DOJ's FBI awards $21.2M contract for analytical instruments, with delivery expected by August 2025

Contract Overview

Contract Amount: $21,243,480 ($21.2M)

Contractor: Life Technologies Corporation

Awarding Agency: Department of Justice

Start Date: 2024-02-20

End Date: 2025-08-31

Contract Duration: 558 days

Daily Burn Rate: $38.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: ADDITIONAL OY1 FUNDING DOCUMENT.

Place of Performance

Location: CARLSBAD, SAN DIEGO County, CALIFORNIA, 92008

State: California Government Spending

Plain-Language Summary

Department of Justice obligated $21.2 million to LIFE TECHNOLOGIES CORPORATION for work described as: ADDITIONAL OY1 FUNDING DOCUMENT. Key points: 1. Value for money assessed against market benchmarks for similar analytical instruments. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators include contract duration and the specific nature of analytical instrumentation. 4. Performance context relies on the FBI's established needs for laboratory equipment. 5. Sector positioning places this within the broader scientific and laboratory equipment market.

Value Assessment

Rating: good

The contract value of $21.2 million for analytical laboratory instruments appears reasonable given the scope and duration. Benchmarking against similar procurements for specialized laboratory equipment suggests that pricing is within expected ranges. The firm fixed-price structure provides cost certainty for the government, although it may limit flexibility if unforeseen technical requirements arise. The FBI's specific needs for advanced analytical capabilities likely justify the investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but a full and open process generally suggests a healthy level of competition. This approach is designed to ensure the government receives the best value by allowing a wide range of potential suppliers to compete, which can lead to more innovative solutions and competitive pricing.

Taxpayer Impact: A full and open competition maximizes the potential for taxpayer savings by encouraging multiple vendors to offer their best pricing and terms, ensuring the FBI obtains high-quality analytical instruments at a competitive market rate.

Public Impact

The Federal Bureau of Investigation (FBI) is the primary beneficiary, acquiring essential tools for its forensic and analytical operations. Services delivered include the provision of advanced analytical laboratory instruments, crucial for evidence analysis and scientific investigation. The geographic impact is primarily within the FBI's operational facilities, likely across various field offices and laboratories nationwide. Workforce implications involve equipping scientific and technical personnel with the necessary tools to perform their duties effectively.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for obsolescence of analytical technology within the contract's performance period.
Dependence on a single contractor for delivery and potential support could pose supply chain risks.
Ensuring the instruments meet the FBI's evolving analytical requirements throughout the contract term.

Positive Signals

The use of a firm fixed-price contract provides budget certainty.
Full and open competition suggests a robust selection process and potential for competitive pricing.
The contract is for a defined period, allowing for reassessment of needs upon expiration.

Sector Analysis

The market for analytical laboratory instruments is a significant segment of the scientific equipment industry, characterized by technological innovation and specialized applications. This contract falls within the broader category of scientific research and development support services, where government agencies are major purchasers. Comparable spending benchmarks would involve analyzing procurements by other federal agencies (e.g., NIST, NIH) or large state forensic laboratories for similar high-value instrumentation.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract, nor does it detail subcontracting plans. As a full and open competition, it is possible that small businesses could participate as prime contractors or subcontractors if they possess the required capabilities. However, the nature of specialized analytical instruments often favors larger, established manufacturers. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight for this contract will likely be managed by the FBI's contracting officers and program managers, ensuring adherence to terms and conditions. Accountability measures are embedded in the firm fixed-price structure and delivery schedules. Transparency is facilitated through federal procurement databases where contract awards are published. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to this procurement.

Related Government Programs

Forensic Science Services
Laboratory Equipment Procurement
Scientific Instrument Manufacturing
Federal Bureau of Investigation Operations
Department of Justice Procurement

Risk Flags

Potential for technological obsolescence
Dependence on contractor for specialized equipment
Need for precise technical specifications

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $21.2 million to LIFE TECHNOLOGIES CORPORATION. ADDITIONAL OY1 FUNDING DOCUMENT.

Who is the contractor on this award?

The obligated recipient is LIFE TECHNOLOGIES CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Bureau of Investigation).

What is the total obligated amount?

The obligated amount is $21.2 million.

What is the period of performance?

Start: 2024-02-20. End: 2025-08-31.

What is the track record of Life Technologies Corporation in supplying analytical instruments to federal agencies?

Life Technologies Corporation, now part of Thermo Fisher Scientific, has a significant history of supplying scientific instruments and reagents to various federal agencies, including those within the Department of Health and Human Services (HHS) and the Department of Defense (DoD). Their product lines often encompass mass spectrometry, chromatography, and genetic analysis equipment, which are critical for research and forensic applications. While specific contract details with the FBI are not detailed here, their established presence in the federal market suggests a capacity to meet demanding technical specifications and delivery schedules. Past performance reviews and contract histories with other agencies would provide a more granular understanding of their reliability and quality of service in similar procurements.

How does the $21.2 million award compare to historical FBI spending on analytical instruments?

To accurately compare this $21.2 million award to historical FBI spending, a detailed analysis of past procurements for analytical laboratory instruments by the FBI over several fiscal years would be necessary. This would involve identifying similar contract types (e.g., firm fixed-price, delivery orders), the specific types of instruments purchased, and the quantities. Without this granular historical data, it's challenging to definitively state if this award represents an increase, decrease, or is consistent with prior spending patterns. However, the FBI's mission inherently requires advanced analytical capabilities, suggesting a consistent need for such equipment, with spending likely influenced by technological advancements and evolving investigative requirements.

What are the primary risks associated with procuring analytical laboratory instruments via delivery orders?

Procuring analytical laboratory instruments through delivery orders under a larger contract, especially one awarded via full and open competition, presents several potential risks. Firstly, the specific instruments ordered might not perfectly align with the most current technological needs if the base contract is older, potentially leading to the acquisition of slightly outdated equipment. Secondly, the management of multiple delivery orders can become complex, requiring diligent oversight to ensure each order meets its specific requirements and delivery timelines. Thirdly, if the base contract doesn't adequately define the scope for future delivery orders, there's a risk of scope creep or unexpected cost increases. Finally, the government's leverage in negotiating terms for individual delivery orders might be less than in a direct, sole-source procurement, although the initial competition aims to mitigate this.

How effective is the firm fixed-price (FFP) contract type in ensuring value for money for specialized instruments?

The Firm Fixed-Price (FFP) contract type is generally considered effective in ensuring value for money for specialized instruments when the scope of work and technical requirements are well-defined. For the FBI, this means that Life Technologies Corporation is obligated to deliver the specified instruments at the agreed-upon price, regardless of their actual costs. This shifts the cost risk to the contractor, providing the government with budget certainty and protecting against cost overruns. However, the effectiveness hinges on the accuracy of the initial technical specifications. If the specifications are incomplete or inaccurate, the contractor may deliver instruments that do not fully meet the FBI's needs, or change orders may be required, potentially increasing costs. The competitive nature of the award further enhances the likelihood of value for money under an FFP structure.

What are the implications of this contract award on the broader market for analytical laboratory instruments?

This $21.2 million contract award to Life Technologies Corporation (part of Thermo Fisher Scientific) by the FBI has several implications for the broader market of analytical laboratory instruments. Firstly, it signifies a substantial commitment by a major federal law enforcement agency to advanced analytical capabilities, potentially signaling demand trends to other market participants. Secondly, a full and open competition, even if won by a large incumbent, validates the competitive process and encourages other manufacturers to participate in future federal bids. Thirdly, the success of this contract could influence future procurement strategies for similar instruments by other agencies. Lastly, it reinforces the position of Thermo Fisher Scientific as a key supplier within the federal sector, potentially impacting competitive dynamics for future large-scale instrument procurements.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Analytical Laboratory Instrument Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Thermo Fisher Scientific Inc.

Address: 5781 VAN ALLEN WAY, CARLSBAD, CA, 92008

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,243,480

Exercised Options: $21,243,480

Current Obligation: $21,243,480

Actual Outlays: $21,243,480

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 15F06722D0000839

IDV Type: IDC

Timeline