federal procurement databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Human Resources Management
Government Consulting Services
Commodity Futures Trading Commission Operations

Risk Flags

Sole-source award may limit price competition.
Justification for sole-sourcing not provided.
Performance metrics and oversight details not specified.

Frequently Asked Questions

What is this federal contract paying for?

Commodity Futures Trading Commission awarded $4.2 million to GREY STREET CONSULTING, LLC. COMPREHENSIVE HUMAN RESOURCES SUPPORT FOR CFTC

Who is the contractor on this award?

The obligated recipient is GREY STREET CONSULTING, 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 $4.2 million.

What is the period of performance?

Start: 2023-09-26. End: 2026-09-25.

What is the track record of Grey Street Consulting, LLC with federal contracts?

Information regarding the specific track record of Grey Street Consulting, LLC with federal contracts is not detailed in the provided data. To assess their performance, one would typically review their past contract history, including contract values, agencies served, performance evaluations (if publicly available), and any past performance issues or awards. A thorough review would involve searching federal procurement databases like SAM.gov or FPDS to identify previous awards and their associated performance metrics. Without this specific data, it is difficult to definitively assess their reliability and past success in fulfilling government requirements.

How does the value of this contract compare to similar HR consulting services procured by other federal agencies?

Direct comparison of this $4.2 million, three-year contract for HR consulting services is challenging due to its sole-source nature and the specific scope of services. However, federal agencies frequently procure HR consulting services through various contract vehicles. Competitively awarded contracts for similar services might offer a lower price point due to market competition. To benchmark effectively, one would need to identify comparable contracts, considering factors like the size of the agency being supported, the specific HR functions addressed (e.g., recruitment, compensation, policy development), and the duration. A preliminary assessment suggests the price is within a plausible range for a sole-source award, but a competitive benchmark would likely reveal potential cost savings.

What are the primary risks associated with a sole-source award for essential HR services?

The primary risks associated with a sole-source award for essential HR services include a lack of competitive pricing, potentially leading to higher costs for the government. Without competition, there is reduced incentive for the contractor to offer the most cost-effective solutions. Another risk is the potential for complacency or reduced service quality over time, as the contractor faces no immediate threat from competitors. Furthermore, the justification for the sole-source award itself might be scrutinized, raising concerns about fairness and adherence to procurement regulations. Finally, if the sole-source contractor underperforms or faces financial difficulties, the agency may have limited recourse or face significant disruption in obtaining these critical HR services.

What is the expected effectiveness of these HR consulting services for the CFTC?

The expected effectiveness of these HR consulting services for the CFTC hinges on the contractor's ability to deliver specialized expertise that enhances the agency's human resources functions. This could include improvements in recruitment, employee relations, compensation and benefits administration, performance management, and HR policy development. The three-year duration suggests a need for sustained support and potentially the implementation of longer-term HR strategies. Effectiveness will be measured by the contractor's adherence to the contract's statement of work, the quality of advice and support provided, and ultimately, the positive impact on CFTC's workforce management and operational efficiency. Regular performance reviews and feedback mechanisms will be crucial for ensuring effectiveness.

What are the historical spending patterns for HR consulting services at the CFTC or similar agencies?

Historical spending patterns for HR consulting services at the CFTC and similar agencies can provide valuable context. Agencies often engage external consultants for specialized HR needs that cannot be met by in-house staff, such as organizational restructuring, system implementation, or policy overhauls. Spending can fluctuate based on agency priorities, budget cycles, and specific projects. For instance, agencies undergoing significant change or facing complex HR challenges might see increased spending on consulting. Without specific historical data for the CFTC, one would typically look at trends in the broader federal government for HR consulting expenditures, which generally represent a consistent, albeit variable, portion of agency operating budgets. This contract's value should be assessed against these broader trends.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Human Resources Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 7605 RUSTLE RIDGE CT, FAIRFAX STATION, VA, 22039

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $4,321,047

Exercised Options: $4,321,047

Current Obligation: $4,211,702

Actual Outlays: $2,998,953

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline