USAID Invests $24M in Georgia's Skills Development for Economic Competitiveness

Contract Overview

Contract Amount: $23,999,889 ($24.0M)

Contractor: Improving Economies for Stronger Communities

Awarding Agency: Agency for International Development

Start Date: 2021-05-03

End Date: 2025-03-17

Contract Duration: 1,414 days

Daily Burn Rate: $17.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: THE PURPOSE OF THE USAID INDUSTRY-LED SKILLS DEVELOPMENT PROGRAM IS TO DEVELOP INDUSTRY RELEVANT HUMAN CAPACITY THAT WILL CONTRIBUTE TO HIGH-VALUE EMPLOYMENT OPPORTUNITIES AND INCREASED ECONOMIC COMPETITIVENESS IN GEORGIA.

Plain-Language Summary

Agency for International Development obligated $24.0 million to IMPROVING ECONOMIES FOR STRONGER COMMUNITIES for work described as: THE PURPOSE OF THE USAID INDUSTRY-LED SKILLS DEVELOPMENT PROGRAM IS TO DEVELOP INDUSTRY RELEVANT HUMAN CAPACITY THAT WILL CONTRIBUTE TO HIGH-VALUE EMPLOYMENT OPPORTUNITIES AND INCREASED ECONOMIC COMPETITIVENESS IN GEORGIA. Key points: 1. Program aims to boost industry-relevant human capacity and high-value employment in Georgia. 2. Focus on increasing economic competitiveness through skills development. 3. Contract awarded via full and open competition. 4. Spending supports the 'Improving Economies for Stronger Communities' initiative.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking is difficult without specific performance data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better value.

Taxpayer Impact: Taxpayer funds are being used to foster economic growth and employment in Georgia, with the potential for long-term returns on investment.

Public Impact

Enhances workforce skills in Georgia, potentially leading to higher earning potential for citizens. Aims to strengthen Georgia's overall economic competitiveness on a global scale. Supports USAID's broader mission of improving economies for stronger communities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type may incentivize higher costs.
  • Lack of specific performance metrics makes value assessment challenging.
  • Potential for scope creep in a skills development program.

Positive Signals

  • Full and open competition promotes fairness and potential for best value.
  • Clear objective to improve economic competitiveness and employment.
  • Long-term investment in human capital development.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically focused on human capacity development. Benchmarks for similar international development programs vary widely based on scope and region.

Small Business Impact

The provided data does not indicate whether small businesses were involved in this contract, nor does it specify any set-aside goals for small business participation.

Oversight & Accountability

Oversight will be crucial to ensure funds are used effectively towards stated goals and that program outcomes are measurable and impactful. Agency for International Development is responsible for management.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Agency for International Development Contracting
  • Agency for International Development Programs

Risk Flags

  • Potential for cost overruns due to CPFF contract type.
  • Difficulty in quantifying direct economic competitiveness impact.
  • Dependency on local Georgian economic conditions for success.
  • Program effectiveness relies heavily on accurate industry needs assessment.

Tags

all-other-professional-scientific-and-te, agency-for-international-development, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $24.0 million to IMPROVING ECONOMIES FOR STRONGER COMMUNITIES. THE PURPOSE OF THE USAID INDUSTRY-LED SKILLS DEVELOPMENT PROGRAM IS TO DEVELOP INDUSTRY RELEVANT HUMAN CAPACITY THAT WILL CONTRIBUTE TO HIGH-VALUE EMPLOYMENT OPPORTUNITIES AND INCREASED ECONOMIC COMPETITIVENESS IN GEORGIA.

Who is the contractor on this award?

The obligated recipient is IMPROVING ECONOMIES FOR STRONGER COMMUNITIES.

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 $24.0 million.

What is the period of performance?

Start: 2021-05-03. End: 2025-03-17.

What specific metrics will be used to measure the program's success in developing industry-relevant human capacity and increasing economic competitiveness?

Success will likely be measured by tracking the number of individuals trained, the types of industries they enter, their employment rates post-training, and the average salary increases achieved. Economic competitiveness could be gauged through broader indicators like GDP growth, foreign investment, and the ease of doing business in Georgia.

How will the Cost Plus Fixed Fee structure be managed to mitigate risks of cost overruns and ensure efficient use of taxpayer funds?

Effective management of a CPFF contract requires rigorous oversight, detailed cost tracking, and clear performance milestones. USAID must establish robust reporting requirements and conduct regular audits to ensure costs are reasonable and directly related to program objectives. Fixed fee negotiation should be based on realistic cost estimates.

What is the anticipated long-term impact of this program on Georgia's economy beyond immediate employment opportunities?

The program aims for a sustainable impact by fostering a more skilled workforce, which can attract further investment, encourage innovation, and create a more resilient economy. By improving human capital, Georgia can potentially move towards higher value-added industries and reduce reliance on less skilled labor markets.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 72011420R00010

Offers Received: 7

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1900 M ST NW STE 500, WASHINGTON, DC, 20036

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $23,999,889

Exercised Options: $23,999,889

Current Obligation: $23,999,889

Actual Outlays: $19,314,871

Subaward Activity

Number of Subawards: 36

Total Subaward Amount: $11,151,938

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2021-05-03

Current End Date: 2025-03-17

Potential End Date: 2025-03-17 00:00:00

Last Modified: 2025-05-06

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