Gap Solutions Inc. contract for child care benefits administration awarded by CNCS for $23.7M

Contract Overview

Contract Amount: $23,714,832 ($23.7M)

Contractor: GAP Solutions, Inc.

Awarding Agency: Corporation for National and Community Service

Start Date: 2011-09-30

End Date: 2016-09-29

Contract Duration: 1,826 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST NO FEE

Sector: Other

Official Description: ADMINISTRATION OF CHILD CARE BENEFITS

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Corporation for National and Community Service obligated $23.7 million to GAP SOLUTIONS, INC. for work described as: ADMINISTRATION OF CHILD CARE BENEFITS Key points: 1. Contract value of $23.7 million over its duration. 2. Awarded through full and open competition. 3. Contract type is a definitive contract. 4. Services fall under Administrative Management and General Management Consulting. 5. Contract duration was 1826 days. 6. The contract was awarded to Gap Solutions, Inc.

Value Assessment

Rating: fair

The total award amount of $23.7 million for administrative management services over five years suggests a moderate annual expenditure. Without specific performance metrics or detailed cost breakdowns, it is difficult to definitively assess value for money. Benchmarking against similar contracts for child care benefit administration would be necessary to determine if the pricing was competitive. The 'Cost No Fee' contract type implies that the contractor is reimbursed for allowable costs, which can sometimes lead to less incentive for cost control compared to fixed-price contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This process is generally expected to foster competitive pricing and ensure the government receives the best value. The presence of 5 bids suggests a reasonable level of interest in the contract, which further supports the notion of a competitive environment.

Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down costs through market forces and ensuring that the most capable and cost-effective provider is selected.

Public Impact

Benefits recipients of child care programs administered under this contract. Ensures the efficient and effective delivery of administrative services for child care benefits. Likely impacts families and children by facilitating access to necessary child care support. Supports the operational capacity of the Corporation for National and Community Service in managing these programs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics makes it hard to assess effectiveness.
Cost-reimbursable contract type may offer less incentive for cost savings.
Limited information on specific administrative functions performed.

Positive Signals

Awarded through full and open competition, suggesting a competitive process.
Multiple bids received, indicating market interest.
Contract duration of five years provides stability for program administration.

Sector Analysis

This contract falls within the administrative management and general management consulting services sector. This sector encompasses a wide range of services aimed at improving organizational efficiency and effectiveness. The specific application here is the administration of child care benefits, a critical social service. Comparable spending in this sector can vary widely depending on the scope and complexity of the administrative tasks. The total award of $23.7 million over five years represents a significant investment in program support services.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. The contract was awarded through full and open competition, and there is no explicit mention of subcontracting goals related to small businesses. Therefore, the direct impact on the small business ecosystem is not clearly defined by this data alone.

Oversight & Accountability

Oversight mechanisms for this contract would typically be managed by the Corporation for National and Community Service (CNCS). As a definitive contract, it would be subject to standard federal procurement regulations and oversight. Transparency would be facilitated through contract award databases like FPDS. Specific accountability measures would be detailed within the contract itself, outlining deliverables and performance standards.

Related Government Programs

Child Care Assistance Programs
Federal Grant Administration
Social Services Administration
Administrative Support Services

Risk Flags

Cost Control Risk (Cost No Fee contract)
Performance Measurement Gaps

Frequently Asked Questions

What is this federal contract paying for?

Corporation for National and Community Service awarded $23.7 million to GAP SOLUTIONS, INC.. ADMINISTRATION OF CHILD CARE BENEFITS

Who is the contractor on this award?

The obligated recipient is GAP SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Corporation for National and Community Service (Corporation for National and Community Service).

What is the total obligated amount?

The obligated amount is $23.7 million.

What is the period of performance?

Start: 2011-09-30. End: 2016-09-29.

What were the specific administrative tasks performed by Gap Solutions, Inc. under this contract?

The contract, NAICS code 541611, specifies 'Administrative Management and General Management Consulting Services.' While the broad category is clear, the specific tasks for administering child care benefits are not detailed in the provided summary. These could include eligibility verification, payment processing, data management, reporting, and outreach to beneficiaries. The 'Cost No Fee' (CNF) contract type suggests that the contractor is reimbursed for allowable costs incurred in performing these services, rather than receiving a fixed fee. Further details would likely be found in the contract's statement of work.

How does the $23.7 million award compare to similar contracts for child care benefit administration?

Benchmarking the $23.7 million award requires comparison with contracts of similar scope, duration, and complexity. Contracts for administering federal or state child care programs can vary significantly based on the number of beneficiaries served, the geographic reach, and the specific services required. Without access to a database of comparable contracts, it's challenging to definitively state whether this award represents high or low value. However, for a five-year contract, this amount suggests a substantial operational undertaking, and a detailed cost-benefit analysis would be needed to assess its efficiency relative to market rates and expected outcomes.

What are the potential risks associated with a 'Cost No Fee' contract type for this service?

A 'Cost No Fee' (CNF) contract type, while reimbursing the contractor for allowable costs, can present risks related to cost control. Unlike fixed-price contracts, there is less inherent financial incentive for the contractor to minimize expenses, as their costs are generally covered. This could potentially lead to higher overall expenditures for the government if not managed with rigorous oversight. Risks include potential cost overruns, less stringent budget management by the contractor, and the need for robust auditing to ensure all claimed costs are reasonable, allocable, and necessary for contract performance. Effective government oversight is crucial to mitigate these risks.

What was the track record of Gap Solutions, Inc. prior to or during this contract?

Information regarding Gap Solutions, Inc.'s specific track record prior to or during this particular contract is not provided in the summary data. To assess their performance, one would typically look at past performance evaluations, any contract disputes or terminations, and their experience with similar government contracts. Federal procurement databases often contain past performance information, which is a key factor in award decisions and ongoing contract management. Without this specific data, it's impossible to evaluate their historical reliability and effectiveness in administering complex programs.

How effective was the administration of child care benefits under this contract?

The provided data does not include specific performance metrics or outcome data to assess the effectiveness of the child care benefit administration performed by Gap Solutions, Inc. Effectiveness would typically be measured by factors such as timely benefit disbursement, accuracy of payments, beneficiary satisfaction, program accessibility, and adherence to program guidelines. A comprehensive evaluation would require access to performance reports, audits, and potentially feedback from program participants and stakeholders. The 'Cost No Fee' nature of the contract also means that effectiveness is primarily judged on meeting the contract's objectives and allowable costs.

What is the historical spending pattern for child care benefit administration by the Corporation for National and Community Service?

The provided data only details one specific contract award of $23.7 million to Gap Solutions, Inc. for child care benefit administration. To understand historical spending patterns, one would need to analyze CNCS's budget allocations and contract awards over multiple fiscal years related to child care programs. This would involve examining trends in total spending, the number and value of contracts awarded, and the types of services procured. Without this broader historical context, it is impossible to determine if this $23.7 million contract represents a typical, increased, or decreased level of investment in such services by the agency.

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) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: CNSHQ-11-R-0002

Offers Received: 5

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 12054 N SHORE DR STE 100, RESTON, VA, 20190

Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,173,419

Exercised Options: $23,714,832

Current Obligation: $23,714,832

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline