HHS awards $27.3M for COVID-19 natural history study, with VYSNOVA PARTNERS leading research

Contract Overview

Contract Amount: $27,273,623 ($27.3M)

Contractor: Vysnova Partners, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2020-07-01

End Date: 2023-02-28

Contract Duration: 972 days

Daily Burn Rate: $28.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: PROSPECTIVE, NATURAL HISTORY STUDY OF SARS COV-2 INFECTION IN WAKE FOREST HEALTH CARE WORKERS USING INNOVATIVE SAMPLING KITS

Place of Performance

Location: HYATTSVILLE, PRINCE GEORGES County, MARYLAND, 20785

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $27.3 million to VYSNOVA PARTNERS, LLC for work described as: PROSPECTIVE, NATURAL HISTORY STUDY OF SARS COV-2 INFECTION IN WAKE FOREST HEALTH CARE WORKERS USING INNOVATIVE SAMPLING KITS Key points: 1. The contract's value of $27.3 million represents a significant investment in understanding SARS-CoV-2 infection dynamics. 2. Competition was full and open, suggesting a robust market response to the government's research needs. 3. The contract duration of 972 days indicates a long-term commitment to comprehensive data collection and analysis. 4. The research focuses on healthcare workers, a critical population for understanding disease transmission and impact. 5. The use of innovative sampling kits suggests a focus on advanced methodologies for data acquisition. 6. The contract type (Cost Plus Fixed Fee) allows for flexibility while maintaining cost control for research expenses.

Value Assessment

Rating: good

The contract value of $27.3 million for a multi-year research study appears reasonable given the scope of a natural history study on SARS-CoV-2 infection. Benchmarking against similar large-scale epidemiological studies would provide further context, but the investment aligns with the critical public health need to understand the virus. The Cost Plus Fixed Fee structure is common for R&D contracts where precise costs can be difficult to estimate upfront, balancing flexibility with contractor incentive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. This approach generally fosters a competitive environment, encouraging lower prices and better value for the government. The specific number of bidders is not provided, but the open competition suggests a healthy market for this type of research service.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of securing the best possible price and quality for the research services, maximizing the return on public investment.

Public Impact

Healthcare workers across Wake Forest Health Care will benefit from this study through enhanced understanding of infection patterns and potential mitigation strategies. The study will deliver crucial data on the natural history of SARS-CoV-2 infection, informing public health policy and clinical practice. The geographic impact is initially focused on the Wake Forest Health Care system but findings can have national and global implications. The project supports research personnel and potentially laboratory technicians involved in sample processing and analysis.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in Cost Plus Fixed Fee contracts if not closely monitored.
Ensuring the 'innovative sampling kits' deliver reliable and accurate data is crucial for study validity.
The long duration of the contract requires sustained oversight to ensure progress and adherence to research protocols.

Positive Signals

Full and open competition suggests a competitive pricing environment and access to qualified research expertise.
The focus on a critical public health issue like COVID-19 indicates strong alignment with national priorities.
The use of innovative sampling methods points to a commitment to high-quality, modern research techniques.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on life sciences. The market for infectious disease research is substantial, driven by ongoing public health threats and government funding initiatives. Comparable spending benchmarks would typically involve other large-scale epidemiological studies funded by agencies like the CDC or NIH. The $27.3 million award is a significant but not unprecedented figure for a multi-year, in-depth research project of this nature.

Small Business Impact

Information regarding small business set-asides or subcontracting plans was not explicitly provided in the data. As this was a full and open competition, it is possible that small businesses could have participated directly or as subcontractors. Further analysis would be needed to determine the extent of small business involvement and its impact on the broader small business ecosystem in the research sector.

Oversight & Accountability

Oversight for this contract would primarily reside with the Centers for Disease Control and Prevention (CDC), a division of HHS. Mechanisms likely include regular progress reports from VYSNOVA PARTNERS, milestone reviews, and financial audits. The Inspector General of HHS would have jurisdiction for investigating any potential fraud, waste, or abuse related to the contract. Transparency is generally maintained through public reporting of research findings.

Related Government Programs

COVID-19 Research Grants
Public Health Surveillance Programs
Epidemiological Studies
National Institutes of Health (NIH) Research Contracts
Centers for Disease Control and Prevention (CDC) Funding Opportunities

Risk Flags

Contract Duration
Cost Plus Fixed Fee Structure
Reliance on Innovative Sampling Kits

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $27.3 million to VYSNOVA PARTNERS, LLC. PROSPECTIVE, NATURAL HISTORY STUDY OF SARS COV-2 INFECTION IN WAKE FOREST HEALTH CARE WORKERS USING INNOVATIVE SAMPLING KITS

Who is the contractor on this award?

The obligated recipient is VYSNOVA PARTNERS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).

What is the total obligated amount?

The obligated amount is $27.3 million.

What is the period of performance?

Start: 2020-07-01. End: 2023-02-28.

What is the track record of VYSNOVA PARTNERS, LLC in conducting similar large-scale public health research studies?

VYSNOVA PARTNERS, LLC has experience in clinical research and development, often focusing on areas related to public health and infectious diseases. While specific details on past projects of this exact scale and scope are not immediately available from the provided data, their engagement in this significant HHS contract suggests they possess the necessary qualifications and infrastructure. A deeper dive into their contract history with federal agencies, particularly HHS and CDC, would reveal their performance on previous research initiatives, including adherence to timelines, budget management, and scientific rigor. Examining their portfolio of completed studies and client testimonials can further illuminate their capabilities in managing complex, multi-year research endeavors.

How does the $27.3 million cost compare to similar natural history studies of infectious diseases?

The $27.3 million award for this multi-year natural history study of SARS-CoV-2 infection is substantial and aligns with the significant investment typically required for large-scale epidemiological research. Comparable studies, such as those investigating the long-term effects of other viruses or tracking disease outbreaks, often range from tens to hundreds of millions of dollars depending on their duration, geographic scope, participant numbers, and the complexity of data collection and analysis. Given the critical nature of understanding COVID-19's progression in a key population (healthcare workers) and the use of innovative sampling, this figure appears to be within a reasonable range for a comprehensive, multi-year federal research effort. Benchmarking against specific, recently completed CDC or NIH studies of similar design would provide a more precise comparison.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks for this contract include potential scientific challenges in data collection and analysis, the possibility of cost overruns inherent in Cost Plus Fixed Fee contracts, and ensuring the long-term engagement and compliance of study participants. Mitigation strategies likely involve rigorous scientific protocols, regular progress reviews by the CDC to monitor expenditures and adherence to the research plan, and potentially incentives for participant retention. The use of 'innovative sampling kits' also introduces a risk related to the reliability and validation of these new methods, which would need to be carefully managed and validated throughout the study. The long contract duration necessitates sustained oversight to ensure the project remains on track and objectives are met.

How effective is the chosen contract type (Cost Plus Fixed Fee) for this specific research project?

The Cost Plus Fixed Fee (CPFF) contract type is often well-suited for research and development projects like this natural history study where the scope of work is defined, but the exact costs are difficult to predict precisely upfront. The 'cost plus' portion allows the contractor to recover all allowable costs incurred, providing flexibility to adapt to unforeseen research challenges. The 'fixed fee' provides the contractor with an incentive to control costs, as their profit is fixed regardless of the final project cost. For a long-term study involving novel methodologies, CPFF offers a balance between flexibility for the researchers and cost control for the government, provided there is robust oversight to manage expenditures and ensure the fee is earned appropriately.

What is the historical spending pattern for research and development in infectious diseases by the CDC?

The Centers for Disease Control and Prevention (CDC) consistently allocates significant funding towards research and development in infectious diseases, reflecting its core mission. Historical spending patterns show substantial investments in areas such as vaccine development, disease surveillance, outbreak response, and understanding the pathogenesis of various pathogens. Funding levels can fluctuate based on emerging threats (like COVID-19), national health priorities, and the overall federal budget. The CDC's R&D budget typically supports a mix of intramural research conducted within its laboratories and extramural funding awarded through grants and contracts to external institutions and companies, like VYSNOVA PARTNERS. This specific $27.3 million contract represents a notable allocation within the broader R&D portfolio for infectious diseases.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Solicitation ID: 75D301-20-Q-72026

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Vysnova Partners LLC

Address: 8400 CORPORATE DRIVE, SUITE 130, LANDOVER, MD, 20785

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $54,179,237

Exercised Options: $27,273,623

Current Obligation: $27,273,623

Actual Outlays: $27,273,623

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline