USAID's $34M Innovation and Challenge Support Services contract awarded to SSG-ADVISORS LLC

Contract Overview

Contract Amount: $33,996,550 ($34.0M)

Contractor: Ssg-Advisors LLC

Awarding Agency: Agency for International Development

Start Date: 2018-08-07

End Date: 2024-07-31

Contract Duration: 2,185 days

Daily Burn Rate: $15.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 8

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: INNOVATION AND CHALLENGE SUPPORT SERVICES MECHANISM

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20523

State: District of Columbia Government Spending

Plain-Language Summary

Agency for International Development obligated $34.0 million to SSG-ADVISORS LLC for work described as: INNOVATION AND CHALLENGE SUPPORT SERVICES MECHANISM Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Time and Materials, which can pose cost control challenges. 3. The duration of the contract is substantial, spanning over 6 years. 4. The contractor, SSG-ADVISORS LLC, is based in Washington D.C. 5. The NAICS code 541990 indicates services in 'All Other Professional, Scientific, and Technical Services'. 6. The contract value is approximately $34 million over its lifecycle. 7. The award was a definitive contract, indicating a commitment to a specific service.

Value Assessment

Rating: fair

The contract's value of $34 million over six years for 'All Other Professional, Scientific, and Technical Services' requires careful benchmarking against similar support services contracts. The Time and Materials pricing structure necessitates close monitoring to ensure cost-effectiveness and prevent scope creep. Without specific deliverables or performance metrics, assessing the true value for money is challenging. However, the duration suggests a sustained need for these services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while initially there might have been exclusions, the final award was made through a broad competitive process. The presence of 8 bidders (no) suggests a healthy level of interest and competition for this requirement. This level of competition is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down prices and encouraging innovative solutions from multiple offerors.

Public Impact

The primary beneficiary is the Agency for International Development (USAID), which receives support for innovation and challenge services. The services delivered likely involve technical assistance, program management, and strategic support for USAID's initiatives. The geographic impact is primarily within the District of Columbia, where the contractor is located, but the services may support global USAID operations. The contract supports a professional services workforce, likely comprising consultants and technical experts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not managed diligently.
The broad nature of 'All Other Professional, Scientific, and Technical Services' may lack specific performance metrics for precise value assessment.
Long contract duration requires ongoing vigilance to ensure continued relevance and cost-effectiveness.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Multiple bidders (8) participated, suggesting a competitive market for these services.
The contractor, SSG-ADVISORS LLC, has secured a significant contract, indicating a level of trust and capability.

Sector Analysis

The contract falls within the professional, scientific, and technical services sector, a broad category encompassing a wide range of expertise. This sector is crucial for government agencies requiring specialized support for program implementation, research, and strategic planning. Comparable spending benchmarks would typically involve analyzing other contracts for management consulting, technical advisory, and program support services awarded by federal agencies, particularly those with international development missions.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications specifically mandated for small businesses through a set-aside. However, the prime contractor, SSG-ADVISORS LLC, may still choose to engage small businesses as subcontractors to leverage specialized expertise or meet broader business objectives. The absence of a set-aside means the primary competition was open to all eligible firms, regardless of size.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the Agency for International Development (USAID). The Time and Materials nature of the contract necessitates rigorous monitoring of hours, rates, and expenses to ensure compliance with contract terms and prevent cost overruns. Transparency would be enhanced through regular reporting requirements and potentially through public contract databases. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

USAID Program Management Support Contracts
Federal Management and Consulting Services
International Development Technical Assistance
Professional and Technical Services Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Broad service description may lack specific performance metrics.
Need for robust oversight to manage T&M contract effectively.
Rationale for 'exclusion of sources' in competition needs clarity.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $34.0 million to SSG-ADVISORS LLC. INNOVATION AND CHALLENGE SUPPORT SERVICES MECHANISM

Who is the contractor on this award?

The obligated recipient is SSG-ADVISORS LLC.

Which agency awarded this contract?

Awarding agency: Agency for International Development (Agency for International Development).

What is the total obligated amount?

The obligated amount is $34.0 million.

What is the period of performance?

Start: 2018-08-07. End: 2024-07-31.

What is the specific nature of the 'Innovation and Challenge Support Services' provided under this contract?

The contract description 'INNOVATION AND CHALLENGE SUPPORT SERVICES MECHANISM' and the NAICS code 541990 ('All Other Professional, Scientific, and Technical Services') suggest a broad scope. These services likely encompass supporting USAID's initiatives related to fostering innovation, managing challenge grants or prizes, providing technical expertise for new program development, and offering strategic advice on cutting-edge approaches to international development. Without more detailed statements of work or performance reports, the precise deliverables remain generalized. This could include research, analysis, facilitation, capacity building, and advisory services aimed at enhancing the effectiveness and impact of USAID's programs through innovative solutions.

How does the Time and Materials (T&M) pricing structure compare to other contract types for similar services, and what are the associated risks?

Time and Materials (T&M) contracts are often used when the scope of work is not clearly defined or is expected to change. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. While T&M can offer flexibility, it carries a higher risk of cost overruns for the government compared to fixed-price contracts, as the final cost is not predetermined. For 'All Other Professional, Scientific, and Technical Services,' fixed-price or cost-plus-fixed-fee contracts might offer better cost certainty if the scope is well-defined. The primary risk with T&M is the potential for uncontrolled spending if labor hours and material costs are not meticulously monitored and managed by the agency.

What is the track record of SSG-ADVISORS LLC in performing similar government contracts?

Information regarding SSG-ADVISORS LLC's specific track record on government contracts, particularly those of similar size and scope to this $34 million USAID award, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history databases (like SAM.gov or FPDS), and any publicly available CPARS (Contractor Performance Assessment Reporting System) reports. Without this data, it's difficult to definitively assess their experience in delivering 'Innovation and Challenge Support Services' or managing large Time and Materials contracts effectively for federal agencies. Their ability to secure this contract suggests they met initial qualification criteria.

How does the $34 million contract value compare to historical spending on similar services by USAID or other agencies?

The $34 million total contract value over approximately six years places this contract within a significant range for professional and technical support services. To benchmark this effectively, one would need to compare it against historical spending patterns for similar 'All Other Professional, Scientific, and Technical Services' contracts awarded by USAID and other agencies involved in international development or complex program management. Analyzing the average contract value, duration, and scope for similar support mechanisms would provide context. For instance, comparing it to contracts for program management, technical advisory, or innovation support services within the last five years could reveal if this represents a typical investment or an outlier for the type of services procured.

What are the potential risks associated with the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award type?

The award type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates that while the competition was ultimately broad, there was an initial phase where certain sources were excluded. This could stem from various reasons, such as specific technical requirements, past performance issues, or unique capabilities needed. The risk lies in understanding the rationale behind the initial exclusion and ensuring it did not unduly limit competition or favor specific vendors without a justifiable basis. If the exclusion was based on overly restrictive criteria, it could potentially lead to higher prices or fewer innovative solutions. However, the fact that it proceeded to full and open competition suggests that the initial exclusions were either resolved or deemed necessary and justifiable.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 7200AA18R00043

Offers Received: 8

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1 MILL ST STE 201, BURLINGTON, VT, 05401

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Other Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $34,000,000

Exercised Options: $34,000,000

Current Obligation: $33,996,550

Actual Outlays: $32,589,212

Subaward Activity

Number of Subawards: 36

Total Subaward Amount: $9,005,039

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline