Treasury's IRS awards $10.5M for Employee Assistance Programs to ComPsych
Contract Overview
Contract Amount: $10,556,720 ($10.6M)
Contractor: Compsych Employee Assistance Programs, Inc.
Awarding Agency: Department of the Treasury
Start Date: 2006-12-07
End Date: 2011-12-31
Contract Duration: 1,850 days
Daily Burn Rate: $5.7K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: REQUEST FOR EAP SERVICES
Place of Performance
Location: CHICAGO, COOK County, ILLINOIS, 60611
State: Illinois Government Spending
Plain-Language Summary
Department of the Treasury obligated $10.6 million to COMPSYCH EMPLOYEE ASSISTANCE PROGRAMS, INC. for work described as: REQUEST FOR EAP SERVICES Key points: 1. Significant contract value for specialized HR consulting services. 2. Sole-source award raises questions about competition and price discovery. 3. Long contract duration (5 years) suggests a critical, ongoing need. 4. Focus on employee well-being indicates a potential positive impact on workforce productivity.
Value Assessment
Rating: questionable
The contract value of $10.5M over 5 years for EAP services is substantial. Without comparable contract data or a competitive bidding process, it's difficult to assess if this pricing is optimal or if it represents good value for taxpayer money.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This was a sole-source award, meaning there was no open competition. This limits the government's ability to ensure the best possible price and service through market forces. The rationale for the sole-source award is not provided.
Taxpayer Impact: The lack of competition may lead to higher costs for taxpayers than if multiple vendors had competed for the contract.
Public Impact
Provides essential mental health and support services to IRS employees. Aims to improve employee well-being, potentially reducing absenteeism and increasing productivity. Ensures continuity of critical support services for a large federal agency.
Waste & Efficiency Indicators
Waste Risk Score: 100 / 10
Warning Flags
- Sole-source award limits competition.
- Lack of transparency on pricing justification.
- Long-term commitment without competitive re-evaluation.
Positive Signals
- Addresses critical employee support needs.
- Potential for improved workforce morale and retention.
Sector Analysis
Human Resources Consulting Services (NAICS 541612) are crucial for federal agencies to manage their workforce effectively. Spending in this sector can vary widely based on agency size and specific needs, but EAP services are a common and important component.
Small Business Impact
The data indicates this contract was not awarded to a small business, as 'sb' is false. Further analysis would be needed to determine if small business participation was considered or sought.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny. Oversight should focus on the justification for bypassing full and open competition and ensuring the contractor delivers services effectively and at a reasonable cost.
Related Government Programs
- Human Resources Consulting Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Sole-source award lacks competitive pricing.
- Potential for overpayment due to lack of competition.
- Long contract duration may reduce flexibility.
- No clear performance metrics or value assessment provided.
Tags
human-resources-consulting-services, department-of-the-treasury, il, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $10.6 million to COMPSYCH EMPLOYEE ASSISTANCE PROGRAMS, INC.. REQUEST FOR EAP SERVICES
Who is the contractor on this award?
The obligated recipient is COMPSYCH EMPLOYEE ASSISTANCE PROGRAMS, INC..
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $10.6 million.
What is the period of performance?
Start: 2006-12-07. End: 2011-12-31.
What was the justification for awarding this contract on a sole-source basis instead of through full and open competition?
The provided data does not include the justification for the sole-source award. Typically, sole-source awards are made when only one responsible source is available or capable of providing the required services. This could be due to unique capabilities, proprietary technology, or urgent needs. Without this justification, it's impossible to fully assess the necessity of this procurement approach.
How does the per-unit cost of these EAP services compare to industry benchmarks or similar government contracts?
The provided data does not include per-unit cost details or allow for a direct comparison to industry benchmarks or similar government contracts. The total award value is $10.5M over 5 years. To assess value, one would need data on the number of employees served, the types of services provided, and the cost per employee compared to market rates.
What is the expected impact of these EAP services on IRS employee productivity and retention?
While the specific impact metrics are not detailed, Employee Assistance Programs are generally expected to improve employee productivity by addressing personal and work-related issues that can hinder performance. They can also contribute to higher retention rates by demonstrating employer support and providing resources for mental health and well-being, thereby reducing stress and burnout.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Human Resources Consulting Services
Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 455 NORTH CITYFRONT PLAZA DRIVE 13TH FL, CHICAGO, IL, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $11,636,880
Exercised Options: $11,636,880
Current Obligation: $10,556,720
Parent Contract
Parent Award PIID: GS02F0004T
IDV Type: FSS
Timeline
Start Date: 2006-12-07
Current End Date: 2011-12-31
Potential End Date: 2011-12-31 00:00:00
Last Modified: 2014-02-10
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