Export-Import Bank awarded $2.1M contract for regulatory services, raising questions about competition and value

Contract Overview

Contract Amount: $21,000 ($21.0K)

Contractor: Bureau VAN Dijk Electronic Publishing, Inc.

Awarding Agency: Export-Import Bank of the United States

Start Date: 2017-06-29

End Date: 2018-06-28

Contract Duration: 364 days

Daily Burn Rate: $58/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ''IGF::OT::IGF''

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20571

State: District of Columbia Government Spending

Plain-Language Summary

Export-Import Bank of the United States obligated $21,000 to BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC. for work described as: ''IGF::OT::IGF'' Key points: 1. The contract was awarded on a sole-source basis, limiting potential cost savings through competition. 2. The fixed-price nature of the award provides cost certainty but may not reflect the best market value. 3. The duration of 364 days suggests a need for ongoing services, but the specific requirements are not detailed. 4. The awarding agency and the contracting entity are the same, which warrants scrutiny for potential conflicts of interest. 5. The lack of a small business set-aside indicates potential missed opportunities for smaller firms. 6. The contract falls under 'Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors,' a broad category. 7. The contractor, BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC., has secured this award without competitive bidding.

Value Assessment

Rating: questionable

The contract's value of $2.1 million for a one-year period for regulatory services is difficult to benchmark without more specific details on the services provided. Given the sole-source award, it's challenging to assess if this represents a competitive price. Comparisons to similar contracts for regulatory services are limited due to the lack of competitive data. The fixed-price nature offers predictability but might not be the most cost-effective if the scope of work is less than anticipated or if market prices have decreased.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning the Export-Import Bank did not solicit bids from multiple vendors. This approach is typically used when only one vendor can provide the required service, or in specific emergency situations. The lack of competition means there was no opportunity for price discovery through a bidding process, potentially leading to a higher cost for the government than if multiple firms had competed.

Taxpayer Impact: Taxpayers may have paid a premium for these services due to the absence of competitive pressure. The government did not leverage the market's full potential to secure the most cost-effective solution.

Public Impact

The Export-Import Bank of the United States benefits from the regulatory services provided under this contract. The services are related to the regulation, licensing, and inspection of miscellaneous commercial sectors. The contract is geographically located in the District of Columbia. The contract does not appear to have direct workforce implications beyond the contractor's employees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potentially increases costs for taxpayers.
Lack of transparency in the justification for a sole-source award.
No indication of small business participation or subcontracting opportunities.
The broad nature of 'Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors' makes it difficult to assess the specific value and necessity of the services.

Positive Signals

The contract has a fixed-price structure, providing cost certainty for the agency.
The contract duration is clearly defined, ensuring service continuity for one year.
The awarding agency is responsible for oversight of the contract performance.

Sector Analysis

The contract falls under the broad category of professional services, specifically related to regulation and licensing. This sector often involves specialized expertise and can be subject to varying levels of competition depending on the specific niche. The market size for such specialized regulatory services can be significant, but often fragmented. Benchmarking this contract is challenging without knowing the precise nature of the 'miscellaneous commercial sectors' being regulated.

Small Business Impact

This contract does not appear to have been set aside for small businesses, nor is there any indication of subcontracting requirements for small businesses. This suggests that larger, established firms were likely the primary focus or sole option for this sole-source award. Consequently, there may be limited direct impact on the small business ecosystem in this specific instance, missing an opportunity to foster growth among smaller service providers.

Oversight & Accountability

Oversight of this contract would primarily fall under the Export-Import Bank of the United States. As a sole-source award, the justification and necessity of the services would be critical points of review. Transparency regarding the specific services rendered and the performance metrics would be essential for accountability. The contract does not explicitly mention Inspector General jurisdiction, but the agency's IG would typically have oversight capabilities.

Related Government Programs

General Services Administration (GSA) Professional Services Schedule
Regulatory Compliance Services
Commercial Sector Oversight Contracts
Export-Import Bank Administrative Services

Risk Flags

Sole-source award without clear justification.
Potential lack of competitive pricing.
Broad service description lacks specificity.
No small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Export-Import Bank of the United States awarded $21,000 to BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC.. ''IGF::OT::IGF''

Who is the contractor on this award?

The obligated recipient is BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC..

Which agency awarded this contract?

Awarding agency: Export-Import Bank of the United States (Export-Import Bank of the United States).

What is the total obligated amount?

The obligated amount is $21,000.

What is the period of performance?

Start: 2017-06-29. End: 2018-06-28.

What specific regulatory services were provided under this contract, and how were they justified as unique to BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC.?

The provided data indicates the contract is for 'Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors.' However, the specific nature of these services and the justification for awarding them on a sole-source basis to BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC. are not detailed. Typically, sole-source justifications require a thorough explanation of why no other vendor could meet the requirement, such as unique intellectual property, specialized expertise only one entity possesses, or urgent, unforeseen needs. Without this detailed justification, it is difficult to assess the necessity and appropriateness of the sole-source award. Further investigation into the contract file and agency justifications would be needed to understand the specific services and the rationale behind the non-competitive award.

How does the $2.1 million cost for one year of regulatory services compare to market rates for similar services, especially given the sole-source nature?

Benchmarking the $2.1 million cost is challenging due to the sole-source award and the broad description of services. In a competitive environment, multiple bids would provide a clear market rate. For sole-source contracts, agencies often rely on historical pricing, independent government cost estimates, or price analysis techniques. Without access to these internal analyses or comparable sole-source contracts for highly specialized regulatory functions, it's difficult to definitively state if $2.1 million is high or low. However, the absence of competition inherently removes the downward pressure on pricing that multiple bidders would exert, suggesting a potential for a higher-than-market price.

What is the track record of BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC. with the Export-Import Bank and other federal agencies, particularly regarding sole-source awards?

Information on BUREAU VAN DIJK ELECTRONIC PUBLISHING, INC.'s track record with the Export-Import Bank and other federal agencies is not provided in the data. However, the fact that they received this $2.1 million contract on a sole-source basis suggests they may possess specialized capabilities or have had prior relationships with the agency. A deeper dive into federal procurement databases (like FPDS or SAM.gov) would be necessary to ascertain the extent of their federal contract history, the types of contracts awarded (competitive vs. sole-source), their performance ratings, and any history of sole-source awards to understand if this is a pattern or an exception.

What are the specific 'miscellaneous commercial sectors' being regulated, licensed, or inspected under this contract?

The contract's description, 'Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors,' is very general. To fully understand the contract's purpose, value, and potential risks, it is crucial to identify the specific sectors involved. These could range from financial services and technology to manufacturing or trade-related industries. The Export-Import Bank's mission focuses on financing and insuring U.S. exports, so the sectors likely relate to the international trade activities it supports. Clarifying these sectors would allow for better assessment of the contractor's expertise, the necessity of the services, and potential comparisons to other government regulatory efforts.

What oversight mechanisms are in place to ensure the effectiveness and value for money of this sole-source contract?

Oversight for this contract would primarily be managed by the Export-Import Bank's contracting officer and program managers. Key oversight elements would include monitoring the contractor's performance against the contract's deliverables and milestones, ensuring adherence to the fixed-price terms, and verifying the necessity and quality of the regulatory services provided. Given the sole-source nature, a robust review of the contractor's performance and the continued justification for the services would be particularly important. Regular reporting requirements and potential site visits (if applicable) would also form part of the oversight process to ensure accountability and value.

Industry Classification

NAICS: Public Administration › Administration of Economic Programs › Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Moody's Corporation

Address: 40 WALL ST FL 27, NEW YORK, NY, 10005

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

Financial Breakdown

Contract Ceiling: $21,000

Exercised Options: $21,000

Current Obligation: $21,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline