GAO Retirement System Liability Estimate Awarded to SENSA SOLUTIONS, INC. for $19.4 Million

Contract Overview

Contract Amount: $19,358 ($19.4K)

Contractor: Sensa Solutions, Inc.

Awarding Agency: Government Accountability Office

Start Date: 2023-07-01

End Date: 2027-06-30

Contract Duration: 1,460 days

Daily Burn Rate: $13/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ACTUARIALLY BASED ESTIMATE OF THE LIABILITY OF THE GAO COMPTROLLER GENERAL RETIREMENT SYSTEM FOR THE FISCAL YEAR-END FINANCIAL STATEMENTS TECHNICAL ASSISTANCE FOR THE U.S. GOVERNMENT ACCOUNTABILITY OFFICE.

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Government Accountability Office obligated $19,357.86 to SENSA SOLUTIONS, INC. for work described as: ACTUARIALLY BASED ESTIMATE OF THE LIABILITY OF THE GAO COMPTROLLER GENERAL RETIREMENT SYSTEM FOR THE FISCAL YEAR-END FINANCIAL STATEMENTS TECHNICAL ASSISTANCE FOR THE U.S. GOVERNMENT ACCOUNTABILITY OFFICE. Key points: 1. The contract addresses actuarially based estimates for the GAO Comptroller General Retirement System liability. 2. SENSA SOLUTIONS, INC. secured this contract, indicating potential competition in specialized actuarial services. 3. The primary risk involves the accuracy of actuarial assumptions and their impact on long-term financial planning. 4. This falls under administrative management and general management consulting services, a critical support function for government agencies.

Value Assessment

Rating: good

The award amount of $19.4 million for a 4-year period appears reasonable for actuarial services supporting a federal retirement system. Benchmarking against similar actuarial consulting contracts for government entities would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors have the opportunity to bid.

Taxpayer Impact: The taxpayer impact is managed through competitive bidding, aiming to secure cost-effective services for accurate financial liability estimation.

Public Impact

Ensures accurate financial reporting for the GAO Comptroller General Retirement System. Supports long-term fiscal planning and stability for a key federal retirement fund. Provides essential actuarial expertise to a critical government oversight body.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for changes in actuarial assumptions impacting long-term liability.
Dependence on a single vendor for critical actuarial services.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract provides cost certainty.
Long-term contract ensures continuity of service.

Sector Analysis

This contract falls within the professional services sector, specifically administrative and management consulting. Government spending in this area is crucial for operational efficiency and compliance, with benchmarks varying widely based on the complexity and duration of the services required.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Government Accountability Office (GAO) itself is responsible for overseeing government spending, making this contract subject to internal scrutiny. However, specific oversight mechanisms for this particular contract are not detailed in the provided data.

Related Government Programs

Administrative Management and General Management Consulting Services
Government Accountability Office Contracting
GAO, Except Comptroller General Programs

Risk Flags

Accuracy of actuarial assumptions.
Long-term dependency on vendor expertise.
Potential for scope creep if underlying system changes.
Reliance on vendor's data security protocols.

Frequently Asked Questions

What is this federal contract paying for?

Government Accountability Office awarded $19,357.86 to SENSA SOLUTIONS, INC.. ACTUARIALLY BASED ESTIMATE OF THE LIABILITY OF THE GAO COMPTROLLER GENERAL RETIREMENT SYSTEM FOR THE FISCAL YEAR-END FINANCIAL STATEMENTS TECHNICAL ASSISTANCE FOR THE U.S. GOVERNMENT ACCOUNTABILITY OFFICE.

Who is the contractor on this award?

The obligated recipient is SENSA SOLUTIONS, INC..

Which agency awarded this contract?

Awarding agency: Government Accountability Office (GAO, Except Comptroller General).

What is the total obligated amount?

The obligated amount is $19,357.86.

What is the period of performance?

Start: 2023-07-01. End: 2027-06-30.

What is the methodology used to determine the actuarial assumptions, and how sensitive is the liability estimate to changes in these assumptions?

The methodology for determining actuarial assumptions typically involves demographic factors (e.g., mortality rates, retirement patterns) and economic factors (e.g., inflation, investment returns). The liability estimate can be highly sensitive to these assumptions; for instance, a slight decrease in the assumed rate of return on investments or an increase in life expectancy can significantly inflate the projected liability.

How does the pricing of this contract compare to similar actuarial services procured by other federal agencies for comparable retirement systems?

Benchmarking against similar contracts is essential for a comprehensive value assessment. Without access to a database of comparable federal actuarial service contracts, it's difficult to definitively state if SENSA SOLUTIONS, INC.'s pricing is optimal. However, the firm fixed-price nature and full and open competition suggest a reasonable effort to achieve competitive rates.

What are the key performance indicators (KPIs) for this contract, and how will the effectiveness of SENSA SOLUTIONS, INC.'s services be measured?

Key performance indicators would likely focus on the accuracy and timeliness of actuarial reports, adherence to professional standards, and the clarity of the presented financial liability estimates. Effectiveness will be measured by the GAO's ability to rely on these estimates for its financial statements and strategic planning, ensuring compliance and informed decision-making.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 05GA0A23Q0050

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11911 FREEDOM DR STE 790, RESTON, VA, 20190

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,466

Exercised Options: $19,358

Current Obligation: $19,358

Actual Outlays: $9,678

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS00F349CA

IDV Type: FSS

Timeline