HHS awards $25.5M for youth tobacco prevention campaign, highlighting a need for targeted public relations

Contract Overview

Contract Amount: $25,469,882 ($25.5M)

Contractor: Sensis Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2012-11-20

End Date: 2017-04-30

Contract Duration: 1,622 days

Daily Burn Rate: $15.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::CT::IGF TASK ORDER 2 (CAMPAIGN TO PREVENT TOBACCO USE AMONG DISCRETE SEGMENTS OF YOUTH AGED 12-15 WHO ARE AT RISK FOR TOBACCO INITIATION) - THE SENSIS AGENCY

Place of Performance

Location: LOS ANGELES, LOS ANGELES County, CALIFORNIA, 90017

State: California Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $25.5 million to SENSIS INC. for work described as: IGF::CT::IGF TASK ORDER 2 (CAMPAIGN TO PREVENT TOBACCO USE AMONG DISCRETE SEGMENTS OF YOUTH AGED 12-15 WHO ARE AT RISK FOR TOBACCO INITIATION) - THE SENSIS AGENCY Key points: 1. The contract value of $25.5 million over approximately 5 years suggests a significant investment in public health messaging. 2. Competition dynamics indicate a full and open process, which typically fosters better pricing and wider contractor participation. 3. The contract type (Time and Materials) can present cost control challenges if not closely monitored. 4. Performance context is tied to a specific campaign targeting at-risk youth aged 12-15 for tobacco prevention. 5. The sector positioning is within public relations and advertising, supporting federal health initiatives.

Value Assessment

Rating: good

The contract value of $25.5 million over roughly 5 years averages around $5.1 million annually. Benchmarking this against similar large-scale public health campaigns is difficult without more specific data on campaign scope and duration. However, the use of a full and open competition suggests an effort to achieve fair market value. The Time and Materials (T&M) contract type, while flexible, requires diligent oversight to ensure costs remain reasonable and aligned with project milestones.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition after exclusion of sources' mechanism. While the specific reasons for excluding certain sources are not detailed, the 'full and open' aspect implies that multiple bidders were likely considered. The presence of 3 bidders, as indicated, suggests a moderate level of competition for this specific task order.

Taxpayer Impact: A full and open competition generally benefits taxpayers by encouraging a wider range of proposals and potentially driving down costs through competitive bidding, leading to better value for public funds.

Public Impact

The primary beneficiaries are youth aged 12-15 identified as at-risk for tobacco initiation. The services delivered include campaign development and execution aimed at preventing tobacco use. The geographic impact is likely national, given the scope of federal public health campaigns. Workforce implications may include jobs in advertising, marketing, and public health communication.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials contract type can lead to cost overruns if not managed effectively.
Lack of specific performance metrics makes it difficult to assess the campaign's direct impact on tobacco use rates.
The 'after exclusion of sources' clause warrants further investigation into the rationale behind limiting the competitive pool.

Positive Signals

The use of a full and open competition process is a positive indicator for achieving competitive pricing.
The contract targets a critical public health issue, addressing youth tobacco use prevention.
The duration of the contract allows for sustained campaign efforts and potential long-term impact.

Sector Analysis

The contract falls within the Public Relations Agencies (NAICS 541820) sector, which encompasses firms specializing in developing and implementing public relations campaigns. This sector is crucial for government agencies aiming to communicate public health messages, manage crises, and shape public opinion. The market size for federal advertising and public relations contracts is substantial, with agencies like HHS frequently engaging such services for health-related initiatives. This specific contract aligns with broader federal efforts to reduce smoking and vaping rates among young people.

Small Business Impact

The data indicates that small business participation (sb) was false and the contract was not a small business set-aside (ss). This suggests that the primary award went to a larger entity, and there is no explicit information on subcontracting opportunities for small businesses within this specific task order. Further analysis would be needed to determine if any small business subcontracting plan was mandated or achieved.

Oversight & Accountability

Oversight for this contract would typically reside with the Food and Drug Administration (FDA) within HHS. Accountability measures would be tied to the delivery order's performance work statement and milestones. Transparency is generally facilitated through contract award databases, though specific campaign metrics and detailed spending breakdowns might be less publicly accessible. The Inspector General for HHS would have jurisdiction for audits and investigations.

Related Government Programs

Campaign to Prevent Tobacco Use Among Youth
Public Health Campaigns
Federal Advertising Contracts
FDA Health Initiatives

Risk Flags

Potential for cost overruns due to T&M contract type.
Lack of specific performance metrics in provided data.
Justification for 'exclusion of sources' not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $25.5 million to SENSIS INC.. IGF::CT::IGF TASK ORDER 2 (CAMPAIGN TO PREVENT TOBACCO USE AMONG DISCRETE SEGMENTS OF YOUTH AGED 12-15 WHO ARE AT RISK FOR TOBACCO INITIATION) - THE SENSIS AGENCY

Who is the contractor on this award?

The obligated recipient is SENSIS INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $25.5 million.

What is the period of performance?

Start: 2012-11-20. End: 2017-04-30.

What specific metrics were used to evaluate the success of the 'Campaign to Prevent Tobacco Use Among Discrete Segments of Youth'?

The provided data does not include specific performance metrics or evaluation criteria for the 'Campaign to Prevent Tobacco Use Among Discrete Segments of Youth.' Typically, such campaigns would be assessed based on metrics like reach (number of youth exposed to the campaign), message recall, changes in attitudes towards tobacco use, and ultimately, reductions in initiation rates among the target demographic. The Food and Drug Administration (FDA), as the awarding agency, would have established a performance work statement outlining these objectives and how success would be measured. Without access to the full contract details or post-award reports, a precise evaluation of the campaign's effectiveness based on quantifiable outcomes is not possible from this data alone.

How does the $25.5 million contract value compare to other federal youth tobacco prevention initiatives?

The $25.5 million awarded to Sensis Inc. for this campaign represents a significant investment over its approximate 5-year duration. To benchmark this value effectively, it would need to be compared against similar federal initiatives targeting youth tobacco prevention, considering factors like the scope of the campaign (national vs. regional), the specific media channels utilized (e.g., digital, television, social media), and the duration of the effort. For instance, the Office on Smoking and Health (OSH) within the CDC also runs prevention programs, and their budgets and contract awards could serve as comparators. Without direct comparative data on other federal youth tobacco prevention campaigns of similar scope and duration, it's challenging to definitively state whether $25.5 million represents a high, low, or average investment. However, the scale suggests a comprehensive, multi-faceted approach.

What are the potential risks associated with a Time and Materials (T&M) contract for a public relations campaign?

Time and Materials (T&M) contracts, like the one awarded to Sensis Inc., carry inherent risks primarily related to cost control. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can lead to cost overruns if the project scope expands, if labor hours are not diligently tracked and managed, or if the efficiency of the contractor's workforce is lower than anticipated. For a public relations campaign, where creative output and strategic planning can be less predictable than in construction or manufacturing, T&M contracts require robust government oversight to ensure that the time and resources expended are reasonable and directly contribute to the campaign objectives. Without strict monitoring and clear task definitions, the total cost can exceed initial estimates, potentially diminishing the value for taxpayers.

What does 'full and open competition after exclusion of sources' imply for this contract?

The term 'full and open competition after exclusion of sources' indicates that while the government intended to conduct a broad competition, certain potential sources were deliberately excluded from participating. This exclusion must be justified by specific circumstances outlined in federal acquisition regulations, such as national security concerns, the need for a specific proprietary technology, or a prior relationship that makes other sources unsuitable. In this case, the Food and Drug Administration (FDA) likely had reasons for excluding certain entities. The fact that it was still 'full and open' among the remaining eligible sources suggests that multiple bidders were still considered, aiming to achieve competitive pricing and best value. However, the exclusion clause warrants scrutiny to ensure it was applied appropriately and did not unduly limit competition or inflate costs.

What is the track record of Sensis Inc. in handling federal public health campaigns?

The provided data identifies Sensis Inc. as the contractor for this specific task order. To assess their track record, one would need to examine their past performance on similar federal contracts, particularly those related to public health, advertising, and youth engagement. Information regarding past performance evaluations, any contract disputes or awards, and the successful completion of previous campaigns would be crucial. A review of Sensis Inc.'s portfolio and government contract databases (like SAM.gov or FPDS) could reveal their experience with agencies such as HHS, FDA, or CDC, and provide insights into their capabilities in executing large-scale public health initiatives. Without this additional context, their specific track record on federal campaigns remains undetermined from the given data.

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) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 11223SOL00101

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 811 WILSHIRE BLVD STE 2050, LOS ANGELES, CA, 90017

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Hispanic American Owned Business, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,469,882

Exercised Options: $25,469,882

Current Obligation: $25,469,882

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HHSF223201210007I

IDV Type: IDC

Timeline