HUD awards $31.8M contract to Andersen Consulting for IT services in DC
Contract Overview
Contract Amount: $31,809,386 ($31.8M)
Contractor: Andersen Consulting
Awarding Agency: Department of Housing and Urban Development
Start Date: 2000-01-15
End Date: 2003-06-30
Contract Duration: 1,262 days
Daily Burn Rate: $25.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: TIME AND MATERIALS
Sector: IT
Place of Performance
Location: DISTRICT OF COLUMBIA
Plain-Language Summary
Department of Housing and Urban Development obligated $31.8 million to ANDERSEN CONSULTING for work described as: Key points: 1. Contract value of $31.8 million over approximately 3.5 years. 2. Full and open competition was utilized. 3. Potential for cost overruns due to Time and Materials pricing. 4. IT services sector.
Value Assessment
Rating: fair
The contract value of $31.8 million for a 3.5-year duration suggests a moderate annual spend. Without specific deliverables or benchmarks, it's difficult to definitively assess value. Time and Materials pricing can lead to higher costs if not managed closely.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. However, the Time and Materials (T&M) pricing structure may limit price discovery and could lead to higher costs if not carefully monitored and controlled.
Taxpayer Impact: Taxpayer funds are being used for IT services. The T&M structure necessitates robust oversight to ensure efficient use of funds and prevent cost overruns.
Public Impact
Citizens benefit from improved IT infrastructure and services within the Department of Housing and Urban Development. The use of a large, established firm like Andersen Consulting may indicate a focus on expertise and reliability. Transparency in government spending is enhanced by the public availability of contract information.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing structure
- Lack of specific performance metrics in provided data
Positive Signals
- Full and open competition
- Awarded by a federal agency
Sector Analysis
This contract falls within the Information Technology sector, specifically for services likely supporting the Department of Housing and Urban Development's operations. IT spending benchmarks vary widely by agency and function, but this represents a significant investment over its term.
Small Business Impact
The data indicates that small businesses were not directly involved as prime contractors in this award. Further analysis would be needed to determine if small businesses participated as subcontractors.
Oversight & Accountability
Oversight would typically involve contract officers and program managers ensuring adherence to contract terms, monitoring performance, and managing costs, especially given the T&M pricing. The agency's internal controls are crucial for accountability.
Related Government Programs
- Department of Housing and Urban Development Contracting
- Department of Housing and Urban Development Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Lack of detailed performance metrics in the provided data.
- Long contract duration without clear phase-gates.
- Reliance on a single large contractor.
Tags
department-of-housing-and-urban-developm, dc, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Housing and Urban Development awarded $31.8 million to ANDERSEN CONSULTING. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is ANDERSEN CONSULTING.
Which agency awarded this contract?
Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).
What is the total obligated amount?
The obligated amount is $31.8 million.
What is the period of performance?
Start: 2000-01-15. End: 2003-06-30.
What specific IT services were procured under this contract, and how do they align with HUD's mission objectives?
The provided data does not specify the exact IT services. However, given the agency, these could range from software development and system maintenance to network infrastructure support and cybersecurity. Alignment with HUD's mission would depend on whether these services directly contribute to housing programs, policy implementation, or citizen services.
What measures were in place to control costs under the Time and Materials pricing structure?
Effective cost control under T&M typically involves establishing labor hour limitations, setting fixed-price components for certain tasks, defining clear milestones, and implementing rigorous monitoring and reporting requirements. Regular reviews by contracting officers are essential to ensure fair pricing and prevent scope creep.
How was the success and effectiveness of the IT services measured throughout the contract period?
Measuring effectiveness would likely involve defining Key Performance Indicators (KPIs) related to system uptime, response times, user satisfaction, and project completion rates. Regular performance reviews and feedback mechanisms between HUD and Andersen Consulting would be crucial for assessing and ensuring the quality and impact of the delivered IT services.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 6
Pricing Type: TIME AND MATERIALS (Y)
Contractor Details
Address: 1150 17TH ST NW 900, WASHINGTON, DC, 98
Business Categories: Category Business, Not Designated a Small Business
Parent Contract
Parent Award PIID: COPC21124
IDV Type: IDC
Timeline
Start Date: 2000-01-15
Current End Date: 2003-06-30
Potential End Date: 2003-06-30 00:00:00
Last Modified: 2008-03-27
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