Department of Education awards $38.7M for National Postsecondary Student Aid Study (NPSAS:08) to Research Triangle Institute

Contract Overview

Contract Amount: $38,730,446 ($38.7M)

Contractor: Research Triangle Institute

Awarding Agency: Department of Education

Start Date: 2005-09-30

End Date: 2016-03-29

Contract Duration: 3,833 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: NATIONAL POSTSECONDARY STUDENT AID STUDY (NPSAS:08)

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709

State: North Carolina Government Spending

Plain-Language Summary

Department of Education obligated $38.7 million to RESEARCH TRIANGLE INSTITUTE for work described as: NATIONAL POSTSECONDARY STUDENT AID STUDY (NPSAS:08) Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Award Fee, which incentivizes contractor performance. 3. The duration of the contract is substantial, spanning over 3800 days. 4. The North American Industry Classification System (NAICS) code 611310 points to services related to colleges and universities. 5. The contract was awarded by the Department of Education, aligning with its mission. 6. The contractor, Research Triangle Institute, has a significant role in this award. 7. The contract's value is approximately $38.7 million over its lifecycle. 8. The contract was awarded as a definitive contract, indicating a firm commitment.

Value Assessment

Rating: good

The contract value of $38.7 million for a large-scale study like NPSAS:08 appears reasonable given the extensive data collection and analysis required over a long period. Benchmarking against similar large-scale federal research and data collection contracts would provide a more precise value-for-money assessment. The Cost Plus Award Fee structure allows for performance-based incentives, which can drive efficiency and effectiveness, potentially leading to better value than fixed-price contracts for complex research.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but the open competition suggests a healthy market for such research services. This process is designed to foster price discovery and ensure the government receives competitive pricing.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for their investment in critical educational research.

Public Impact

Students and educational institutions benefit from the insights generated by the National Postsecondary Student Aid Study, which informs policy decisions. The study provides crucial data on student financial aid, college costs, and student outcomes. The findings can impact federal student aid programs, institutional financial aid policies, and higher education affordability initiatives. The research supports evidence-based policymaking to improve access to and success in postsecondary education. The geographic impact is national, covering the United States' postsecondary education landscape. The workforce implications include employment for researchers, data analysts, and support staff involved in the study.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The long duration of the contract (over 10 years) could introduce risks related to evolving research methodologies or data needs.
Cost-plus contracts, while incentivizing performance, can sometimes lead to higher costs if not managed carefully due to the reimbursement of incurred costs.
The complexity of collecting and analyzing national-level student aid data presents inherent risks in data accuracy and completeness.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
The Cost Plus Award Fee structure incentivizes high performance and quality outcomes.
The Department of Education's involvement suggests alignment with strategic research priorities.
The contractor, Research Triangle Institute, is a known entity in research and development, implying experience.

Sector Analysis

The contract falls within the Education and Research sector, specifically focusing on postsecondary education data and analysis. This sector is characterized by significant government investment in understanding educational trends, student outcomes, and financial aid mechanisms. Comparable spending benchmarks would involve other large-scale federal surveys and research initiatives conducted by agencies like the National Center for Education Statistics (NCES) or other research-focused federal bodies. The market for such specialized research services is competitive, with a few established research organizations capable of undertaking projects of this magnitude.

Small Business Impact

The contract details do not indicate a small business set-aside, nor is there explicit information regarding subcontracting plans for small businesses. Given the nature and scale of the NPSAS study, it is likely that the prime contractor, Research Triangle Institute, would manage the majority of the work internally. Further investigation into subcontracting opportunities would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Education, likely through the National Center for Education Statistics (NCES) which manages the NPSAS program. Accountability measures would be embedded within the Cost Plus Award Fee structure, linking contractor payment to performance metrics and deliverables. Transparency is generally maintained through the publication of study findings and methodologies, although specific contract management details may not be publicly disclosed.

Related Government Programs

National Center for Education Statistics (NCES) Surveys
Federal Student Aid Programs
Higher Education Research and Development
Educational Data Collection and Analysis
Postsecondary Education Finance Studies

Risk Flags

Long contract duration may lead to outdated methodologies if not managed proactively.
Cost-plus contract type requires diligent oversight to ensure cost efficiency.
Potential for scope creep over the extended period of performance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Education awarded $38.7 million to RESEARCH TRIANGLE INSTITUTE. NATIONAL POSTSECONDARY STUDENT AID STUDY (NPSAS:08)

Who is the contractor on this award?

The obligated recipient is RESEARCH TRIANGLE INSTITUTE.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $38.7 million.

What is the period of performance?

Start: 2005-09-30. End: 2016-03-29.

What is the track record of Research Triangle Institute (RTI) in managing large-scale federal research contracts, particularly in education?

Research Triangle Institute (RTI) has a well-established track record of managing complex, large-scale federal research contracts across various domains, including education. RTI is a non-profit research institute with extensive experience in survey design, data collection, statistical analysis, and program evaluation for government agencies. They have been involved in numerous studies for the Department of Education, including previous iterations of the National Postsecondary Student Aid Study (NPSAS). Their experience typically includes managing multi-year projects, handling sensitive data, and adhering to rigorous methodological standards. This history suggests a strong capability to successfully execute the NPSAS:08 contract, ensuring data quality and timely delivery of research findings.

How does the awarded amount of $38.7 million compare to previous NPSAS studies or similar large-scale educational research contracts?

The $38.7 million award for NPSAS:08 represents a significant investment, but its value must be contextualized by the study's scope, duration, and inflation. Previous NPSAS studies, such as NPSAS:04 or NPSAS:00, would have had different award amounts reflecting their specific timelines and methodologies. To accurately benchmark, one would need to adjust for inflation and compare the per-year cost or the cost per respondent/data point. Large-scale federal surveys and research projects, especially those involving national samples and complex data collection over many years, often run into tens of millions of dollars. For instance, other large NCES surveys or studies by agencies like the Bureau of Labor Statistics can have similar or even higher total costs. The Cost Plus Award Fee structure also means the final cost could vary based on performance.

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

The primary risks associated with a Cost Plus Award Fee (CPAF) contract for a study like NPSAS:08 revolve around cost control and performance management. While CPAF incentivizes performance through award fees, the 'cost-plus' component means the government reimburses the contractor for allowable costs incurred. If cost estimation is inaccurate or if unforeseen challenges lead to cost overruns, the total expenditure could exceed initial projections. There's also a risk that the award fee criteria might not perfectly align with all desired outcomes or could be subject to interpretation. Effective oversight is crucial to ensure that costs are reasonable and allocable, and that the award fee structure genuinely drives the most critical aspects of study quality and efficiency.

What is the expected impact of the NPSAS:08 study on federal student aid policy and higher education affordability?

The National Postsecondary Student Aid Study (NPSAS) is a cornerstone for informing federal student aid policy and understanding higher education affordability. NPSAS:08 data provides critical insights into how students finance their education, the types and amounts of aid they receive (federal, state, institutional, private), and the resulting student debt burden. Policymakers use this data to evaluate the effectiveness of existing federal student aid programs (like Pell Grants and federal loans), to design new initiatives, and to justify budget requests. Findings on college costs, aid packaging, and student outcomes directly influence discussions and decisions regarding tuition inflation, loan repayment challenges, and the overall accessibility and affordability of postsecondary education for diverse student populations.

How does the duration of this contract (over 10 years) affect the relevance and utility of the data collected?

The extended duration of the NPSAS:08 contract, spanning over a decade, is characteristic of longitudinal studies designed to track changes and trends over time. While this allows for the analysis of evolving student aid landscapes, borrowing patterns, and educational pathways, it also presents challenges. Data collected early in the contract might reflect conditions significantly different from those at its conclusion. To maintain relevance, the study methodology must be adaptable, incorporating updates to survey instruments and data collection techniques to capture emerging issues in higher education finance. Furthermore, the analysis must carefully account for these temporal shifts to provide accurate insights into both stable trends and period-specific phenomena.

What are the potential implications of awarding this contract to a single entity (Research Triangle Institute) for over a decade?

Awarding a significant, long-term contract like NPSAS:08 to a single entity, Research Triangle Institute, can offer benefits such as continuity, deep institutional knowledge, and streamlined project management. This allows RTI to build expertise and refine processes over the contract's lifespan, potentially leading to efficiencies and higher quality data. However, it also concentrates risk with one contractor and may limit opportunities for innovation that could arise from competition or collaboration among multiple firms. The government's oversight role becomes even more critical to ensure continued value, prevent complacency, and adapt the study's scope to changing needs throughout the extended period.

Industry Classification

NAICS: Educational Services › Colleges, Universities, and Professional Schools › Colleges, Universities, and Professional Schools

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: 3040 CORNWALLIS ROAD, RESEARCH TRIANGLE PARK, NC, 27709

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $195,285,798

Exercised Options: $156,241,929

Current Obligation: $38,730,446

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline