HHS awards $19.3M for EEO support services, with SuntiVa LLC securing a multi-year contract

Contract Overview

Contract Amount: $19,333,167 ($19.3M)

Contractor: Suntiva LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2020-09-30

End Date: 2026-09-29

Contract Duration: 2,190 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: EQUAL EMPLOYMENT OPPORTUNITY STRATEGIC SUPPORT SERVICES

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22043

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $19.3 million to SUNTIVA LLC for work described as: EQUAL EMPLOYMENT OPPORTUNITY STRATEGIC SUPPORT SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract is a firm-fixed-price type, which shifts cost risk to the contractor. 3. Services are categorized under Administrative Management and General Management Consulting, a common area for federal support. 4. The contract duration of approximately 6 years provides long-term stability for service delivery. 5. The award value of $19.3 million over the period indicates a significant investment in EEO strategic support. 6. The contract is a BPA Call, indicating it's a task order under an existing Blanket Purchase Agreement.

Value Assessment

Rating: good

The contract value of $19.3 million over approximately six years averages to about $3.2 million annually. Benchmarking this against similar administrative management and general management consulting services for federal agencies is challenging without more specific service details. However, the firm-fixed-price structure suggests that the government has negotiated a set price, which can be advantageous if the contractor can deliver efficiently. The number of bids received (2) is on the lower side for a full and open competition, which might warrant further investigation into pricing competitiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. However, only two bids were received. While full and open competition is generally preferred for maximizing price discovery and ensuring fair access, the low number of bidders could indicate potential limitations in the market for these specific services or challenges in the solicitation process. Further analysis would be needed to determine if the competition level adequately drove down costs.

Taxpayer Impact: A competitive process, even with a limited number of bidders, aims to secure the best value for taxpayers. The firm-fixed-price nature of the contract helps control costs, but the low bid count might suggest that taxpayers did not benefit from the widest possible price competition.

Public Impact

The primary beneficiaries are federal agencies, particularly the Department of Health and Human Services (HHS) and its Food and Drug Administration (FDA), receiving strategic support for Equal Employment Opportunity (EEO) initiatives. The services delivered are expected to enhance EEO compliance, diversity, and inclusion within the agency. The geographic impact is likely concentrated within the agency's operational locations, primarily in Virginia where the contractor is based. The contract supports the federal workforce by ensuring fair employment practices and potentially improving employee relations and retention.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition with only two bidders could potentially lead to higher prices than a more robustly competed contract.
The specific deliverables and performance metrics are not detailed, making it difficult to fully assess value for money.
The contract's duration might outlast the immediate need for specific EEO support strategies if not managed proactively.

Positive Signals

Awarded through full and open competition, indicating an effort to ensure broad market access.
Firm-fixed-price contract type shifts cost risk to the contractor, providing budget certainty.
The contract supports critical EEO functions, contributing to a fair and inclusive federal workplace.
The contractor, SuntiVa LLC, is awarded a significant contract, suggesting confidence in their capabilities.

Sector Analysis

The federal consulting services market is substantial, encompassing a wide range of management, administrative, and specialized advisory functions. Contracts like this, focused on EEO strategic support, fall within the broader administrative management and general management consulting services sector (NAICS 541611). This sector is characterized by numerous small, medium, and large businesses competing for government contracts. Spending in this area is driven by agencies' needs for expertise in human capital management, compliance, and organizational effectiveness. Comparable spending benchmarks would typically involve analyzing the average cost of similar consulting engagements across various federal agencies.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss': false and 'sb': false. The contractor, SuntiVa LLC, is likely a larger entity or a small business that did not receive the award as a set-aside. There is no explicit information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is unclear, and it does not represent a direct opportunity for small business set-aside participation.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Health and Human Services (HHS) contracting officers and program managers. As a firm-fixed-price contract, performance monitoring is crucial to ensure deliverables meet requirements. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract. The BPA Call structure might also involve oversight from the agency that established the parent BPA.

Related Government Programs

Federal EEO Compliance Programs
Management and Consulting Services
Administrative Support Services
Department of Health and Human Services Contracts
Food and Drug Administration Support

Risk Flags

Limited Competition
Potential for Cost Overruns if Scope Changes
Contractor Performance Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $19.3 million to SUNTIVA LLC. EQUAL EMPLOYMENT OPPORTUNITY STRATEGIC SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SUNTIVA LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $19.3 million.

What is the period of performance?

Start: 2020-09-30. End: 2026-09-29.

What is SuntiVa LLC's track record with federal EEO support contracts?

Information regarding SuntiVa LLC's specific track record with federal EEO support contracts is not detailed in the provided data. However, the award of this $19.3 million contract by HHS suggests a level of capability and past performance deemed sufficient by the agency. To fully assess their track record, one would need to review their contract history, past performance evaluations, and any documented successes or challenges in delivering similar services to federal clients. This would involve searching federal procurement databases for previous awards and performance data related to SuntiVa LLC and EEO services.

How does the $19.3 million award value compare to similar EEO support contracts?

The $19.3 million award value for Equal Employment Opportunity (EEO) Strategic Support Services over approximately six years (2190 days) averages to roughly $3.2 million annually. Comparing this to similar contracts requires access to a broader dataset of federal EEO support procurements. Factors influencing value include the scope of services (e.g., policy development, training, data analysis, complaint investigation support), the specific agency's size and needs, and the duration. Without specific benchmarks for comparable contracts, it's difficult to definitively state if this represents high or low value. However, the firm-fixed-price nature suggests a negotiated ceiling, and the limited competition (2 bidders) might warrant scrutiny for potential price inflation.

What are the primary risks associated with this contract?

Key risks for this contract include potential underperformance by the contractor, SuntiVa LLC, in delivering the required EEO strategic support services, which could impact the agency's compliance and diversity goals. Another risk stems from the limited competition, with only two bidders, which might indicate a lack of market interest or barriers to entry, potentially leading to less favorable pricing than if more firms had competed. Furthermore, the long duration of the contract (approx. 6 years) introduces the risk of evolving EEO regulations or agency needs that the current contract may not fully accommodate without modifications. Finally, ensuring effective oversight and accountability over a multi-year, high-value contract is an ongoing risk.

How effective is the firm-fixed-price contract type in managing costs for EEO support?

The firm-fixed-price (FFP) contract type is generally effective in managing costs for services like EEO strategic support because it shifts the primary risk of cost overruns to the contractor, SuntiVa LLC. The government agrees to pay a set price, regardless of the contractor's actual costs incurred. This provides budget certainty for the Department of Health and Human Services. However, the effectiveness hinges on the initial price negotiation; if the FFP was set too high due to inadequate competition or poor estimation, the government might overpay. Conversely, if the price is too low, the contractor might cut corners on quality, impacting service delivery.

What are the historical spending patterns for EEO strategic support services at HHS?

Historical spending patterns for EEO strategic support services at HHS are not detailed in the provided data. To analyze this, one would need to examine HHS's procurement history over several fiscal years, specifically looking for contracts categorized under administrative management, consulting, or EEO services. This analysis would reveal trends in spending levels, the types of services procured, the primary contractors utilized, and whether spending has increased or decreased. Understanding these patterns would provide context for the current $19.3 million award and help identify any significant shifts in HHS's investment in EEO support.

What does the BPA Call award mechanism imply for this contract?

The contract being a BPA Call signifies that it is a task order issued under a pre-existing Blanket Purchase Agreement (BPA). BPAs are simplified acquisition methods used to streamline purchasing from specific vendors for recurring needs. A BPA Call means that HHS (or FDA) has leveraged an existing BPA, likely established through a prior competitive process, to procure these EEO strategic support services. This mechanism can expedite the acquisition process and potentially offer better pricing if the parent BPA had favorable terms. However, it also means the competition for this specific call order might be limited to vendors already on that BPA, and the overall competition is tied to the original BPA's structure.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Suntiva, LLC

Address: 7940 JONES BRANCH DR, TYSONS, VA, 22102

Business Categories: Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,149,785

Exercised Options: $19,333,167

Current Obligation: $19,333,167

Actual Outlays: $15,394,702

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 75F40119A10003

IDV Type: BPA

Timeline