USAID contract for Northern Ghana resiliency project awarded at $29.8M to Global Communities, Inc

Contract Overview

Contract Amount: $29,832,697 ($29.8M)

Contractor: Global Communities, Inc.

Awarding Agency: Agency for International Development

Start Date: 2014-06-15

End Date: 2023-03-31

Contract Duration: 3,211 days

Daily Burn Rate: $9.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::CL::IGF USAID/GHANA RELIENCY IN NOTTHERN GHANA PROJECT

Plain-Language Summary

Agency for International Development obligated $29.8 million to GLOBAL COMMUNITIES, INC. for work described as: IGF::CL::IGF USAID/GHANA RELIENCY IN NOTTHERN GHANA PROJECT Key points: 1. Contract value of $29.8M over nearly 9 years suggests significant investment in long-term development. 2. Awarded under full and open competition, indicating a broad search for qualified contractors. 3. The definitive contract type with cost-plus-fixed-fee pricing structure warrants scrutiny for cost control. 4. Performance period of over 8 years allows for substantial project impact but also carries long-term risk. 5. The 'All Other Professional, Scientific, and Technical Services' NAICS code is broad, requiring detailed understanding of specific deliverables. 6. No small business set-aside or subcontracting was indicated, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of $29.8M over approximately 8.75 years averages around $3.4M annually. Benchmarking this against similar international development projects requires detailed scope comparison. The cost-plus-fixed-fee (CPFF) structure, while common for complex projects where costs are uncertain, can lead to higher overall expenditures if not managed tightly. Without specific performance metrics and cost breakdowns, a definitive value-for-money assessment is challenging, but the extended duration and significant funding suggest a substantial commitment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. With 8 bidders identified, this indicates a healthy level of interest and potential for competitive pricing. The open competition process is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure the best value for public funds. The presence of multiple bidders increases the likelihood that the awarded price reflects market rates and that the contractor is incentivized to perform efficiently.

Public Impact

Beneficiaries include communities in Northern Ghana, likely receiving services aimed at improving resilience to various shocks and stresses. Services delivered are expected to encompass professional, scientific, and technical support for development initiatives. Geographic impact is focused on Northern Ghana, a region often facing developmental challenges. Workforce implications could include local employment opportunities created by the contractor and its partners within Ghana.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee (CPFF) contracts can incentivize cost overruns if not rigorously monitored.
The broad NAICS code (541990) necessitates a deep dive into the specific services rendered to ensure alignment with intended outcomes.
Long contract duration (over 8 years) increases the risk of scope creep or misalignment with evolving needs.
Lack of explicit small business subcontracting goals may limit broader economic impact for smaller enterprises.

Positive Signals

Awarded through full and open competition with 8 bidders, suggesting a robust selection process.
The significant funding indicates a strong commitment to addressing resilience challenges in Northern Ghana.
The definitive contract type provides a framework for a long-term engagement, suitable for complex development goals.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically related to international development and humanitarian aid. The market for such services is global, with numerous organizations specializing in program management, technical assistance, and research for developing regions. Spending in this area is driven by foreign policy objectives, development aid budgets, and the need to address complex global challenges like climate change, poverty, and instability. Comparable spending benchmarks would involve analyzing other USAID or similar agency contracts focused on resilience-building in comparable geographic areas.

Small Business Impact

The contract was not awarded as a small business set-aside, and there is no explicit indication of small business subcontracting goals. This means that opportunities for small businesses to participate in this contract may be limited unless the prime contractor voluntarily includes them in their subcontracting plan. The absence of set-asides or mandated subcontracting could reduce the direct economic benefit to the small business ecosystem in this specific project.

Oversight & Accountability

Oversight for this contract would typically be managed by the Agency for International Development (USAID), likely through a Contracting Officer's Representative (COR) responsible for monitoring performance, costs, and compliance. The Inspector General (IG) of USAID would have jurisdiction for audits and investigations into fraud, waste, or abuse. Transparency is facilitated through contract databases like FPDS, though detailed performance reports may not always be publicly accessible.

Related Government Programs

USAID Development Assistance Programs
International Disaster Assistance
Global Food Security Initiatives
Peace Corps Programs
Millennium Challenge Corporation Projects

Risk Flags

Potential for cost overruns due to CPFF structure
Broad NAICS code may obscure specific service details
Long contract duration increases risk of misalignment
Lack of explicit small business subcontracting

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $29.8 million to GLOBAL COMMUNITIES, INC.. IGF::CL::IGF USAID/GHANA RELIENCY IN NOTTHERN GHANA PROJECT

Who is the contractor on this award?

The obligated recipient is GLOBAL COMMUNITIES, INC..

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 $29.8 million.

What is the period of performance?

Start: 2014-06-15. End: 2023-03-31.

What specific services fall under the 'All Other Professional, Scientific, and Technical Services' category for this contract?

The NAICS code 541990, 'All Other Professional, Scientific, and Technical Services,' is a broad category encompassing establishments primarily engaged in providing specialized professional, scientific, and technical services not elsewhere classified. For this USAID contract in Northern Ghana, specific services could range widely but likely include technical assistance for agricultural development, water resource management, climate change adaptation strategies, community-based disaster risk reduction, program monitoring and evaluation, policy analysis, and capacity building for local institutions. The exact scope would be detailed in the contract's Statement of Work (SOW), which outlines the precise deliverables, methodologies, and expected outcomes.

How does the cost-plus-fixed-fee (CPFF) pricing structure compare to other contract types for similar international development projects?

Cost-plus-fixed-fee (CPFF) contracts are common for complex, research-oriented, or development projects where the scope of work and associated costs are not precisely definable at the outset. Unlike fixed-price contracts, CPFF reimburses the contractor for allowable costs plus a predetermined fixed fee representing profit. This structure is often preferred when innovation or adaptation is required. However, it carries a higher risk of cost growth compared to fixed-price contracts, as the government bears the brunt of cost uncertainties. For international development, CPFF is frequently used for large-scale, multi-year programs like this one, where evolving local conditions and unforeseen challenges necessitate flexibility. Agencies often implement stringent oversight and reporting requirements to mitigate the inherent cost risks associated with CPFF.

What are the key performance indicators (KPIs) used to measure the success of the 'Resiliency in Northern Ghana Project'?

While the specific Key Performance Indicators (KPIs) for the 'Resiliency in Northern Ghana Project' are not detailed in the provided data, typical KPIs for such resilience-focused initiatives often include metrics related to food security (e.g., reduction in malnutrition rates, increased crop yields), water access (e.g., number of households with improved water sources), disaster preparedness (e.g., community disaster management plans developed, early warning systems established), economic stability (e.g., increased household income, diversification of livelihoods), and institutional capacity (e.g., number of local government officials trained, policies adopted). USAID contracts usually mandate a robust Monitoring, Evaluation, and Learning (MEL) plan that outlines these KPIs, data collection methods, and reporting frequencies to track progress towards project objectives and demonstrate impact.

Given the contract's duration of over 8 years, what mechanisms are in place to ensure the project remains relevant and adaptable to changing conditions in Northern Ghana?

The extended duration of this contract necessitates built-in adaptability mechanisms. USAID contracts typically include provisions for regular performance reviews, annual work plans, and potential contract modifications to adjust scope or objectives based on evolving needs and contexts. A strong Monitoring, Evaluation, and Learning (MEL) framework is crucial, allowing for adaptive management where project strategies are refined based on ongoing data collection and analysis. Furthermore, the cost-plus-fixed-fee structure, while carrying cost risks, also offers flexibility to incorporate new approaches or address unforeseen challenges that arise over the project's lifecycle. Regular consultations with local stakeholders and government partners are also vital for ensuring continued relevance.

What is the historical spending pattern for USAID projects focused on resilience in Northern Ghana or similar regions?

Historical spending patterns for USAID projects focused on resilience in regions like Northern Ghana often show significant and sustained investment, reflecting the long-term nature of development challenges. USAID's budget allocations for such programs can fluctuate based on geopolitical priorities, global crises (like climate change impacts or food insecurity), and specific country needs. Over the past decade, there has been a growing emphasis on resilience programming across various USAID bureaus and missions. Analyzing past USAID reports, congressional budget justifications, and contract databases would reveal trends in funding levels, preferred contract types (often CPFF or fixed-price with economic price adjustment for long-term projects), and the types of implementing partners (both large NGOs and specialized technical firms) that receive these awards. This specific $29.8M award appears substantial within this context.

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: 8

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 8601 GEORGIA AVE STE 800, SILVER SPRING, MD, 20910

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

Financial Breakdown

Contract Ceiling: $29,832,697

Exercised Options: $29,832,697

Current Obligation: $29,832,697

Actual Outlays: $1,349,550

Subaward Activity

Number of Subawards: 14

Total Subaward Amount: $3,019,983

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline