USAID awards $103.6M contract to Deloitte Consulting for Tanzania health program technical assistance

Contract Overview

Contract Amount: $103,646,420 ($103.6M)

Contractor: Deloitte Consulting Limited

Awarding Agency: Agency for International Development

Start Date: 2021-11-09

End Date: 2026-11-08

Contract Duration: 1,825 days

Daily Burn Rate: $56.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TECHNICAL ASSISTANCE SERVICES NECESSARY FOR THE SUCCESSFUL IMPLEMENTATION OF THE USAID TANZANIA CLIENT CENTERED HEALTH PROGRAM HIV AND TUBERCULOSIS

Plain-Language Summary

Agency for International Development obligated $103.6 million to DELOITTE CONSULTING LIMITED for work described as: TECHNICAL ASSISTANCE SERVICES NECESSARY FOR THE SUCCESSFUL IMPLEMENTATION OF THE USAID TANZANIA CLIENT CENTERED HEALTH PROGRAM HIV AND TUBERCULOSIS Key points: 1. Contract aims to bolster HIV and TB prevention and treatment efforts in Tanzania. 2. Deloitte Consulting, a major player in professional services, secured this significant award. 3. The contract duration of 5 years suggests a long-term commitment to program goals. 4. The firm fixed-price contract type indicates a defined scope and budget. 5. This award falls under 'All Other Professional, Scientific, and Technical Services,' a broad category.

Value Assessment

Rating: good

The contract value of $103.6 million over five years for technical assistance in a complex health program appears reasonable, especially considering the scope of USAID's work in Tanzania. Benchmarking against similar large-scale international development contracts for technical assistance suggests this pricing is within expected ranges. The firm fixed-price structure provides cost certainty for the agency, though it places more risk on the contractor to manage expenses effectively. Further analysis would require detailed cost breakdowns and comparison to specific service delivery metrics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This competitive process is designed to foster price discovery and ensure the government receives the best value. The number of bidders is not specified, but the 'full and open' designation suggests a robust competition was intended and likely occurred, which is a positive sign for efficient use of taxpayer funds.

Taxpayer Impact: A full and open competition generally leads to more competitive pricing, potentially saving taxpayer money compared to sole-source or limited competition awards. It ensures that the most capable and cost-effective provider is selected.

Public Impact

Beneficiaries include Tanzanian citizens requiring HIV and tuberculosis prevention, testing, and treatment services. Services delivered encompass technical assistance for program implementation, likely including capacity building, strategic planning, and monitoring. Geographic impact is focused on Tanzania, aiming to improve national health outcomes. Workforce implications may involve local employment opportunities for program management and support staff, as well as training for local health professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if program objectives are not clearly defined and managed.
Dependency on contractor expertise could limit long-term in-country capacity building if not carefully structured.
Effectiveness hinges on successful collaboration with Tanzanian government health ministries and local organizations.

Positive Signals

Award to a reputable contractor like Deloitte suggests a high likelihood of professional execution.
Firm fixed-price contract provides budget predictability for USAID.
Long-term contract duration allows for sustained program impact and relationship building.

Sector Analysis

This contract operates within the international development and public health sector, specifically focusing on technical assistance for health programs. The global market for such services is substantial, with numerous firms competing for USAID and other donor-funded projects. This award to Deloitte Consulting fits within a broader trend of large, established professional services firms undertaking complex, multi-year development initiatives. Comparable spending benchmarks would involve looking at other USAID-funded health programs or similar technical assistance contracts awarded by international organizations.

Small Business Impact

The contract details indicate that small business participation was not a specific set-aside requirement (ss: false, sb: false). While Deloitte Consulting may engage small businesses as subcontractors, there is no explicit mandate within this award. The impact on the small business ecosystem will depend on Deloitte's subcontracting strategy and whether opportunities are actively sought and offered to smaller, specialized firms in Tanzania or internationally.

Oversight & Accountability

Oversight for this contract will primarily be conducted by the Agency for International Development (USAID), likely through designated contracting officers and program officers. Accountability measures are embedded in the contract terms, performance metrics, and reporting requirements. Transparency is generally maintained through public contract databases, although detailed programmatic reports may be internal. The Inspector General of USAID would have jurisdiction to investigate fraud, waste, or abuse related to this contract.

Related Government Programs

USAID Tanzania Health Programs
Global HIV/AIDS Prevention Programs
Tuberculosis Control Initiatives
International Technical Assistance Contracts
Public Health Program Management

Risk Flags

Potential for cost overruns if scope is not tightly managed under FFP.
Risk of insufficient local capacity building if not prioritized.
Dependency on contractor expertise could hinder long-term sustainability.
Effectiveness contingent on strong collaboration with Tanzanian government.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $103.6 million to DELOITTE CONSULTING LIMITED. TECHNICAL ASSISTANCE SERVICES NECESSARY FOR THE SUCCESSFUL IMPLEMENTATION OF THE USAID TANZANIA CLIENT CENTERED HEALTH PROGRAM HIV AND TUBERCULOSIS

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LIMITED.

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 $103.6 million.

What is the period of performance?

Start: 2021-11-09. End: 2026-11-08.

What is Deloitte Consulting's track record with USAID and similar international health programs?

Deloitte Consulting Limited has a significant history of working with government agencies, including USAID, on a wide range of projects. Their experience spans various sectors, including health, economic development, and governance, both domestically and internationally. For USAID, they have managed and implemented numerous contracts focused on improving health outcomes, strengthening health systems, and providing technical assistance in developing countries. Their track record typically involves large-scale, complex projects requiring expertise in program management, policy development, and capacity building. Specific details on past performance metrics, client satisfaction, and any past performance issues would be available through USAID's internal contractor performance evaluation systems (e.g., Contractor Performance Assessment Reporting System - CPARS), which are not publicly accessible in full detail.

How does the $103.6 million contract value compare to similar USAID technical assistance programs in sub-Saharan Africa?

The $103.6 million contract value for five years of technical assistance for USAID's Tanzania Client Centered Health Program is substantial but falls within the expected range for large-scale, multi-faceted health initiatives in sub-Saharan Africa. USAID often awards contracts in the tens to hundreds of millions of dollars for major country-level health programs that address complex issues like HIV/TB, maternal and child health, and health systems strengthening. Factors influencing this value include the duration, scope of work (e.g., policy, service delivery support, capacity building), number of implementing partners, and the specific health challenges being addressed. For instance, similar comprehensive HIV/AIDS or malaria control programs managed by USAID in other African nations have also commanded budgets in this general magnitude over similar timeframes. Without access to specific cost breakdowns or a direct comparison of the detailed scope of work, a precise value-for-money assessment is challenging, but the overall figure is consistent with the scale of USAID's development assistance.

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

Primary risks for this contract include potential implementation challenges due to the complex health landscape in Tanzania, political or economic instability affecting program continuity, and the risk of insufficient local capacity building if the contractor's role is not carefully balanced with empowering local institutions. There's also a risk of the program not achieving its intended health outcomes due to factors beyond the contractor's control, such as community acceptance or resource availability. Mitigation strategies likely involve robust monitoring and evaluation frameworks, strong collaboration with the Tanzanian Ministry of Health and other local stakeholders, adaptive management approaches to address unforeseen challenges, and clear performance benchmarks outlined in the contract. USAID's oversight and Deloitte's established project management methodologies are key to mitigating these risks.

How effective is the 'firm fixed price' contract type for managing a long-term health technical assistance program?

The firm fixed-price (FFP) contract type offers budget certainty for USAID, as the total price is set at the outset, and the contractor assumes the risk of cost overruns. This is advantageous for long-term programs where predictable budgeting is crucial. However, for complex technical assistance programs involving evolving health needs and potential unforeseen challenges, an FFP contract can sometimes disincentivize the contractor from proactively suggesting innovative or more cost-effective solutions if they require additional resources, as they bear the full cost. It can also lead to a more rigid approach, potentially limiting flexibility. While it ensures cost control, the effectiveness in achieving optimal program outcomes might be better served by other contract types (like FFP with economic price adjustment or cost-plus-incentive-fee) if significant uncertainty or the need for extensive adaptation is anticipated. USAID likely chose FFP to ensure strict cost management for this substantial award.

What is the historical spending pattern for technical assistance services under NAICS code 541990 by USAID?

USAID utilizes NAICS code 541990 ('All Other Professional, Scientific, and Technical Services') for a variety of support services that do not fit into more specific categories. Historical spending under this code by USAID can be substantial, reflecting the broad nature of technical assistance required for international development programs. This category often encompasses services related to program management, policy analysis, research, data collection, and specialized consulting across sectors like health, education, agriculture, and governance. Analyzing historical spending patterns would involve examining contract databases (like FPDS-NG) to identify trends in the volume and value of contracts awarded under 541990 by USAID over several fiscal years. This data can reveal which types of technical assistance are most frequently procured and the average contract values, providing context for the $103.6 million award to Deloitte.

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

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3RD FLOOR, ARIS HOUSE, PLOT NO 152, DAR ES SALAAM

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign-Owned and U.S.-Incorporated Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $103,646,421

Exercised Options: $103,646,421

Current Obligation: $103,646,420

Actual Outlays: $76,312,567

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Timeline