USAID's $90M HCI Project Task Order 3 to University Research Co. for technical services

Contract Overview

Contract Amount: $90,304,745 ($90.3M)

Contractor: University Research CO., LLC

Awarding Agency: Agency for International Development

Start Date: 2009-09-30

End Date: 2014-09-29

Contract Duration: 1,825 days

Daily Burn Rate: $49.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: TASK ORDER #3 UNDER HEALTH CARE IMPROVEMENT PROJECT (HCI PROJECT)

Plain-Language Summary

Agency for International Development obligated $90.3 million to UNIVERSITY RESEARCH CO., LLC for work described as: TASK ORDER #3 UNDER HEALTH CARE IMPROVEMENT PROJECT (HCI PROJECT) Key points: 1. The contract's cost-plus-award-fee structure incentivizes performance but requires careful monitoring of award fee determinations. 2. Competition was full and open, suggesting a robust market for these services. 3. The contract duration of 5 years indicates a significant, long-term need for the services provided. 4. The broad NAICS code (541990) suggests a wide range of potential technical services were covered. 5. The contract was awarded as a delivery order under a larger IDIQ, indicating it's part of a broader strategic initiative.

Value Assessment

Rating: fair

Benchmarking the value of this specific task order is challenging without detailed performance metrics and award fee payouts. The cost-plus-award-fee (CPAF) structure allows for flexibility but can lead to higher costs if not managed tightly. Comparing it to similar technical services contracts would require access to detailed scope of work and performance data. The base contract value is substantial, suggesting significant service delivery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This task order was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation generally suggests a competitive environment. This approach is intended to ensure fair pricing and access to the best available services.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it promotes competitive pricing and encourages a wider pool of contractors to vie for government work, potentially leading to cost savings.

Public Impact

The primary beneficiaries are likely developing countries receiving assistance through USAID's health initiatives. The services delivered are broadly categorized as 'All Other Professional, Scientific, and Technical Services,' supporting various program objectives. The geographic impact is global, aligning with USAID's international development mission. Workforce implications could include employment for scientists, researchers, and technical experts involved in international health programs.

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.
The CPAF structure requires diligent oversight to ensure award fees are justified by performance.
The broad nature of the NAICS code could lead to scope creep if not managed carefully.

Positive Signals

Awarded under full and open competition, indicating a competitive bidding process.
The contract is a task order under a larger IDIQ, suggesting it aligns with a pre-established strategic framework.
The long duration implies a sustained commitment to critical health improvement programs.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, a broad category encompassing a wide array of specialized expertise. Within this sector, government contracts for international development and technical assistance represent a significant market. Comparable spending benchmarks would depend on the specific technical services rendered, but large-scale USAID contracts often involve substantial sums reflecting the complexity and global reach of development projects.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this task order. As it was awarded under full and open competition, it is unlikely that small businesses were exclusively targeted. Subcontracting opportunities for small businesses may exist, but this would depend on the prime contractor's strategy and the nature of the services required.

Oversight & Accountability

Oversight for this contract would primarily reside with the Agency for International Development (USAID). As a cost-plus-award-fee contract, USAID would be responsible for monitoring performance, determining award fee payouts, and ensuring compliance with the contract terms. Transparency would be facilitated through contract reporting mechanisms, though specific details of performance and award fee justifications may not be publicly available.

Related Government Programs

USAID Health Programs
International Development Assistance
Professional and Technical Services Contracts
Cost-Plus-Award-Fee Contracts

Risk Flags

Cost-Plus-Award-Fee structure requires diligent oversight.
Broad NAICS code may indicate potential for scope creep.
Specific performance metrics and award fee justifications not publicly detailed.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $90.3 million to UNIVERSITY RESEARCH CO., LLC. TASK ORDER #3 UNDER HEALTH CARE IMPROVEMENT PROJECT (HCI PROJECT)

Who is the contractor on this award?

The obligated recipient is UNIVERSITY RESEARCH CO., 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 $90.3 million.

What is the period of performance?

Start: 2009-09-30. End: 2014-09-29.

What specific technical services were performed under Task Order #3 of the HCI Project?

The data indicates that Task Order #3 falls under the "Health Care Improvement Project (HCI Project)" and was awarded to University Research Co., LLC. The NAICS code assigned is 541990, which covers 'All Other Professional, Scientific, and Technical Services.' While this broad classification suggests a wide range of potential activities, specific details regarding the exact services rendered (e.g., research, program evaluation, technical assistance, data analysis related to health initiatives) would typically be found in the task order's statement of work, which is not provided in the summary data. These services likely supported USAID's broader goals in global health.

How does the $90.3 million value of this task order compare to other similar USAID contracts for technical services?

A direct comparison of the $90.3 million value requires identifying contracts with highly similar scopes of work, durations, and objectives within USAID or comparable agencies. However, as a task order under a larger IDIQ (indicated by 'DELIVERY ORDER' and the presence of a base contract implied by 'TASK ORDER #3'), its value is significant and suggests a substantial undertaking. USAID frequently awards large contracts for international development and technical assistance, often in the tens or hundreds of millions of dollars, especially for multi-year health initiatives. Without specific benchmarks for 'Health Care Improvement Project' type services, it's difficult to definitively state if $90.3M is high or low, but it represents a considerable investment in a specific project.

What are the primary risks associated with a Cost Plus Award Fee (CPAF) contract structure like this one?

The primary risks associated with a CPAF contract involve ensuring that the 'award fee' component genuinely reflects superior performance and does not simply inflate costs. For the government, there's a risk of paying higher-than-necessary costs if performance metrics are poorly defined or if the evaluation process for awarding fees is not rigorous. For the contractor, the risk lies in not achieving the performance targets necessary to earn the full award fee. Effective management and clearly defined, measurable performance standards are crucial to mitigate these risks and ensure the government receives good value for money. Oversight is paramount to prevent potential overspending and ensure alignment with program objectives.

What does the 'full and open competition' designation imply about the contractor selection process and potential pricing?

The 'full and open competition' designation signifies that the government solicited offers from all responsible sources and that all responsible sources were given a fair opportunity to submit a bid. This process is intended to maximize competition, leading to potentially better pricing, higher quality services, and innovative solutions. It implies that the contracting agency did not restrict the field of potential bidders based on specific criteria beyond general qualifications. For taxpayers, this generally means that the contract price is likely to be more competitive than if it had been awarded through a sole-source or limited competition process, as multiple companies vied for the opportunity.

How has USAID's spending on 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) trended over the years, and where does this contract fit?

Analyzing the trend of USAID's spending on NAICS code 541990 requires access to historical federal procurement data. This code is very broad, encompassing a wide array of services, making it difficult to isolate specific program trends without further segmentation. However, USAID's mission inherently involves significant spending on technical and professional services to support development goals globally. This $90.3 million task order, awarded in late 2009 for services through late 2014, represents a substantial single award within this category during that period. Its placement within the 'Health Care Improvement Project' suggests it was a critical component of USAID's health sector strategy at the time, contributing to the overall spending within this broad service category.

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: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 7200 WISCONSIN AVE STE 600, BETHESDA, MD, 20814

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $91,351,659

Exercised Options: $91,351,659

Current Obligation: $90,304,745

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AIDGHNI000700003

IDV Type: IDC

Timeline