Census Bureau Spends $918M on 2020 Questionnaire Assistance Contract with MAXIMUS Federal Services

Contract Overview

Contract Amount: $918,336,629 ($918.3M)

Contractor: Maximus Federal Services, Inc.

Awarding Agency: Department of Commerce

Start Date: 2016-07-11

End Date: 2021-06-14

Contract Duration: 1,799 days

Daily Burn Rate: $510.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: IGF::OT::IGF 2020 CENSUS QUESTIONNAIRE ASSISTANCE (2020 CQA)

Place of Performance

Location: SUITLAND, PRINCE GEORGES County, MARYLAND, 20746

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $918.3 million to MAXIMUS FEDERAL SERVICES, INC. for work described as: IGF::OT::IGF 2020 CENSUS QUESTIONNAIRE ASSISTANCE (2020 CQA) Key points: 1. The contract awarded to MAXIMUS FEDERAL SERVICES, INC. for 2020 Census Questionnaire Assistance (CQA) totaled over $918 million. 2. This was a definitive contract awarded under full and open competition. 3. The contract type was Cost Plus Award Fee, indicating potential for performance-based incentives. 4. The sector appears to be Information Technology and Services, given the nature of questionnaire assistance and data management.

Value Assessment

Rating: fair

The total award amount of $918M for a 5-year period is substantial. Without specific performance metrics or comparable contracts for similar large-scale public assistance programs, a precise value assessment is difficult. The Cost Plus Award Fee structure suggests an attempt to link cost to performance, but the overall value proposition requires deeper analysis of achieved outcomes.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery and market competitiveness. However, the significant award amount suggests a complex and potentially lengthy procurement process. The impact on price is likely moderated by the competitive bidding process, but the Cost Plus Award Fee structure allows for costs to exceed initial estimates based on performance.

Taxpayer Impact: Taxpayer funds were used for this contract. The large sum necessitates scrutiny to ensure efficiency and effectiveness in achieving the Census Bureau's objectives for public engagement and data collection.

Public Impact

Ensured public access to information and assistance for the 2020 Census. Facilitated participation in a critical national undertaking. Supported the operational needs of the U.S. Census Bureau.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

High contract value raises concerns about cost efficiency.
Cost Plus Award Fee contracts can lead to cost overruns.
Lack of specific performance data makes value assessment difficult.

Positive Signals

Awarded under full and open competition.
Contract duration of nearly 5 years provided stability.
Supported a critical government function (Census).

Sector Analysis

The contract falls within the IT and professional services sector, specifically supporting government operations and data collection. Benchmarks for similar large-scale public assistance or data management contracts are difficult to pinpoint due to the unique nature of census operations, but the scale suggests a significant investment.

Small Business Impact

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

Oversight & Accountability

The U.S. Census Bureau is responsible for overseeing this contract. Given the significant expenditure, robust oversight mechanisms are crucial to ensure that MAXIMUS FEDERAL SERVICES, INC. meets performance expectations and manages costs effectively.

Related Government Programs

All Other Information Services
Department of Commerce Contracting
U.S. Census Bureau Programs

Risk Flags

High total contract value.
Cost Plus Award Fee contract type.
Potential for cost overruns.
Lack of detailed performance metrics in provided data.
Difficulty in assessing direct taxpayer value without outcome data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $918.3 million to MAXIMUS FEDERAL SERVICES, INC.. IGF::OT::IGF 2020 CENSUS QUESTIONNAIRE ASSISTANCE (2020 CQA)

Who is the contractor on this award?

The obligated recipient is MAXIMUS FEDERAL SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Commerce (U.S. Census Bureau).

What is the total obligated amount?

The obligated amount is $918.3 million.

What is the period of performance?

Start: 2016-07-11. End: 2021-06-14.

What specific performance metrics were used to determine award fees for MAXIMUS FEDERAL SERVICES, INC. under this Cost Plus Award Fee contract, and how did these metrics align with the Census Bureau's

The specific performance metrics for award fees are not detailed in the provided data. Typically, for such contracts, metrics might include call center wait times, resolution rates for inquiries, accuracy of information provided, and overall user satisfaction. These would need to align directly with the Census Bureau's objectives for ensuring widespread public understanding and participation in the 2020 Census.

Given the $918 million cost, what were the primary cost drivers for the 2020 Census Questionnaire Assistance contract, and were there opportunities for cost savings that were not realized?

Primary cost drivers likely included personnel (call center staff, management), technology infrastructure (call center software, databases), outreach and communication efforts, and administrative overhead. Without detailed cost breakdowns, it's hard to identify specific areas for savings. However, Cost Plus Award Fee contracts inherently allow for costs to fluctuate based on performance, suggesting that cost management was a key consideration, though potential overruns are a risk.

How effective was the questionnaire assistance provided by MAXIMUS FEDERAL SERVICES, INC. in improving public participation and data accuracy for the 2020 Census, and can this effectiveness be directl

The effectiveness of the assistance is difficult to quantify solely based on contract data. Success would be measured by factors like increased response rates in hard-to-reach populations, reduced errors in submitted forms, and positive public feedback. Attributing specific improvements directly to the CQA services requires analysis of census participation data alongside call center interaction logs and surveys.

Industry Classification

NAICS: Information › Other Information Services › All Other Information Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: YA1323-16-MS-0001

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 3120 FAIRVIEW PARK DR STE 400, FALLS CHURCH, VA, 22042

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

Financial Breakdown

Contract Ceiling: $929,825,061

Exercised Options: $918,336,629

Current Obligation: $918,336,629

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $168,538,871

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline