HHS awards $10.2M to Ogilvy PR for NIH education and outreach over 11 years
Contract Overview
Contract Amount: $10,189,163 ($10.2M)
Contractor: Ogilvy Public Relations Worldwide LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2005-03-01
End Date: 2016-09-27
Contract Duration: 4,228 days
Daily Burn Rate: $2.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: NINDS EDUCATION AND OUTREACH ACTIVITIES
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20036
Plain-Language Summary
Department of Health and Human Services obligated $10.2 million to OGILVY PUBLIC RELATIONS WORLDWIDE LLC for work described as: NINDS EDUCATION AND OUTREACH ACTIVITIES Key points: 1. Ogilvy PR secured a significant contract for long-term public relations services. 2. The contract spans over a decade, indicating a sustained need for these services. 3. No small business participation was noted. 4. The sector is Public Relations Agencies, a niche but essential service area.
Value Assessment
Rating: questionable
The contract's duration (11 years) and cost-plus-fixed-fee structure make direct pricing comparisons difficult. Without more granular data on deliverables and performance, assessing value for money is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the long duration might limit future competitive opportunities.
Taxpayer Impact: Taxpayer funds were used for extensive public relations activities over more than a decade, the effectiveness of which is not immediately clear from the data.
Public Impact
Long-term government contracts for public relations can shape public perception of health initiatives. The significant investment raises questions about the return on investment for public health education. The lack of small business involvement may represent a missed opportunity for economic inclusion.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration
- Cost-plus-fixed-fee pricing
- No small business participation
Positive Signals
- Full and open competition
Sector Analysis
The Public Relations Agencies sector (NAICS 541820) supports various government functions, including outreach and education. Benchmarks for contracts of this duration and value in this specific niche are not readily available.
Small Business Impact
This contract did not involve small businesses, which is a notable absence given the scale of the award. Future solicitations could explore opportunities for small business participation.
Oversight & Accountability
The long duration of this contract warrants scrutiny to ensure ongoing performance and value. Periodic reviews would be essential for accountability.
Related Government Programs
- Public Relations Agencies
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Extended contract duration may reduce competition over time.
- Cost-plus-fixed-fee contracts can lead to cost overruns if not closely monitored.
- Lack of small business participation.
- Limited transparency on specific deliverables and outcomes.
- Potential for vendor lock-in due to long-term relationship.
Tags
public-relations-agencies, department-of-health-and-human-services, dc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $10.2 million to OGILVY PUBLIC RELATIONS WORLDWIDE LLC. NINDS EDUCATION AND OUTREACH ACTIVITIES
Who is the contractor on this award?
The obligated recipient is OGILVY PUBLIC RELATIONS WORLDWIDE LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (National Institutes of Health).
What is the total obligated amount?
The obligated amount is $10.2 million.
What is the period of performance?
Start: 2005-03-01. End: 2016-09-27.
What specific outreach and education activities were performed under this contract, and what were their measurable impacts on public health knowledge or behavior?
The provided data does not detail the specific activities or their outcomes. To assess value, a review of Ogilvy's performance reports, campaign metrics, and any independent evaluations of the outreach effectiveness would be necessary. Understanding the target audiences and communication strategies is crucial.
Given the 11-year duration, how was the contract structured to ensure continued relevance and cost-effectiveness in a dynamic public relations landscape?
The cost-plus-fixed-fee structure suggests flexibility but requires robust oversight to manage costs and ensure alignment with evolving communication needs. The contract likely included provisions for adjustments or reviews, but the lack of specific details makes it hard to ascertain the mechanisms for maintaining relevance and cost-effectiveness over such a long period.
What was the rationale for awarding a single, long-term contract instead of shorter, more frequent competitive solicitations for public relations services?
A single, long-term contract may have been chosen for reasons of continuity, institutional knowledge, and reduced administrative burden. However, it also potentially limits opportunities for new vendors and may not always yield the best value compared to regular competitive bidding, especially if the scope of work evolved significantly over time.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N02NS59000
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Vmly and R Enterprise (UEI: 218784436)
Address: 1901 L ST NW STE 300, WASHINGTON, DC, 20036
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $37,832,210
Exercised Options: $27,566,258
Current Obligation: $10,189,163
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Timeline
Start Date: 2005-03-01
Current End Date: 2016-09-27
Potential End Date: 2016-09-27 00:00:00
Last Modified: 2016-09-27
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