PBGC Spends $15.5M on Management Consulting, Awarded to Perella Weinberg Partners LP
Contract Overview
Contract Amount: $15,474,893 ($15.5M)
Contractor: Perella Weinberg Partners LP
Awarding Agency: Pension Benefit Guaranty Corporation
Start Date: 2007-06-14
End Date: 2012-03-31
Contract Duration: 1,752 days
Daily Burn Rate: $8.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: COO - BAPD
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20005
Plain-Language Summary
Pension Benefit Guaranty Corporation obligated $15.5 million to PERELLA WEINBERG PARTNERS LP for work described as: COO - BAPD Key points: 1. Contract awarded to a single firm, Perella Weinberg Partners LP, for management consulting. 2. The contract value is $15.5 million over approximately 4.8 years. 3. No small business participation was reported. 4. The sector is Other Management Consulting Services.
Value Assessment
Rating: fair
The contract value of $15.5 million for management consulting services over nearly five years appears reasonable given the specialized nature of the services. Benchmarking against similar contracts is difficult without more specific service details.
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 award went to a single entity, Perella Weinberg Partners LP.
Taxpayer Impact: Taxpayer funds are being used for management consulting services, the value of which is subject to the effectiveness of the competitive process and the necessity of the services.
Public Impact
Pension Benefit Guaranty Corporation (PBGC) utilizes external expertise for management consulting. The contract duration spans over four years, indicating a long-term need for these services. The absence of small business involvement may limit opportunities for smaller firms in this contract.
Waste & Efficiency Indicators
Waste Risk Score: 88 / 10
Warning Flags
- Lack of small business participation.
- Single awardee for a significant contract value.
Positive Signals
- Full and open competition utilized.
- Long contract duration suggests sustained need.
Sector Analysis
The 'Other Management Consulting Services' sector encompasses a broad range of advisory services. Spending benchmarks vary widely depending on the specific nature of the consulting engagement and the agency's needs.
Small Business Impact
This contract did not involve small business participation. This could indicate that the specific services required were not conducive to small business involvement or that opportunities were not actively pursued.
Oversight & Accountability
The contract was awarded under full and open competition, which is a standard oversight mechanism. Further oversight would involve monitoring the performance and necessity of the consulting services provided.
Related Government Programs
- Other Management Consulting Services
- Pension Benefit Guaranty Corporation Contracting
- Pension Benefit Guaranty Corporation Programs
Risk Flags
- Potential for knowledge drain if not managed with knowledge transfer.
- Limited small business participation.
- Single awardee may indicate limited market competition for specific niche services.
- Contract duration is substantial, requiring ongoing justification.
Tags
other-management-consulting-services, pension-benefit-guaranty-corporation, dc, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Pension Benefit Guaranty Corporation awarded $15.5 million to PERELLA WEINBERG PARTNERS LP. COO - BAPD
Who is the contractor on this award?
The obligated recipient is PERELLA WEINBERG PARTNERS LP.
Which agency awarded this contract?
Awarding agency: Pension Benefit Guaranty Corporation (Pension Benefit Guaranty Corporation).
What is the total obligated amount?
The obligated amount is $15.5 million.
What is the period of performance?
Start: 2007-06-14. End: 2012-03-31.
What specific management consulting services were provided under this contract, and how did they contribute to the PBGC's mission?
The provided data does not specify the exact nature of the management consulting services. To assess value, details on deliverables, strategic impact, and alignment with PBGC's objectives (e.g., managing pension plans, ensuring timely benefit payments) would be necessary. Without this, it's difficult to quantify the direct contribution to the agency's mission.
Given the full and open competition, why was the award made to a single firm, and were alternative solutions considered?
While awarded under full and open competition, the award to a single firm suggests that Perella Weinberg Partners LP was deemed the most qualified or offered the best value. Agencies often select a single prime contractor for complex projects to streamline management and accountability. Alternative solutions might have been evaluated during the source selection process, but the final decision favored a single awardee.
What is the long-term impact of relying on external management consultants for such a significant duration and value on PBGC's internal capabilities?
A long-term reliance on external consultants for management consulting can potentially lead to a knowledge gap within the agency if internal capacity is not developed concurrently. While consultants bring specialized expertise, it's crucial for PBGC to ensure knowledge transfer and capacity building to maintain self-sufficiency and reduce long-term costs and dependency.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Management Consulting Services
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: PBGC01-RP-07-0003
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 767 5TH AVE FL 26, NEW YORK, NY, 90
Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $39,749,893
Exercised Options: $15,669,893
Current Obligation: $15,474,893
Timeline
Start Date: 2007-06-14
Current End Date: 2012-03-31
Potential End Date: 2012-03-31 00:00:00
Last Modified: 2013-10-23
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