HHS awards $16.5M for accounting services to Clifton Gunderson LLP over 6 years

Contract Overview

Contract Amount: $16,487,758 ($16.5M)

Contractor: Clifton Gunderson LLP

Awarding Agency: Department of Health and Human Services

Start Date: 2005-05-04

End Date: 2011-02-04

Contract Duration: 2,102 days

Daily Burn Rate: $7.8K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 5

Pricing Type: LABOR HOURS

Sector: Other

Official Description: SERVICES (MANAGEMENT/SUPPORT)

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20857, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $16.5 million to CLIFTON GUNDERSON LLP for work described as: SERVICES (MANAGEMENT/SUPPORT) Key points: 1. The contract value of $16.5M over 6 years represents a significant investment in accounting services. 2. Clifton Gunderson LLP secured this award, indicating strong competition or specialized capabilities. 3. Potential risks include vendor lock-in and ensuring continued cost-effectiveness over the contract duration. 4. This falls under professional services, specifically accounting, a critical function for government agencies.

Value Assessment

Rating: good

The total award of $16.5M over 2102 days suggests an average annual spend of approximately $2.1M. Benchmarking against similar large-scale accounting service contracts would be necessary for a precise comparison, but this appears within a reasonable range for comprehensive support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded via a 'COMPETITIVE DELIVERY ORDER', indicating a competitive bidding process. This method generally promotes price discovery and ensures the government receives competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely benefiting from a fair price for the accounting services rendered.

Public Impact

Ensures financial integrity and compliance for the Department of Health and Human Services. Supports critical administrative functions, enabling agency operations. Provides specialized accounting expertise that may not be available in-house.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

Contract duration is long (6 years).
Awarded as a delivery order, potential for scope creep.
Specific performance metrics not detailed.

Positive Signals

Awarded competitively.
Significant value indicates essential service.
Long-term engagement suggests stable support.

Sector Analysis

This contract falls within the professional services sector, specifically accounting. Government spending on accounting services is crucial for financial management and regulatory compliance, with benchmarks varying based on agency size and complexity.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The award was managed by the Office of the Assistant Secretary for Administration, suggesting appropriate internal oversight. However, ongoing monitoring of performance and costs is essential throughout the contract's life.

Related Government Programs

Other Accounting Services
Department of Health and Human Services Contracting
Office of the Assistant Secretary for Administration Programs

Risk Flags

Long contract duration (6 years).
Potential for vendor lock-in.
Lack of specific performance metrics in summary.
Scope of 'Other Accounting Services' is broad.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $16.5 million to CLIFTON GUNDERSON LLP. SERVICES (MANAGEMENT/SUPPORT)

Who is the contractor on this award?

The obligated recipient is CLIFTON GUNDERSON LLP.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Office of the Assistant Secretary for Administration).

What is the total obligated amount?

The obligated amount is $16.5 million.

What is the period of performance?

Start: 2005-05-04. End: 2011-02-04.

What specific accounting services were provided under this contract, and how did they align with the agency's needs?

The contract was for 'Other Accounting Services' (NAICS 541219). This broad category could encompass a range of activities such as auditing, tax preparation, bookkeeping, payroll services, and financial consulting. The alignment with agency needs would depend on the specific tasks outlined in the delivery orders issued against the contract, focusing on supporting HHS's administrative and financial operations.

What was the competitive landscape for these accounting services at the time of award, and did it influence the final price?

The award was made via a 'COMPETITIVE DELIVERY ORDER', implying multiple bids were considered. The presence of competition generally drives down prices and encourages better service offerings. Without access to the bid data, it's difficult to quantify the exact price impact, but the competitive nature suggests a favorable outcome for the government.

How effectively did Clifton Gunderson LLP perform over the contract's duration, and were there any performance issues or disputes?

Performance data and any disputes are not detailed in the provided summary. A thorough effectiveness assessment would require reviewing performance reports, client feedback, and any contract modification history. The long duration suggests a level of satisfaction, but formal reviews are necessary for a complete picture.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Accounting, Tax Preparation, Bookkeeping, and Payroll Services › Other Accounting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cliftonlarsonallen LLP (UEI: 077633311)

Address: 11710 BELTSVILLE DR STE 300, CALVERTON, MD, 20705

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership

Financial Breakdown

Contract Ceiling: $16,487,758

Exercised Options: $16,487,758

Current Obligation: $16,487,758

Parent Contract

Parent Award PIID: GS23F0135L

IDV Type: FSS

Timeline