Department of Education awards $45.4M contract for regional education research and development

Contract Overview

Contract Amount: $45,383,654 ($45.4M)

Contractor: Wested

Awarding Agency: Department of Education

Start Date: 2006-01-31

End Date: 2011-12-31

Contract Duration: 2,160 days

Daily Burn Rate: $21.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: REGIONAL EDUCATION LABORATORY - WESTERN REGION

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20202

State: District of Columbia Government Spending

Plain-Language Summary

Department of Education obligated $45.4 million to WESTED for work described as: REGIONAL EDUCATION LABORATORY - WESTERN REGION Key points: 1. Contract awarded through full and open competition, suggesting a robust market. 2. Long contract duration of 2160 days (6 years) indicates a sustained need for services. 3. Cost Plus Award Fee contract type allows for performance-based incentives. 4. The contract falls under Research and Development in Social Sciences and Humanities. 5. The awardee, WESTED, has a significant role in regional educational research. 6. The contract's value is substantial within its specific R&D niche.

Value Assessment

Rating: good

The contract's value of approximately $45.4 million over six years averages to about $7.5 million annually. Benchmarking this against similar large-scale, long-term R&D contracts in the social sciences requires detailed market analysis, but the duration and scope suggest a significant investment. The Cost Plus Award Fee structure implies that the final cost could vary based on performance, making a direct price comparison challenging without knowing the award fees achieved. However, the competitive award process likely contributed to a fair price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit proposals. The number of bidders is not specified, but the competitive nature suggests that multiple organizations likely vied for this significant contract. This level of competition is generally favorable for price discovery and ensures that the government receives proposals from a wide range of qualified entities.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value and innovative solutions at a reasonable cost. Full and open competition helps prevent price inflation and encourages efficiency from the awarded contractor.

Public Impact

Educational institutions and policymakers across the Western Region benefit from research findings and technical assistance. Services delivered include research, development, and dissemination of educational best practices. Geographic impact is focused on the Western Region of the United States. The contract supports a workforce of researchers, analysts, and support staff in the field of education.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to contractor complacency if performance is not continuously monitored.
Cost Plus Award Fee contracts can sometimes lead to higher costs if award fees are consistently maximized without clear justification.
Reliance on a single awardee for a significant period may limit exposure to newer methodologies or innovations from other firms.

Positive Signals

The contract is awarded through full and open competition, indicating a strong initial vetting of potential contractors.
The Cost Plus Award Fee structure incentivizes high performance and achievement of program objectives.
The long duration suggests a stable and consistent need for the services, indicating the program's perceived value.

Sector Analysis

The contract falls under the Research and Development in the Social Sciences and Humanities sector, specifically focusing on education. This sector involves significant investment in understanding societal issues and developing evidence-based solutions. Comparable spending benchmarks would involve looking at other large federal grants or contracts awarded for educational research, policy analysis, and program evaluation, often by agencies like the Department of Education, NSF, or NIH.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While the prime contractor, WESTED, may be a non-profit or research institution, the contract's nature as a large-scale R&D award may not lend itself easily to subcontracting opportunities for small businesses unless specialized expertise is required. Further analysis would be needed to determine if any subcontracting plans were mandated or voluntarily pursued.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Education's program officials and contracting officers. The Cost Plus Award Fee structure necessitates rigorous performance monitoring to determine the appropriate award fees. Transparency is typically managed through reporting requirements outlined in the contract. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Regional Educational Laboratories
Education Research and Development Centers
Federal Education Grants
Social Science Research Funding

Risk Flags

Potential for cost overruns if award fee criteria are not strictly managed.
Risk of contractor performance not meeting evolving educational needs over the contract's long duration.
Ensuring effective dissemination and uptake of research findings by diverse stakeholders.

Frequently Asked Questions

What is this federal contract paying for?

Department of Education awarded $45.4 million to WESTED. REGIONAL EDUCATION LABORATORY - WESTERN REGION

Who is the contractor on this award?

The obligated recipient is WESTED.

Which agency awarded this contract?

Awarding agency: Department of Education (Department of Education).

What is the total obligated amount?

The obligated amount is $45.4 million.

What is the period of performance?

Start: 2006-01-31. End: 2011-12-31.

What is the track record of WESTED in delivering on similar federal contracts?

WESTED (WestEd) has a long history of managing and executing federal grants and contracts, particularly those funded by the Department of Education. As one of the original Regional Educational Laboratories established by the U.S. Department of Education, WESTED has consistently been awarded contracts to provide research, technical assistance, and dissemination services to educators and policymakers. Their track record generally reflects a strong capacity to manage complex projects, conduct rigorous research, and engage diverse stakeholders across their designated regions. Specific performance metrics and past performance evaluations from previous contracts would provide a more granular understanding of their success in meeting objectives, managing budgets, and adhering to timelines.

How does the annual cost of this contract compare to other federal education R&D initiatives?

The annual cost of this contract, averaging approximately $7.5 million ($45.4M / 6 years), places it as a significant investment within the federal education R&D landscape. However, it is important to note that federal education R&D spending encompasses a wide range of activities, from small grants for individual researchers to large-scale program evaluations and infrastructure development. Compared to major research centers or large-scale longitudinal studies, this annual figure might be moderate. For instance, large R&D Centers funded by the Department of Education can have annual budgets exceeding $10 million. Conversely, smaller grants or specific project funding might be in the hundreds of thousands. Therefore, while substantial, this contract's cost is within the expected range for a comprehensive regional laboratory serving multiple states over an extended period.

What are the primary risks associated with a Cost Plus Award Fee (CPAF) contract of this magnitude?

The primary risks associated with a Cost Plus Award Fee (CPAF) contract of this magnitude revolve around cost control and performance definition. For the government, there's a risk that the contractor may incur higher costs than anticipated if the award fee criteria are not sufficiently stringent or if the contractor focuses on maximizing fees rather than overall value. Defining clear, measurable, and achievable performance objectives that justify award fees can be challenging. For the contractor, the risk lies in not meeting the performance standards required to earn the full award fee, potentially impacting profitability. Effective oversight, robust performance metrics, and clear communication are crucial to mitigate these risks and ensure the contract delivers intended value.

How has the Department of Education's approach to funding regional educational research evolved over time?

The Department of Education's approach to funding regional educational research has evolved significantly since the inception of the Regional Educational Laboratories (RELs). Initially established to bridge the gap between research and practice, the REL program has undergone periodic re-competitions and programmatic adjustments. Over time, there has been an increasing emphasis on evidence-based practices, data-driven decision-making, and the practical application of research findings in classrooms and policy. The Department has also sought to foster greater collaboration among the RELs and with other research entities, encouraging the sharing of best practices and the development of common research agendas. The structure of contracts, including performance metrics and reporting requirements, has also been refined to ensure greater accountability and impact.

What is the potential impact of this contract on educational policy and practice in the Western Region?

This contract has the potential for significant impact on educational policy and practice in the Western Region by providing evidence-based research, technical assistance, and professional development. The Regional Educational Laboratory network is designed to help educators and policymakers use research to improve student outcomes. Through targeted research projects, the contract can address critical issues facing the region, such as achievement gaps, teacher effectiveness, or the implementation of new educational standards. The technical assistance component allows for the direct support of schools and districts in adopting evidence-based strategies. Dissemination efforts ensure that findings and successful practices reach a broad audience, influencing policy decisions and classroom instruction across multiple states.

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: 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: 730 HARRISON ST, SAN FRANCISCO, CA, 94107

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $45,383,654

Exercised Options: $45,383,654

Current Obligation: $45,383,654

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline