USAID's $67M Tanzania lifelong learning project awarded to Research Triangle Institute shows fair value

Contract Overview

Contract Amount: $67,121,293 ($67.1M)

Contractor: Research Triangle Institute

Awarding Agency: Agency for International Development

Start Date: 2016-01-12

End Date: 2021-01-11

Contract Duration: 1,826 days

Daily Burn Rate: $36.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: 'IGF::CL::IGF' - TUSOME PAMOJA PROJECT TO IMPROVE LIFELONG LEARNING SKILLS IN TANZANIA.

Plain-Language Summary

Agency for International Development obligated $67.1 million to RESEARCH TRIANGLE INSTITUTE for work described as: 'IGF::CL::IGF' - TUSOME PAMOJA PROJECT TO IMPROVE LIFELONG LEARNING SKILLS IN TANZANIA. Key points: 1. The contract's value appears reasonable given the scope of international development work. 2. Full and open competition suggests a competitive bidding process was likely employed. 3. The contract duration of five years indicates a significant, long-term investment. 4. Performance context is crucial for assessing the ultimate impact of lifelong learning initiatives. 5. This contract falls within the professional, scientific, and technical services sector.

Value Assessment

Rating: good

The contract value of approximately $67.1 million over five years for a lifelong learning project in Tanzania appears to be within a reasonable range for large-scale international development initiatives. Benchmarking against similar USAID-funded projects in education and capacity building would provide a more precise assessment of value for money. The cost-plus-fixed-fee (CPFF) contract type suggests that costs are reimbursed, with a fixed fee for profit, which is common for complex projects where cost estimation is challenging. However, rigorous cost oversight is essential to ensure efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. While the number of bidders is not specified, this procurement method generally fosters a competitive environment, which can lead to better pricing and innovation. The agency likely sought proposals that offered the best value, considering both technical approach and cost.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most effective and cost-efficient solution for achieving the project's objectives.

Public Impact

The primary beneficiaries are individuals in Tanzania seeking to improve their lifelong learning skills. The project aims to deliver enhanced educational opportunities and capacity building. Geographic impact is focused within Tanzania, potentially reaching various communities. Workforce implications may include training local educators and administrators, and potentially creating employment opportunities within the project's scope.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in CPFF contracts if not closely monitored.
Ensuring equitable distribution of benefits across diverse regions in Tanzania.
Measuring the long-term sustainability of lifelong learning initiatives beyond the contract period.

Positive Signals

Awarded under full and open competition, suggesting a robust selection process.
Long contract duration allows for sustained impact and program development.
Focus on lifelong learning addresses a critical development need.

Sector Analysis

This contract falls under the 'All Other Professional, Scientific, and Technical Services' category (NAICS 541990), which is broad and encompasses a wide range of specialized services. USAID frequently engages in such contracts for international development, focusing on areas like education, health, and governance. The market for these services is global, with numerous organizations specializing in development program implementation. Comparable spending benchmarks would involve looking at other large-scale USAID education or capacity-building contracts in similar regions.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. Given the large dollar value and the nature of the services, it is likely that subcontracting opportunities may exist for specialized tasks. However, without further information on subcontracting plans or goals, the direct impact on the small business ecosystem is unclear. Larger prime contractors often engage small businesses for specific components of such development projects.

Oversight & Accountability

Oversight for this contract would primarily be conducted by the Agency for International Development (USAID), likely through its contracting officers and program officials. Mechanisms would include regular progress reports, site visits, financial audits, and performance reviews. Transparency is typically managed through public contract databases and reporting requirements. The Inspector General of USAID would have jurisdiction to investigate any allegations of fraud, waste, or abuse.

Related Government Programs

USAID Education Programs
International Capacity Building Initiatives
Global Lifelong Learning Projects
Tanzania Development Assistance

Risk Flags

Contract type (CPFF) requires diligent cost oversight.
Geographic reach and accessibility in Tanzania may pose logistical challenges.
Measuring long-term impact and sustainability of learning outcomes.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $67.1 million to RESEARCH TRIANGLE INSTITUTE. 'IGF::CL::IGF' - TUSOME PAMOJA PROJECT TO IMPROVE LIFELONG LEARNING SKILLS IN TANZANIA.

Who is the contractor on this award?

The obligated recipient is RESEARCH TRIANGLE INSTITUTE.

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 $67.1 million.

What is the period of performance?

Start: 2016-01-12. End: 2021-01-11.

What is the track record of Research Triangle Institute (RTI) in managing similar international development contracts for USAID?

Research Triangle Institute (RTI) has a substantial track record of managing complex international development projects, including many for USAID. They have extensive experience in areas such as education, health, economic growth, and governance across various countries. RTI's portfolio often includes large-scale, multi-year contracts similar in scope and objective to the TUSOME PAMOJA PROJECT. Their history suggests a capacity to handle significant budgets and implement programs in challenging environments. A detailed review of their past performance on USAID contracts, including client feedback and audit reports, would provide further insight into their reliability and effectiveness in delivering on project goals and managing resources.

How does the cost-plus-fixed-fee (CPFF) structure influence cost control and value for money in this contract?

The Cost-Plus-Fixed-Fee (CPFF) contract type means that the contractor (Research Triangle Institute) is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure is often used for research and development or complex projects where the scope and costs are difficult to define precisely at the outset. While it allows for flexibility and encourages the contractor to undertake the work without being overly constrained by initial cost estimates, it also presents a risk of cost overruns if not managed diligently. Effective value for money in a CPFF contract heavily relies on robust oversight from the procuring agency (USAID) to ensure that costs are reasonable, allocable, and allowable, and that the fixed fee adequately compensates the contractor for the risks undertaken without being excessive.

What are the key performance indicators (KPIs) used to measure the success of the TUSOME PAMOJA PROJECT?

While specific KPIs are not detailed in the provided data, projects focused on lifelong learning skills typically measure success through indicators related to increased literacy rates, improved numeracy skills, enhanced vocational training completion, higher rates of employment or entrepreneurship among participants, and improved educational attainment levels. For the TUSOME PAMOJA PROJECT, USAID would likely have established specific, measurable, achievable, relevant, and time-bound (SMART) KPIs. These could include the number of individuals trained, the percentage improvement in specific skill assessments, the retention rate of learned skills, and the perceived impact on participants' livelihoods. Regular monitoring and evaluation reports would track progress against these KPIs.

What is the historical spending pattern for similar USAID projects in Tanzania or for lifelong learning initiatives globally?

USAID has a significant history of investing in education and capacity-building programs in developing countries, including Tanzania. Spending patterns for such initiatives vary widely based on the project's scope, duration, and specific objectives. Large-scale education projects, particularly those involving curriculum development, teacher training, and community engagement, can range from tens to hundreds of millions of dollars over several years. Lifelong learning initiatives, encompassing formal and informal education, vocational training, and adult education, represent a substantial portion of development aid. Historical data suggests that USAID commits considerable resources to these areas, recognizing their foundational role in economic development and poverty reduction. The $67 million awarded for this project aligns with the scale of major USAID education investments.

What are the potential risks associated with implementing a large-scale education project in Tanzania, and how are they mitigated?

Implementing a large-scale education project in Tanzania presents several potential risks. These include logistical challenges in reaching remote areas, political or economic instability affecting program continuity, cultural barriers to adopting new learning methods, potential for corruption, and the risk of low participant engagement or high dropout rates. Mitigation strategies typically involve thorough needs assessments, strong local partnerships, adaptive management approaches to address unforeseen challenges, robust monitoring and evaluation systems to track progress and identify issues early, transparent financial management, and community engagement to foster local ownership and buy-in. USAID's contracting process and oversight mechanisms are designed to identify and manage these risks throughout the project lifecycle.

Industry Classification

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

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: SOL-621-15-000014

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3040 E CORNWALLIS RD, RESEARCH TRIANGLE PARK, NC, 27709

Business Categories: Category Business, Corporate Entity Tax Exempt, Foreign Owned, Nonprofit Organization, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $67,121,293

Exercised Options: $67,121,293

Current Obligation: $67,121,293

Actual Outlays: $13,329,428

Subaward Activity

Number of Subawards: 39

Total Subaward Amount: $10,378,619

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline