Education Contract Modified: $12.3M Increase for Services, Funding, and Performance Extension
Contract Overview
Contract Amount: $12,349,105 ($12.3M)
Contractor: American Institutes for Research in the Behavioral Sciences
Awarding Agency: Department of Education
Start Date: 2003-03-15
End Date: 2010-11-22
Contract Duration: 2,809 days
Daily Burn Rate: $4.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: THE PURPOSE OF THIS MODIFICATION IS TO 1) CHANGE THE DESCRIPTION OF SERVICES, INCREASING THE VALUE OF THE CONTRACT, 2) ADD INCREMENTAL FUNDING TO THE CONTRACT FOR CONTINUAL WORK, 3) UPDATE THE PERIOD OF PERFORMANCE, AND 4) EQUITABLE ADJUSTMENT (CONTRACTOR'S RELEASE).
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20007
Plain-Language Summary
Department of Education obligated $12.3 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES for work described as: THE PURPOSE OF THIS MODIFICATION IS TO 1) CHANGE THE DESCRIPTION OF SERVICES, INCREASING THE VALUE OF THE CONTRACT, 2) ADD INCREMENTAL FUNDING TO THE CONTRACT FOR CONTINUAL WORK, 3) UPDATE THE PERIOD OF PERFORMANCE, AND 4) EQUITABLE ADJUSTMENT (CONTRACTOR'S RELEASE). Key points: 1. Contract value increased by $12.3M, indicating expanded scope or additional services. 2. Extended performance period suggests ongoing need and potential for sustained spending. 3. Modification includes equitable adjustment, implying a negotiated change with the contractor. 4. Department of Education is the primary agency involved in this significant contract modification.
Value Assessment
Rating: fair
The contract's total value has significantly increased, but without specific cost breakdowns or benchmarks, assessing its value for money is difficult. The Cost Plus Award Fee structure allows for performance-based incentives, which can be effective if well-managed.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the modification's details do not provide information on the pricing strategies or how the increased value was determined through this competition.
Taxpayer Impact: The $12.3M increase represents a substantial allocation of taxpayer funds, necessitating scrutiny to ensure the expanded services and extended performance are justified and cost-effective.
Public Impact
Increased spending on educational research and services by the Department of Education. Potential impact on educational programs and policy due to expanded research scope. Longer contract duration may signify stable, long-term support for specific initiatives.
Waste & Efficiency Indicators
Waste Risk Score: 75 / 10
Warning Flags
- Lack of detailed justification for the $12.3M increase.
- Cost Plus Award Fee structure can lead to cost overruns if not tightly controlled.
- Extended performance period without clear end-state metrics.
Positive Signals
- Awarded under full and open competition.
- Contractor has a history of performance (implied by modification).
- Modification addresses multiple aspects of the contract systematically.
Sector Analysis
This contract falls within the professional services sector, specifically related to behavioral sciences and education. Spending in this area supports research, analysis, and program development within the Department of Education.
Small Business Impact
The data does not indicate whether small businesses were involved in the original competition or as subcontractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The modification process itself suggests a level of oversight. However, the details provided are insufficient to assess the thoroughness of the review for the significant increase in contract value and duration.
Related Government Programs
- Department of Education Contracting
- Department of Education Programs
Risk Flags
- Significant contract value increase without detailed justification.
- Potential for cost overruns with CPAF structure.
- Extended performance period may lack clear objectives.
- Lack of transparency on specific service changes.
- Equitable adjustment details not provided.
Tags
department-of-education, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Education awarded $12.3 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES. THE PURPOSE OF THIS MODIFICATION IS TO 1) CHANGE THE DESCRIPTION OF SERVICES, INCREASING THE VALUE OF THE CONTRACT, 2) ADD INCREMENTAL FUNDING TO THE CONTRACT FOR CONTINUAL WORK, 3) UPDATE THE PERIOD OF PERFORMANCE, AND 4) EQUITABLE ADJUSTMENT (CONTRACTOR'S RELEASE).
Who is the contractor on this award?
The obligated recipient is AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES.
Which agency awarded this contract?
Awarding agency: Department of Education (Department of Education).
What is the total obligated amount?
The obligated amount is $12.3 million.
What is the period of performance?
Start: 2003-03-15. End: 2010-11-22.
What specific services were added or changed to warrant the $12.3M increase, and how does this align with the Department of Education's strategic goals?
The modification states a change in the 'description of services' as the primary driver for the $12.3M increase. To assess value, a detailed breakdown of these new or altered services is required. Understanding how these services directly contribute to the Department of Education's mission and current strategic objectives is crucial for justifying the expanded investment and ensuring taxpayer funds are used effectively.
Given the Cost Plus Award Fee structure and the significant contract value increase, what measures are in place to mitigate the risk of cost overruns and ensure contractor performance?
The Cost Plus Award Fee (CPAF) structure inherently carries a risk of cost escalation if not rigorously managed. Effective oversight requires clearly defined performance metrics, objective award fee criteria, and regular audits. The Department of Education must ensure robust monitoring mechanisms are in place to track costs, evaluate performance against award criteria, and prevent unnecessary expenditures, especially with the extended period of performance.
How does the extended performance period, coupled with the increased funding, contribute to the overall effectiveness of the services being procured by the Department of Education?
An extended performance period can enhance effectiveness by allowing for more comprehensive research, development, or implementation of services. However, its true contribution depends on whether the extended timeline is necessary for achieving project goals or simply prolongs the engagement. The increased funding must be directly tied to the expanded scope and duration, ensuring that the additional resources translate into tangible, measurable improvements in educational outcomes or program delivery.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 3
Pricing Type: COST PLUS AWARD FEE (R)
Contractor Details
Address: 1000 THOMAS JEFFERSON ST, WASHINGTON, DC, 98
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $12,360,579
Exercised Options: $12,360,579
Current Obligation: $12,349,105
Parent Contract
Parent Award PIID: ED01CO0026
IDV Type: IDC
Timeline
Start Date: 2003-03-15
Current End Date: 2010-11-22
Potential End Date: 2010-11-22 00:00:00
Last Modified: 2010-11-24
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