Treasury's $37.2M Advertising Contract with True North Communications: Competitive Delivery Order
Contract Overview
Contract Amount: $37,207,404 ($37.2M)
Contractor: True North Communications Inc
Awarding Agency: Department of the Treasury
Start Date: 2006-02-01
End Date: 2006-09-30
Contract Duration: 241 days
Daily Burn Rate: $154.4K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: ADVERTISING SERVICES
Place of Performance
Location: NEW YORK, NEW YORK County, NEW YORK, 10001
State: New York Government Spending
Plain-Language Summary
Department of the Treasury obligated $37.2 million to TRUE NORTH COMMUNICATIONS INC for work described as: ADVERTISING SERVICES Key points: 1. The contract value of $37.2 million for advertising services is significant. 2. True North Communications Inc. secured this contract. 3. The contract was awarded via a competitive delivery order. 4. The sector is advertising services, a common area for government procurement.
Value Assessment
Rating: fair
The contract value of $37.2 million is substantial for advertising services. Benchmarking against similar government contracts for advertising is difficult without more specific service details, but the amount suggests a broad scope of work.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Awarded as a competitive delivery order, indicating multiple vendors likely competed. This method generally promotes price discovery and ensures fair market value is sought.
Taxpayer Impact: Taxpayer funds are used for advertising services, the effectiveness and necessity of which directly impact the value for money.
Public Impact
Public awareness campaigns may be supported by these funds. Government messaging and outreach efforts are facilitated. Potential for increased engagement with government programs or services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics.
- Limited detail on service deliverables.
- Potential for scope creep in advertising campaigns.
Positive Signals
- Competitive award process.
- Firm fixed price contract type.
Sector Analysis
Advertising services are crucial for government communication and outreach. Benchmarks for this sector vary widely based on campaign scope, target audience, and media channels used.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors or prime contractors in this specific award.
Oversight & Accountability
Oversight would focus on the effective execution of the advertising campaign and adherence to the firm fixed price, ensuring no cost overruns beyond the agreed amount.
Related Government Programs
- Department of the Treasury Contracting
- Bureau of the Fiscal Service Programs
Risk Flags
- Lack of detailed performance metrics.
- Ambiguity in service scope.
- Potential for inefficient spending if campaigns are not well-targeted.
- Limited visibility into subcontractor participation.
Tags
department-of-the-treasury, ny, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $37.2 million to TRUE NORTH COMMUNICATIONS INC. ADVERTISING SERVICES
Who is the contractor on this award?
The obligated recipient is TRUE NORTH COMMUNICATIONS INC.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Bureau of the Fiscal Service).
What is the total obligated amount?
The obligated amount is $37.2 million.
What is the period of performance?
Start: 2006-02-01. End: 2006-09-30.
What was the specific scope of advertising services procured under this contract?
The provided data identifies the contract as 'ADVERTISING SERVICES' but lacks granular detail on the specific scope. This could range from media buys and creative development to public relations and campaign management. Understanding the precise services is key to assessing value and effectiveness.
How was the 'competitive delivery order' process structured, and what were the key evaluation criteria?
A competitive delivery order implies that multiple vendors were solicited and evaluated, likely against predefined criteria. The structure would typically involve a request for proposals or quotes, followed by a selection based on factors such as price, technical approach, and past performance. The specific criteria are not detailed here.
What metrics were used to measure the success and effectiveness of the advertising campaigns funded by this contract?
The data does not specify any performance metrics or key performance indicators (KPIs) for this contract. Effective oversight would require clear metrics to assess campaign reach, engagement, and impact on intended government objectives, ensuring taxpayer funds are used efficiently.
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: THE Interpublic Group of Companies Inc (UEI: 006985790)
Address: 150 E 42ND ST, NEW YORK, NY, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $37,207,404
Exercised Options: $37,207,404
Current Obligation: $37,207,404
Parent Contract
Parent Award PIID: GS23F0037K
IDV Type: FSS
Timeline
Start Date: 2006-02-01
Current End Date: 2006-09-30
Potential End Date: 2008-01-12 00:00:00
Last Modified: 2013-11-29
More Contracts from True North Communications Inc
- Advertising Services — $636.5M (Department of the Treasury)
- Center for Tobacco Product's National Education Campaign Program — $569.4M (Department of Health and Human Services)
- CTP National Education Campaign Program TO1 — $287.1M (Department of Health and Human Services)
- National Public Education Support Services Task Order 2: Campaigns to Reduce Tobacco USE Among Youth Aged 12-17 — $115.2M (Department of Health and Human Services)
- Extension of Full and Open Public Education Campaign - General Market Youth — $115.1M (Department of Health and Human Services)
Other Department of the Treasury Contracts
- Advertising Services — $636.5M (True North Communications Inc)
- Cade 2 Ltis3 Covid-19 — $383.8M (Deloitte Consulting LLP)
- Establish a Broad Networking and Telecommunications Service Environment to Meet ITS Network Services (wide Area and Local Area Network), Voice Telecommunications Services, Audio/Video/Web Conferencing, and Cyber Requirements — $320.2M (AT&T Enterprises, LLC)
- THE Internal Revenue Service (IRS), Office of Information Technology Office, Issues This Order Under GSA Alliant 2 (unrestricted). Enterprise Case Management (ECM) Solution Integration Services — $305.5M (Booz Allen Hamilton Inc)
- THE Tfcceis Task Order IS to Transition the Existing Tfcc Services From the Networx Contract Onto the EIS Contract Vehicle in a Manner That Will Enable Continuity of an Enterprise Network of Toll Free Services for the IRS — $264.6M (Verizon Business Network Services LLC)