Department of Education's $35M NAEP Technical Assistance contract awarded to AIR Sciences for 6 years

Contract Overview

Contract Amount: $35,169,850 ($35.2M)

Contractor: American Institutes for Research in the Behavioral Sciences

Awarding Agency: Department of Education

Start Date: 2005-09-30

End Date: 2011-12-31

Contract Duration: 2,283 days

Daily Burn Rate: $15.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS (NAEP) EDUCATION STATISTICS SERVICE INSTITUTE - TECHNICAL ASSISTANCE.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20007

State: District of Columbia Government Spending

Plain-Language Summary

Department of Education obligated $35.2 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES for work described as: NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS (NAEP) EDUCATION STATISTICS SERVICE INSTITUTE - TECHNICAL ASSISTANCE. Key points: 1. Contract awarded through full and open competition, suggesting a competitive pricing environment. 2. The contract type, Cost Plus Award Fee, incentivizes performance but requires careful oversight. 3. A duration of over 6 years indicates a long-term need for these specialized services. 4. The North American Industry Classification System (NAICS) code 541690 points to a niche market for scientific and technical consulting. 5. The contract's value of approximately $35 million over its term warrants scrutiny for value for money. 6. The absence of small business set-asides may limit opportunities for smaller firms in this specific award.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific cost breakdowns or comparable contracts. The Cost Plus Award Fee structure means the final cost is tied to performance, which can lead to variability. However, the total award amount of over $35 million over more than six years suggests a significant investment in educational statistics services. Further analysis would require comparing the per-unit cost of services rendered against similar technical assistance contracts within the federal government or the broader education research sector.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. The presence of two bids suggests a degree of competition, which is generally favorable for price discovery and achieving a fair market price. The specific details of the bidding process, including the number of proposals received and the evaluation criteria, would provide a clearer picture of the competitive intensity.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a more competitive environment that can drive down costs and improve the quality of services received.

Public Impact

The primary beneficiary is the Department of Education, which receives crucial technical assistance for the National Assessment of Educational Progress (NAEP). Services delivered include technical support for educational statistics, data collection, analysis, and reporting. The geographic impact is national, as NAEP data informs educational policy and practice across the United States. Workforce implications include the employment of researchers, statisticians, and technical staff at AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Scientific and Technical Consulting Services sector, specifically related to education statistics. The NAICS code 541690 covers a broad range of non-scientific and non-technical consulting services. The market for educational research and technical assistance is competitive, with numerous firms specializing in data analysis, program evaluation, and policy research. Federal spending in this area supports the government's ability to gather and disseminate critical data on educational outcomes.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the primary competition was likely among larger research institutions or firms capable of handling the scope and complexity of the NAEP technical assistance. There is no information on subcontracting plans, so the impact on the small business ecosystem is not directly ascertainable from this data alone.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the Department of Education. As a Cost Plus Award Fee contract, performance monitoring and evaluation are critical to determining award fees, implying a structured oversight mechanism. Transparency would be enhanced through contract award databases and potentially public reporting of NAEP findings. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

department-of-education, scientific-and-technical-consulting-services, national-assessment-of-educational-progress, cost-plus-award-fee, definitive-contract, full-and-open-competition, district-of-columbia, large-contract, education-research, technical-assistance

Frequently Asked Questions

What is this federal contract paying for?

Department of Education awarded $35.2 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES. NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS (NAEP) EDUCATION STATISTICS SERVICE INSTITUTE - TECHNICAL ASSISTANCE.

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 $35.2 million.

What is the period of performance?

Start: 2005-09-30. End: 2011-12-31.

What is the historical spending trend for NAEP technical assistance?

Historical spending data for NAEP technical assistance is not directly available in the provided snippet. However, the award of a definitive contract valued at over $35 million from 2005 to 2011 suggests a significant and sustained federal investment in this area. To understand the trend, one would need to examine prior and subsequent contract awards for NAEP technical assistance, looking at the total obligated amounts, contract durations, and the number of competitors over time. This would reveal whether spending has increased, decreased, or remained relatively stable, and how competition dynamics have evolved.

How does the cost per year of this contract compare to similar federal technical assistance contracts?

The annual cost for this contract averages approximately $5.86 million ($35,169,849.51 / 6 years). Comparing this to similar federal technical assistance contracts requires access to a broader dataset of government procurements. Factors such as the specific technical expertise required, the scope of work, the duration, and the level of competition influence per-year costs. Contracts for highly specialized scientific or statistical consulting, especially those supporting large-scale national assessments like NAEP, may command higher annual expenditures than general consulting services. A comprehensive benchmark would involve identifying contracts with similar NAICS codes and service descriptions, adjusting for inflation and contract size.

What are the key performance indicators (KPIs) used to determine the award fee for AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES?

The provided data does not specify the key performance indicators (KPIs) used to determine the award fee for AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES. For Cost Plus Award Fee contracts, these KPIs are typically outlined in the contract's performance work statement (PWS) and are designed to measure the contractor's success in meeting specific objectives related to quality, timeliness, cost control, and overall mission accomplishment. For NAEP technical assistance, KPIs might include the accuracy and timeliness of data reporting, the effectiveness of technical support provided to states, the successful implementation of new statistical methodologies, and adherence to project milestones. The contracting officer would evaluate performance against these metrics to determine the amount of the award fee.

What is the track record of AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES with federal contracts, particularly within the Department of Education?

AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES (AIR) has a significant track record with federal contracts, including substantial work with the Department of Education. While this specific contract highlights a large award for NAEP technical assistance, AIR has been involved in numerous other federal projects related to education research, policy analysis, and program evaluation. Their history often includes managing large-scale data collection efforts, developing assessment tools, and providing technical support to various government agencies. A thorough review of their contract history would reveal their performance on past awards, including any issues related to cost overruns, schedule delays, or quality concerns, as well as their success in delivering complex research and technical services.

What are the risks associated with a Cost Plus Award Fee (CPAF) contract structure for this type of service?

The primary risk with a CPAF structure is the potential for increased costs if the award fee criteria are not rigorously defined or if the government consistently awards the maximum fee without sufficient justification. This can incentivize the contractor to focus on meeting easily achievable targets rather than optimizing for true value or innovation. For NAEP technical assistance, risks could include the contractor prioritizing tasks that guarantee award fees over more critical but less quantifiable aspects of the service. Effective oversight is crucial to ensure that award fees are earned based on exceptional performance that demonstrably benefits the government and taxpayers, rather than simply meeting baseline requirements.

How does the duration of this contract (over 6 years) impact its value and risk profile?

A contract duration of over six years for technical assistance provides stability and continuity for a critical program like NAEP, allowing the contractor to develop deep expertise and long-term efficiencies. This can be beneficial for maintaining consistent data quality and support. However, such a long duration also carries risks. It can reduce the government's flexibility to adapt to evolving technological landscapes, changing educational priorities, or to incorporate innovations from other potential vendors. Furthermore, it ties the agency to a specific contractor for an extended period, potentially limiting opportunities for competitive re-evaluation and cost savings that might arise from market shifts or new entrants. Robust contract management and potential for modifications are key to mitigating these risks.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesOther Scientific and Technical Consulting Services

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: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 1000 THOMAS JEFFERSON ST, WASHINGTON, DC, 20007

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

Financial Breakdown

Contract Ceiling: $38,638,403

Exercised Options: $38,638,403

Current Obligation: $35,169,850

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2005-09-30

Current End Date: 2011-12-31

Potential End Date: 2011-12-31 00:00:00

Last Modified: 2017-09-26

More Contracts from American Institutes for Research in the Behavioral Sciences

View all American Institutes for Research in the Behavioral Sciences federal contracts →

Other Department of Education Contracts

View all Department of Education contracts →

Explore Related Government Spending