Treasury's $43.3M executive recruitment contract awarded to Reffett & Associates for HR consulting

Contract Overview

Contract Amount: $43,334 ($43.3K)

Contractor: Reffett & Associates Ltd

Awarding Agency: Department of the Treasury

Start Date: 2023-05-26

End Date: 2024-05-25

Contract Duration: 365 days

Daily Burn Rate: $119/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EXECUTIVE LEVEL RECRUITMENT SERVICES (SES)

Place of Performance

Location: MERCER ISLAND, KING County, WASHINGTON, 98040

State: Washington Government Spending

Plain-Language Summary

Department of the Treasury obligated $43,333.66 to REFFETT & ASSOCIATES LTD for work described as: EXECUTIVE LEVEL RECRUITMENT SERVICES (SES) Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is for executive recruitment services, specifically for the Senior Executive Service (SES). 3. Fixed-price contract type indicates a defined scope and cost, potentially limiting cost overruns. 4. The duration of one year with a single delivery order suggests a focused, short-term need. 5. The North American Industry Classification System (NAICS) code 541612 points to specialized HR consulting services. 6. The contract was awarded to Reffett & Associates Ltd., a single entity. 7. The contract value is $43,333.66, which is relatively small for executive recruitment services.

Value Assessment

Rating: good

The contract value of $43,333.66 appears to be a modest amount for executive recruitment services, especially for SES positions which typically involve extensive search and vetting. Without specific benchmarks for SES recruitment costs, it's difficult to definitively assess value. However, the fixed-price nature of the contract provides cost certainty. Comparison to similar SES recruitment contracts would be necessary for a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The data does not specify the number of bidders, but the designation suggests a robust competitive environment. This approach is generally expected to yield fair market prices and encourage innovative solutions from the participating firms.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it promotes a level playing field, driving down costs through market forces and ensuring the government secures services at the best possible price.

Public Impact

Benefits the Department of the Treasury by providing access to specialized executive recruitment services. Aims to fill critical Senior Executive Service (SES) positions within the Bureau of the Fiscal Service. Supports the government's ability to attract and retain high-caliber leadership for federal agencies. Impacts the federal workforce by ensuring qualified individuals are recruited for senior roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited data on the number of bidders in the full and open competition makes it hard to gauge the true extent of competition.
The contract value is small, raising questions about whether it covers significant executive searches or is for a very specific, limited role.

Positive Signals

Awarded through full and open competition, indicating a commitment to a fair and transparent procurement process.
The fixed-price contract type provides cost predictability for the government.
The contract is for a defined period of one year, aligning with specific recruitment needs.

Sector Analysis

The federal government frequently procures human resources consulting services, including executive recruitment, to fill critical leadership roles. This contract falls within the broader professional services sector, specifically HR consulting. The market for executive search firms is competitive, with many firms specializing in government contracts. Benchmarking this contract's value against other federal SES recruitment efforts would provide further context on its market alignment.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities, which are not detailed here. The contract's small value may also limit the scope for significant subcontracting.

Oversight & Accountability

As a delivery order under a larger contract vehicle (implied by 'AW': 'DELIVERY ORDER'), oversight would likely be managed by the contracting officer at the Bureau of the Fiscal Service. Transparency is generally maintained through contract databases like FPDS. Specific accountability measures would be detailed in the contract's terms and conditions, and performance would be monitored by the government's contracting officer's representative (COR).

Related Government Programs

Executive Recruitment Services
Human Resources Consulting
Senior Executive Service (SES) Appointments
Professional Services Contracts
Department of the Treasury Contracts

Risk Flags

Potential for limited candidate pool if firm's network is not broad enough.
Risk of misalignment between candidate qualifications/cultural fit and agency needs.
Ensuring adherence to federal merit system principles throughout the recruitment process.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $43,333.66 to REFFETT & ASSOCIATES LTD. EXECUTIVE LEVEL RECRUITMENT SERVICES (SES)

Who is the contractor on this award?

The obligated recipient is REFFETT & ASSOCIATES LTD.

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Bureau of the Fiscal Service).

What is the total obligated amount?

The obligated amount is $43,333.66.

What is the period of performance?

Start: 2023-05-26. End: 2024-05-25.

What is the typical cost range for recruiting SES-level executives in the federal government?

The cost range for recruiting SES-level executives in the federal government can vary significantly based on factors such as the complexity of the role, the urgency of the search, the specific agency, and the recruitment firm's fee structure. Retainer fees can range from $20,000 to $70,000 or more per search, often calculated as a percentage of the executive's first-year salary (typically 20-30%). Some contracts might include fixed fees for specific deliverables or phases of the recruitment process. Given the $43,333.66 contract value for Reffett & Associates, it suggests either a very focused search for one or a few positions, or potentially a contract for a broader suite of HR consulting services that includes recruitment as a component. Without more detailed scope information, direct comparison to typical SES recruitment costs is challenging, but the value appears on the lower end for a comprehensive executive search.

How does Reffett & Associates Ltd. compare to other contractors providing similar executive recruitment services to the federal government?

Assessing Reffett & Associates Ltd.'s standing requires a broader analysis of their federal contract history and performance reviews. Information from the Federal Procurement Data System (FPDS) would reveal their track record with various agencies and contract types. Benchmarking their pricing against competitors for similar services, particularly for SES recruitment, is crucial. Factors like past performance ratings, the number of successful placements, and client testimonials (if publicly available) would provide a more complete picture. Currently, the provided data only shows one contract award, making a comparative analysis of their market position difficult without further research into their broader federal contracting activities and reputation.

What are the key performance indicators (KPIs) used to evaluate the success of this executive recruitment contract?

Key performance indicators for an executive recruitment contract typically focus on the efficiency and effectiveness of the search process and the quality of candidates presented. Common KPIs include time-to-fill (the duration from search initiation to candidate acceptance), candidate quality (assessed through interviews, background checks, and references), diversity of candidate pool, and successful placement rate (i.e., the candidate accepts the offer and remains in the role for a specified period). The contract's fixed-price nature might tie payment to specific milestones, such as presenting a qualified shortlist or a successful hire. The Bureau of the Fiscal Service would likely monitor these metrics to ensure the contractor meets the objectives outlined in the contract statement of work.

What is the historical spending pattern for executive recruitment services by the Department of the Treasury?

Historical spending on executive recruitment services by the Department of the Treasury can be analyzed through federal procurement databases like FPDS. This would reveal the total amount spent annually on such services, the primary contractors utilized, and the types of recruitment needs (e.g., SES, Senior Level, Scientific/Technical). Examining trends over several fiscal years would indicate whether spending is increasing, decreasing, or remaining stable. It would also highlight if the Treasury consistently uses full and open competition or relies on other methods. Understanding these patterns provides context for the current $43,333.66 contract, helping to determine if it represents a typical investment or an outlier in terms of value and scope.

Are there any specific risks associated with using external firms for SES recruitment, and how are they mitigated?

Risks associated with using external firms for SES recruitment can include potential conflicts of interest, a lack of understanding of the specific agency's culture and needs, and the possibility of a narrow candidate pool if the firm lacks broad networks. Mitigation strategies often involve rigorous vetting of the recruitment firm, clearly defined selection criteria and processes in the contract, requiring diverse candidate slates, and maintaining strong government oversight. The Bureau of the Fiscal Service would likely have a Contracting Officer's Representative (COR) actively involved in the search process, reviewing candidate profiles, and ensuring adherence to merit system principles. Full and open competition also helps mitigate risks by allowing multiple firms to compete, potentially bringing diverse approaches and networks.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: RFQ-CDF-0042-23

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2737 78TH AVE SE, MERCER ISLAND, WA, 98040

Business Categories: Category Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $43,334

Exercised Options: $43,334

Current Obligation: $43,334

Actual Outlays: $43,334

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS02F0194W

IDV Type: FSS

Timeline