Maximus Federal Services Awarded $55M for Employment Network Operations Support by Social Security Administration

Contract Overview

Contract Amount: $54,987,248 ($55.0M)

Contractor: Maximus Federal Services, Inc.

Awarding Agency: Social Security Administration

Start Date: 2010-09-29

End Date: 2015-09-28

Contract Duration: 1,825 days

Daily Burn Rate: $30.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: OPERATIONS SUPPORT MANAGER (OSM) CONTRACT--SUPPORTS DAILY EMPLOYMENT NETWORK (EN) TICKET OPERATIONS, ADMINISTERS & SUPPORTS THE EN TECHNICAL ASSISTANCE AND SUPPORT CENTER.

Place of Performance

Location: BALTIMORE, BALTIMORE (CITY) County, MARYLAND, 21235, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Social Security Administration obligated $55.0 million to MAXIMUS FEDERAL SERVICES, INC. for work described as: OPERATIONS SUPPORT MANAGER (OSM) CONTRACT--SUPPORTS DAILY EMPLOYMENT NETWORK (EN) TICKET OPERATIONS, ADMINISTERS & SUPPORTS THE EN TECHNICAL ASSISTANCE AND SUPPORT CENTER. Key points: 1. Contract supports critical Employment Network (EN) ticket operations and technical assistance. 2. Maximus Federal Services, a large business, holds this contract. 3. The contract was awarded under full and open competition. 4. The sector is Administrative Management and General Management Consulting Services.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award value of $54.9M over 5 years suggests a moderate per-year spend.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Awarded via full and open competition, indicating a competitive bidding process. The specific pricing mechanisms within the Cost Plus Fixed Fee structure would need further review to assess price discovery effectiveness.

Taxpayer Impact: Taxpayer funds are used to support essential employment network operations, aiming for efficient service delivery.

Public Impact

Ensures continuity of operations for the Employment Network, a key program for job seekers. Supports technical assistance, potentially improving user experience and problem resolution. The contract's duration of 5 years provides stability for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector, which is common for government support functions. Benchmarks for similar contracts would focus on the efficiency and effectiveness of operational support services.

Small Business Impact

The data indicates that this contract was not awarded to a small business (ss: false, sb: false). There is no indication of small business subcontracting goals or participation.

Oversight & Accountability

The contract was awarded by the Social Security Administration, suggesting internal oversight mechanisms are in place. Further review of performance reports and audits would be needed to assess accountability.

Related Government Programs

Risk Flags

Tags

administrative-management-and-general-ma, social-security-administration, md, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $55.0 million to MAXIMUS FEDERAL SERVICES, INC.. OPERATIONS SUPPORT MANAGER (OSM) CONTRACT--SUPPORTS DAILY EMPLOYMENT NETWORK (EN) TICKET OPERATIONS, ADMINISTERS & SUPPORTS THE EN TECHNICAL ASSISTANCE AND SUPPORT CENTER.

Who is the contractor on this award?

The obligated recipient is MAXIMUS FEDERAL SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $55.0 million.

What is the period of performance?

Start: 2010-09-29. End: 2015-09-28.

What is the specific performance metric for the Employment Network ticket operations and technical assistance?

The provided data does not specify the exact performance metrics for the Employment Network (EN) ticket operations and technical assistance. Typically, such contracts would include Service Level Agreements (SLAs) measuring response times, resolution rates, customer satisfaction, and system uptime. A detailed review of the contract's Statement of Work (SOW) would be necessary to identify these specific performance indicators and their associated targets.

How does the Cost Plus Fixed Fee structure impact the government's ability to control costs for these operational support services?

The Cost Plus Fixed Fee (CPFF) structure allows the contractor to recover all allowable costs plus a predetermined fixed fee. While the fee is fixed, the overall cost can increase if allowable costs rise. This structure can incentivize contractors to incur costs to maximize profit, potentially leading to less cost-consciousness compared to fixed-price contracts. Effective government oversight and robust cost accounting standards are crucial to mitigate this risk.

What is the potential impact on the Employment Network program if Maximus Federal Services fails to meet performance expectations?

Failure by Maximus Federal Services to meet performance expectations could lead to disruptions in the Employment Network's daily operations, potentially impacting the efficiency of ticket resolution and technical support. This could result in delays for individuals seeking employment assistance or hinder the overall effectiveness of the EN program. Contractual remedies, such as performance improvement plans or termination for default, would likely be invoked by the Social Security Administration.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management 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

Solicitation ID: SSA-RFP-10-1036

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Maximus Inc (UEI: 082347477)

Address: 11419 SUNSET HILLS ROAD, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $54,987,248

Exercised Options: $54,987,248

Current Obligation: $54,987,248

Contract Characteristics

Cost or Pricing Data: YES

Timeline

Start Date: 2010-09-29

Current End Date: 2015-09-28

Potential End Date: 2015-09-28 00:00:00

Last Modified: 2015-09-22

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