Department of Education awards $344M contract for NAEP sampling and data collection to Westat, Inc

Contract Overview

Contract Amount: $344,388,515 ($344.4M)

Contractor: Westat, Inc.

Awarding Agency: Department of Education

Start Date: 2013-03-07

End Date: 2019-07-31

Contract Duration: 2,337 days

Daily Burn Rate: $147.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: "CRITICAL FUNCTIONS" IGF::CT::IGF THE SAMPLING AND DATA COLLECTION CONTRACTOR DESIGNS AND CONDUCTS THE SAMPLING AND DATA COLLECTION ACTIVITIES AND PREPARES THE SAMPLING AND VARIANCE ESTIMATION WEIGHTS FOR THE OPERATIONAL ASSESSMENTS, PILOT TESTS, AND SPECIAL STUDIES REQUIRED BY THE NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS (NAEP) FOR THE 2013-2017 ASSESSMENT CYCLES. ADDITIONALLY, THE SDC CONTRACTOR CONDUCTS THE NAEP HIGH SCHOOL TRANSCRIPT STUDY (HSTS). THE SDC CONTRACTOR SHALL PURSUE CREATIVE AND INNOVATIVE LINES OF METHODOLOGICAL AND OPERATIONAL INQUIRY FOR IMPROVING SAMPLING, DATA COLLECTION AND WEIGHTING METHODOLOGIES THAT WILL STRATEGICALLY POSITION NAEP AND THE HSTS TO MEET THE UPCOMING CHALLENGES IN THE NEXT DECADE SUCH AS TECHNOLOGY-BASED AND MULTI-STAGE ADAPTIVE TESTING; MAKING NAEP MORE EDUCATIONALLY RELEVANT BY LINKING WITH OTHER STATE, NATIONAL, AND INTERNATIONAL ASSESSMENTS; AND IMPROVING ACCESS TO THE BROADEST RANGE OF STUDENTS INCLUDING STUDENTS WITH DISABILITIES AND ENGLISH LANGUAGE LEARNERS.

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Education obligated $344.4 million to WESTAT, INC. for work described as: "CRITICAL FUNCTIONS" IGF::CT::IGF THE SAMPLING AND DATA COLLECTION CONTRACTOR DESIGNS AND CONDUCTS THE SAMPLING AND DATA COLLECTION ACTIVITIES AND PREPARES THE SAMPLING AND VARIANCE ESTIMATION WEIGHTS FOR THE OPERATIONAL ASSESSMENTS, PILOT TESTS, AND SPECIAL STUDIES REQUIRED BY T… Key points: 1. Contract focuses on critical functions for the National Assessment of Educational Progress (NAEP) and High School Transcript Study (HSTS). 2. Westat, Inc. will design and conduct sampling and data collection activities, including preparing estimation weights. 3. The contract spans from March 2013 to July 2019, covering multiple assessment cycles. 4. This contract supports the development of educational insights through rigorous data collection and analysis. 5. The scope includes methodological inquiry for improving sampling, data collection, and weighting. 6. The contract aims to position NAEP and HSTS for future challenges like technology-based testing.

Value Assessment

Rating: good

The total award of $344.4 million over approximately 6.5 years represents a significant investment in educational assessment. Benchmarking this against similar large-scale data collection contracts is challenging due to the specialized nature of NAEP. However, the Cost Plus Award Fee (CPAF) structure suggests an incentive for performance and efficiency, which can lead to better value if managed effectively. The contract's duration and scope indicate a need for sustained expertise in statistical sampling and data management.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders likely participated. This competitive process is expected to drive fair pricing and encourage innovative approaches from contractors. The number of bidders and the specific evaluation criteria would provide further insight into the strength of the competition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more cost-effective solutions and higher quality services.

Public Impact

The primary beneficiaries are educational researchers, policymakers, and educators who rely on NAEP data for insights into student achievement. Services delivered include the design and execution of sampling methodologies, data collection, and the creation of statistical weights for NAEP and HSTS. The geographic impact is national, as NAEP assessments are administered across the United States. Workforce implications include employment for statisticians, data collectors, researchers, and project managers involved in the assessment process.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to potential cost overruns if not closely monitored.
Reliance on a single contractor for critical assessment functions may pose a risk if performance falters.
The complexity of the methodologies requires robust quality control to ensure data integrity.

Positive Signals

The contract's focus on innovation suggests a forward-looking approach to educational assessment.
Full and open competition indicates a robust selection process.
The Cost Plus Award Fee structure incentivizes contractor performance and efficiency.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on social sciences and humanities research. The market for large-scale educational assessment and data collection is specialized, with a few key players possessing the required expertise. The National Assessment of Educational Progress (NAEP) is a flagship program, and contracts supporting it are typically substantial. Comparable spending benchmarks would likely be found in other large federal surveys and data collection efforts across agencies like the National Center for Education Statistics (NCES) itself or other research arms of government.

Small Business Impact

The provided data does not indicate any specific small business set-asides or subcontracting requirements for this contract. As a large, complex research and data collection effort, it is possible that smaller firms could be involved as subcontractors to the prime contractor, Westat, Inc., but this information is not detailed here. The primary focus appears to be on the prime contractor's capabilities.

Oversight & Accountability

Oversight for this contract would typically reside with the National Center for Education Statistics (NCES) within the Department of Education. Mechanisms likely include regular progress reports, performance reviews, and adherence to the terms of the Cost Plus Award Fee contract. Transparency is generally maintained through public reporting of NAEP results. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

National Assessment of Educational Progress (NAEP)
High School Transcript Study (HSTS)
National Center for Education Statistics (NCES) Programs
Federal Education Data Collection Contracts

Risk Flags

Contract Duration
Cost Plus Award Fee Structure
Data Integrity Risk
Methodological Complexity

Frequently Asked Questions

What is this federal contract paying for?

Department of Education awarded $344.4 million to WESTAT, INC.. "CRITICAL FUNCTIONS" IGF::CT::IGF THE SAMPLING AND DATA COLLECTION CONTRACTOR DESIGNS AND CONDUCTS THE SAMPLING AND DATA COLLECTION ACTIVITIES AND PREPARES THE SAMPLING AND VARIANCE ESTIMATION WEIGHTS FOR THE OPERATIONAL ASSESSMENTS, PILOT TESTS, AND SPECIAL STUDIES REQUIRED BY THE NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS (NAEP) FOR THE 2013-2017 ASSESSMENT CYCLES. ADDITIONALLY, THE SDC CONTRACTOR CONDUCTS THE NAEP HIGH SCHOOL TRANSCRIPT STUDY (HSTS). THE SDC CONTRACTOR SHALL PURSUE CREATIV

Who is the contractor on this award?

The obligated recipient is WESTAT, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $344.4 million.

What is the period of performance?

Start: 2013-03-07. End: 2019-07-31.

What is the track record of Westat, Inc. in managing large-scale federal data collection contracts?

Westat, Inc. has a long-standing history of managing complex, large-scale data collection and research projects for various federal agencies, including the Department of Education. They are a well-established research organization known for its expertise in survey design, sampling, data collection, and statistical analysis. Their experience with the National Assessment of Educational Progress (NAEP) is extensive, having been involved in various capacities over many years. This includes previous contracts for sampling and data collection, as well as methodological development. Their track record suggests a strong capability to handle the scope and complexity of the "CRITICAL FUNCTIONS" IGF::CT::IGF contract, which involves designing and conducting sampling and data collection activities for NAEP and the High School Transcript Study (HSTS) across multiple assessment cycles. Their sustained involvement indicates a level of trust and proven performance with the agency.

How does the value of this contract compare to similar federal data collection efforts?

The $344.4 million award for the NAEP sampling and data collection over approximately 6.5 years is substantial, reflecting the scale and importance of the National Assessment of Educational Progress. Benchmarking this against other federal data collection contracts requires careful consideration of scope, duration, and complexity. Large-scale surveys and assessments, such as those conducted by the Bureau of Labor Statistics (e.g., Current Population Survey) or the Census Bureau (e.g., decennial census operations), can involve similar or even larger budgets. However, the specialized nature of NAEP's educational focus and its specific methodological requirements (like the High School Transcript Study) make direct comparisons difficult. The Cost Plus Award Fee (CPAF) structure, while common for complex services, means the final cost can vary based on performance, making a fixed value comparison less straightforward than for fixed-price contracts. Nonetheless, the investment aligns with the national significance of tracking educational progress.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks for this contract include potential delays in data collection impacting assessment timelines, data quality issues arising from complex methodologies, and cost overruns given the Cost Plus Award Fee (CPAF) structure. Mitigations likely involve stringent performance metrics defined in the contract, regular progress reviews by the Department of Education, and robust quality assurance protocols for sampling and data collection. The CPAF structure itself includes an incentive for the contractor to perform efficiently and effectively to earn award fees, which can help control costs. Furthermore, the contract's emphasis on methodological inquiry and innovation suggests a proactive approach to identifying and addressing potential operational challenges. The long duration also necessitates strong contract management to ensure continued alignment with evolving assessment needs.

How effective is the Cost Plus Award Fee (CPAF) contract type for ensuring program effectiveness?

The Cost Plus Award Fee (CPAF) contract type is often employed for complex service contracts where the scope of work may evolve or where performance outcomes are critical and difficult to define precisely upfront. For the NAEP sampling and data collection, CPAF allows the government to reimburse the contractor for allowable costs while providing additional fee based on performance against pre-defined criteria. This structure incentivizes the contractor, Westat, Inc., to not only complete the required tasks but to do so with a high degree of quality, efficiency, and innovation. Program effectiveness is thus tied to the contractor's ability to meet or exceed these performance standards, which are monitored by the Department of Education. If the contractor excels in areas like methodological improvements or data accuracy, they receive a higher award fee, directly linking contractor success to program goals. This can foster a more collaborative and results-oriented relationship compared to other contract types.

What are the historical spending patterns for NAEP sampling and data collection?

Historical spending on NAEP sampling and data collection has been significant, reflecting the program's continuous nature and evolving requirements. While specific figures for prior cycles are not detailed in the provided data snippet, the $344.4 million awarded to Westat, Inc. for the 2013-2017 cycles (with an end date in 2019) indicates a substantial, multi-year investment. Previous contracts for similar functions would have been awarded in earlier assessment periods. For instance, contracts supporting the 2009 or 2011 NAEP cycles would have preceded this one. The trend in federal spending on large-scale assessments like NAEP generally shows consistent, substantial funding, often adjusted for inflation and increasing complexity of data collection methods (e.g., incorporating new technologies). The consistent awarding of such contracts to experienced firms like Westat suggests a stable, albeit significant, budgetary allocation for these critical educational research functions over time.

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: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

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: 1600 RESEARCH BLVD, ROCKVILLE, MD, 20850

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $364,882,821

Exercised Options: $364,831,547

Current Obligation: $344,388,515

Actual Outlays: $4,266,465

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $1,831,149

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline