NIH awarded $13.1M for biomedical research to Memorial Hospital over 10 years

Contract Overview

Contract Amount: $13,113,672 ($13.1M)

Contractor: Memorial Hospital, the

Awarding Agency: Department of Health and Human Services

Start Date: 2002-07-15

End Date: 2012-07-14

Contract Duration: 3,652 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 11

Pricing Type: COST NO FEE

Sector: R&D

Official Description: BIOMEDICAL (APPLIED/EXPLORATORY)

Place of Performance

Location: PAWTUCKET, PROVIDENCE County, RHODE ISLAND, 02860

State: Rhode Island Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $13.1 million to MEMORIAL HOSPITAL, THE for work described as: BIOMEDICAL (APPLIED/EXPLORATORY) Key points: 1. Contract value represents a decade-long investment in biomedical research. 2. Full and open competition suggests a potentially competitive bidding process. 3. The contract type (Cost No Fee) indicates risk is primarily on the government. 4. Performance period spans a significant duration, allowing for long-term research objectives. 5. The NAICS code points to applied research in physical, engineering, and life sciences. 6. The award was made to a single entity, Memorial Hospital. 7. The contract was awarded under the 'Research and Development' category.

Value Assessment

Rating: fair

The total award of $13.1 million over 10 years averages to $1.31 million per year. Without specific benchmarks for similar biomedical research contracts of this scope and duration, it is difficult to definitively assess value for money. The 'Cost No Fee' contract type means the contractor is reimbursed for allowable costs but does not receive a profit, which can sometimes indicate a focus on cost control by the government, but also shifts risk to the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that all responsible sources were permitted to submit offers. The presence of 11 bids indicates a healthy level of interest and competition for this biomedical research opportunity. This broad competition is generally favorable for price discovery and ensuring the government receives competitive proposals.

Taxpayer Impact: A competitive bidding process for this contract likely resulted in a more favorable price for taxpayers compared to a sole-source award.

Public Impact

The primary beneficiary is Memorial Hospital, which receives funding for its research activities. The services delivered are focused on biomedical research and development. The geographic impact is centered in Rhode Island, where Memorial Hospital is located. The contract supports scientific advancement and potentially the development of new medical treatments or understanding.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Cost No Fee' contract type places the financial risk of cost overruns on the government.
A 10-year performance period for a research contract introduces uncertainty regarding the project's ultimate success and evolving research needs.
The lack of specific performance metrics or deliverables in the provided data makes it challenging to assess the contractor's performance trajectory.

Positive Signals

The contract was awarded through full and open competition, indicating a robust selection process.
The significant duration of the contract suggests a commitment to a long-term research objective, potentially leading to substantial scientific breakthroughs.
The award to a single entity (Memorial Hospital) implies a focused and potentially specialized research effort.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on biomedical applications. The NAICS code 541710 covers R&D in the physical, engineering, and life sciences. The biomedical research market is characterized by significant government investment, driven by agencies like NIH, aiming to advance medical knowledge and public health. Comparable spending benchmarks would typically involve analyzing other large, multi-year R&D grants awarded by NIH to research institutions.

Small Business Impact

The provided data does not indicate any small business set-aside provisions for this contract. Furthermore, there is no information regarding subcontracting plans or performance related to small businesses. As a large research institution, Memorial Hospital is unlikely to be a small business itself, and the focus of this contract appears to be on direct research performance rather than fostering small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the National Institutes of Health (NIH), a division of the Department of Health and Human Services. Mechanisms would likely include regular progress reports, financial reviews, and potentially site visits to ensure research is proceeding as planned and funds are being used appropriately. Transparency would be facilitated through public contract databases and potentially published research findings stemming from the award.

Related Government Programs

National Institutes of Health Research Grants
Biomedical Research and Development Funding
Life Sciences Research Contracts
Applied Research Grants

Risk Flags

Long-term contract duration may introduce uncertainty regarding evolving research needs and project relevance.
Cost-reimbursement nature of the contract places financial risk on the government.
Lack of specific performance metrics in summary data hinders detailed performance assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $13.1 million to MEMORIAL HOSPITAL, THE. BIOMEDICAL (APPLIED/EXPLORATORY)

Who is the contractor on this award?

The obligated recipient is MEMORIAL HOSPITAL, THE.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2002-07-15. End: 2012-07-14.

What is the historical spending pattern for Memorial Hospital with the NIH?

To assess the historical spending pattern of Memorial Hospital with the NIH, one would need to query federal procurement databases for all contracts awarded to this entity by the NIH. This analysis would involve identifying the total dollar amount awarded, the types of services or research funded, the duration of these contracts, and the competition levels. A review of past awards could reveal if Memorial Hospital has a consistent track record of receiving large, long-term research grants, or if this $13.1 million award is an outlier. Understanding their history would provide context on their capacity and reliability as a research partner for the NIH.

How does the $1.31 million annual average cost compare to similar biomedical research contracts?

Benchmarking the $1.31 million annual average cost of this contract against similar biomedical research projects requires access to detailed data on comparable awards. Factors such as the specific research area (e.g., cancer, infectious diseases, neuroscience), the stage of research (basic vs. applied), the size and reputation of the research institution, and the duration of the project are crucial. Without this comparative data, it's challenging to determine if the cost is high, low, or reasonable. A comprehensive analysis would involve identifying contracts with similar scientific objectives and institutional profiles awarded by NIH or other federal agencies over comparable timeframes.

What are the key performance indicators (KPIs) or deliverables associated with this contract?

The provided data does not specify the key performance indicators (KPIs) or deliverables for this biomedical research contract. Typically, research and development contracts, especially those of long duration, would outline specific milestones, research objectives, expected outcomes, and reporting requirements. The 'Cost No Fee' structure implies reimbursement based on allowable costs incurred in pursuit of the research goals, rather than payment tied to specific, pre-defined deliverables. Further review of the contract's statement of work or associated documentation would be necessary to identify the precise performance expectations and metrics.

What is the potential impact of this contract on future biomedical advancements?

The potential impact of this $13.1 million, 10-year biomedical research contract on future advancements is significant, assuming successful research outcomes. Funding long-term, applied research allows for in-depth investigation into complex biological questions, potentially leading to breakthroughs in disease understanding, diagnostics, or therapeutics. The specific area of research, indicated by the NAICS code 541710 (Research and Development in the Physical, Engineering, and Life Sciences), suggests a broad scope. The success of this project could pave the way for new treatments, improved public health strategies, or a deeper understanding of fundamental biological processes.

What is the risk profile associated with a 'Cost No Fee' contract for biomedical research?

A 'Cost No Fee' (CNF) contract for biomedical research shifts the primary financial risk to the government. In a CNF contract, the contractor (Memorial Hospital) is reimbursed for all allowable costs incurred in performing the contract, but receives no fee or profit. This structure is often used when the scope of work is uncertain or when the government wants to encourage research without the contractor bearing significant financial risk if costs exceed expectations. The main risks for the government include potential cost overruns if the research proves more expensive than anticipated, and ensuring that the research remains focused and productive without the profit incentive driving efficiency.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 11

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 111 BREWSTER ST, PAWTUCKET, RI, 02860

Business Categories: Category Business, Hospital, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $60,342,594

Exercised Options: $10,718,913

Current Obligation: $13,113,672

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline