State Department awards $13M Deloitte BPA call for administrative management consulting

Contract Overview

Contract Amount: $13,055,396 ($13.1M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of State

Start Date: 2023-03-14

End Date: 2026-09-13

Contract Duration: 1,279 days

Daily Burn Rate: $10.2K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: Other

Official Description: SIAF STAFFING BPA CALL

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20006

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $13.1 million to DELOITTE CONSULTING LLP for work described as: SIAF STAFFING BPA CALL Key points: 1. The contract is a BPA call against a larger agreement, indicating a pre-vetted vendor. 2. Deloitte Consulting LLP is a major player in the management consulting space. 3. The contract's value is moderate for this type of service. 4. The primary risk is potential over-reliance on a single large contractor for critical functions.

Value Assessment

Rating: good

The $13 million award over approximately 3.5 years appears reasonable for administrative management consulting services. Benchmarking against similar large-scale consulting contracts suggests this pricing is within expected ranges, though specific labor rates would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was competed under SAP (Simplified Acquisition Procedures), suggesting it was likely set aside for small businesses or competed among a limited pool of pre-qualified vendors on a larger BPA. The limited competition may impact price discovery compared to a full and open competition.

Taxpayer Impact: Taxpayer funds are being used for essential administrative support services. The cost-effectiveness depends on the quality of services delivered and whether the pricing reflects competitive market rates.

Public Impact

Ensures continued administrative support for Department of State operations. Supports the agency's ability to manage its complex global mission. Potential for improved efficiency in administrative processes. Funds are directed to a major consulting firm, impacting the broader professional services market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to higher prices.
Potential for scope creep in consulting services.
Dependence on contractor for critical administrative functions.

Positive Signals

Awarded to a reputable firm with proven capabilities.
BPA structure suggests some level of pre-competition and vetting.
Clear end date provides a defined period for services.

Sector Analysis

Administrative Management and General Management Consulting Services are crucial for government efficiency. This sector sees significant federal spending, with benchmarks varying widely based on the complexity and duration of engagements. The Department of State's need for such services is consistent with its large operational footprint.

Small Business Impact

While the contract was competed under SAP, it was awarded to Deloitte Consulting LLP, a large business. This suggests that small businesses may not have been the primary focus for this specific BPA call, although they might be involved as subcontractors.

Oversight & Accountability

The use of a BPA call implies that the underlying BPA underwent a competitive process. Oversight will be critical to ensure the services delivered meet the stated requirements and that the pricing remains fair throughout the contract period.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of State Contracting
Department of State Programs

Risk Flags

Limited competition may result in higher costs.
Potential for vendor lock-in if services become deeply integrated.
Contract duration extends beyond a single fiscal year, requiring ongoing budget allocation.
Reliance on contractor for potentially sensitive administrative data.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $13.1 million to DELOITTE CONSULTING LLP. SIAF STAFFING BPA CALL

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2023-03-14. End: 2026-09-13.

What specific administrative management functions will Deloitte be performing, and how do these align with the Department of State's core mission objectives?

The contract specifies 'Administrative Management and General Management Consulting Services.' This typically includes areas like organizational efficiency, process improvement, strategic planning support, and operational analysis. For the Department of State, these services likely support the management of its global diplomatic and consular operations, ensuring smooth administrative functions that underpin its foreign policy and service delivery.

What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure value for taxpayer money?

Specific KPIs are not detailed in the provided data. However, for administrative consulting, typical KPIs might include measurable improvements in process cycle times, cost savings achieved through efficiency recommendations, successful implementation of new management strategies, and client satisfaction ratings. The Department of State's contracting officers will be responsible for monitoring these metrics and ensuring contractor performance meets contractual obligations.

Given the limited competition under SAP, what steps are in place to mitigate the risk of inflated pricing or suboptimal service quality?

Mitigation strategies for limited competition often involve robust market research prior to the BPA call, establishing clear performance standards and deliverables in the contract, and potentially negotiating fixed-price elements or performance-based incentives. Regular performance reviews and comparison against industry benchmarks, even if informal, can also help identify potential issues early.

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) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 19AQMM22Q0119

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,522,872

Exercised Options: $15,522,872

Current Obligation: $13,055,396

Actual Outlays: $548,640

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $115,920

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 19AQMM19A0280

IDV Type: BPA

Timeline