USAID's $103.7M maternal/child health contract to Management Sciences for Health, Inc. aims to reduce mortality

Contract Overview

Contract Amount: $103,729,979 ($103.7M)

Contractor: Management Sciences for Health, Inc.

Awarding Agency: Agency for International Development

Start Date: 2016-11-14

End Date: 2024-06-06

Contract Duration: 2,761 days

Daily Burn Rate: $37.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF THE PURPOSE OF THIS ACTIVITY IS TO REDUCE MATERNAL, NEWBORN, AND CHILD MORBIDITY AND MORTALITY. TO ACCOMPLISH THIS, THE CONTRACTOR IS REQUIRED TO EXECUTE INTERVENTIONS IN HSS AND THE FOUR CORE TECHNICAL AREAS FP RH, MNCH, MALARIA, AND WASH THAT CONTRIBUTE TO THE ACHIEVEMENT OF THE FOUR INTERRELATED AND INTERDEPENDENT INTERMEDIATE RESULTS (IRS): IR.1 ACCESS TO PRIORITY HEALTH SERVICES INCREASED IR.2 QUALITY OF PRIORITY HEALTH SERVICES IMPROVED IR.3 PERFORMANCE OF HEALTH SYSTEMS STRENGTHENED IR.4 DEMAND FOR PRIORITY HEALTH SERVICES INCREASED

Plain-Language Summary

Agency for International Development obligated $103.7 million to MANAGEMENT SCIENCES FOR HEALTH, INC. for work described as: IGF::OT::IGF THE PURPOSE OF THIS ACTIVITY IS TO REDUCE MATERNAL, NEWBORN, AND CHILD MORBIDITY AND MORTALITY. TO ACCOMPLISH THIS, THE CONTRACTOR IS REQUIRED TO EXECUTE INTERVENTIONS IN HSS AND THE FOUR CORE TECHNICAL AREAS FP RH, MNCH, MALARIA, AND WASH THAT CONTRIBUTE TO THE ACH… Key points: 1. Focuses on critical health interventions in maternal, newborn, child health, malaria, and WASH. 2. Aims to increase access, improve quality, strengthen health systems, and boost demand for health services. 3. Contract duration of over 7 years suggests a long-term commitment to program goals. 4. The contract's broad scope indicates a significant investment in global health initiatives. 5. Performance is tied to achieving specific intermediate results in health service delivery and system strengthening. 6. The use of a Cost Plus Fixed Fee (CPFF) award type warrants scrutiny of cost efficiencies.

Value Assessment

Rating: fair

The contract's value of over $103 million over more than seven years represents a substantial investment in global health. Benchmarking this against similar large-scale international health programs is challenging due to the unique scope and geographic focus. The CPFF award type, while allowing flexibility, can sometimes lead to less cost control compared to fixed-price contracts. However, for complex, long-term development projects, it can be appropriate for managing unforeseen challenges.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple offerors had the opportunity to bid. The presence of 7 bids suggests a competitive process, which is generally favorable for price discovery and ensuring the government receives competitive proposals. The specific details of the competition, such as the number of technically acceptable proposals, are not provided but the initial broad competition is a positive indicator.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more cost-effective solutions and better value for the funds expended.

Public Impact

Beneficiaries include mothers, newborns, and children in target regions, aiming to improve their health outcomes. Services delivered encompass interventions in family planning, reproductive health, maternal and child health, malaria prevention, and water, sanitation, and hygiene (WASH). Geographic impact is likely broad, focusing on regions with high rates of maternal, newborn, and child morbidity and mortality. Workforce implications may include training and capacity building for local healthcare providers and community health workers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) award type may incentivize higher costs if not closely monitored.
Long contract duration (over 7 years) requires sustained oversight to ensure continued effectiveness and adaptation to changing needs.
Measuring the direct impact of interventions on morbidity and mortality can be complex and require robust data collection.

Positive Signals

Awarded under full and open competition, suggesting a robust selection process.
Clear objectives focused on reducing maternal, newborn, and child morbidity and mortality, addressing critical global health issues.
Contract structure supports long-term interventions necessary for sustainable health system improvements.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on global health and development. The market for such services is characterized by a mix of large international non-governmental organizations (NGOs), specialized consulting firms, and academic institutions. Spending in this area is significant, driven by government agencies like USAID and international bodies aiming to improve health outcomes in developing countries. Comparable spending benchmarks would involve analyzing other large-scale USAID health programs or similar initiatives funded by organizations like the Global Fund or WHO.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions or subcontracting goals for this contract. As a large, comprehensive global health program, it is likely that prime contractors would engage various subcontractors, potentially including small businesses, for specialized services. However, without explicit set-aside requirements, the direct impact on small businesses is not guaranteed and would depend on the prime contractor's subcontracting strategy.

Oversight & Accountability

Oversight for this contract would primarily reside with the Agency for International Development (USAID), likely through its contracting officers and program officials. Accountability measures would be tied to the achievement of the stated intermediate results and the effective utilization of funds. Transparency would be facilitated through reporting requirements mandated by the contract and potentially through public-facing USAID project information portals. Inspector General jurisdiction would apply for any investigations into fraud, waste, or abuse.

Related Government Programs

Global Health Security Agenda
President's Malaria Initiative
PEPFAR (President's Emergency Plan for AIDS Relief)
USAID Maternal and Child Health Programs
Water, Sanitation, and Hygiene (WASH) Initiatives

Risk Flags

Cost Plus Fixed Fee (CPFF) award type requires diligent oversight to manage costs.
Long contract duration necessitates sustained monitoring for effectiveness and adaptation.
Measuring direct impact on morbidity and mortality can be complex.
Potential for political instability or policy changes in implementing countries.
Logistical and supply chain challenges in diverse operational environments.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $103.7 million to MANAGEMENT SCIENCES FOR HEALTH, INC.. IGF::OT::IGF THE PURPOSE OF THIS ACTIVITY IS TO REDUCE MATERNAL, NEWBORN, AND CHILD MORBIDITY AND MORTALITY. TO ACCOMPLISH THIS, THE CONTRACTOR IS REQUIRED TO EXECUTE INTERVENTIONS IN HSS AND THE FOUR CORE TECHNICAL AREAS FP RH, MNCH, MALARIA, AND WASH THAT CONTRIBUTE TO THE ACHIEVEMENT OF THE FOUR INTERRELATED AND INTERDEPENDENT INTERMEDIATE RESULTS (IRS): IR.1 ACCESS TO PRIORITY HEALTH SERVICES INCREASED IR.2 QUALITY OF PRIORITY HEALTH SERVICES IMPROVED IR.3 PERFORMANCE OF HEALTH SYSTEMS STRE

Who is the contractor on this award?

The obligated recipient is MANAGEMENT SCIENCES FOR HEALTH, INC..

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 $103.7 million.

What is the period of performance?

Start: 2016-11-14. End: 2024-06-06.

What is the historical spending trend for USAID's maternal, newborn, and child health initiatives?

USAID has consistently allocated significant resources to maternal, newborn, and child health (MNCH) programs as a core component of its global health strategy. Historical spending data reveals a sustained commitment, with annual allocations often in the hundreds of millions of dollars across various projects and mechanisms. These investments aim to address high rates of preventable deaths in low-resource settings through a combination of direct service delivery, health systems strengthening, and capacity building. The specific allocation for MNCH initiatives can fluctuate based on global health priorities, emerging challenges, and the agency's overall budget. Analyzing trends over the past decade shows a strategic focus on integrated approaches, combining MNCH with other critical areas like family planning, nutrition, and infectious disease control, as exemplified by the contract with Management Sciences for Health, Inc.

How does the performance of Management Sciences for Health, Inc. on previous USAID contracts compare to this award?

Management Sciences for Health, Inc. (MSH) has a long-standing track record of implementing global health programs for USAID and other international donors. A review of their past performance indicates a history of successfully managing complex, large-scale projects focused on health systems strengthening, infectious disease control, and MNCH. While specific performance metrics for individual contracts are often proprietary or detailed in past performance evaluations, MSH is generally recognized for its technical expertise and reach. This current contract, with its broad objectives and significant funding, builds upon that established experience. However, like any large implementing partner, MSH's performance can vary across different projects and regions, necessitating ongoing monitoring and evaluation by USAID to ensure objectives are met effectively and efficiently.

What are the key risks associated with implementing a large-scale global health program like this in diverse settings?

Implementing large-scale global health programs involves multifaceted risks. Political instability and changes in government policies in partner countries can disrupt program continuity and effectiveness. Logistical challenges, including infrastructure limitations and supply chain complexities, can impede the delivery of essential health commodities and services. Furthermore, cultural and social barriers may affect the uptake and sustainability of interventions. Health system weaknesses, such as a shortage of trained personnel and inadequate financing, pose significant operational risks. Finally, the potential for corruption, fraud, or misuse of funds requires robust oversight mechanisms. The success of this contract hinges on effectively mitigating these diverse risks through careful planning, adaptive management, and strong local partnerships.

What is the typical cost structure for similar USAID global health implementation contracts?

USAID global health implementation contracts, particularly those involving long-term development and systems strengthening, often utilize cost-reimbursement or cost-plus award types, such as the Cost Plus Fixed Fee (CPFF) used here. This structure is common because the scope of work can be extensive and evolve over time, making fixed-price contracts difficult to define accurately at the outset. Costs typically include direct costs (personnel salaries, travel, supplies, equipment) and indirect costs (overhead, administrative support). The 'fixed fee' component in CPFF contracts provides a predetermined profit margin for the contractor, incentivizing efficient project completion within the estimated cost. Benchmarking specific cost elements is challenging without detailed breakdowns, but overall program costs are heavily influenced by the geographic scope, the intensity of interventions, and the level of health system strengthening required.

How does USAID measure the impact of its investments in reducing maternal and child mortality?

USAID employs a rigorous monitoring and evaluation (M&E) framework to measure the impact of its global health investments, including those aimed at reducing maternal and child mortality. This typically involves establishing baseline data for key indicators such as maternal mortality ratios (MMR), under-five mortality rates (U5MR), infant mortality rates (IMR), and neonatal mortality rates (NMR). Programmatic data is collected regularly on service utilization (e.g., antenatal care visits, skilled birth attendance, immunizations), quality of care, and health system strengthening efforts. Impact is assessed through periodic surveys (e.g., Demographic and Health Surveys - DHS), facility assessments, and sometimes through quasi-experimental designs. The agency emphasizes data-driven decision-making, using M&E findings to adapt strategies, improve program performance, and demonstrate accountability to taxpayers and beneficiaries.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 7

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 200 RIVERS EDGE DR, MEDFORD, MA, 02155

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $106,813,782

Exercised Options: $106,813,782

Current Obligation: $103,729,979

Actual Outlays: $48,676,515

Subaward Activity

Number of Subawards: 71

Total Subaward Amount: $74,600,988

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline