HHS awards $3.6M for SME contract support to WORKPRO LLC, with a 911-day duration

Contract Overview

Contract Amount: $3,631,046 ($3.6M)

Contractor: Workpro LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-09-30

End Date: 2026-03-29

Contract Duration: 911 days

Daily Burn Rate: $4.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SUBJECT MATTER EXPERT (SME) CONTRACT SUPPORT.

Place of Performance

Location: TRENTON, MERCER County, NEW JERSEY, 08609

State: New Jersey Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $3.6 million to WORKPRO LLC for work described as: SUBJECT MATTER EXPERT (SME) CONTRACT SUPPORT. Key points: 1. The contract value of $3.6 million over approximately 2.5 years suggests a moderate investment in specialized expertise. 2. The administrative management and general management consulting services category indicates a focus on operational efficiency and strategic guidance. 3. The contract's duration of 911 days allows for sustained support and potential for long-term impact on program objectives. 4. The award to WORKPRO LLC, a single entity, highlights the need for specific capabilities or a streamlined procurement process. 5. The firm fixed-price contract type aims to provide cost certainty for the government, shifting performance risk to the contractor. 6. The absence of specific small business set-aside information warrants further investigation into subcontracting opportunities.

Value Assessment

Rating: fair

The contract value of $3.6 million for 911 days of support, averaging approximately $3,986 per day, appears within a reasonable range for specialized Subject Matter Expert (SME) support. Benchmarking against similar contracts for administrative management and general management consulting services would provide a more precise assessment of value for money. The firm fixed-price nature of the award suggests that the contractor bears the risk of cost overruns, which can be a positive indicator for the government if the scope is well-defined.

Cost Per Unit: $3,986 per day

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when a specific contractor possesses unique qualifications, capabilities, or when the need is urgent and cannot be met through a competitive process. The lack of competition means that price discovery through market forces was not utilized, potentially leading to a higher price than if multiple bids were solicited.

Taxpayer Impact: Sole-source awards can limit opportunities for other businesses to secure government contracts and may result in taxpayers paying a premium due to the absence of competitive pressure on pricing.

Public Impact

The Administration for Children and Families (ACF) within HHS is the primary beneficiary, receiving expert support to enhance its administrative and management functions. The services delivered are expected to improve the efficiency and effectiveness of ACF's operations, potentially leading to better outcomes for programs administered by the agency. The contract is geographically focused on New Jersey, where WORKPRO LLC is located, suggesting the support may be delivered remotely or involve on-site presence in that region. The contract supports specialized administrative and management consulting roles, potentially impacting the workforce through the engagement of experienced professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Sole-source awards can limit opportunities for small businesses and other potential contractors.
The specific expertise required for this SME support is not detailed, making it difficult to assess the necessity of a sole-source award.

Positive Signals

Firm fixed-price contract provides cost certainty.
Long contract duration allows for sustained support and integration of expertise.
Award to WORKPRO LLC suggests they possess specialized skills needed by the agency.

Sector Analysis

The administrative management and general management consulting services sector is a significant area of government spending, supporting agencies in optimizing operations, strategy, and program delivery. This contract fits within that broader market, where specialized expertise is often contracted to supplement internal government capabilities. Comparable spending benchmarks in this sector vary widely based on the complexity and duration of the services required.

Small Business Impact

The provided data does not indicate if this contract included a small business set-aside or if WORKPRO LLC is a small business. The sole-source nature of the award further suggests that small business participation may not have been a primary consideration in the procurement strategy. Further analysis would be needed to determine if subcontracting opportunities were mandated or explored for small businesses.

Oversight & Accountability

As a purchase order, oversight mechanisms would typically be managed by the contracting officer and the program office within the Administration for Children and Families. Transparency regarding the justification for the sole-source award and the performance metrics outlined in the contract would be key to assessing accountability. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Administrative Management Consulting
General Management Consulting Services
Subject Matter Expert Support
Federal Procurement
HHS Contracts

Risk Flags

Sole-source award may limit competition and potentially increase costs.
Lack of detailed scope of work and performance metrics hinders effectiveness assessment.
Contractor's past performance and specific expertise not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $3.6 million to WORKPRO LLC. SUBJECT MATTER EXPERT (SME) CONTRACT SUPPORT.

Who is the contractor on this award?

The obligated recipient is WORKPRO LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Administration for Children and Families).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2023-09-30. End: 2026-03-29.

What is the specific nature of the Subject Matter Expert (SME) support being provided under this contract?

The contract description states 'SUBJECT MATTER EXPERT (SME) CONTRACT SUPPORT.' While the North American Industry Classification System (NAICS) code 541611 points to 'Administrative Management and General Management Consulting Services,' the precise details of the SME support are not elaborated in the provided data. This could range from policy analysis, program evaluation, strategic planning, or technical expertise within the Administration for Children and Families' domain. Understanding the specific deliverables and expertise required would offer greater insight into the necessity and value of this contract.

How does the daily rate of $3,986 compare to market rates for similar SME consulting services?

The daily rate of approximately $3,986 for SME contract support appears to be on the higher end, though not necessarily unreasonable, for specialized consulting services. Market rates for such expertise can vary significantly based on the contractor's qualifications, the complexity of the services, the duration of the engagement, and the specific agency's needs. Without detailed information on the specific skills and experience WORKPRO LLC is providing, and without comparable contract data from other federal agencies or the private sector for similar roles, a definitive benchmark is challenging. However, rates for senior consultants or highly specialized experts can indeed reach or exceed this figure.

What are the potential risks associated with a sole-source award for this type of service?

The primary risk associated with a sole-source award is the potential for inflated pricing due to the lack of competitive bidding. Without competing offers, the government may not achieve the best possible price. Additionally, sole-source awards can limit opportunities for other qualified vendors, including small businesses, to participate in federal contracting. There's also a risk that the chosen contractor may not be the most innovative or efficient provider available in the market. Transparency in the justification for the sole-source award is crucial to mitigate these risks and ensure the government's best interests are served.

What is WORKPRO LLC's track record with federal contracts, particularly with the Department of Health and Human Services?

Information regarding WORKPRO LLC's specific track record with federal contracts, especially with the Department of Health and Human Services (HHS), is not detailed in the provided data. A comprehensive analysis would require accessing federal procurement databases (like SAM.gov or FPDS) to review their past performance, contract history, and any reported performance issues or successes. Understanding their experience with similar services and their past performance ratings would be essential for a thorough assessment of this award's risk and value.

What are the expected outcomes or performance metrics for the SME support provided by WORKPRO LLC?

The provided data does not specify the expected outcomes or performance metrics for the SME support. Typically, contracts of this nature would include a statement of work (SOW) detailing specific tasks, deliverables, and measurable performance standards. The success of this contract would be evaluated against these metrics. Without this information, it is difficult to assess the program's effectiveness or the contractor's performance beyond the basic contract details. Further review of the contract documentation would be necessary to ascertain these details.

How does this $3.6 million contract fit into the broader spending patterns for administrative and management consulting services at HHS?

This $3.6 million contract represents a specific investment in specialized SME support within the Administration for Children and Families (ACF) at HHS. To understand its place in broader spending patterns, one would need to analyze HHS's historical and current expenditures on administrative and management consulting services across all its operating divisions. This contract's value appears moderate when considered against the total budget of a large agency like HHS. However, its significance depends on the criticality of the SME support to ACF's mission and whether similar specialized support is frequently contracted.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75ACF123Q00133 AMEND 1

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 438 HAMILTON AVE, TRENTON, NJ, 08609

Business Categories: 8(a) Program Participant, Category Business, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $3,631,046

Exercised Options: $3,631,046

Current Obligation: $3,631,046

Actual Outlays: $3,489,262

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline