HHS awards $14.1M for substance abuse and child welfare consulting, with 77% of contract value awarded to a single entity

Contract Overview

Contract Amount: $14,123,950 ($14.1M)

Contractor: Center for Children and Family Futures Incorporated the

Awarding Agency: Department of Health and Human Services

Start Date: 2007-08-31

End Date: 2012-09-09

Contract Duration: 1,836 days

Daily Burn Rate: $7.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: REQUISITION FOR BASE AWARD FOR BASE YEAR AND OPTION YEARS 1 THROUGH 4 FOR THE NATIONAL CENTER ON SUBSTANCE ABUSE AND CHILD WELFARE (NCSACW).

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20857

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $14.1 million to CENTER FOR CHILDREN AND FAMILY FUTURES INCORPORATED THE for work described as: REQUISITION FOR BASE AWARD FOR BASE YEAR AND OPTION YEARS 1 THROUGH 4 FOR THE NATIONAL CENTER ON SUBSTANCE ABUSE AND CHILD WELFARE (NCSACW). Key points: 1. The contract's value is substantial, indicating a significant investment in national substance abuse and child welfare initiatives. 2. A high percentage of the contract value awarded to one entity warrants scrutiny of competition and potential for contractor lock-in. 3. The contract type (Cost Plus Award Fee) can incentivize performance but requires robust oversight to manage costs effectively. 4. The duration of the contract (over 5 years) suggests a long-term need for these specialized consulting services. 5. The 'Other Scientific and Technical Consulting Services' NAICS code indicates a broad scope of potential services. 6. The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' which requires careful justification. 7. The award to 'Center for Children and Family Futures Incorporated' suggests a specialized focus and potentially limited market.

Value Assessment

Rating: fair

The total award amount of $14.1 million over approximately five years for consulting services in substance abuse and child welfare is a significant investment. Benchmarking this against similar contracts is challenging without more specific service details. However, the fact that the majority of the contract value appears to be concentrated with one awardee raises questions about overall value for money and the potential for competitive pricing. The Cost Plus Award Fee structure necessitates strong performance metrics and oversight to ensure taxpayer funds are used efficiently and effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition after Exclusion of Sources.' This procurement method implies that while the competition was intended to be open, specific sources were excluded, requiring a justification for their exclusion. The details of this exclusion are critical to understanding the true level of competition. If only a few sources were considered, it could limit price discovery and potentially lead to higher costs for the government.

Taxpayer Impact: The limited competition, even if initially open, means taxpayers may not have benefited from the most competitive pricing that a broader, unrestricted competition could have yielded. This approach necessitates a strong justification to ensure it served the government's best interest.

Public Impact

The primary beneficiaries are likely federal and state agencies involved in child welfare and substance abuse prevention and treatment programs. The services delivered are expected to support the National Center on Substance Abuse and Child Welfare (NCSACW) in its mission. The geographic impact is national, aiming to improve services and outcomes across the United States. Workforce implications could include support for professionals working in child welfare and substance abuse fields through training, technical assistance, and resource development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about potential price inflation and reduced innovation.
The 'Cost Plus Award Fee' structure requires diligent oversight to prevent cost overruns and ensure performance targets are met.
The exclusion of sources in a 'Full and Open Competition' needs clear justification to ensure fairness and maximize value.
Concentration of contract value with a single entity could indicate a lack of robust market engagement.

Positive Signals

The contract addresses a critical national need in substance abuse and child welfare.
The long contract duration suggests a stable, ongoing requirement for these specialized services.
The awardee, 'Center for Children and Family Futures Incorporated,' may possess unique expertise vital for the program's success.
The Cost Plus Award Fee structure, if managed well, can incentivize high-quality performance and outcomes.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on consulting. The NAICS code 541690, 'Other Scientific and Technical Consulting Services,' covers a broad range of advisory and assistance services. Spending in this category is significant across the federal government, supporting policy development, program management, and research. Comparable spending benchmarks would depend heavily on the specific nature of the consulting provided, but the $14.1 million award over five years suggests a substantial, long-term engagement for a specialized area.

Small Business Impact

The provided data indicates that small business participation (sb) was false and there was no small business set-aside (ss). This suggests that the contract was not specifically targeted towards small businesses. Consequently, the primary contractor is likely a larger entity, and there may be limited opportunities for small businesses to participate through subcontracting, unless proactively sought by the prime contractor. The impact on the small business ecosystem would be minimal in terms of direct set-aside awards.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Health and Human Services (HHS) and its Substance Abuse and Mental Health Services Administration (SAMHSA). As a Cost Plus Award Fee contract, robust oversight is crucial to monitor costs, evaluate performance against award criteria, and ensure the contractor is meeting objectives. Transparency would be enhanced through regular reporting requirements and potentially through public access to non-sensitive performance data. Inspector General jurisdiction would apply for any investigations into fraud, waste, or abuse.

