HUD awards $7.7M contract for broadcasting and satellite services to Red Carrot Inc

Contract Overview

Contract Amount: $7,733,393 ($7.7M)

Contractor: RED Carrot Inc

Awarding Agency: Department of Housing and Urban Development

Start Date: 2022-08-03

End Date: 2026-08-02

Contract Duration: 1,460 days

Daily Burn Rate: $5.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BROADCASTING, WEBCASTING AND SATELLITE SERVICES FOR THE DEPARTMENT

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20410

State: District of Columbia Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $7.7 million to RED CARROT INC for work described as: BROADCASTING, WEBCASTING AND SATELLITE SERVICES FOR THE DEPARTMENT Key points: 1. Contract value appears reasonable given the duration and scope of services. 2. Full and open competition suggests a competitive bidding process. 3. Potential risks include contractor performance and service delivery continuity. 4. This contract supports the Department of Housing and Urban Development's communication needs. 5. The services fall under marketing consulting, a common government support function.

Value Assessment

Rating: good

The contract value of $7.7 million over approximately four years for broadcasting, webcasting, and satellite services appears to be within a reasonable range for government contracts of this nature. Benchmarking against similar contracts for communication services would provide a more precise value-for-money assessment. The firm-fixed-price structure helps control costs, but the overall value is contingent on the quality and effectiveness of the services delivered by Red Carrot Inc.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bids suggests a moderate level of competition for this specific requirement. While two bidders participated, the extent of pre-solicitation outreach and the number of interested parties could provide further insight into the true competitive landscape.

Taxpayer Impact: Full and open competition generally benefits taxpayers by encouraging lower prices and better service quality through a competitive bidding process.

Public Impact

The Department of Housing and Urban Development (HUD) is the primary beneficiary, receiving essential communication services. Services include broadcasting, webcasting, and satellite capabilities to support HUD's mission. The contract is geographically focused on the District of Columbia. The contract supports the workforce involved in delivering these specialized communication services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if scope creep occurs.
Dependence on a single contractor for critical communication services.
Ensuring consistent service quality throughout the contract period.

Positive Signals

Firm-fixed-price contract helps manage budget predictability.
Awarded through full and open competition, suggesting a fair process.
Contract duration provides stability for service delivery.

Sector Analysis

This contract falls within the broader Information Technology and Professional Services sector, specifically focusing on marketing and communication services. The market for broadcasting, webcasting, and satellite services is diverse, with numerous providers ranging from small specialized firms to large telecommunications companies. Government spending in this area supports agency outreach, public affairs, and internal communications.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the nature of broadcasting and satellite services, it is possible that larger, more specialized firms are typically awarded such contracts. Further analysis would be needed to determine if small businesses had a meaningful opportunity to participate or subcontract.

Oversight & Accountability

Oversight of this contract would typically be managed by the contracting officer and program officials within the Department of Housing and Urban Development. Accountability measures are inherent in the firm-fixed-price contract type, requiring the contractor to deliver specified services. Transparency is generally maintained through contract award databases, though specific performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Federal Broadcasting Services
Government Webcasting Platforms
Satellite Communication Contracts
Marketing and Advertising Services
Department of Housing and Urban Development IT Support

Risk Flags

Contractor performance risk
Service continuity risk
Budget adherence risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $7.7 million to RED CARROT INC. BROADCASTING, WEBCASTING AND SATELLITE SERVICES FOR THE DEPARTMENT

Who is the contractor on this award?

The obligated recipient is RED CARROT INC.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $7.7 million.

What is the period of performance?

Start: 2022-08-03. End: 2026-08-02.

What is Red Carrot Inc.'s track record with federal contracts, particularly for similar services?

Red Carrot Inc. has a history of federal contracting, though specific details on past performance for broadcasting, webcasting, and satellite services would require a deeper dive into contract databases like FPDS. Analyzing their past awards, contract values, and performance reviews (if available) would provide insight into their reliability and capability. It's important to assess if they have successfully managed similar-sized and scoped contracts, especially with agencies like HUD, to gauge their suitability for this role and identify any potential performance risks.

How does the awarded price compare to market rates for similar broadcasting and satellite services?

A precise comparison of the $7.7 million contract value to market rates requires detailed analysis of the specific services, service levels, and geographic coverage. Benchmarking against industry reports for broadcasting, webcasting, and satellite services, as well as analyzing other government contracts for comparable services, would be necessary. Factors such as the duration of the contract (approximately 4 years), the firm-fixed-price structure, and the specific technical requirements will influence the overall value. Without a detailed service catalog and market data, it's difficult to definitively state if this represents excellent or fair value.

What are the primary risks associated with this contract for HUD?

Key risks for HUD include potential contractor underperformance, where Red Carrot Inc. may fail to deliver the agreed-upon broadcasting, webcasting, or satellite services to the required standards. Service disruptions or outages could impact HUD's ability to communicate effectively with the public and stakeholders. There's also a risk of cost overruns if the firm-fixed-price contract doesn't adequately account for unforeseen technical challenges or scope creep. Ensuring data security and privacy during webcasting and satellite transmissions is another critical risk area that needs robust management.

How effective are HUD's current broadcasting and satellite services in meeting agency communication goals?

The effectiveness of HUD's current services is not directly detailed in the provided data. This contract award suggests a need for these services, implying that existing capabilities may be insufficient, outdated, or require augmentation. To assess effectiveness, one would need to examine HUD's communication objectives, the performance metrics outlined in the contract, and post-award performance reports. Evaluating the reach, engagement, and impact of HUD's communications facilitated by these services would be crucial.

What has been the historical spending trend for broadcasting and satellite services at HUD?

Historical spending data for broadcasting, webcasting, and satellite services at HUD is not provided in the current data snippet. To understand spending trends, one would need to analyze HUD's procurement history over several fiscal years, identifying contracts for similar services. This analysis would reveal whether spending in this category has been consistent, increasing, or decreasing, and whether this $7.7 million award represents a significant shift in investment for these types of services.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Marketing Consulting Services

Product/Service Code: PHOTO, MAP, PRINT, PUBLICATION › PHOTOGR, MAPPING, PRINTING, PUBLISH

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 86614322Q00004

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1951 NW 7TH AVE STE 600, MIAMI, FL, 33136

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $9,704,592

Exercised Options: $7,733,393

Current Obligation: $7,733,393

Actual Outlays: $6,637,371

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00F181GA

IDV Type: FSS

Timeline