NIH awards $12.3M for AIDS research to University of Medicine and Dentistry of NJ over 9 years

Contract Overview

Contract Amount: $12,271,564 ($12.3M)

Contractor: University of Medicine and Dentistry of NJ (INC)

Awarding Agency: Department of Health and Human Services

Start Date: 1998-10-09

End Date: 2007-09-30

Contract Duration: 3,278 days

Daily Burn Rate: $3.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST NO FEE

Sector: Healthcare

Official Description: AIDS RESEARCH (APPLIED/EXPLORATORY)

Place of Performance

Location: NEWARK, ESSEX County, NEW JERSEY, 07103

State: New Jersey Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.3 million to UNIVERSITY OF MEDICINE AND DENTISTRY OF NJ (INC) for work described as: AIDS RESEARCH (APPLIED/EXPLORATORY) Key points: 1. Contract value represents significant investment in critical public health research. 2. Long duration suggests a sustained effort in a complex scientific field. 3. Full and open competition indicates a broad search for qualified research institutions. 4. Cost-plus-no-fee contract type may incentivize efficient resource management by the contractor. 5. Focus on applied and exploratory research points to potential for novel breakthroughs. 6. Geographic concentration in New Jersey highlights regional research strengths.

Value Assessment

Rating: good

The contract's value of approximately $1.2 million annually for AIDS research is substantial and reflects the ongoing need for scientific inquiry in this area. Benchmarking against similar large-scale, multi-year research grants from NIH would provide a clearer picture of its value-for-money. The Cost No Fee (CNF) contract type, while less common for research, suggests that the primary focus is on achieving research objectives rather than profit, with the government bearing the allowable costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple research institutions were invited to bid. The number of bidders is not specified, but this approach generally fosters a competitive environment, potentially leading to better pricing and innovative research proposals. The agency sought the best value through a comprehensive evaluation process.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the pool of potential offerors, increasing the likelihood of selecting the most capable and cost-effective research solution.

Public Impact

Benefits the scientific community and public health by advancing AIDS research. Delivers critical research services aimed at understanding and combating HIV/AIDS. Geographic impact is concentrated in New Jersey, supporting regional research infrastructure. Workforce implications include support for researchers, technicians, and administrative staff at the university.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration could lead to scope creep or evolving research priorities.
Cost-plus contract types can sometimes lack strong cost control incentives if not managed carefully.

Positive Signals

Sustained funding allows for long-term research projects and potential for significant discoveries.
Full and open competition suggests a robust selection process for a critical research area.
Focus on applied and exploratory research indicates a commitment to pushing scientific boundaries.

Sector Analysis

This contract falls within the Health and Human Services sector, specifically focusing on biomedical research. The National Institutes of Health (NIH) is a major funder of such research, with significant annual outlays dedicated to understanding and treating diseases like AIDS. Comparable spending benchmarks would involve looking at other large, multi-year grants awarded by NIH for similar research areas, which often run into tens or hundreds of millions of dollars over their lifespan.

Small Business Impact

The provided data indicates this contract was not set aside for small businesses (ss: false, sb: false). Given the nature of large-scale, multi-year research grants awarded to major academic institutions, small business participation is typically indirect, potentially through subcontracting opportunities on specific research tasks if applicable, rather than direct prime contract awards.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Institutes of Health (NIH), a component of the Department of Health and Human Services. Accountability measures would likely include regular progress reports, scientific reviews, and financial audits to ensure research objectives are met and funds are used appropriately. Transparency is generally maintained through public databases of federal contracts and research publications stemming from the funded work.

Related Government Programs

AIDS/HIV Research
Biomedical Research Grants
National Institutes of Health Funding
University Research Contracts
Applied Research Grants

Risk Flags

Long contract duration
Cost-plus contract type

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.3 million to UNIVERSITY OF MEDICINE AND DENTISTRY OF NJ (INC). AIDS RESEARCH (APPLIED/EXPLORATORY)

Who is the contractor on this award?

The obligated recipient is UNIVERSITY OF MEDICINE AND DENTISTRY OF NJ (INC).

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 $12.3 million.

What is the period of performance?

Start: 1998-10-09. End: 2007-09-30.

What was the specific research focus of the AIDS research funded by this contract?

The data indicates the contract was for 'AIDS RESEARCH (APPLIED/EXPLORATORY)'. This suggests the funding was directed towards research aimed at developing new applications, testing hypotheses, and exploring novel avenues in understanding, preventing, or treating HIV/AIDS. Applied research typically seeks to solve practical problems, while exploratory research delves into areas where knowledge is limited, potentially leading to significant breakthroughs. The specific projects undertaken would have been detailed in the proposals submitted by the University of Medicine and Dentistry of New Jersey and approved by NIH.

How does the annual spending of approximately $1.2 million compare to other NIH AIDS research grants?

The annual award amount of roughly $1.2 million for AIDS research is a significant sum, but its relative value depends on the scope and phase of the research. NIH funds a wide spectrum of AIDS research, from small pilot studies to large, multi-center clinical trials. Grants for established research centers or large-scale projects can easily exceed several million dollars per year. Therefore, $1.2 million annually might represent a substantial, but not exceptionally large, award for a dedicated research effort, especially considering the long duration of the contract. A detailed comparison would require analyzing NIH's portfolio of AIDS research grants awarded during the contract period (1998-2007) based on project type and scale.

What are the potential risks associated with a Cost No Fee (CNF) contract for research?

A Cost No Fee (CNF) contract means the contractor is reimbursed for all allowable costs but receives no fee or profit. For research, this type of contract can be advantageous as it focuses the contractor's efforts on achieving the research objectives rather than maximizing profit. However, potential risks include the contractor not having a strong financial incentive to control costs, as all legitimate expenses are covered. This necessitates robust oversight from the government agency to ensure that costs are reasonable and necessary. Additionally, if the research encounters unforeseen challenges, the contractor might be less motivated to find innovative, cost-saving solutions compared to a contract with a profit incentive.

What was the contractor's track record in AIDS research prior to this award?

The provided data identifies the contractor as the 'UNIVERSITY OF MEDICINE AND DENTISTRY OF NJ (INC)'. As a major academic medical institution, it is highly probable that this university had a pre-existing track record and ongoing programs in AIDS research prior to this specific contract award in 1998. Federal agencies like NIH typically award large, multi-year grants to institutions with demonstrated expertise, established research infrastructure, and a history of successful research outcomes. Further investigation into the university's research publications, previous NIH grants, and scientific reputation during the late 20th century would confirm their specific experience and capabilities in AIDS research.

How did the 'definitive contract' structure impact the research execution and funding?

A definitive contract is a contract that contains all the terms and clauses that will govern the relationship between the parties. In this context, as a 'DEFINITIVE CONTRACT' awarded in 1998 with an end date of 2007, it implies a long-term, established agreement for the AIDS research. This structure likely provided stable, predictable funding over the contract's 9-year duration, allowing the University of Medicine and Dentistry of New Jersey to plan and execute long-term research strategies without the uncertainty of annual re-competition or funding cycles. It signifies a commitment from NIH to support a sustained research effort in this critical area.

What does the contract's duration of 3278 days (over 9 years) signify for the research?

The contract duration of 3278 days, approximately 9 years, is highly significant for AIDS research. This extended timeframe indicates that the research undertaken was likely complex, requiring long-term investigation, data collection, and analysis. Such durations are common for major scientific endeavors, allowing researchers to pursue in-depth studies, follow cohorts, conduct longitudinal experiments, and potentially achieve more substantial and impactful findings than would be possible with shorter-term grants. It signals a strategic investment by NIH in a sustained research program.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Parent Company: NEW Jersey, State of

Address: 65 BERGEN ST, NEWARK, NJ, 07107

Business Categories: Category Business, Educational Institution, Higher Education, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,380,936

Exercised Options: $4,499,708

Current Obligation: $12,271,564

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline