VA Awards $180.8M for HR Consulting Services to Booz Allen Hamilton
Contract Overview
Contract Amount: $180,765,817 ($180.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2017-09-29
End Date: 2022-09-13
Contract Duration: 1,810 days
Daily Burn Rate: $99.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 9
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: IGF::CT::IGF TAP SUPPORT SERVICES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001
Plain-Language Summary
Department of Veterans Affairs obligated $180.8 million to BOOZ ALLEN HAMILTON INC for work described as: IGF::CT::IGF TAP SUPPORT SERVICES Key points: 1. Significant contract value of $180.8 million over five years. 2. Booz Allen Hamilton, a large established firm, is the sole awardee. 3. The contract type is Time and Materials, which can pose cost control risks. 4. The NAICS code 541612 indicates Human Resources Consulting Services.
Value Assessment
Rating: fair
The contract's Time and Materials pricing structure, while flexible, offers less price certainty compared to fixed-price contracts. Benchmarking against similar HR consulting services contracts is difficult without more granular cost data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific pricing outcomes and how effectively competition drove down costs are not detailed.
Taxpayer Impact: Taxpayer funds are being used for extensive HR consulting services, with the ultimate value dependent on the effectiveness and efficiency of the services provided.
Public Impact
Impacts the Department of Veterans Affairs' ability to manage its human capital. Supports a large federal agency's operational needs through specialized consulting. Potential for improved HR processes and employee services within the VA.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing can lead to cost overruns.
- Lack of detailed cost breakdown makes value assessment challenging.
- Sole awardee may limit future competitive pressure.
Positive Signals
- Awarded under full and open competition.
- Contract duration provides stability for service delivery.
- Supports critical HR functions for a major agency.
Sector Analysis
This contract falls within the professional services sector, specifically human resources consulting. Spending benchmarks for similar services can vary widely based on scope and duration, but $180 million over five years represents a substantial investment.
Small Business Impact
The contract was awarded to Booz Allen Hamilton, a large business. There is no indication that small businesses were subcontracted, which could represent a missed opportunity for small business participation.
Oversight & Accountability
Oversight would typically involve contract performance reviews by the VA contracting officer and potentially program managers to ensure services meet requirements and are delivered efficiently.
Related Government Programs
- Human Resources Consulting Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for cost overruns due to T&M pricing.
- Lack of transparency in specific cost components.
- Limited visibility into small business subcontracting.
- Effectiveness hinges entirely on service delivery quality.
- Long-term reliance on external consultants.
Tags
human-resources-consulting-services, department-of-veterans-affairs, dc, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $180.8 million to BOOZ ALLEN HAMILTON INC. IGF::CT::IGF TAP SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
Which agency awarded this contract?
Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).
What is the total obligated amount?
The obligated amount is $180.8 million.
What is the period of performance?
Start: 2017-09-29. End: 2022-09-13.
What specific HR challenges is the VA addressing with this contract, and how will success be measured?
The contract likely addresses a range of HR needs, such as talent acquisition, workforce planning, employee relations, or compensation analysis. Success metrics should be clearly defined in the contract's performance work statement, focusing on measurable improvements in efficiency, employee satisfaction, or retention rates.
How does the Time and Materials pricing compare to industry standards for similar HR consulting engagements?
Time and Materials (T&M) contracts are common for services where the scope is not well-defined upfront. However, they carry higher risk for the government regarding cost control. A thorough review would compare the hourly rates and overhead applied by Booz Allen Hamilton against established benchmarks for comparable HR consulting firms and services.
What is the potential long-term impact on VA's internal HR capabilities after this contract concludes?
The contract's impact depends on knowledge transfer and capacity building. If the consulting services include training and development for VA staff, or the implementation of sustainable HR systems, it could enhance internal capabilities. Conversely, if it's purely service delivery without knowledge transfer, the VA might remain reliant on external support.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Human Resources 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: VA119A-16-R-0159
Offers Received: 9
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $180,765,817
Exercised Options: $180,765,817
Current Obligation: $180,765,817
Actual Outlays: $12,679,931
Subaward Activity
Number of Subawards: 21
Total Subaward Amount: $11,232,640
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-09-29
Current End Date: 2022-09-13
Potential End Date: 2022-09-13 00:00:00
Last Modified: 2024-11-25
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