Booz Allen Hamilton contract for independent artists, writers, and performers awarded $9.8M by DOT
Contract Overview
Contract Amount: $9,831,232 ($9.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Transportation
Start Date: 2001-07-15
End Date: 2005-10-18
Contract Duration: 1,556 days
Daily Burn Rate: $6.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Place of Performance
Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Transportation obligated $9.8 million to BOOZ ALLEN HAMILTON INC for work described as: Key points: 1. Contract value of $9.8M over 3 years suggests a significant investment in specialized services. 2. The 'Independent Artists, Writers, and Performers' NAICS code is unusual for a large federal contract, raising questions about the nature of services procured. 3. A Cost Plus Fixed Fee contract type can lead to cost overruns if not carefully managed. 4. The contract was awarded under full and open competition, indicating a broad market search. 5. The duration of 1556 days (approx. 4.2 years) is substantial, implying a long-term need for these services. 6. The award was a delivery order, suggesting it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar framework.
Value Assessment
Rating: questionable
Benchmarking the value of this contract is challenging due to the unusual service category (Independent Artists, Writers, and Performers) for a large federal award. The $9.8M total value over approximately 4.2 years averages to roughly $2.3M annually. Without more specific details on the services rendered, it's difficult to compare pricing or assess value for money against similar contracts. The Cost Plus Fixed Fee structure also introduces potential for costs to exceed initial estimates, impacting overall value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit bids. The presence of 6 bidders suggests a competitive environment for this specific requirement. However, the unusual nature of the service category might have limited the pool of truly qualified and interested bidders.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation. The fact that 6 entities bid suggests that the government received multiple offers, potentially leading to a more favorable price than a sole-source award.
Public Impact
The primary beneficiaries are likely the independent artists, writers, and performers engaged through this contract, providing them with federal funding and opportunities. Services delivered could range from creative content development, artistic consultation, performance-based activities, or other specialized creative work for the Department of Transportation. The geographic impact is not specified but could potentially extend to various locations where the Department of Transportation operates or requires creative services. Workforce implications include the direct employment of artists, writers, and performers, as well as potential support staff involved in managing these creative services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- The NAICS code 'Independent Artists, Writers, and Performers' is highly unusual for a contract of this magnitude, raising concerns about the specific nature and necessity of the services procured.
- The Cost Plus Fixed Fee (CPFF) contract type can incentivize contractors to increase costs, as their fee is a percentage of the total cost, potentially leading to less cost-consciousness.
- Lack of detailed service description makes it difficult to assess performance metrics and true value for money.
- The contract duration of over 4 years may indicate a lack of flexibility or an inability to adapt to changing needs within the Department of Transportation.
- The specific agency and sub-agency (Immediate Office of the Secretary of Transportation) receiving these services warrants further clarification regarding their mission alignment.
Positive Signals
- Awarded under full and open competition, suggesting a broad search for qualified vendors and potential for competitive pricing.
- Multiple bidders (6) indicate that there was interest and capability in the market for this requirement.
- The contract was awarded to a well-established contractor (Booz Allen Hamilton), which may imply a level of reliability and experience.
- The contract was a delivery order, which could mean it was part of a pre-competed IDIQ vehicle, potentially streamlining the acquisition process.
Sector Analysis
The Information Technology and Support Services sector, broadly defined, encompasses a wide range of professional services. While this contract falls under the 'Independent Artists, Writers, and Performers' NAICS code, the nature of federal contracting often involves support services that can be categorized under professional, scientific, and technical services. The total federal spending on professional, scientific, and technical services is in the hundreds of billions annually. This specific contract, valued at $9.8M, represents a very small fraction of overall federal IT and support service spending. Comparable spending benchmarks are difficult to establish due to the unique NAICS code.
Small Business Impact
There is no indication from the provided data that this contract included a small business set-aside. The contractor, Booz Allen Hamilton, is a large business. This means that small businesses were likely not the primary focus of this specific award, and subcontracting opportunities for small businesses would depend on the prime contractor's strategy and the nature of the services required.
Oversight & Accountability
Oversight for this contract would typically fall under the Department of Transportation's contracting officers and program managers. The contract type (Cost Plus Fixed Fee) necessitates close monitoring of costs and performance to ensure value for money. Inspector General oversight may be applicable depending on the specific nature of the services and potential for fraud, waste, or abuse. Transparency is generally facilitated through contract databases like FPDS, where basic award information is publicly available.
Related Government Programs
- Professional, Scientific, and Technical Services
- Support Services
- Creative Services Contracts
- Department of Transportation Contracts
- Cost-Plus Contracts
Risk Flags
- Unusual NAICS code for contract size
- Cost Plus Fixed Fee contract type risk
- Lack of detailed service description
- Long contract duration
Tags
professional-services, department-of-transportation, booz-allen-hamilton, cost-plus-fixed-fee, full-and-open-competition, delivery-order, independent-artists-writers-performers, federal-contract, virginia, support-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $9.8 million to BOOZ ALLEN HAMILTON INC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).
What is the total obligated amount?
The obligated amount is $9.8 million.
What is the period of performance?
Start: 2001-07-15. End: 2005-10-18.
What specific services were rendered under the 'Independent Artists, Writers, and Performers' NAICS code for this $9.8M contract?
The provided data does not specify the exact services rendered under the 'Independent Artists, Writers, and Performers' NAICS code (711510) for this $9.8 million contract awarded to Booz Allen Hamilton by the Department of Transportation. This NAICS code typically covers individuals who work independently as artists, writers, or performers, such as freelance journalists, authors, musicians, actors, and visual artists. For a federal contract of this size, it's possible these services were procured for public outreach, educational materials, creative content development for DOT initiatives, artistic direction for events, or similar specialized creative endeavors. Without further documentation or a detailed contract description, the precise nature of the work remains unclear, making it difficult to assess its alignment with the agency's mission or its value proposition.
How does the Cost Plus Fixed Fee (CPFF) contract type impact the value for money in this instance?
The Cost Plus Fixed Fee (CPFF) contract type means that the contractor (Booz Allen Hamilton) is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. While CPFF contracts can be useful when the scope of work is not precisely defined or is expected to evolve, they carry inherent risks regarding value for money. The fixed fee, being a set amount, does not directly incentivize cost savings for the contractor; their profit is guaranteed regardless of how efficiently they manage costs. This can potentially lead to higher overall costs compared to fixed-price contracts. For taxpayers, this means the government bears a greater portion of the cost risk. Effective oversight by the Department of Transportation is crucial to scrutinize allowable costs and ensure the fixed fee remains reasonable for the services delivered over the contract's duration.
What is the significance of Booz Allen Hamilton being awarded this contract, given their typical service offerings?
Booz Allen Hamilton is a large, well-established government contractor primarily known for its expertise in management consulting, technology solutions, and engineering services across various sectors, including defense, intelligence, and health. Their award of a contract under the 'Independent Artists, Writers, and Performers' NAICS code is somewhat atypical compared to their core competencies. This suggests either a strategic diversification into creative services, a subcontracting arrangement where Booz Allen manages the overall effort and potentially subcontracts the creative work, or that the 'Independent Artists, Writers, and Performers' classification is being used broadly to encompass specialized consulting or content creation services that align with Booz Allen's broader capabilities. The company's extensive track record suggests they possess the project management and administrative infrastructure to handle such a contract, but the specific nature of the creative services requires further investigation.
Can we compare the $9.8M contract value to other federal spending on similar services?
Direct comparison of the $9.8 million contract value to other federal spending on 'Independent Artists, Writers, and Performers' is extremely difficult due to the rarity of this NAICS code for large federal awards. Federal spending databases typically aggregate data under broader categories like 'Professional, Scientific, and Technical Services.' While the government spends billions annually in these broader categories, contracts specifically classified under 711510 are likely to be much smaller in scale and number, often awarded to individual freelancers or very small firms. The $9.8M figure suggests a consolidated effort, possibly involving multiple artists, writers, or performers managed under a single contract vehicle by Booz Allen Hamilton. Therefore, finding directly comparable large-scale federal contracts using this specific NAICS code for benchmarking purposes is unlikely.
What are the potential risks associated with a 4.2-year contract duration for these types of services?
A contract duration of approximately 4.2 years (1556 days) for services classified under 'Independent Artists, Writers, and Performers' presents several potential risks. Firstly, the creative landscape and artistic needs can evolve rapidly; a long-term commitment might lock the Department of Transportation into specific styles, technologies, or approaches that become outdated. Secondly, maintaining consistent quality and relevance over such an extended period can be challenging, potentially leading to creative fatigue or a decline in the impact of the delivered work. Thirdly, if the initial scope definition was imprecise, the extended duration increases the likelihood of scope creep and associated cost increases, especially under a CPFF arrangement. Finally, a long duration might limit the agency's flexibility to pivot to new strategies or vendors if performance issues arise or if requirements fundamentally change.
Industry Classification
NAICS: Arts, Entertainment, and Recreation › Independent Artists, Writers, and Performers › Independent Artists, Writers, and Performers
Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 6
Pricing Type: COST PLUS FIXED FEE (U)
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)
Address: 8283 GREENSBORO DR # 700, MC LEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $52,408,446
Exercised Options: $52,408,446
Current Obligation: $9,831,232
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: DTRS5799D00031
IDV Type: IDC
Timeline
Start Date: 2001-07-15
Current End Date: 2005-10-18
Potential End Date: 2005-10-18 00:00:00
Last Modified: 2021-02-17
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