DHS FEMA Awards $11.8M for Public Relations Services to Wunderman Thompson LLC
Contract Overview
Contract Amount: $11,791,829 ($11.8M)
Contractor: Wunderman Thompson LLC
Awarding Agency: Department of Homeland Security
Start Date: 2003-09-15
End Date: 2005-03-01
Contract Duration: 533 days
Daily Burn Rate: $22.1K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 51
Pricing Type: FIRM FIXED PRICE
Sector: Other
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20472
Plain-Language Summary
Department of Homeland Security obligated $11.8 million to WUNDERMAN THOMPSON LLC for work described as: Key points: 1. Contract awarded for public relations services, a key function for agency communication. 2. The award was a competitive delivery order, suggesting some level of market engagement. 3. The contract duration is over 1.5 years, indicating a sustained need for these services. 4. The specific NAICS code 541820 points to specialized public relations agency work.
Value Assessment
Rating: fair
The award amount of $11.8 million for a 533-day period is substantial. Without specific deliverables or performance metrics, it's difficult to benchmark against similar PR contracts. The fixed-price nature suggests cost certainty but may not reflect the most efficient pricing if scope changes.
Cost Per Unit: N/A
Competition Analysis
Competition Level: unknown
This was a competitive delivery order, implying that multiple vendors were likely considered. The specific competition method (e.g., number of bids, evaluation criteria) is not detailed, but competition generally aids in price discovery and achieving fair market value.
Taxpayer Impact: Taxpayer funds are being used for public relations, which is a necessary function for government agencies to communicate effectively with the public, especially during emergencies.
Public Impact
Public relations are crucial for disseminating information during emergencies and for general agency outreach. Effective PR can build public trust and understanding of government operations. The use of a private firm suggests a need for specialized communication expertise.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics.
- Limited insight into the competitive process beyond 'competitive delivery order'.
Positive Signals
- Awarded through a competitive process.
- Clear NAICS code indicates specific service category.
Sector Analysis
Public relations agencies provide strategic communication services, including media relations, crisis communication, and public outreach. Spending in this sector for government can fluctuate based on agency needs, particularly during public health or national security events.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
Oversight would typically involve contract officers ensuring deliverables are met and payments are justified. The fixed-price contract provides some cost control, but performance monitoring is key to ensuring value for money.
Related Government Programs
- Public Relations Agencies
- Department of Homeland Security Contracting
- Federal Emergency Management Agency Programs
Risk Flags
- Lack of detailed scope of work.
- Limited transparency on competitive bidding process.
- No clear performance metrics provided.
- Potential for cost overruns if scope expands beyond initial fixed price.
Tags
public-relations-agencies, department-of-homeland-security, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $11.8 million to WUNDERMAN THOMPSON LLC. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is WUNDERMAN THOMPSON LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (Federal Emergency Management Agency).
What is the total obligated amount?
The obligated amount is $11.8 million.
What is the period of performance?
Start: 2003-09-15. End: 2005-03-01.
What specific public relations services were contracted, and how do they align with FEMA's mission and current needs?
The contract is for Public Relations Agencies (NAICS 541820). This likely encompasses services such as media outreach, crisis communication strategy, public awareness campaigns, and content creation. For FEMA, these services are critical for disseminating vital information during disasters, managing public perception, and building community resilience. The specific alignment would depend on the detailed scope of work within the delivery order, which is not provided here.
What was the competitive landscape for this delivery order, and how did it influence the final price?
While designated as a 'competitive delivery order,' the specifics of the competition are not detailed. This suggests that multiple vendors were solicited or considered, which generally promotes price discovery and can lead to more favorable pricing than a sole-source award. However, without knowing the number of bids received or the evaluation process, it's difficult to definitively assess the extent to which competition drove down costs or ensured the best value.
How does the $11.8 million award for 533 days compare to industry benchmarks for similar public relations services?
Benchmarking this $11.8 million award for 533 days (approximately 1.5 years) requires detailed comparison with contracts for similar scope and scale in the public relations industry. Factors like agency size, reputation, specific services offered (e.g., crisis management vs. general outreach), and geographic location significantly impact pricing. Without access to detailed performance metrics and deliverables, a precise comparison is challenging, but the amount suggests a significant scope of work.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Advertising, Public Relations, and Related Services › Public Relations Agencies
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Offers Received: 51
Pricing Type: FIRM FIXED PRICE (J)
Contractor Details
Parent Company: WPP PLC (UEI: 232931092)
Address: 10 GLENLAKE PKWY NE B, ATLANTA, GA, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $9,345,000
Exercised Options: $9,345,000
Current Obligation: $11,791,829
Parent Contract
Parent Award PIID: GS23F0265L
IDV Type: FSS
Timeline
Start Date: 2003-09-15
Current End Date: 2005-03-01
Potential End Date: 2005-03-01 00:00:00
Last Modified: 2014-10-01
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