USAID's $109M Alternative Livelihood contract awarded to DAI Global LLC for administrative management services

Contract Overview

Contract Amount: $109,386,801 ($109.4M)

Contractor: DAI Global LLC

Awarding Agency: Agency for International Development

Start Date: 2005-02-15

End Date: 2009-06-30

Contract Duration: 1,596 days

Daily Burn Rate: $68.5K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 6

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: ALTERNATIVE LIVLIEHOOD

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 $109.4 million to DAI GLOBAL LLC for work described as: ALTERNATIVE LIVLIEHOOD Key points: 1. Contract value of $109.4 million over 4 years suggests significant investment in program objectives. 2. Awarded under a competitive delivery order, indicating a selection from pre-qualified vendors. 3. The contract's duration and scope point to a substantial, long-term commitment to the program's goals. 4. Focus on administrative management and general consulting services implies a need for expert support in program execution. 5. The absence of small business set-aside flags suggests the primary contractor is likely a large business. 6. The contract's geographic focus on Washington D.C. may indicate a headquarters or administrative hub for the program.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or comparable project data. The $109.4 million award over approximately four years averages to about $27.35 million annually. This figure needs to be assessed against the scale and complexity of the 'Alternative Livelihood' program it supports. Without details on the program's objectives and expected outcomes, it's difficult to definitively assess value for money. However, the competitive award mechanism suggests some level of price discovery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded as a 'COMPETITIVE DELIVERY ORDER,' indicating that it was competed among multiple vendors, likely under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. This suggests a robust competition process where DAI Global LLC was selected based on factors including price, technical approach, and past performance. The presence of competition is generally positive for price discovery and ensuring the government receives the best value.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down costs through market forces and encouraging vendors to offer their best terms.

Public Impact

Beneficiaries of the 'Alternative Livelihood' program, likely individuals or communities in regions requiring economic development or transition support. Delivery of administrative management and general consulting services to support the program's operational needs. Potential geographic impact in areas where USAID implements livelihood programs, though the contract's administrative nature may centralize operations in Washington D.C. Implications for the workforce involved in program implementation, including consultants, project managers, and support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the true value for money delivered.
The 'TIME AND MATERIALS' contract type can sometimes lead to cost overruns if not carefully managed and monitored.
Limited information on the specific 'Alternative Livelihood' program objectives hinders a full understanding of the contract's impact.

Positive Signals

Awarded through a competitive process, suggesting a degree of market validation and potential for cost-effectiveness.
The significant contract value indicates a commitment to addressing important development or transition needs.
The contractor, DAI GLOBAL LLC, is a known entity in international development, suggesting experience in managing large-scale projects.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting. This sector is crucial for government operations, providing expertise in areas ranging from strategic planning to operational efficiency. The market for such services is large and competitive, with numerous firms vying for government contracts. The $109.4 million awarded to DAI Global LLC represents a significant portion of spending within this niche, highlighting the importance of specialized consulting for USAID's development initiatives.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). This suggests that the competition was open to all eligible firms, and the award was made to DAI GLOBAL LLC, which is likely a large business given the contract's value. There is no explicit information regarding subcontracting plans for small businesses within this data, which would typically be detailed in the contract's terms and conditions. The impact on the small business ecosystem would depend on whether subcontracting opportunities were mandated or voluntarily pursued by the prime contractor.

Oversight & Accountability

Oversight for this contract would primarily fall under the Agency for International Development (USAID). As a competitive delivery order, it likely adheres to standard federal procurement regulations and oversight mechanisms. Accountability measures would be embedded in the contract's terms, including performance standards, reporting requirements, and payment schedules tied to deliverables. Transparency is generally facilitated through contract award databases like FPDS, where basic information is publicly available. Specific Inspector General (IG) jurisdiction would depend on USAID's internal structure and any specific audits or investigations initiated.

Related Government Programs

USAID Development Assistance Programs
International Economic Development Contracts
Global Livelihood Improvement Initiatives
Administrative Support Services for Federal Agencies
Management and Consulting Services Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Lack of specific performance metrics makes value assessment difficult.
Limited public information on the program's specific goals and impact.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $109.4 million to DAI GLOBAL LLC. ALTERNATIVE LIVLIEHOOD

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 $109.4 million.

What is the period of performance?

Start: 2005-02-15. End: 2009-06-30.

What were the specific objectives and expected outcomes of the 'Alternative Livelihood' program funded by this contract?

The provided data does not detail the specific objectives or expected outcomes of the 'Alternative Livelihood' program. However, the contract's description as 'Administrative Management and General Management Consulting Services' suggests that DAI Global LLC was tasked with providing the operational and strategic support necessary to implement the program. This could include activities such as program planning, financial management, stakeholder coordination, monitoring and evaluation, and technical advisory services aimed at fostering economic self-sufficiency or stability in target populations. Without further documentation, the precise nature of the 'alternative livelihoods' remains undefined.

How does the $109.4 million contract value compare to similar USAID livelihood programs?

Direct comparison of the $109.4 million contract value to similar USAID livelihood programs is difficult without access to a comprehensive database of all USAID contracts and their specific scopes. However, the amount suggests a significant investment, indicative of a large-scale, multi-year initiative. USAID often manages substantial portfolios in international development, and contracts in the tens to hundreds of millions of dollars are not uncommon for major programs addressing complex issues like economic development, post-conflict stabilization, or poverty reduction. The value reflects the duration (nearly 4.5 years) and the breadth of administrative and consulting services required.

What are the key performance indicators (KPIs) used to measure the success of DAI Global LLC under this contract?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. Typically, for administrative management and consulting services, KPIs would be defined in the contract's Performance Work Statement (PWS) or Statement of Objectives (SOO). These might include metrics related to timely delivery of reports, adherence to budget, successful coordination of program activities, client satisfaction, and the effective implementation of management strategies. The 'TIME AND MATERIALS' (PT) contract type suggests that payment is based on the effort expended, making monitoring of efficiency and effectiveness crucial, though specific KPIs are not detailed here.

What is DAI Global LLC's track record with USAID and similar government contracts?

DAI Global LLC is a well-established international development company with a significant history of working with USAID and other government agencies. They have managed numerous projects globally, focusing on areas such as economic growth, governance, and social development. While this specific contract data doesn't detail their past performance ratings with USAID, DAI's longevity and consistent engagement suggest a generally positive track record. Their experience likely includes managing large-scale, complex projects similar to the 'Alternative Livelihood' program, involving extensive administrative and consulting services.

What risks are associated with a 'TIME AND MATERIALS' contract of this magnitude?

The primary risk associated with a 'TIME AND MATERIALS' (T&M) contract, especially one of this magnitude ($109.4 million), is the potential for cost overruns if not meticulously managed. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified rates and for the actual cost of materials. This structure can incentivize longer project durations or less efficient work if robust oversight and clear task definitions are lacking. For USAID, risks include exceeding the contract ceiling without a proportional increase in achieved outcomes, potential for scope creep, and the need for diligent monitoring of labor hours and resource utilization to ensure value for money.

How has spending on 'Administrative Management and General Management Consulting Services' by USAID trended over the past five years?

The provided data focuses on a single contract and does not offer historical spending trends for USAID in the 'Administrative Management and General Management Consulting Services' (NAICS code 541611) category. To analyze such trends, one would need access to comprehensive federal procurement databases (like FPDS or USASpending.gov) covering multiple years. Generally, USAID, like other large federal agencies, utilizes consulting services extensively for program management, policy development, and technical assistance. Spending in this area can fluctuate based on agency priorities, budget allocations, and the initiation of new large-scale programs or initiatives requiring specialized expertise.

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) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 6

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 7250 WOODMONT AVE STE 200, BETHESDA, MD, 20814

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $1,140,368,015

Exercised Options: $745,620,809

Current Obligation: $109,386,801

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS10F0359M

IDV Type: FSS

Timeline