Department of Labor's $62.3M National Longitudinal Survey contract awarded to National Opinion Research Center

Contract Overview

Contract Amount: $62,299,531 ($62.3M)

Contractor: National Opinion Research Center

Awarding Agency: Department of Labor

Start Date: 2006-08-16

End Date: 2011-08-15

Contract Duration: 1,825 days

Daily Burn Rate: $34.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: NATIONAL LONGITUDINAL SURVEY

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20210

State: District of Columbia Government Spending

Plain-Language Summary

Department of Labor obligated $62.3 million to NATIONAL OPINION RESEARCH CENTER for work described as: NATIONAL LONGITUDINAL SURVEY Key points: 1. The contract's cost-plus-fixed-fee structure may incentivize cost overruns. 2. A single award suggests limited competition, potentially impacting price. 3. The contract duration of 5 years indicates a long-term commitment to the research. 4. The National Longitudinal Survey is a significant data collection effort. 5. The contract's value is substantial within the social sciences research sector.

Value Assessment

Rating: fair

The contract value of $62.3 million over five years for a large-scale longitudinal survey appears reasonable given the scope. However, without specific benchmarks for similar social science research contracts or detailed cost breakdowns, a precise value-for-money assessment is challenging. The cost-plus-fixed-fee (CPFF) pricing structure, while common for R&D, carries inherent risks of cost escalation if not closely monitored.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The fact that only one award was made suggests that either the competition was not as robust as it could have been, or the National Opinion Research Center was uniquely qualified. Further details on the number of proposals received would provide a clearer picture of the competitive landscape.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through market forces. However, a single award in this instance warrants scrutiny to ensure that the pricing reflects true competition.

Public Impact

The National Longitudinal Survey provides crucial data for understanding long-term trends in the American workforce and population. Researchers, policymakers, and the public benefit from the insights generated by this extensive data collection. The contract supports ongoing research activities within the Department of Labor. The project has implications for understanding social and economic mobility across generations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee contracts can lead to higher overall costs if not managed diligently.
Limited number of awards from full and open competition may indicate barriers to entry or specific expertise requirements.
Long contract duration requires sustained oversight to ensure continued performance and value.

Positive Signals

Awarded under full and open competition, suggesting a fair process.
The contractor, National Opinion Research Center, likely possesses specialized expertise in large-scale surveys.
The contract supports a vital national data collection effort with significant public benefit.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on social sciences and humanities. The market for large-scale, longitudinal survey research is specialized, often dominated by established research institutions and firms with proven track records in data collection, management, and analysis. Benchmarking this contract's value would involve comparing it to other government-funded social science research initiatives of similar scale and complexity.

Small Business Impact

Information regarding small business participation, including set-asides or subcontracting plans, is not detailed in the provided data. Typically, large, specialized research contracts may have limited opportunities for small business prime contractors unless specific subcontracting goals are mandated and met.

Oversight & Accountability

Oversight for this contract would primarily reside within the Department of Labor's Office of the Assistant Secretary for Administration and Management (OASAM). Standard government contracting oversight mechanisms, including performance reviews, financial audits, and adherence to contract terms, would be applied. Transparency is generally maintained through contract award databases and public reporting of research findings.

Related Government Programs

National Longitudinal Surveys Program
Bureau of Labor Statistics Surveys
Social Science Research Grants
Longitudinal Data Collection Projects

Risk Flags

Cost Overrun Risk (CPFF)
Limited Competition Indicator (Single Award)
Long-Term Contract Management

Frequently Asked Questions

What is this federal contract paying for?

Department of Labor awarded $62.3 million to NATIONAL OPINION RESEARCH CENTER. NATIONAL LONGITUDINAL SURVEY

Who is the contractor on this award?

The obligated recipient is NATIONAL OPINION RESEARCH CENTER.

Which agency awarded this contract?

Awarding agency: Department of Labor (Office of the Assistant Secretary for Administration and Management).

What is the total obligated amount?

The obligated amount is $62.3 million.

What is the period of performance?

Start: 2006-08-16. End: 2011-08-15.

What is the track record of the National Opinion Research Center (NORC) in managing large-scale federal research contracts?

The National Opinion Research Center (NORC) at the University of Chicago has a long and distinguished history of conducting large-scale, complex research projects for federal agencies, including the Department of Labor, National Science Foundation, and the Centers for Disease Control and Prevention. They are well-regarded for their expertise in survey design, data collection (including complex sampling methodologies), data analysis, and dissemination of findings. Their experience with longitudinal studies, such as the General Social Survey (GSS) and various National Longitudinal Surveys, demonstrates a capacity to manage multi-year, high-value contracts. NORC's established infrastructure and experienced personnel are key assets in fulfilling the requirements of contracts like the one awarded by the Department of Labor.

How does the $62.3 million contract value compare to similar longitudinal survey contracts?

Benchmarking the $62.3 million contract value requires comparing it to other large-scale, multi-year longitudinal survey contracts awarded by federal agencies. Longitudinal studies, by their nature, are resource-intensive due to the extended data collection periods, repeated respondent contact, and complex data management. Contracts for similar surveys, such as the National Longitudinal Study of Youth (NLSY) or other large cohort studies, can range from tens to hundreds of millions of dollars over their lifecycles, depending on the sample size, frequency of data collection, and specific research objectives. Without access to detailed cost breakdowns and specific contract terms for comparable studies, a precise comparison is difficult, but the awarded amount appears within the expected range for a significant, multi-year national survey.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for this type of research?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract for the National Longitudinal Survey is the potential for cost overruns. In a CPFF structure, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While the fixed fee incentivizes efficiency to some extent, it does not directly cap the total cost of the project. If the contractor's actual costs exceed initial estimates, the government bears the burden of these increased expenses, as long as they are deemed allowable. This necessitates robust government oversight to monitor costs, ensure efficiency, and prevent scope creep that could inflate expenses beyond the original intent and budget.

What is the expected effectiveness of the National Longitudinal Survey in achieving its research objectives?

The effectiveness of the National Longitudinal Survey (NLS) in achieving its research objectives is generally considered high, given its long history and established methodologies. The NLS program, managed by the Bureau of Labor Statistics (BLS) and often contracted out for data collection, provides invaluable longitudinal data on the labor market experiences of various cohorts of Americans. This data allows researchers and policymakers to track employment, unemployment, wages, training, and other critical labor force dynamics over extended periods. The continuity of the survey design and the established respondent base contribute to its reliability and validity. Its effectiveness is measured by the quality and utility of the data produced, which informs economic policy, workforce development strategies, and academic research.

How has federal spending on social science and humanities R&D evolved over the past decade?

Federal spending on social science and humanities R&D has seen fluctuations over the past decade, influenced by budget priorities and administration focus. While defense and health R&D often receive larger portions of the federal R&D budget, social science research is crucial for understanding societal trends, economic behavior, and policy impacts. Agencies like the National Science Foundation (NSF), Department of Labor, Department of Education, and others fund significant social science research. Overall trends indicate a steady, albeit sometimes modest, investment, with specific areas seeing increased focus based on current policy needs, such as workforce development, education outcomes, and demographic shifts. The total amount can vary annually based on appropriations and specific program needs.

What are the implications of a single award for a 'full and open competition' contract?

A single award resulting from a 'full and open competition' can have several implications. On one hand, it might indicate that only one offeror possessed the highly specialized capabilities, unique qualifications, or extensive experience required for the complex task, such as managing a large-scale longitudinal survey. In such cases, the government may have secured the best available option. However, it can also raise questions about the effectiveness of the solicitation process in attracting a broader range of qualified bidders or whether the evaluation criteria inadvertently favored a single approach. For taxpayers, a single award warrants scrutiny to ensure that the price negotiated is competitive and reflects the lack of direct price pressure from multiple competing proposals.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities

Product/Service Code: ARCHITECT/ENGINEER SERVICES › ARCH-ENG SVCS - CONSTRUCTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DOL069RP20175

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1155 E 60TH ST, CHICAGO, IL, 60637

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $62,299,531

Exercised Options: $62,299,531

Current Obligation: $62,299,531

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline