HHS awarded $13.7M for logistical material development, with a 2039-day duration

Contract Overview

Contract Amount: $13,745,498 ($13.7M)

Contractor: CRP, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2003-09-30

End Date: 2009-04-30

Contract Duration: 2,039 days

Daily Burn Rate: $6.7K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: OPPS LOGISTICAL MATERIAL DEVELOPMENT

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $13.7 million to CRP, INC. for work described as: OPPS LOGISTICAL MATERIAL DEVELOPMENT Key points: 1. Contract value of $13.7M over 2039 days suggests a moderate daily spend. 2. The contract type (Cost Plus Award Fee) can incentivize performance but may lead to higher costs if not managed closely. 3. A single delivery order was issued, indicating a specific need within a larger potential contract vehicle. 4. The NAICS code 541614 points to consulting services for process, physical distribution, and logistics. 5. The contract was awarded in 2003 and completed in 2009, reflecting a long-term engagement. 6. The awarding agency is HHS, with SAMHSA as the specific operating division.

Value Assessment

Rating: fair

The contract value of $13.7 million over approximately 5.6 years (2039 days) averages to about $6,741 per day. Without specific benchmarks for 'OPPS LOGISTICAL MATERIAL DEVELOPMENT' services, it's difficult to definitively assess value. However, the Cost Plus Award Fee (CPAF) contract type suggests that the government aimed to incentivize contractor performance while managing costs. The final award amount relative to initial estimates would provide a clearer picture of value for money. The duration of the contract also indicates a sustained need for these services.

Cost Per Unit: $6,741 per day (average)

Competition Analysis

Competition Level: full-and-open

The contract was awarded as a 'COMPETITIVE DELIVERY ORDER,' implying it was competed under a broader contract vehicle that allowed for full and open competition. The data indicates one delivery order was placed, suggesting that while the initial award was competitive, the execution involved a specific task order. The competitive nature of the underlying contract vehicle likely contributed to price discovery and offered a range of potential solutions.

Taxpayer Impact: A competitive award process generally benefits taxpayers by fostering a market-driven price and encouraging efficient service delivery from multiple potential providers.

Public Impact

The primary beneficiaries are likely internal HHS/SAMHSA operations requiring logistical material development. Services delivered include consulting on process, physical distribution, and logistics. The geographic impact is likely focused on the operational areas of HHS and SAMHSA, potentially nationwide. Workforce implications could involve specialized logistics and process improvement professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts require diligent oversight to ensure cost control and prevent potential overruns.
The long duration of the contract (over 5 years) necessitates sustained performance monitoring.
The specific nature of 'logistical material development' could be niche, potentially limiting the pool of comparable contracts for benchmarking.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
The Cost Plus Award Fee structure incentivizes meeting or exceeding performance objectives.
The contract was successfully completed, indicating delivery of required services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on logistics and distribution consulting. The market for such services is broad, encompassing various industries that rely on efficient supply chains and operational processes. Comparable spending benchmarks would typically be found within government-wide contracts for management and consulting services, or specific agency solicitations for logistics support.

Small Business Impact

The provided data does not indicate if this contract included small business set-asides or subcontracting goals. Without this information, it's difficult to assess the impact on the small business ecosystem. Typically, larger contracts may have provisions for small business participation, but this specific award's details are not available.

Oversight & Accountability

As a competitive delivery order, oversight would likely be managed by the contracting officer and program managers within HHS/SAMHSA. Accountability measures are embedded in the Cost Plus Award Fee structure, which ties a portion of the payment to performance outcomes. Transparency would be subject to federal procurement regulations and reporting requirements.

Related Government Programs

HHS Management and Consulting Services
Logistics and Supply Chain Management Support
Federal IT and Professional Services

Risk Flags

Long contract duration requires sustained oversight.
CPAF contract type necessitates careful monitoring of costs and performance incentives.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $13.7 million to CRP, INC.. OPPS LOGISTICAL MATERIAL DEVELOPMENT

Who is the contractor on this award?

The obligated recipient is CRP, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Substance Abuse and Mental Health Services Administration).

What is the total obligated amount?

The obligated amount is $13.7 million.

What is the period of performance?

Start: 2003-09-30. End: 2009-04-30.

What specific 'logistical material development' services were provided under this contract?

The contract's description as 'OPPS LOGISTICAL MATERIAL DEVELOPMENT' and its NAICS code (541614 - Process, Physical Distribution, and Logistics Consulting Services) suggest the services involved the creation, refinement, or optimization of materials, processes, and strategies related to the physical movement and storage of goods. This could encompass developing training materials, standard operating procedures, supply chain models, inventory management protocols, or distribution network designs. The 'OPPS' acronym might refer to a specific program or initiative within HHS or SAMHSA, further defining the scope of the logistical materials developed.

How did the final cost compare to the initial estimated cost for this contract?

The provided data does not include information on the initial estimated cost versus the final award amount. For Cost Plus Award Fee (CPAF) contracts, the final cost is composed of allowable costs plus a base fee, plus an award fee determined by performance. To assess value, a comparison of the final $13.7 million expenditure against the government's initial estimate and the contractor's performance against award criteria would be necessary. Without this, it's challenging to determine if the contract represented good or poor value from a cost perspective.

What were the key performance objectives that determined the 'Award Fee' component?

The specific performance objectives tied to the 'Award Fee' component are not detailed in the provided summary data. For CPAF contracts, these objectives are typically outlined in the contract's Performance Work Statement (PWS) or Statement of Objectives (SOO). They would likely relate to the successful development, implementation, or improvement of logistical materials and processes, meeting deadlines, achieving efficiency targets, and overall client satisfaction. The 'Award Fee' is designed to incentivize the contractor to exceed minimum performance requirements.

Were there any challenges or issues reported during the contract's performance period?

The provided data does not contain information regarding specific challenges, issues, or contractor performance ratings during the contract's execution from 2003 to 2009. A thorough review of contract performance reports, inspection reports, or any associated task orders would be needed to identify any difficulties encountered. The successful completion of the contract suggests that any challenges were likely overcome or managed effectively within the scope of the CPAF structure.

What is the significance of the 'ST' (State) and 'SN' (State Name) fields for this contract?

The 'ST' field indicates 'MD' for Maryland, and 'SN' is 'MARYLAND'. This likely signifies the primary place of performance or the location of the contractor's relevant office associated with this contract. For a federal contract, especially one involving consulting services, the state of performance can be relevant for understanding geographic distribution of federal spending, potential state-level economic impact, and sometimes for administrative or legal jurisdiction.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 4201 CONNECTICUT AVE NW, WASHINGTON, DC, 98

Business Categories: Category Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $18,075,253

Exercised Options: $18,075,253

Current Obligation: $13,745,498

Parent Contract

Parent Award PIID: 280020600

IDV Type: IDC

Timeline