HHS awards $12.4M for AIDS Research (Basic) to Seracare Bioservices under full and open competition

Contract Overview

Contract Amount: $12,436,076 ($12.4M)

Contractor: Seracare Bioservices

Awarding Agency: Department of Health and Human Services

Start Date: 1998-06-30

End Date: 2007-12-31

Contract Duration: 3,471 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Healthcare

Official Description: AIDS RESEARCH (BASIC)

Place of Performance

Location: GAITHERSBURG, MONTGOMERY County, MARYLAND, 20877

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.4 million to SERACARE BIOSERVICES for work described as: AIDS RESEARCH (BASIC) Key points: 1. Spending focuses on fundamental AIDS research, a critical public health area. 2. Seracare Bioservices secured the contract, indicating competitive selection. 3. The contract duration is substantial, spanning nearly a decade. 4. The 'Cost Plus Fixed Fee' structure requires careful monitoring of costs and fee.

Value Assessment

Rating: fair

The contract type 'Cost Plus Fixed Fee' can lead to higher costs if not managed tightly. Benchmarking against similar research contracts is difficult without more specific cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition suggests a robust price discovery process. However, the 'Cost Plus Fixed Fee' structure means the final cost is not fixed upfront, potentially impacting the ultimate value.

Taxpayer Impact: Taxpayer funds are directed towards critical AIDS research, with the expectation of scientific advancement. The contract structure necessitates oversight to ensure cost efficiency.

Public Impact

Supports vital research into a major public health challenge. Potential for significant scientific breakthroughs in understanding and treating AIDS. Long-term investment in a critical health area. Contract awarded to a specific company, Seracare Bioservices.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee structure requires diligent oversight to control costs.
Long contract duration may not reflect current research needs or technological advancements.
Lack of specific performance metrics makes assessing effectiveness challenging.

Positive Signals

Funding directed to a critical area of medical research.
Awarded through full and open competition, suggesting fair market access.
Long-term commitment to AIDS research.

Sector Analysis

Spending in the healthcare and research sector, particularly for infectious diseases like AIDS, is a significant government priority. Benchmarks for similar long-term research contracts vary widely based on scope and duration.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to assess small business participation.

Oversight & Accountability

The 'Cost Plus Fixed Fee' contract type necessitates strong oversight from the National Institutes of Health to ensure that costs are reasonable and the fixed fee is justified. Regular audits and performance reviews are crucial.

Related Government Programs

Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Cost Plus Fixed Fee structure can lead to uncontrolled spending.
Long contract duration may not be agile enough for rapidly evolving research.
Lack of specific performance metrics makes effectiveness assessment difficult.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.4 million to SERACARE BIOSERVICES. AIDS RESEARCH (BASIC)

Who is the contractor on this award?

The obligated recipient is SERACARE BIOSERVICES.

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 $12.4 million.

What is the period of performance?

Start: 1998-06-30. End: 2007-12-31.

What specific research objectives were prioritized under this contract, and how do they align with current scientific understanding of AIDS?

The provided data lacks specific research objectives. Understanding the precise goals of the 'AIDS RESEARCH (BASIC)' contract is crucial to assess its alignment with current scientific understanding and its potential to yield meaningful breakthroughs. Without this detail, evaluating the scientific merit and strategic relevance of the $12.4 million investment is challenging.

How were cost overruns managed under the 'Cost Plus Fixed Fee' structure, and what was the final total expenditure compared to the initial estimates?

The 'Cost Plus Fixed Fee' (CPFF) contract type allows for costs to exceed initial estimates, with the contractor reimbursed for allowable expenses plus a predetermined fixed fee. Effective management of CPFF contracts requires rigorous oversight to ensure costs are reasonable and allocable. Data on final expenditure versus initial estimates and specific cost overrun management strategies would be needed to assess financial risk.

What measurable outcomes or deliverables were expected from Seracare Bioservices, and how was the success of the research evaluated?

The effectiveness of this contract hinges on the specific research outcomes achieved by Seracare Bioservices. Without defined deliverables, milestones, or performance metrics, it is difficult to objectively evaluate the success of the $12.4 million investment. A comprehensive assessment would require access to progress reports, scientific publications, or other evidence of research advancement.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 217 PERRY PARKWAY, GAITHERSBURG, MD, 20877

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $12,436,225

Exercised Options: $12,436,076

Current Obligation: $12,436,076

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline