Department of Education Awarded a Contract to U.S. BANCORP for $1.00

Summary of Award

The U.S. federal government frequently engages in contractual agreements to procure various services and products essential for its operations. A detailed examination of an awarded contract between the U.S. federal government and U.S. Bancorp exemplifies the intricate processes and structures involved in government contracting and financial management. This particular contract sheds light on the nature of services procured by government bodies, the competitive processes involved in awarding contracts, and the characteristics and activities of the recipient entity.

### Overview of the Contract

The contract under review is a delivery order categorized under the federal government's broad contracting mechanisms. It is officially recorded under the identifier "91990018F0030," with the unique award ID "CONT_AWD_91990018F0030_9100_GS36FGA001_4732." The contract was signed on July 11, 2018, and has a potential performance period extending to November 29, 2031. This reflects both the initial and possibly extended service periods, demonstrating the federal government's approach to ensuring continuity and stability of contracted services. Managed under the umbrella of the General Services Administration and specifically through its sub-agency, the Federal Acquisition Service, the contract is linked to a parent award designated as "CONT_IDV_GS36FGA001_4732." This existing framework serves a strategic purpose, allowing the agency to streamline procurement processes across multiple recipients effectively. ### Transactions and Financials The contract's financial transactions present an interesting aspect. Despite being an active contract, the total obligation and associated transaction amounts remain at zero. This could indicate an underlying contractual structure that allows for service provision without immediate or upfront financial disbursement, perhaps involving a performance-based payment system. The contract’s "firm fixed price" nature underlines a pre-agreed payment for specified deliverables, which often avoids the complexities of cost variances during the contract period. The transaction history includes two notable entries. The first transaction was initiated in conjunction with the contract's signing on July 11, 2018, under modification "0." The second transaction followed on April 10, 2025, under modification "P00003." Both transactions interestingly retain a zero transaction amount, supporting the notion of a strategic financial structuring that may align with future deliverables or performance metrics. Despite the absence of traditional financial transactions, these entries remain crucial for record-keeping and analytical oversight. ### Competitive Process The contract solicitation was identified as "91990018Q0035" and followed procedures "subject to multiple award fair opportunity" (MAFO). This depicts a thorough competitive process, ensuring the fairness and openness of the opportunity regardless of existing frameworks. Two offers were received, with the awarding determined through "full and open competition." Such mechanisms aim to optimize government spending in securing qualified entities capable of delivering high-value services. The classification "SUPPORT- MANAGEMENT: BANKING" positions the contract within professional banking management support services, crucial for governmental financial operations—a testament to the strategic collaboration between federal bodies and banking institutions. ### U.S. Bancorp: The Recipient U.S. Bancorp, headquartered at 800 Nicollet Mall, Minneapolis, Minnesota, emerges as the recipient entity. A well-established corporate entity, U.S. Bancorp specializes in commercial banking services, categorized under NAICS code "522110." As a large, domestic, U.S.-owned business, it is described in various business categories including "Corporate Entity Not Tax Exempt" and "Not Designated a Small Business." This corporate profile aligns with its capability to support the broad and complex financial management needs of a federal agency like the Department of Education. U.S. Bancorp's services under the contract presumably revolve around specialized banking support, addressing essential financial logistics that can enhance the efficiency of federal financial management practices. Their role in providing management support services underscores the integral partnership formed between government and private banking institutions—a necessary blend to navigate complexities in governmental financial transactions. ### Regulatory and Programmatic Context In compliance considerations, the contract's structure reflects compliance with various regulatory frameworks without necessitating special labor standards or Clinger-Cohen Act planning. The fair opportunity provisions delineate an equal platform for contenders, mitigating preferential biases. Moreover, commercial item acquisition strategies suggest the government's preference for tried-and-tested commercial products or services, minimizing risks typically associated with novel implementations. Overall, this contract between the U.S. government and U.S. Bancorp illustrates a sophisticated interplay of strategic procurement, adherence to regulatory standards, and competitive engagement, vital for advancing federal operations within fiscal constraints. Through such contracts, federal agencies manage to leverage private sector expertise, notably in banking, to uphold their financial responsibilities effectively.