USDA's Animal and Plant Health Inspection Service awards $8M contract for AMR diagnostic testing services

Contract Overview

Contract Amount: $8,000 ($8.0K)

Contractor: University of Missouri System

Awarding Agency: Department of Agriculture

Start Date: 2026-04-10

End Date: 2027-04-09

Contract Duration: 364 days

Daily Burn Rate: $22/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR AST TESTING

Place of Performance

Location: AMES, STORY County, IOWA, 50010

State: Iowa Government Spending

Plain-Language Summary

Department of Agriculture obligated $8,000 to UNIVERSITY OF MISSOURI SYSTEM for work described as: NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR AST TESTING Key points: 1. Contract awarded to University of Missouri System for diagnostic testing. 2. Focus on Antimicrobial Resistance (AMR) testing for animal health. 3. Duration of 364 days indicates a focused, short-term need. 4. Firm Fixed Price contract type suggests predictable costs. 5. Awarded as a Delivery Order under an existing contract. 6. Geographic location of service delivery is Iowa.

Value Assessment

Rating: fair

The contract value of $8 million for diagnostic testing services is moderate. Without specific details on the volume of tests or the complexity of the AMR assays, a direct value-for-money assessment is challenging. Benchmarking against similar diagnostic service contracts would be necessary to determine if the pricing is competitive. The firm fixed-price structure provides cost certainty for the government, but it's crucial to ensure the unit prices are aligned with market rates for veterinary diagnostic services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. While the specific justification for the sole-source award is not provided, it typically implies that only one vendor possesses the unique capabilities, qualifications, or proprietary technology required for the service. This limits the opportunity for competitive bidding and potentially higher prices.

Taxpayer Impact: Sole-source awards can result in higher costs for taxpayers as they bypass the price discovery mechanism inherent in competitive bidding processes.

Public Impact

Benefits the Department of Agriculture's mission to protect animal health. Services delivered include diagnostic testing for Antimicrobial Resistance (AMR). Geographic impact is focused on Iowa. Supports the national effort to monitor and combat AMR in animal populations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition due to sole-source award may lead to suboptimal pricing.
Limited transparency on the specific testing methodologies and quality control measures.
Dependence on a single contractor for critical diagnostic services.

Positive Signals

Award to a university system suggests potential for research and development integration.
Firm Fixed Price contract provides cost predictability.
Focus on AMR testing aligns with critical public health and agricultural priorities.

Sector Analysis

The contract falls within the broader healthcare and scientific research sector, specifically focusing on veterinary diagnostics and public health surveillance. The market for specialized diagnostic testing services is competitive, with numerous private laboratories and academic institutions offering similar capabilities. However, specific government requirements, such as adherence to particular protocols or national network participation, can lead to specialized contracting. The $8 million value is moderate for a federal contract in this domain.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the sole-source nature of the award, there is no indication of subcontracting opportunities for small businesses through a competitive process. Further analysis would be needed to determine if the prime contractor has existing small business subcontracting plans or if any portion of the work could be delegated to smaller entities.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Agriculture's Animal and Plant Health Inspection Service (APHIS). As a delivery order under an existing contract, the initial award and oversight mechanisms are likely established. Transparency regarding the specific performance metrics and quality assurance processes would be key to assessing accountability. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

National Animal Health Laboratory Network (NAHLN)
Animal and Plant Health Inspection Service (APHIS) Programs
Antimicrobial Resistance (AMR) Surveillance Programs
Veterinary Diagnostic Services

Risk Flags

Sole-source award limits competition and potential cost savings.
Lack of detailed performance metrics in provided data.
Geographic concentration of services in Iowa.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $8,000 to UNIVERSITY OF MISSOURI SYSTEM. NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR AST TESTING

Who is the contractor on this award?

The obligated recipient is UNIVERSITY OF MISSOURI SYSTEM.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Animal and Plant Health Inspection Service).

What is the total obligated amount?

The obligated amount is $8,000.

What is the period of performance?

Start: 2026-04-10. End: 2027-04-09.

What is the specific justification for awarding this contract on a sole-source basis to the University of Missouri System?

The provided data indicates the contract was awarded 'NOT AVAILABLE FOR COMPETITION,' which is synonymous with a sole-source award. The specific justification for this sole-source designation is not detailed in the provided information. Typically, sole-source awards are made when only one responsible source is available or capable of providing the required services. This could be due to unique capabilities, proprietary technology, specialized expertise, or urgent needs where competition is not feasible. For this contract, APHIS would have had to document why other qualified vendors could not meet the requirements for the National Animal Health Laboratory Network diagnostic testing services for AMR AST testing.

How does the $8 million contract value compare to historical spending on similar diagnostic testing services by APHIS?

Without access to historical spending data for APHIS's diagnostic testing services, a direct comparison is not possible. However, $8 million for a 364-day contract focused on AMR AST testing suggests a significant scope of work. To benchmark this value, one would need to analyze previous contracts for similar services, considering factors like the number of tests performed, the types of assays conducted, and the duration of the contract. If APHIS has previously competed similar services, comparing the awarded prices and the number of bidders would provide insight into whether this sole-source award represents a fair market price or potentially a higher cost due to the lack of competition.

What are the key performance indicators (KPIs) and quality assurance measures for the diagnostic testing services?

The provided data does not specify the key performance indicators (KPIs) or quality assurance measures for this contract. However, for diagnostic testing services, particularly those related to Antimicrobial Resistance (AMR), critical KPIs would likely include turnaround time for test results, accuracy and precision of test results, adherence to established laboratory protocols (e.g., CLSI guidelines), and data integrity. Quality assurance would involve regular calibration of equipment, proficiency testing, staff training and certification, and robust internal and external audits. APHIS would typically outline these requirements in the contract's Statement of Work (SOW) and monitor contractor performance against them.

What is the University of Missouri System's track record in providing veterinary diagnostic services to federal agencies?

The University of Missouri System, through its various veterinary and diagnostic facilities, has a strong academic and research background. While specific contract history with federal agencies isn't detailed here, universities often participate in government contracts, particularly in research, development, and specialized services. Their involvement in the National Animal Health Laboratory Network (NAHLN) suggests established capabilities and experience in diagnostic testing relevant to animal health and disease surveillance. A deeper dive into their past performance on similar federal contracts, including client feedback and any performance issues, would provide a more comprehensive assessment of their track record.

What are the potential risks associated with a sole-source award for critical diagnostic testing services?

The primary risk associated with a sole-source award is the potential for inflated costs due to the absence of competitive pressure. Without multiple bids, the government may pay a premium for the services. Another risk is a potential decline in service quality or innovation over time, as the contractor faces less pressure to improve. Furthermore, reliance on a single provider can create vulnerabilities; if the contractor experiences operational issues, financial instability, or fails to meet performance standards, the government may have limited recourse or alternative options, potentially disrupting critical services like AMR surveillance.

How does this contract contribute to the broader national strategy for combating Antimicrobial Resistance (AMR)?

This contract directly supports the national strategy for combating Antimicrobial Resistance (AMR) by funding essential diagnostic testing services. AMR is a significant threat to human and animal health, and effective surveillance is crucial for understanding its prevalence, spread, and impact. Diagnostic testing, specifically Antimicrobial Susceptibility Testing (AST), provides data on which antibiotics are effective against specific bacteria. This information is vital for guiding treatment decisions in veterinary medicine, informing public health policy, and supporting research into new antimicrobial drugs and strategies. By ensuring the availability of these testing services, the contract helps maintain the integrity of the national animal health monitoring system.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Veterinary Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 316 UNIVERSITY HALL, COLUMBIA, MO, 65211

Business Categories: Category Business, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Public), School of Forestry, Veterinary College

Financial Breakdown

Contract Ceiling: $8,000

Exercised Options: $8,000

Current Obligation: $8,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 12639521D0084

IDV Type: IDC

Timeline