IRS awards $32.8M contract for malaria prevention support to ABT Global LLC

Contract Overview

Contract Amount: $328,038,847 ($328.0M)

Contractor: ABT Global LLC

Awarding Agency: Agency for International Development

Start Date: 2014-09-26

End Date: 2022-04-26

Contract Duration: 2,769 days

Daily Burn Rate: $118.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::CL::IGF IRS 2 TO 6 THE PURPOSE OF THIS PROCUREMENT IS TO AWARD A THREE (3) YEAR COST-PLUS-FIXED-FEE TYPE TASK ORDER UNDER THE IRS IDIQ TO A QUALIFIED FIRM TO SUPPORT THE PRESIDENT S MALARIA INITIATIVE (PMI), AS WELL AS USAID MISSIONS AND BUREAUS IN PLANNING AND IMPLEMENTING INDOOR RESIDUAL SPRAYING (IRS) PROGRAMS. MORE SPECIFICALLY, THE PURPOSE OF THE PROJECT IS TO PREVENT MALARIA INFECTIONS AND LIMIT TRANSMISSION OF MALARIA BY REDUCING CONTACT BETWEEN HUMANS AND THE MOSQUITO VECTOR IN THE PMI FOCUS COUNTRIES AND OTHER COUNTRIES WHERE USAID SUPPORTS MALARIA CONTROL EFFORTS.

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02138

State: Massachusetts Government Spending

Plain-Language Summary

Agency for International Development obligated $328.0 million to ABT GLOBAL LLC for work described as: IGF::CL::IGF IRS 2 TO 6 THE PURPOSE OF THIS PROCUREMENT IS TO AWARD A THREE (3) YEAR COST-PLUS-FIXED-FEE TYPE TASK ORDER UNDER THE IRS IDIQ TO A QUALIFIED FIRM TO SUPPORT THE PRESIDENT S MALARIA INITIATIVE (PMI), AS WELL AS USAID MISSIONS AND BUREAUS IN PLANNING AND IMPLEMENTING … Key points: 1. Contract supports President's Malaria Initiative (PMI) and USAID missions. 2. Focuses on reducing malaria transmission through indoor residual spraying. 3. Awarded under an existing IDIQ, indicating potential for streamlined procurement. 4. The sector is primarily public health and international development consulting.

Value Assessment

Rating: good

The contract type is Cost-Plus-Fixed-Fee (CPFF), which allows for cost reimbursement plus a fixed fee. This is common for complex projects where costs are difficult to estimate upfront. The total award amount of $32.8 million over approximately 7.6 years suggests a substantial but potentially reasonable investment for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust process to identify the best value. The use of an IDIQ vehicle likely facilitated this competition by having pre-qualified vendors. The price discovery is influenced by the competitive bidding process and the CPFF structure.

Taxpayer Impact: Taxpayer funds are being used to support critical global health initiatives aimed at reducing malaria, a significant public health burden, potentially leading to long-term cost savings in healthcare and economic productivity.

Public Impact

Directly contributes to global health security by combating a major infectious disease. Supports U.S. foreign policy objectives in developing nations. Enhances the capacity of USAID and partner countries to implement effective public health programs. Potential for significant improvements in quality of life and economic stability in affected regions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in CPFF contracts.
Effectiveness of IRS programs can be influenced by external factors like mosquito resistance and community acceptance.

Positive Signals

Supports a high-impact global health initiative.
Leverages existing IDIQ for efficient procurement.
Awarded through full and open competition.

Sector Analysis

This contract falls within the professional services sector, specifically management and consulting services related to public health and international development. Spending benchmarks for similar global health support contracts vary widely based on scope, duration, and geographic focus, but $32.8 million over nearly 8 years for a critical initiative like malaria prevention appears within a reasonable range.

Small Business Impact

The provided data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation in this procurement.

Oversight & Accountability

The contract is managed by the Agency for International Development (USAID), which has established oversight mechanisms for its programs. The effectiveness of oversight will depend on regular performance monitoring, financial audits, and adherence to program goals.

Related Government Programs

Administrative Management and General Management Consulting Services
Agency for International Development Contracting
Agency for International Development Programs

Risk Flags

Potential for cost creep in CPFF contracts.
Dependency on external factors affecting program success (e.g., climate, community engagement).
Geopolitical instability in focus countries could disrupt program implementation.
Risk of mosquito resistance to insecticides used in IRS programs.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $328.0 million to ABT GLOBAL LLC. IGF::CL::IGF IRS 2 TO 6 THE PURPOSE OF THIS PROCUREMENT IS TO AWARD A THREE (3) YEAR COST-PLUS-FIXED-FEE TYPE TASK ORDER UNDER THE IRS IDIQ TO A QUALIFIED FIRM TO SUPPORT THE PRESIDENT S MALARIA INITIATIVE (PMI), AS WELL AS USAID MISSIONS AND BUREAUS IN PLANNING AND IMPLEMENTING INDOOR RESIDUAL SPRAYING (IRS) PROGRAMS. MORE SPECIFICALLY, THE PURPOSE OF THE PROJECT IS TO PREVENT MALARIA INFECTIONS AND LIMIT TRANSMISSION OF MALARIA BY REDUCING CONTACT BETWEEN HUMANS AND THE MOSQUITO VECTOR IN THE

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 $328.0 million.

What is the period of performance?

Start: 2014-09-26. End: 2022-04-26.

What is the projected impact of this contract on malaria reduction rates in target countries?

The projected impact on malaria reduction rates is significant, as the contract directly funds indoor residual spraying programs, a proven method for reducing mosquito vector populations and human-mosquito contact. While specific quantitative targets are not detailed here, the initiative aims to prevent infections and limit transmission, contributing to broader global malaria control goals.

What are the primary risks associated with the Cost-Plus-Fixed-Fee contract structure for this malaria initiative?

The primary risks with a CPFF structure include potential for cost overruns if initial estimates are inaccurate, and the contractor may have less incentive to control costs compared to fixed-price contracts. However, the fixed fee provides a ceiling on profit, and USAID's oversight is crucial to mitigate these risks through diligent monitoring of expenditures and performance.

How effectively does this contract align with USAID's broader mission and strategic goals for global health?

This contract strongly aligns with USAID's mission to end extreme poverty and promote resilient democratic societies, particularly through its focus on global health security and combating infectious diseases like malaria. It supports strategic goals by strengthening health systems, improving health outcomes, and fostering partnerships in developing countries.

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: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 55 WHEELER ST, CAMBRIDGE, MA, 02138

Business Categories: Category Business, Not Designated a Small Business, Subchapter S Corporation

Financial Breakdown

Contract Ceiling: $328,106,455

Exercised Options: $328,106,455

Current Obligation: $328,038,847

Actual Outlays: $4,712,784

Subaward Activity

Number of Subawards: 44

Total Subaward Amount: $88,463,978

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AIDGHNI000900013

IDV Type: IDC

Timeline