USAID Awards $920M Overseas Contract for Technical Services Amidst Undisclosed Domestic Awardees

Contract Overview

Contract Amount: $920,000,000 ($920.0M)

Contractor: Domestic Awardees (undisclosed)

Awarding Agency: Agency for International Development

Start Date: 2018-07-01

End Date: 2025-06-30

Contract Duration: 2,556 days

Daily Burn Rate: $359.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: OVERSEAS CONTRACT

Plain-Language Summary

Agency for International Development obligated $920.0 million to DOMESTIC AWARDEES (UNDISCLOSED) for work described as: OVERSEAS CONTRACT Key points: 1. Significant contract value of $920 million for professional, scientific, and technical services. 2. Competition method is 'Full and Open', but awardee details are undisclosed, raising transparency concerns. 3. Contract duration is substantial at 2556 days, indicating long-term service needs. 4. The 'All Other Professional, Scientific, and Technical Services' NAICS code is broad, potentially masking specific service areas.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed tightly. The awarded amount of $920M is substantial, and without clear benchmarks for 'All Other Professional, Scientific, and Technical Services', assessing its value is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a broad outreach for potential bidders. However, the undisclosed domestic awardees limit the understanding of the competitive landscape and the pricing discovery process.

Taxpayer Impact: The large contract value implies significant taxpayer investment. The lack of transparency regarding awardees could potentially lead to less competitive pricing than anticipated.

Public Impact

Taxpayers are funding a large overseas contract for essential technical services. The undisclosed nature of the domestic awardees raises questions about accountability and potential favoritism. The long contract duration suggests a sustained need for these services, impacting future budget allocations. The broad NAICS code makes it challenging for the public to understand the specific services being procured.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Undisclosed Awardees
Broad NAICS Code
Cost Plus Fixed Fee Contract Type

Positive Signals

Full and Open Competition

Sector Analysis

This contract falls under professional, scientific, and technical services, a broad category encompassing a wide range of specialized expertise. Spending in this sector can vary significantly based on agency needs, but large overseas contracts often support diplomatic missions or development initiatives.

Small Business Impact

The data indicates that small businesses were not specifically targeted or are not the primary awardees for this contract, as the 'sb' field is false. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The undisclosed nature of the domestic awardees presents a challenge for oversight. Agencies like USAID typically have robust oversight mechanisms, but transparency regarding who ultimately benefits from taxpayer funds is crucial for accountability.

Related Government Programs

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

Risk Flags

Lack of transparency regarding awardee identity
Broad and potentially vague NAICS code
Cost Plus Fixed Fee contract type carries inherent cost overrun risk
Long contract duration requires sustained oversight
No explicit mention of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $920.0 million to DOMESTIC AWARDEES (UNDISCLOSED). OVERSEAS CONTRACT

Who is the contractor on this award?

The obligated recipient is DOMESTIC AWARDEES (UNDISCLOSED).

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 $920.0 million.

What is the period of performance?

Start: 2018-07-01. End: 2025-06-30.

What specific technical services are being procured under this broad NAICS code, and how do they align with USAID's mission objectives?

The NAICS code 541990, 'All Other Professional, Scientific, and Technical Services,' is highly generalized. To assess value, it's critical to understand the precise nature of the services, such as engineering support, environmental consulting, or program management. This detail is essential for determining if the $920 million expenditure is justified and effectively contributes to USAID's foreign assistance goals.

Given the 'Full and Open Competition' but undisclosed awardees, what steps are being taken to ensure fair pricing and prevent potential conflicts of interest?

While the competition was open, the lack of transparency regarding awardees makes it difficult to independently verify fair pricing. USAID should provide justification for the non-disclosure and detail its internal cost-analysis procedures. Robust oversight is needed to ensure the Cost Plus Fixed Fee structure doesn't incentivize unnecessary costs and that the fixed fee remains reasonable.

What is the long-term strategic benefit of awarding a 7-year contract for these services, and how will its effectiveness be measured?

A 7-year contract (2556 days) suggests a long-term strategic need, possibly for sustained development projects or operational support. The effectiveness measurement should be clearly defined, focusing on key performance indicators (KPIs) directly linked to USAID's mission outcomes. Regular performance reviews and clear exit strategies are vital to ensure the contract remains effective and adaptable to evolving needs.

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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: SOL-121-16-000014

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1800 F ST NW, WASHINGTON, DC, 20405

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

Financial Breakdown

Contract Ceiling: $920,000,000

Exercised Options: $920,000,000

Current Obligation: $920,000,000

Actual Outlays: $665,562,296

Subaward Activity

Number of Subawards: 371

Total Subaward Amount: $609,066,558

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline