DOT awards $2.1M for HR support to Business Management Associates Inc

Contract Overview

Contract Amount: $2,138,049 ($2.1M)

Contractor: Business Management Associates Inc.

Awarding Agency: Department of Transportation

Start Date: 2023-09-21

End Date: 2026-09-21

Contract Duration: 1,096 days

Daily Burn Rate: $2.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THIS IS A NEW AWARD FOR A THREE-YEAR TASK ORDER (BASE + TWO OPTIONS) FOR STAFFING AND HR SUPPORT FOR THE FHWA OFFICE OF HUMAN RESOURCES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $2.1 million to BUSINESS MANAGEMENT ASSOCIATES INC. for work described as: THIS IS A NEW AWARD FOR A THREE-YEAR TASK ORDER (BASE + TWO OPTIONS) FOR STAFFING AND HR SUPPORT FOR THE FHWA OFFICE OF HUMAN RESOURCES. Key points: 1. Contract focuses on essential HR functions for the Federal Highway Administration. 2. Firm-fixed-price structure aims to control costs. 3. Awarded via a BPA Call, suggesting pre-competed services. 4. Duration of three years provides stability for HR operations. 5. Geographic focus on Washington D.C. area. 6. No small business set-aside, but subcontracting potential exists.

Value Assessment

Rating: good

The contract's firm-fixed-price nature is a positive indicator for cost control. Benchmarking against similar HR consulting services for federal agencies would provide a clearer picture of value. The total award amount of approximately $2.1 million over three years suggests a moderate investment in HR support, which appears reasonable for an agency like the FHWA. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the pricing structure is sound.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. The use of a BPA Call suggests that the underlying contract was already competed, and this task order was then awarded based on that established competition. The level of competition for the BPA itself is not detailed here, but the task order process implies a fair opportunity for qualified contractors. This approach generally leads to competitive pricing.

Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that drives down prices and encourages innovation.

Public Impact

Benefits the Federal Highway Administration's Office of Human Resources by providing essential staffing and HR support. Ensures continuity and efficiency in HR operations for FHWA employees. Services are delivered within the Washington D.C. metropolitan area. Supports the federal workforce by maintaining critical HR functions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for over-reliance on a single contractor for critical HR functions.
Limited insight into the specific performance metrics and quality assurance processes for the HR services.

Positive Signals

Firm-fixed-price contract helps manage budget predictability.
Awarded through full and open competition, suggesting competitive pricing.
Three-year duration provides stability for HR operations.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically Human Resources Consulting Services (NAICS 541612). This is a common area of federal spending, supporting agency operations and workforce management. The market for HR consulting services is competitive, with numerous firms offering specialized expertise. The FHWA's need for HR support is typical for a federal agency of its size and scope.

Small Business Impact

The contract was not awarded as a small business set-aside, and the data does not indicate any specific subcontracting goals for small businesses. While Business Management Associates Inc. may be a small business itself, the absence of explicit set-aside provisions means that opportunities for small business subcontractors are not guaranteed and would depend on the prime contractor's procurement strategy.

Oversight & Accountability

The contract is firm-fixed-price, which inherently provides a level of cost control. Oversight would typically be managed by the contracting officer and the program office at the FHWA. Transparency is facilitated by the public nature of contract awards. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Federal Workforce Management
Human Capital Management Services
Staff Augmentation Contracts
Professional and Management Consulting Services

Risk Flags

Contractor performance risk
Service delivery continuity risk
Budget adherence risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.1 million to BUSINESS MANAGEMENT ASSOCIATES INC.. THIS IS A NEW AWARD FOR A THREE-YEAR TASK ORDER (BASE + TWO OPTIONS) FOR STAFFING AND HR SUPPORT FOR THE FHWA OFFICE OF HUMAN RESOURCES.

Who is the contractor on this award?

The obligated recipient is BUSINESS MANAGEMENT ASSOCIATES INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Highway Administration).

What is the total obligated amount?

The obligated amount is $2.1 million.

What is the period of performance?

Start: 2023-09-21. End: 2026-09-21.

What is the track record of Business Management Associates Inc. with federal contracts, particularly in HR support?

Business Management Associates Inc. has a history of securing federal contracts, primarily within the professional and administrative support services categories. While specific details on their HR support performance for the FHWA are not immediately available from this award notice, their past awards suggest experience in areas relevant to this contract. A deeper dive into their contract history, including past performance reviews and any reported issues, would be necessary for a comprehensive assessment. Their ability to win this BPA Call award indicates they met the pre-qualification criteria established for the underlying BPA, suggesting a baseline level of capability and reliability.

How does the pricing of this contract compare to similar HR support contracts awarded by the federal government?

Benchmarking the pricing of this $2.1 million, three-year contract for HR support requires comparing it against similar task orders or contracts awarded to other agencies for comparable services. Factors such as the specific services included (e.g., recruitment, benefits administration, employee relations), the level of expertise required, and the geographic location of service delivery significantly influence pricing. Given the firm-fixed-price structure, the total cost is defined upfront. Without access to a detailed cost breakdown or a database of comparable HR consulting rates for federal agencies, a precise comparison is difficult. However, the award suggests that the pricing was deemed competitive and fair by the FHWA during the procurement process.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential underperformance by the contractor, leading to disruptions in HR services, and the risk of cost overruns if the firm-fixed-price structure is not adequately managed. Mitigation strategies likely involve robust performance monitoring by the FHWA contracting officer's representative (COR), clear performance standards outlined in the task order, and regular communication channels. The firm-fixed-price nature itself acts as a risk mitigation tool for the government by capping the financial exposure. Contractor selection through full and open competition also reduces the risk of awarding to an unqualified vendor.

How effective is the current HR support structure for the FHWA, and how will this contract contribute to its effectiveness?

The effectiveness of the FHWA's HR support structure is not detailed in the award notice. However, this contract aims to ensure the continuity and quality of essential HR functions, such as staffing and general HR support. By outsourcing these functions to a specialized contractor, the FHWA likely seeks to improve efficiency, access specialized expertise, and allow internal HR staff to focus on more strategic initiatives. The success of this contract in enhancing effectiveness will depend on the contractor's performance and the FHWA's ability to manage the relationship and measure outcomes.

What are the historical spending patterns for HR support services at the FHWA or DOT?

Analyzing historical spending patterns for HR support services at the FHWA or the broader Department of Transportation (DOT) would provide context for this $2.1 million award. Without specific historical data, it's challenging to determine if this contract represents an increase, decrease, or stable level of spending in this area. Federal agencies often use a mix of internal staff and contracted services for HR functions. Understanding past investments in HR consulting and staffing can reveal trends in agency reliance on external support and the typical cost ranges for such services.

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

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 228 SOUTH WASHINGTON ST SUITE 330, ALEXANDRIA, VA, 22314

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,138,049

Exercised Options: $2,138,049

Current Obligation: $2,138,049

Actual Outlays: $1,366,518

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 693JJ320A000024

IDV Type: BPA

Timeline