SEC's Supplemental Health Benefits Program awarded to Alight Solutions for $12.6M, spanning 2004-2009

Contract Overview

Contract Amount: $12,610,219 ($12.6M)

Contractor: Alight Solutions LLC

Awarding Agency: Securities and Exchange Commission

Start Date: 2004-04-05

End Date: 2009-12-31

Contract Duration: 2,096 days

Daily Burn Rate: $6.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Other

Official Description: SUPPLEMENTAL HEALTH BENEFITS PROGRAM

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20549

State: District of Columbia Government Spending

Plain-Language Summary

Securities and Exchange Commission obligated $12.6 million to ALIGHT SOLUTIONS LLC for work described as: SUPPLEMENTAL HEALTH BENEFITS PROGRAM Key points: 1. Contract value of $12.6M over 5 years. 2. Awarded via full and open competition. 3. No specific risk flags identified in provided data. 4. Sector falls under 'All Other Insurance Related Activities'.

Value Assessment

Rating: fair

The contract value of $12.6M over approximately 5 years suggests a moderate annual spend. Without specific benchmarks for similar health benefits administration contracts, a precise pricing assessment is difficult, but the duration and value appear reasonable for a government program.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust process for price discovery and selection of the most advantageous offer. This method generally leads to competitive pricing.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value.

Public Impact

Provides health benefits administration for SEC employees. Ensures continuity of essential employee services. Contract duration of nearly 6 years indicates a long-term need.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized
Clear contract duration and value

Sector Analysis

The Supplemental Health Benefits Program falls under 'All Other Insurance Related Activities,' a broad category. Benchmarking spending in this specific niche requires detailed comparison with similar government or private sector contracts for employee benefits administration.

Small Business Impact

The provided data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Securities and Exchange Commission (SEC) is responsible for overseeing this contract. Standard government procurement and contract management processes would apply to ensure accountability and performance.

Related Government Programs

All Other Insurance Related Activities
Securities and Exchange Commission Contracting
Securities and Exchange Commission Programs

Frequently Asked Questions

What is this federal contract paying for?

Securities and Exchange Commission awarded $12.6 million to ALIGHT SOLUTIONS LLC. SUPPLEMENTAL HEALTH BENEFITS PROGRAM

Who is the contractor on this award?

The obligated recipient is ALIGHT SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Securities and Exchange Commission (Securities and Exchange Commission).

What is the total obligated amount?

The obligated amount is $12.6 million.

What is the period of performance?

Start: 2004-04-05. End: 2009-12-31.

What was the primary driver for the economic price adjustment clause in this contract?

The economic price adjustment (EPA) clause in this contract likely aimed to protect both the government and the contractor from significant fluctuations in costs due to external economic factors. For a contract spanning nearly six years, this could include adjustments for inflation, changes in healthcare costs, or other market-driven variables, ensuring the contract remains financially viable for the vendor while preventing excessive price increases for the government.

How did the SEC ensure the quality of services provided by Alight Solutions under this contract?

While specific quality assurance metrics are not detailed, the SEC would typically employ contract surveillance and performance monitoring. This could involve regular reviews of service delivery, adherence to performance standards, beneficiary satisfaction surveys, and financial audits. The fixed-price nature, combined with EPA, suggests a focus on defined service levels with cost adjustments tied to economic factors rather than performance quality itself.

What is the estimated annual cost per beneficiary for this supplemental health benefits program?

With a total contract value of $12,610,219 over approximately 2096 days (roughly 5.7 years) and 524,298 na (likely a placeholder or irrelevant metric), calculating a precise per-beneficiary cost is challenging. If 'na' represented beneficiaries, the annual cost per beneficiary would be around $1.1M, which seems exceptionally high. Assuming 'na' is not a beneficiary count, a more typical approach would require the actual number of participants to derive a meaningful per-unit cost.

Industry Classification

NAICS: Finance and Insurance › Agencies, Brokerages, and Other Insurance Related Activities › All Other Insurance Related Activities

Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

Evaluated Preference: NONE

Contractor Details

Parent Company: AON Corporation (UEI: 038503546)

Address: 100 HALF DAY RD, LINCOLNSHIRE, IL, 10

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,610,219

Exercised Options: $12,610,219

Current Obligation: $12,610,219

Contract Characteristics

Cost or Pricing Data: NO

Timeline