HHS awards $27.7M for Head Start training and technical assistance to FHI Development 360 LLC

Contract Overview

Contract Amount: $27,741,946 ($27.7M)

Contractor: FHI Development 360 LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2012-02-21

End Date: 2015-06-30

Contract Duration: 1,225 days

Daily Burn Rate: $22.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: HEAD START REGION XI AND XII TRAINING, TECHNICAL ASSISTANCE COLLABORATION CENTER

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27713, UNITED STATES OF AMERICA

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $27.7 million to FHI DEVELOPMENT 360 LLC for work described as: HEAD START REGION XI AND XII TRAINING, TECHNICAL ASSISTANCE COLLABORATION CENTER Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but also carries inherent risk. 3. The duration of the contract is over three years, indicating a significant, long-term need for these services. 4. The North American Industry Classification System (NAICS) code 611710 points to educational support services. 5. The award was made by the Department of Health and Human Services, Office of the Assistant Secretary for Administration. 6. The contractor, FHI Development 360 LLC, is a private entity. 7. The contract was awarded under the 'DCA' action type, which typically signifies a contract award. 8. The contract has a base period and potentially options, common for multi-year service agreements.

Value Assessment

Rating: fair

Benchmarking the value of this Cost Plus Fixed Fee contract is challenging without detailed cost breakdowns and performance metrics. The fixed fee component provides some cost certainty, but the cost-reimbursement aspect requires diligent oversight to ensure efficiency. Comparing this to similar training and technical assistance contracts within Head Start or other early childhood programs would provide better context on pricing and overall value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through a full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The number of bidders is not specified, but this procurement method generally fosters price discovery and allows the government to select the best value offer. The open competition suggests a healthy market for these specialized educational support services.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most advantageous pricing and quality of services for the Head Start program.

Public Impact

Beneficiaries include Head Start programs, staff, and ultimately, the children and families served by these programs. Services delivered are training and technical assistance, crucial for the effective operation and improvement of Head Start initiatives. The geographic impact is likely national, given the scope of Head Start programs across the United States. Workforce implications include professional development and enhanced capacity for Head Start personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require robust oversight to manage costs effectively.
The long duration of the contract necessitates ongoing performance monitoring to ensure continued value.
Lack of specific performance metrics makes it difficult to assess the direct impact of the training and technical assistance.

Positive Signals

Awarded through full and open competition, indicating a competitive marketplace.
The contract aims to provide essential support services to a critical federal program.
The fixed fee component provides a degree of cost predictability.

Sector Analysis

This contract falls within the Educational Support Services sector, specifically focusing on training and technical assistance for early childhood education programs like Head Start. The market for such services is driven by federal and state funding for education and social services. Comparable spending might be found in contracts supporting other large-scale federal education initiatives or professional development programs for public service workforces.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. As it was awarded through full and open competition, it is possible that small businesses could have bid, but there is no explicit indication of subcontracting goals or direct awards to small businesses. Further analysis would be needed to determine if small businesses were involved as prime contractors or subcontractors.

Oversight & Accountability

Oversight for this contract would typically reside within the Department of Health and Human Services, likely managed by the Office of the Assistant Secretary for Administration. Accountability measures would be tied to the contract's performance work statement and deliverables. Transparency is generally facilitated through contract award databases, though detailed performance reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Head Start Program
Early Childhood Education Initiatives
Federal Training and Technical Assistance Contracts
Department of Health and Human Services Grants and Contracts

Risk Flags

Cost Plus Fixed Fee contract type requires careful monitoring.
Long contract duration necessitates sustained oversight.
Performance metrics not explicitly detailed, impacting effectiveness assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $27.7 million to FHI DEVELOPMENT 360 LLC. HEAD START REGION XI AND XII TRAINING, TECHNICAL ASSISTANCE COLLABORATION CENTER

Who is the contractor on this award?

The obligated recipient is FHI DEVELOPMENT 360 LLC.

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 $27.7 million.

What is the period of performance?

Start: 2012-02-21. End: 2015-06-30.

What is the track record of FHI Development 360 LLC in delivering similar training and technical assistance services?

Assessing the track record of FHI Development 360 LLC requires a review of their past performance on federal contracts, particularly those involving educational support, training, and technical assistance. Information on past performance evaluations, client satisfaction, and successful project completion would be crucial. Without specific data on their prior experience with Head Start or similar programs, it's difficult to definitively gauge their capability and reliability for this specific contract. A review of their contract history, including any awards, terminations, or disputes, would provide further insight into their performance.

How does the total contract value of $27.7 million compare to similar training and technical assistance contracts for Head Start?

The total contract value of $27.7 million for Head Start training and technical assistance over approximately three years is a significant investment. To benchmark this value, one would need to compare it against the average cost and scope of similar contracts awarded by HHS or other agencies for comparable services. Factors such as the number of Head Start programs served, the intensity of the training, and the specific technical assistance provided would influence this comparison. If this contract value is substantially higher or lower than comparable awards, it could indicate either exceptional service delivery or potential issues with pricing efficiency.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for these services?

The primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for training and technical assistance services revolve around cost control and contractor incentive. While the fixed fee provides a predictable profit margin for the contractor, the cost-reimbursement aspect means the government bears the risk of cost overruns. This structure can potentially incentivize contractors to incur higher costs if oversight is not rigorous, as their fee remains constant regardless of the actual expenses. Effective risk mitigation requires robust government oversight, detailed cost accounting, and clear performance metrics to ensure the contractor operates efficiently and delivers value within the agreed-upon cost parameters.

What is the expected effectiveness of the training and technical assistance to be provided under this contract?

The expected effectiveness of the training and technical assistance hinges on the quality of the services delivered by FHI Development 360 LLC and the specific needs of the Head Start programs. Key performance indicators (KPIs) and measurable outcomes should be defined in the contract's statement of work to assess effectiveness. These might include improvements in program management, staff competency, service delivery to children and families, and compliance with Head Start performance standards. Without explicit details on these metrics and how they will be measured, assessing the anticipated effectiveness remains speculative.

How has federal spending on Head Start training and technical assistance evolved over the past five years?

Analyzing historical federal spending on Head Start training and technical assistance over the past five years would reveal trends in program funding and priorities. This would involve examining annual appropriations for Head Start, specifically the portion allocated to training, technical assistance, and management support. An upward trend might indicate increased emphasis on program quality and capacity building, while a decline could suggest budget constraints or shifting federal priorities. Comparing current contract awards to historical spending patterns provides context on the scale and significance of this particular investment within the broader Head Start budget.

What is the potential impact of this contract on the quality of services provided by Head Start programs?

This contract has the potential to significantly impact the quality of services provided by Head Start programs by equipping staff with enhanced skills, knowledge, and resources. Effective training and technical assistance can lead to improved program management, more effective teaching practices, better family engagement, and stronger adherence to federal regulations and performance standards. The ultimate impact depends on the relevance and quality of the training content, the expertise of the trainers, and the ability of the programs to implement the learned strategies. Positive outcomes could include improved child development milestones and increased family satisfaction.

Industry Classification

NAICS: Educational Services › Educational Support Services › Educational Support Services

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2224 E NC HWY 54, DURHAM, NC, 27713

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

Financial Breakdown

Contract Ceiling: $34,333,513

Exercised Options: $27,741,946

Current Obligation: $27,741,946

Contract Characteristics

Cost or Pricing Data: NO

Timeline