USAGM Spends $13.6M on Radio Broadcast Services, Reducing Transmission Hours

Contract Overview

Contract Amount: $13,650,958 ($13.7M)

Contractor: Miscellaneous Foreign Awardees

Awarding Agency: U.S. Agency for Global Media

Start Date: 2002-03-15

End Date: 2013-09-30

Contract Duration: 4,217 days

Daily Burn Rate: $3.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MODIFIED BY REDUCING 2 HOURS OF DAILY SHORTWAVE TRANSMISSIONS FROM THE JULICH FACILITIES EFFECTIVE MARCH 2005.

Plain-Language Summary

U.S. Agency for Global Media obligated $13.7 million to MISCELLANEOUS FOREIGN AWARDEES for work described as: MODIFIED BY REDUCING 2 HOURS OF DAILY SHORTWAVE TRANSMISSIONS FROM THE JULICH FACILITIES EFFECTIVE MARCH 2005. Key points: 1. Contract awarded to miscellaneous foreign awardees for radio broadcast services. 2. Significant contract duration of over 11 years. 3. Fixed price contract with no indication of cost savings or overruns. 4. Reduction in transmission hours suggests potential efficiency or reduced need.

Value Assessment

Rating: fair

The contract value of $13.6M over 11 years averages approximately $1.24M annually. Without specific benchmarks for shortwave transmission services, it's difficult to definitively assess pricing, but the long duration and fixed-price nature suggest a negotiated rate.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited competition approach. This may have impacted price discovery, as there was no direct comparison with other potential providers to ensure the best possible price for the government.

Taxpayer Impact: The taxpayer impact is the $13.6M expenditure for radio broadcast services. The reduction in transmission hours may represent a cost-saving measure or a shift in service requirements.

Public Impact

Maintains international broadcasting capabilities through shortwave radio. Reduction in transmission hours could impact reach or signal quality. Services provided by foreign entities, impacting domestic job creation. Long-term contract commitment for a specific communication method.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Long contract duration
Reduction in service hours

Positive Signals

Fixed price contract
Established service provider

Sector Analysis

The contract falls under miscellaneous foreign awardees for radio broadcast services, likely related to public diplomacy or international information dissemination. Benchmarks for such specialized services are not readily available, making direct comparison challenging.

Small Business Impact

The contract was awarded to miscellaneous foreign awardees and does not indicate any specific provisions or set-asides for small businesses. The nature of the service likely requires specialized international capabilities.

Oversight & Accountability

The contract was not competed, raising questions about the oversight applied during the initial award process. The reduction in transmission hours suggests ongoing monitoring of service delivery and potential adjustments.

Related Government Programs

Radio Stations
U.S. Agency for Global Media Contracting
U.S. Agency for Global Media Programs

Risk Flags

Lack of competition may have led to suboptimal pricing.
Long contract duration increases risk of price becoming uncompetitive over time.
Reduction in service hours could indicate declining utility or effectiveness.
Reliance on foreign awardees may have implications for strategic control or data security.

Frequently Asked Questions

What is this federal contract paying for?

U.S. Agency for Global Media awarded $13.7 million to MISCELLANEOUS FOREIGN AWARDEES. MODIFIED BY REDUCING 2 HOURS OF DAILY SHORTWAVE TRANSMISSIONS FROM THE JULICH FACILITIES EFFECTIVE MARCH 2005.

Who is the contractor on this award?

The obligated recipient is MISCELLANEOUS FOREIGN AWARDEES.

Which agency awarded this contract?

Awarding agency: U.S. Agency for Global Media (U.S. Agency for Global Media).

What is the total obligated amount?

The obligated amount is $13.7 million.

What is the period of performance?

Start: 2002-03-15. End: 2013-09-30.

What was the rationale for not competing this contract, and were alternative providers considered?

The provided data states the contract was 'NOT COMPETED'. Without further documentation, the specific rationale is unknown. Typically, non-competitive awards occur when only one source is capable of meeting the requirement, or for urgent needs. A review of the contract file would be necessary to understand if alternatives were explored or if specific justifications for sole-sourcing were documented.

What is the impact of reducing shortwave transmission hours on the effectiveness of the broadcast services?

Reducing shortwave transmission hours could decrease the overall reach and penetration of the broadcasts, particularly in regions where shortwave is a primary means of receiving information. The effectiveness depends on the target audience, the specific times of transmission reduction, and whether alternative broadcasting methods are being utilized to compensate for the reduced shortwave capacity.

How does the $13.6M expenditure compare to similar international broadcasting contracts or services?

Direct comparison of the $13.6M expenditure is challenging without specific data on comparable international broadcasting contracts. Factors like transmission power, geographic coverage, content production, and duration significantly influence costs. The long duration of this contract (over 11 years) means the annual cost is relatively moderate, but a detailed cost-benefit analysis against alternative communication strategies would be needed for a comprehensive assessment.

Industry Classification

NAICS: Information › Radio and Television Broadcasting › Radio Stations

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2011 CRYSTAL DR STE 911, ARLINGTON, VA, 22202

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $13,650,958

Exercised Options: $13,650,958

Current Obligation: $13,650,958

Contract Characteristics

Commercial Item: SUPPLIES OR SERVICES PURSUANT TO FAR 12.102(F)

Cost or Pricing Data: NO

Timeline