ABT Global LLC contract for public systems strengthening in Tanzania valued at $61.98M

Contract Overview

Contract Amount: $61,984,452 ($62.0M)

Contractor: ABT Global LLC

Awarding Agency: Agency for International Development

Start Date: 2015-07-31

End Date: 2020-07-28

Contract Duration: 1,824 days

Daily Burn Rate: $34.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF THIS PROCUREMENT SUPPORTS THE GOVERNMENT OF TANZANIA (GOT) TO STRENGTHEN THE PUBLIC SYSTEMS AT THE NATIONAL AND LOCAL LEVELS TO IMPROVE THE DELIVERY, QUALITY, AND USE OF SERVICES, PARTICULARLY FOR UNDERSERVED POPULATIONS.

Plain-Language Summary

Agency for International Development obligated $62.0 million to ABT GLOBAL LLC for work described as: IGF::OT::IGF THIS PROCUREMENT SUPPORTS THE GOVERNMENT OF TANZANIA (GOT) TO STRENGTHEN THE PUBLIC SYSTEMS AT THE NATIONAL AND LOCAL LEVELS TO IMPROVE THE DELIVERY, QUALITY, AND USE OF SERVICES, PARTICULARLY FOR UNDERSERVED POPULATIONS. Key points: 1. Contract aims to improve public service delivery in Tanzania, focusing on underserved populations. 2. The contract duration of 1824 days suggests a long-term commitment to capacity building. 3. Utilizes a Cost Plus Fixed Fee pricing structure, which can incentivize cost control but requires careful oversight. 4. The procurement was conducted under full and open competition, indicating a broad search for qualified contractors. 5. This contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category. 6. The agency's investment signals a strategic focus on international development and governance support.

Value Assessment

Rating: fair

Benchmarking this contract's value is challenging without specific service deliverables and comparable international development projects. The Cost Plus Fixed Fee structure necessitates rigorous monitoring to ensure costs remain reasonable and the fixed fee is justified by the scope of work. The total award of $61.98 million over approximately five years indicates a significant investment, suggesting a substantial scope of services. Further analysis would require understanding the specific technical assistance and capacity-building activities funded.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting that multiple offerors had the opportunity to bid. This process is designed to foster price discovery and ensure the government receives competitive proposals. The number of bids received (6) is a moderate level of competition for a contract of this size and complexity, indicating a reasonable but not extensive field of interested parties.

Taxpayer Impact: Full and open competition generally benefits taxpayers by promoting competitive pricing and potentially leading to more cost-effective solutions. It ensures that the government explores a wide range of capabilities and avoids potential overpayment associated with less competitive solicitations.

Public Impact

The primary beneficiaries are the government of Tanzania and its citizens, particularly underserved populations who stand to receive improved public services. Services delivered include strengthening public systems at national and local levels, focusing on quality and accessibility of services. The geographic impact is national within Tanzania, with a specific emphasis on local-level service delivery improvements. Workforce implications include potential capacity building for Tanzanian public servants and possible engagement of local consultants or firms.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require diligent oversight to prevent cost overruns and ensure the fixed fee aligns with the effort expended.
The broad 'All Other Professional, Scientific, and Technical Services' category can sometimes obscure the specific nature and value of services rendered.
Assessing the long-term sustainability and impact of public system strengthening requires ongoing monitoring beyond the contract period.

Positive Signals

The commitment to strengthening public systems addresses fundamental development needs in Tanzania.
Focusing on underserved populations aligns with principles of equitable development and social inclusion.
Full and open competition suggests a structured and potentially efficient procurement process.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to international development and public administration consulting. The market for such services is global, with numerous firms specializing in capacity building, governance reform, and public sector management. Comparable spending benchmarks would typically involve other U.S. government or international organization contracts aimed at similar development objectives in other countries, often ranging from tens to hundreds of millions of dollars depending on scope and duration.

Small Business Impact

Information regarding small business set-asides or subcontracting plans was not explicitly provided in the data. However, for a contract of this nature and value, it is common for prime contractors to engage small businesses for specialized services or local support. The absence of specific set-aside information suggests it may not have been a primary focus or that opportunities for small businesses were expected to arise through subcontracting rather than direct set-asides.

Oversight & Accountability

Oversight for this contract would primarily reside with the Agency for International Development (USAID), likely through contract officers and technical representatives responsible for monitoring performance, costs, and adherence to contract terms. Transparency is typically managed through reporting requirements stipulated in the contract. Inspector General jurisdiction would apply to investigate fraud, waste, and abuse related to the contract funds.

Related Government Programs

USAID Global Development Programs
International Capacity Building Initiatives
Public Sector Governance Support
Foreign Assistance Act Programs

Risk Flags

Cost Plus Fixed Fee contract type requires robust oversight.
Broad service category may obscure specific deliverables.
Long contract duration necessitates sustained monitoring.
Success dependent on Tanzanian government's capacity and commitment.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $62.0 million to ABT GLOBAL LLC. IGF::OT::IGF THIS PROCUREMENT SUPPORTS THE GOVERNMENT OF TANZANIA (GOT) TO STRENGTHEN THE PUBLIC SYSTEMS AT THE NATIONAL AND LOCAL LEVELS TO IMPROVE THE DELIVERY, QUALITY, AND USE OF SERVICES, PARTICULARLY FOR UNDERSERVED POPULATIONS.

Who is the contractor on this award?

The obligated recipient is ABT GLOBAL LLC.

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 $62.0 million.

What is the period of performance?

Start: 2015-07-31. End: 2020-07-28.

What specific performance metrics were established to measure the success of public system strengthening in Tanzania under this contract?

The provided data does not detail the specific performance metrics. However, contracts of this nature typically include a Performance Work Statement (PWS) or Statement of Work (SOW) that outlines measurable objectives. These could include indicators related to improved service delivery efficiency (e.g., reduced wait times, increased access rates), enhanced quality of services (e.g., better health outcomes, improved educational attainment), increased citizen satisfaction, and strengthened institutional capacity (e.g., improved financial management, enhanced policy development processes). The Agency for International Development (USAID) would have established these metrics, and the contractor, ABT Global LLC, would be responsible for reporting on progress against them throughout the contract's duration. Regular reviews and evaluations would assess the achievement of these targets.

How does the Cost Plus Fixed Fee (CPFF) pricing structure compare to other contract types used for similar international development projects?

The Cost Plus Fixed Fee (CPFF) structure is common for complex, research-oriented, or service contracts where the scope of work is not precisely defined at the outset, or where innovation is encouraged. In this case, it allows ABT Global LLC to incur allowable costs while receiving a predetermined fixed fee, which represents the contractor's profit. Compared to Firm-Fixed-Price (FFP) contracts, CPFF offers more flexibility but shifts some cost risk to the government. Compared to Cost Plus Incentive Fee (CPIF) or Cost Plus Award Fee (CPAF) contracts, CPFF provides less direct financial incentive for the contractor to control costs beyond the allowable cost ceiling, as the fee is fixed regardless of cost efficiency. For international development, CPFF is often chosen when the nature of capacity building and system strengthening involves evolving challenges and requires adaptive technical assistance.

What is ABT Global LLC's track record with USAID and similar international development contracts?

While the provided data confirms ABT Global LLC as the contractor for this specific $61.98 million contract, it does not detail their broader track record. A comprehensive assessment would require reviewing USAID's contract database, past performance evaluations, and potentially other federal procurement systems (like SAM.gov) to identify other contracts awarded to ABT Global LLC. Key areas to examine would include their performance history on similar international development projects, their success in meeting performance objectives, their financial management capabilities, and any history of contract disputes or performance issues. Generally, firms awarded large, complex contracts by agencies like USAID have demonstrated a significant level of expertise and a history of successful project execution.

What are the potential risks associated with implementing public system strengthening programs in a developing country context like Tanzania?

Implementing public system strengthening programs in developing countries presents several risks. Political instability or changes in government priorities can disrupt program continuity and effectiveness. Corruption or weak governance structures can impede the efficient use of resources and the achievement of objectives. Limited absorptive capacity within local institutions may hinder the adoption and sustainability of new systems or processes. Socio-cultural factors and resistance to change can also pose challenges. Furthermore, external factors such as economic downturns, natural disasters, or health crises can impact program implementation and outcomes. Ensuring local ownership and buy-in is crucial to mitigate many of these risks, as is adaptive management to respond to unforeseen challenges.

How has spending on professional, scientific, and technical services for international development by USAID trended over the past five years?

The provided data focuses on a single contract and does not offer trends in USAID's overall spending. To analyze trends, one would need to access USAID's historical budget data and contract award databases. Generally, USAID's spending on professional, scientific, and technical services for international development is substantial and fluctuates based on global priorities, geopolitical events, and congressional appropriations. These services encompass a wide range of activities, including technical assistance, program management, research, and evaluation across various sectors like health, education, democracy and governance, and economic growth. Analyzing trends would involve looking at aggregate spending within NAICS code 541990 (All Other Professional, Scientific, and Technical Services) and related categories, as well as specific contract vehicles and program areas.

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-621-14-000017

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4550 MONTGOMERY AVE STE 800N, BETHESDA, MD, 20814

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $61,984,452

Exercised Options: $61,984,452

Current Obligation: $61,984,452

Actual Outlays: $10,125,217

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $140,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline