USAID's $15M Sudan Infrastructure Project Management Task Order awarded to Louis Berger Group, Inc

Contract Overview

Contract Amount: $15,016,684 ($15.0M)

Contractor: THE Louis Berger Group, Inc.

Awarding Agency: Agency for International Development

Start Date: 2006-10-01

End Date: 2013-12-31

Contract Duration: 2,648 days

Daily Burn Rate: $5.7K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: SUDAN INFRASTRUCTURE PROJECT MANAGEMENT TASK ORDERTAS::72 1037::TAS

Plain-Language Summary

Agency for International Development obligated $15.0 million to THE LOUIS BERGER GROUP, INC. for work described as: SUDAN INFRASTRUCTURE PROJECT MANAGEMENT TASK ORDERTAS::72 1037::TAS Key points: 1. The contract was awarded competitively, suggesting potential for good value. 2. Louis Berger Group, Inc. is a significant player in management consulting. 3. The Cost Plus Fixed Fee (CPFF) contract type can pose cost control risks. 4. Spending falls under 'Other Management Consulting Services', a broad category.

Value Assessment

Rating: fair

The contract's Cost Plus Fixed Fee (CPFF) structure requires careful monitoring to ensure costs remain reasonable. Without specific benchmarks for similar infrastructure project management contracts, assessing value is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

Awarded via a competitive delivery order, indicating multiple bids were likely considered. This method generally promotes price discovery and competition, though the specific pricing strategy within the CPFF structure needs scrutiny.

Taxpayer Impact: Taxpayer funds are utilized for infrastructure development and management services in Sudan, with the efficiency of spending dependent on effective oversight.

Public Impact

Supports critical infrastructure development in a foreign country. Employs private sector expertise for complex project management. Potential for long-term impact on Sudan's infrastructure and economy.

Waste & Efficiency Indicators

Waste Risk Score: 100 / 10

Warning Flags

  • CPFF contract type can lead to cost overruns if not managed tightly.
  • Long contract duration (over 7 years) increases risk exposure.
  • Limited visibility into specific performance metrics and outcomes.

Positive Signals

  • Competitive award process.
  • Focus on essential infrastructure development.

Sector Analysis

This contract falls under management consulting services, specifically for infrastructure projects. Benchmarks for such services can vary widely based on project scope, location, and complexity.

Small Business Impact

No indication of small business participation in this specific task order.

Oversight & Accountability

Oversight is crucial for CPFF contracts to ensure costs are justified and work is performed efficiently. USAID's internal controls and reporting mechanisms are key to accountability.

Related Government Programs

  • Other Management Consulting Services
  • Agency for International Development Contracting
  • Agency for International Development Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) contract type.
  • Long contract duration.
  • Potential for cost overruns.
  • Limited transparency on specific performance metrics.
  • Challenging operating environment in Sudan.

Tags

other-management-consulting-services, agency-for-international-development, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $15.0 million to THE LOUIS BERGER GROUP, INC.. SUDAN INFRASTRUCTURE PROJECT MANAGEMENT TASK ORDERTAS::72 1037::TAS

Who is the contractor on this award?

The obligated recipient is THE LOUIS BERGER GROUP, 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 $15.0 million.

What is the period of performance?

Start: 2006-10-01. End: 2013-12-31.

What was the basis for the fixed fee in the CPFF structure, and how was it determined to be fair and reasonable?

The fixed fee in a CPFF contract is negotiated upfront and represents the contractor's profit. Its reasonableness is typically assessed based on the complexity of the work, the contractor's experience, and market rates for similar services. USAID would have performed a cost and technical evaluation to determine the fairness of the fee.

What mechanisms were in place to mitigate the inherent cost escalation risks associated with a CPFF contract over a 7-year period?

Mitigation strategies for CPFF contracts often include robust cost accounting standards, detailed progress reports, regular audits, and clear performance milestones. USAID likely implemented stringent oversight and review processes to monitor expenditures and ensure the contractor remained within the estimated cost ceiling while achieving project objectives.

How effectively did the contractor manage project risks and ensure the successful completion of infrastructure objectives in Sudan given the challenging operating environment?

Assessing effectiveness requires reviewing project completion reports, independent evaluations, and stakeholder feedback. Success would be measured against predefined objectives, budget adherence, and the long-term sustainability of the infrastructure. The challenging environment in Sudan would necessitate adaptive management and strong risk mitigation by the contractor.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesOther Management Consulting Services

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Louis Berger Hawthorne Services Inc. (UEI: 203698522)

Address: 100 HALSTED ST, EAST ORANGE, NJ, 07018

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $15,016,684

Exercised Options: $15,016,684

Current Obligation: $15,016,684

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AID650I000600010

IDV Type: IDC

Timeline

Start Date: 2006-10-01

Current End Date: 2013-12-31

Potential End Date: 2013-12-31 00:00:00

Last Modified: 2020-01-21

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