USAID's $206.7M Contract for Local Government Capacity Building Awarded to Research Triangle Institute

Contract Overview

Contract Amount: $206,752,356 ($206.8M)

Contractor: Research Triangle Institute

Awarding Agency: Agency for International Development

Start Date: 2009-01-01

End Date: 2011-09-30

Contract Duration: 1,002 days

Daily Burn Rate: $206.3K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: THE CONTRACTOR UNDER THIS TASK ORDER AWARD SHALL PROVIDE TECHNICAL ASSISTANCE TO BUILD THE CAPACITY AND STRENGTHEN THE PERFORMANCE OF THE LOCAL GOVERNMENT INSTITUTIONS IN THE AREAS OF PLANNING, PROVINCIAL BUDGET FORMULATION AND EXECUTION, REPRESENTATION OF LOCAL PRIORITIES, CREATION OF LAWS, REGULATIONS AND BY-LAWS, AND SUPERVISION OF LOCAL PUBLIC ADMINISTRATION.

Plain-Language Summary

Agency for International Development obligated $206.8 million to RESEARCH TRIANGLE INSTITUTE for work described as: THE CONTRACTOR UNDER THIS TASK ORDER AWARD SHALL PROVIDE TECHNICAL ASSISTANCE TO BUILD THE CAPACITY AND STRENGTHEN THE PERFORMANCE OF THE LOCAL GOVERNMENT INSTITUTIONS IN THE AREAS OF PLANNING, PROVINCIAL BUDGET FORMULATION AND EXECUTION, REPRESENTATION OF LOCAL PRIORITIES, CREAT… Key points: 1. The contract focuses on enhancing local government institutions in planning, budgeting, and law creation. 2. Research Triangle Institute, a large established firm, is the sole awardee. 3. The contract's broad scope and long duration present potential risks. 4. Spending falls within the Administrative Management and General Management Consulting Services sector.

Value Assessment

Rating: questionable

The contract value of $206.7M over 3 years is substantial for consulting services. Benchmarking against similar large-scale capacity-building contracts in international development is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This was a competitive delivery order, suggesting some level of competition existed, but the specific method is not detailed. The pricing discovery for such a broad scope is likely complex.

Taxpayer Impact: Taxpayer funds are being used to support international development efforts, with the effectiveness and efficiency of this spending being a key consideration.

Public Impact

Enhances governance and public administration in partner countries. Supports local institutions in managing resources and implementing policies. Aims to improve citizen services through stronger local government performance. Potential for long-term positive impact on stability and development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Scope creep potential
Measuring impact effectiveness
Long-term sustainability of improvements
Geopolitical risks in target regions

Positive Signals

Focus on capacity building
Support for local institutions
Potential for improved governance

Sector Analysis

This contract falls under Administrative Management and General Management Consulting Services. Benchmarks for international development capacity building contracts of this magnitude are highly variable and depend on the specific country and program objectives.

Small Business Impact

The awardee, Research Triangle Institute, is a large organization, and there is no indication that small businesses were involved as subcontractors or partners in this specific task order.

Oversight & Accountability

Oversight would typically be managed by USAID's program and contracting officers to ensure performance objectives are met and funds are used appropriately. Regular reporting and site visits are standard oversight mechanisms.

Related Government Programs

Administrative Management and General Management Consulting Services
Agency for International Development Contracting
Agency for International Development Programs

Risk Flags

Lack of specific performance metrics
Potential for vendor lock-in
Geopolitical instability in operating regions
Difficulty in measuring ROI for capacity building
Over-reliance on a single contractor for critical functions

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $206.8 million to RESEARCH TRIANGLE INSTITUTE. THE CONTRACTOR UNDER THIS TASK ORDER AWARD SHALL PROVIDE TECHNICAL ASSISTANCE TO BUILD THE CAPACITY AND STRENGTHEN THE PERFORMANCE OF THE LOCAL GOVERNMENT INSTITUTIONS IN THE AREAS OF PLANNING, PROVINCIAL BUDGET FORMULATION AND EXECUTION, REPRESENTATION OF LOCAL PRIORITIES, CREATION OF LAWS, REGULATIONS AND BY-LAWS, AND SUPERVISION OF LOCAL PUBLIC ADMINISTRATION.

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 $206.8 million.

What is the period of performance?

Start: 2009-01-01. End: 2011-09-30.

How effectively will the contractor measure and demonstrate the tangible improvements in local government performance resulting from this technical assistance?

Measuring tangible improvements requires clearly defined, quantifiable metrics tied to specific capacity-building goals. This includes tracking changes in budget execution rates, the number of laws and regulations passed, and the efficiency of public administration processes. Regular performance reports, independent evaluations, and stakeholder feedback mechanisms are crucial for demonstrating effectiveness and ensuring accountability for the $206.7M investment.

What are the primary risks associated with the broad scope of technical assistance and the long contract duration?

The broad scope risks diffusion of effort and difficulty in achieving deep impact across all listed areas. A long duration (over 3 years) increases exposure to changing local political landscapes, economic shifts, and evolving development priorities, potentially rendering initial objectives less relevant. Managing scope creep and ensuring adaptability to unforeseen challenges are critical risk mitigation strategies.

What is the expected long-term value and sustainability of the capacity built within local government institutions after the contract concludes?

The long-term value hinges on the contractor's ability to embed sustainable practices and institutionalize new processes within local governments, rather than creating dependency. Success requires strong local ownership, ongoing training, and the development of internal expertise. Sustainability is enhanced if the capacity-building efforts align with national development strategies and are supported by local leadership beyond the contract period.

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: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 3040 CORNWALLIS ROAD, RESEARCH TRIANGLE PARK, NC, 27709

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $2,122,486,430

Exercised Options: $1,862,021,775

Current Obligation: $206,752,356

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AIDDFDI000500128

IDV Type: IDC

Timeline