Related Government Programs

Child Welfare Services Program
Substance Abuse Prevention and Treatment Block Grant
National Child Traumatic Stress Initiative
Administration for Children and Families Programs

Risk Flags

Limited competition justification required.
CPAF oversight intensity.
Performance metrics clarity for award fee.
Potential for contractor lock-in.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $14.1 million to CENTER FOR CHILDREN AND FAMILY FUTURES INCORPORATED THE. REQUISITION FOR BASE AWARD FOR BASE YEAR AND OPTION YEARS 1 THROUGH 4 FOR THE NATIONAL CENTER ON SUBSTANCE ABUSE AND CHILD WELFARE (NCSACW).

Who is the contractor on this award?

The obligated recipient is CENTER FOR CHILDREN AND FAMILY FUTURES INCORPORATED THE.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Substance Abuse and Mental Health Services Administration).

What is the total obligated amount?

The obligated amount is $14.1 million.

What is the period of performance?

Start: 2007-08-31. End: 2012-09-09.

What specific services are included under 'Other Scientific and Technical Consulting Services' for the National Center on Substance Abuse and Child Welfare?

The specific services under 'Other Scientific and Technical Consulting Services' (NAICS 541690) for the National Center on Substance Abuse and Child Welfare (NCSACW) are not detailed in the provided award data. However, this NAICS code typically encompasses a wide range of advisory and assistance services. For NCSACW, this could include policy analysis, program development and evaluation, research support, technical assistance to federal, state, and local agencies, development of best practices, data collection and analysis related to substance abuse and child welfare, and training or capacity building for professionals in the field. The 'Cost Plus Award Fee' structure suggests that the services are performance-based, with the contractor incentivized to achieve specific, measurable outcomes aligned with NCSACW's mission.

How does the 'Full and Open Competition after Exclusion of Sources' procurement method impact cost and competition?

The 'Full and Open Competition after Exclusion of Sources' method is a less common procurement approach. It implies that the agency initially intended to compete the contract broadly but then excluded certain sources based on specific justifications (e.g., unique capabilities, national security, or prior performance). While it aims for open competition among the remaining sources, the exclusion inherently limits the pool of potential bidders. This reduction in competition can lead to less aggressive pricing from the remaining bidders compared to a truly unrestricted full and open competition. Taxpayers may therefore not benefit from the lowest possible price. The justification for excluding sources is critical for ensuring fairness and maximizing value for the government.

What are the implications of a 'Cost Plus Award Fee' (CPAF) contract type for this program?

A Cost Plus Award Fee (CPAF) contract allows the contractor to recover all allowable costs plus a base fee, plus an award fee that is determined by the government based on the contractor's performance against pre-defined criteria. For the NCSACW contract, this means the contractor is incentivized to perform exceptionally well to earn the maximum award fee. However, CPAF contracts require robust government oversight to establish fair and objective performance metrics, monitor progress, and determine award fee amounts. Without strong oversight, there's a risk of costs escalating or the award fee not accurately reflecting true value, potentially leading to less favorable outcomes for taxpayers compared to fixed-price contracts.

What is the historical spending pattern for services related to the National Center on Substance Abuse and Child Welfare?

The provided data only reflects a single award of $14.1 million for the base year and four option years, spanning from August 2007 to September 2012. This data point does not provide a historical spending pattern. To understand historical spending, one would need to examine prior contracts awarded for similar services to NCSACW or its predecessors, as well as analyze the annual obligations against this specific contract over its duration. Without this broader context, it's impossible to determine if this $14.1 million award represents an increase, decrease, or consistent level of spending for these services over time.

What is the track record of 'Center for Children and Family Futures Incorporated' with federal contracts?

The provided data identifies 'Center for Children and Family Futures Incorporated' as the contractor for this $14.1 million award. To assess their track record, one would need to examine their contract history with the federal government, including the types of contracts awarded, their value, duration, performance ratings, and any past performance issues or awards. A thorough review would involve searching federal procurement databases (like FPDS or USASpending) for all contracts awarded to this entity. This would reveal their experience in managing similar projects, their ability to meet cost and schedule requirements, and their overall reliability as a federal contractor.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 4940 IRVINE BLVD STE 202, IRVINE, CA, 47

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $14,123,950

Exercised Options: $14,123,950

Current Obligation: $14,123,950

Contract Characteristics

Cost or Pricing Data: NO

Timeline