USAID's $26.1M Contract with DAI Global LLC for Overseas Services Awarded Under SAP

Contract Overview

Contract Amount: $26,157,418 ($26.2M)

Contractor: DAI Global LLC

Awarding Agency: Agency for International Development

Start Date: 2016-10-28

End Date: 2021-10-27

Contract Duration: 1,825 days

Daily Burn Rate: $14.3K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::OT::IGF OVERSEAS CONTRACT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Agency for International Development obligated $26.2 million to DAI GLOBAL LLC for work described as: IGF::OT::IGF OVERSEAS CONTRACT Key points: 1. Contract value of $26.1 million over 5 years. 2. Awarded under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller procurements. 3. Competition method is 'COMPETED UNDER SAP', indicating some level of competition within SAP limits. 4. The 'All Other Professional, Scientific, and Technical Services' NAICS code covers a broad range of activities.

Value Assessment

Rating: fair

The contract value is substantial, but without specific benchmarks for 'All Other Professional, Scientific, and Technical Services' under SAP, a precise pricing assessment is difficult. The Time and Materials (T&M) pricing structure can lead to cost overruns if not managed carefully.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'COMPETED UNDER SAP', which implies competition was limited to vendors eligible for simplified acquisitions. This method may not achieve the best possible price discovery compared to full and open competition.

Taxpayer Impact: The use of SAP and T&M pricing could potentially lead to higher costs for taxpayers if not rigorously monitored for efficiency and necessity.

Public Impact

Supports international development efforts through professional, scientific, and technical services. The contract duration of 5 years provides stability for program execution. Services are provided in the District of Columbia, potentially impacting local economy and workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) pricing can be prone to cost escalation.
SAP competition may limit price competitiveness.
Broad NAICS code makes specific service evaluation challenging.

Positive Signals

Contract awarded to a known entity (DAI GLOBAL LLC).
Some level of competition was present.
Long-term contract provides program continuity.

Sector Analysis

This contract falls under professional, scientific, and technical services, a broad category. Spending in this sector can vary widely depending on agency mission and specific project needs. Benchmarks are difficult without more granular service details.

Small Business Impact

The contract was awarded under SAP, which is intended to facilitate purchases from small businesses. However, the data does not explicitly state if small businesses were involved in this specific award or if DAI Global LLC is a small business.

Oversight & Accountability

Oversight would typically involve regular performance reviews, financial audits, and adherence to contract terms by the Agency for International Development. The use of T&M pricing necessitates close monitoring of labor hours and costs.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Agency for International Development Contracting
Agency for International Development Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Limited competition under SAP may not yield the best value.
Broad NAICS code lacks specificity for detailed performance evaluation.
Lack of explicit small business participation data.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $26.2 million to DAI GLOBAL LLC. IGF::OT::IGF OVERSEAS CONTRACT

Who is the contractor on this award?

The obligated recipient is DAI GLOBAL LLC.

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 $26.2 million.

What is the period of performance?

Start: 2016-10-28. End: 2021-10-27.

What specific services are encompassed by 'All Other Professional, Scientific, and Technical Services' in this contract, and how do they align with USAID's mission objectives?

The broad NAICS code '541990' suggests a wide array of potential services, from research and development support to specialized consulting and technical assistance. Understanding the precise nature of these services is crucial to assess their direct contribution to USAID's international development goals and to ensure the funds are being utilized effectively for intended programmatic outcomes.

What measures are in place to mitigate the risks associated with Time and Materials (T&M) contract type, particularly concerning cost control and preventing scope creep?

Effective mitigation for T&M contracts involves robust oversight, including detailed tracking of labor hours, rates, and direct costs. USAID should implement strict approval processes for all expenditures, conduct regular performance reviews to ensure work aligns with objectives, and establish clear ceilings or not-to-exceed clauses to prevent uncontrolled cost escalation and scope creep.

How does the competition under SAP for this contract compare to potential outcomes under full and open competition in terms of cost savings and vendor innovation?

Competition under SAP is generally less extensive than full and open competition, potentially limiting the number of bidders and the range of innovative solutions. While SAP aims for efficiency in smaller procurements, it might not yield the same level of cost savings or access to the broadest pool of talent and technology as a full and open solicitation, especially for a contract of this value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 7600 WISCONSIN AVE STE 200, BETHESDA, MD, 20814

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $26,157,418

Exercised Options: $26,157,418

Current Obligation: $26,157,418

Actual Outlays: $11,511,931

Subaward Activity

Number of Subawards: 26

Total Subaward Amount: $4,633,348

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: AIDEEME000500002

IDV Type: BPA

Timeline