USAID's FABRI initiative awarded $19.7M to DAI Global LLC for professional services, spanning over 4 years

Contract Overview

Contract Amount: $19,721,824 ($19.7M)

Contractor: DAI Global LLC

Awarding Agency: Agency for International Development

Start Date: 2011-09-29

End Date: 2016-03-31

Contract Duration: 1,645 days

Daily Burn Rate: $12.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: FURTHER ADVANCING A BLUE REVOLUTION INITIATIVE (FABRI)SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20523

State: District of Columbia Government Spending

Plain-Language Summary

Agency for International Development obligated $19.7 million to DAI GLOBAL LLC for work described as: FURTHER ADVANCING A BLUE REVOLUTION INITIATIVE (FABRI)SERVICES Key points: 1. Contract value represents a significant investment in advancing the 'Blue Revolution' initiative. 2. Competition was robust, indicating potential for competitive pricing and value. 3. Performance duration suggests a long-term commitment to the initiative's goals. 4. The contract type (Cost Plus Fixed Fee) allows for flexibility but requires careful cost oversight. 5. The services provided fall under a broad professional, scientific, and technical category. 6. Geographic focus on Washington D.C. may limit direct impact on broader international development efforts.

Value Assessment

Rating: fair

The contract's total value of $19.7 million over 1645 days (approximately 4.5 years) averages to about $4.3 million per year. Without specific benchmarks for the 'Blue Revolution' initiative or comparable 'All Other Professional, Scientific, and Technical Services' contracts, a precise value-for-money assessment is challenging. However, the duration and scope suggest a substantial undertaking. The Cost Plus Fixed Fee (CPFF) contract type means costs are reimbursed plus a fixed fee, which can incentivize efficiency but also requires diligent monitoring to ensure costs do not escalate beyond reasonable levels.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, with 3 bidders vying for the work. This level of competition is generally positive, suggesting that multiple capable contractors were interested and that the government likely received competitive proposals. The presence of multiple bidders helps ensure a degree of price discovery and can lead to better overall value for the government.

Taxpayer Impact: A full and open competition with multiple bidders typically benefits taxpayers by fostering a competitive environment that can drive down costs and improve the quality of services received.

Public Impact

The primary beneficiary is the Agency for International Development (USAID) and its 'Blue Revolution' initiative, aimed at advancing specific development goals. Services delivered likely include a range of professional, scientific, and technical support crucial for the initiative's success. The contract's primary geographic impact is within the District of Columbia, where the contractor is based. Workforce implications may involve specialized technical experts and project managers employed by DAI Global LLC.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require robust oversight to manage potential cost overruns and ensure the fixed fee remains appropriate.
The broad nature of 'All Other Professional, Scientific, and Technical Services' can sometimes lead to scope creep if not clearly defined and managed.
Limited geographic impact stated (DC) might mean the direct benefits of the 'Blue Revolution' initiative are not being realized in the intended international locations.

Positive Signals

Awarded under full and open competition with multiple bidders, indicating a competitive process.
The contract duration of over 4 years suggests a stable and committed approach to the initiative.
DAI Global LLC is a known entity in international development contracting, implying experience relevant to the initiative.

Sector Analysis

This contract falls under the broad professional, scientific, and technical services sector, specifically NAICS code 541990. This sector encompasses a wide array of services, including research, consulting, and technical support. The 'Blue Revolution' initiative, while not explicitly defined by the data, likely relates to maritime or environmental development, a niche within the broader development sector. Comparable spending in this category can vary widely depending on the specific services and agency focus.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The prime contractor, DAI Global LLC, may engage small businesses as subcontractors at its discretion, but this is not mandated by the contract terms as presented.

Oversight & Accountability

Oversight for this contract would primarily reside with the Agency for International Development (USAID). As a Cost Plus Fixed Fee contract, USAID would be responsible for monitoring incurred costs, ensuring compliance with the contract terms, and verifying the achievement of milestones to justify the fixed fee. Transparency would depend on USAID's reporting practices and public disclosure policies regarding contract performance and expenditures.

Related Government Programs

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

Risk Flags

Cost Plus Fixed Fee contract type requires diligent oversight to manage costs.
Broad service category may lead to scope definition challenges.
Geographic focus stated as DC may not reflect actual program implementation sites.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $19.7 million to DAI GLOBAL LLC. FURTHER ADVANCING A BLUE REVOLUTION INITIATIVE (FABRI)SERVICES

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 $19.7 million.

What is the period of performance?

Start: 2011-09-29. End: 2016-03-31.

What is the specific nature of the 'FURTHER ADVANCING A BLUE REVOLUTION INITIATIVE (FABRI)' and what are its primary objectives?

The provided data does not detail the specific objectives of the 'FURTHER ADVANCING A BLUE REVOLUTION INITIATIVE (FABRI)'. However, the name suggests a focus on maritime, aquatic, or environmental development, potentially related to sustainable fisheries, ocean conservation, or water resource management. The 'Blue Revolution' is often associated with advancements in marine technology and sustainable use of ocean resources. The contract's award to DAI Global LLC, a firm with extensive experience in international development, implies that the initiative likely involves technical assistance, program management, and capacity building in a developing country context. Further details would require access to the contract's statement of work or related program documentation.

How does the $19.7 million contract value compare to other USAID contracts for similar professional services?

Comparing the $19.7 million contract value requires context on the typical scale of USAID's professional services contracts. USAID funds a wide range of projects, from small technical assistance grants to large, multi-year development programs. Contracts in the 'All Other Professional, Scientific, and Technical Services' category (NAICS 541990) can vary significantly. A $19.7 million award over approximately 4.5 years represents a substantial investment, averaging over $4 million annually. Without specific benchmarks for 'Blue Revolution' related projects or similar large-scale technical assistance initiatives managed by USAID, it's difficult to definitively state if this is high or low. However, it indicates a significant commitment to the FABRI initiative.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract structure for this initiative?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is that the contractor may have less incentive to control costs compared to fixed-price contracts, as all allowable costs are reimbursed. While the fixed fee provides a profit ceiling, there's a risk of cost escalation if the government's oversight is not rigorous. Scope creep is another potential risk; if the project's requirements are not clearly defined or evolve significantly, costs could increase. For the FABRI initiative, ensuring that the 'professional, scientific, and technical services' remain focused and deliverable within the anticipated cost structure will be crucial. Robust government monitoring of expenditures and performance against milestones is essential to mitigate these risks.

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 long history of working with USAID and other government agencies. They have managed numerous contracts globally, focusing on areas such as economic growth, governance, health, and education. Their extensive experience suggests a strong understanding of USAID's contracting processes, compliance requirements, and program delivery expectations. While specific performance details for this particular FABRI contract are not provided, DAI's general track record indicates they are a capable contractor for complex development initiatives. A deeper dive into their past performance ratings and any past performance issues would provide a more comprehensive assessment.

How does the competition level (3 bidders) impact the value and efficiency of this contract?

Having three bidders for this contract, awarded under full and open competition, is generally a positive indicator for value and efficiency. A competitive environment encourages bidders to offer their best pricing and technical solutions to win the contract. Three bidders suggest sufficient market interest and capability, providing the government with a reasonable basis for comparison. This level of competition likely helped ensure that the proposed costs were aligned with market rates and that the selected approach was cost-effective. It reduces the risk of awarding a contract at an inflated price due to a lack of alternatives.

What are the implications of the contract being based in Washington D.C. for the 'Blue Revolution' initiative?

The contract's stated location of 'DC' (District of Columbia) for the contractor (DAI Global LLC) likely refers to the contractor's headquarters or a major office involved in managing the contract, rather than the primary geographic area of program implementation. For an initiative named 'Blue Revolution,' which implies international development or environmental work, the actual fieldwork and impact are expected to occur in specific countries or regions abroad. The DC location signifies where the administrative and strategic oversight might be centered, but it does not preclude the initiative from having a significant global reach. The effectiveness and impact will depend on how well the DC-based team manages and executes projects in the field.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 7600 WISCONSIN AVE STE 200, BETHESDA, MD, 20814

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $19,721,824

Exercised Options: $19,721,824

Current Obligation: $19,721,824

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $888,850

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AIDEPPI000400023

IDV Type: IDC

Timeline