HHS awards $24.9M for COVID-19 & MIS-C research, with limited competition and a firm fixed price structure

Contract Overview

Contract Amount: $24,899,419 ($24.9M)

Contractor: Children's Hospital Corporation, the

Awarding Agency: Department of Health and Human Services

Start Date: 2022-08-03

End Date: 2026-09-15

Contract Duration: 1,504 days

Daily Burn Rate: $16.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: COVID-19 & MIS-C VE STUDY

Place of Performance

Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02115

State: Massachusetts Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $24.9 million to CHILDREN'S HOSPITAL CORPORATION, THE for work described as: COVID-19 & MIS-C VE STUDY Key points: 1. The contract's firm fixed price structure aims to control costs for the duration of the research. 2. Limited competition for this award may warrant further investigation into the necessity of specific contractor qualifications. 3. The duration of the contract (over 4 years) suggests a complex and long-term research objective. 4. The research focus on COVID-19 and MIS-C aligns with critical public health priorities. 5. The awardee's specialization in life sciences research is a key indicator of their suitability for this project. 6. The absence of small business set-asides indicates a focus on specialized research capabilities.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the research scope and deliverables. However, the firm fixed price structure provides some cost certainty. Comparing this to similar large-scale public health research grants or contracts would offer a better understanding of its value proposition. The total award amount of nearly $25 million over four years suggests a significant investment in understanding COVID-19's long-term impacts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed on a full and open basis, indicating that the selection process may have been limited to a specific set of pre-qualified entities or that the agency identified a unique capability with a single source. Further details on the justification for this limited competition are needed to fully assess its implications. The lack of broad competition could potentially lead to higher prices than if multiple vendors had vied for the contract.

Taxpayer Impact: Limited competition may mean taxpayers did not benefit from the cost savings that can arise from a competitive bidding process. This could translate to a higher overall cost for the research.

Public Impact

The primary beneficiaries are public health researchers and policymakers who will gain critical insights into COVID-19 and MIS-C. The services delivered include vital research and data collection to understand the long-term effects of the pandemic. The geographic impact is national, as the findings will inform public health strategies across the United States. Workforce implications include support for scientific and research personnel involved in the study.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of full and open competition raises questions about potential cost efficiencies and broader market engagement.
The significant funding amount necessitates robust oversight to ensure research objectives are met efficiently and effectively.
The specialized nature of the research might limit the pool of potential contractors, impacting future competition.

Positive Signals

The contract is awarded to an entity with a clear focus on relevant scientific research (NAICS 541715).
The firm fixed price contract type provides cost predictability for the government.
The research topic directly addresses a pressing public health concern, indicating strategic alignment with national priorities.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for such specialized medical research is often characterized by a limited number of highly qualified institutions and firms. Spending in this area is driven by public health needs and scientific advancement, with significant government investment in understanding and combating diseases like COVID-19. Comparable spending benchmarks would typically involve other large-scale NIH or CDC research grants and contracts.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses mentioned. This suggests the primary focus was on securing specialized research capabilities from a larger, established entity. The impact on the small business ecosystem is likely minimal for this specific award, as it targets advanced research typically conducted by larger institutions or specialized firms.

Oversight & Accountability

Oversight for this contract would primarily fall under the Centers for Disease Control and Prevention (CDC), an agency within HHS. Accountability measures are typically embedded in the contract's performance work statement, with regular reporting requirements and milestone reviews. Transparency is facilitated through contract databases like FPDS, though detailed research methodologies and interim findings may be subject to scientific publication processes.

Related Government Programs

COVID-19 Public Health Response
National Institutes of Health (NIH) Research Grants
Centers for Disease Control and Prevention (CDC) Research Initiatives
Medical and Health Services Research
Life Sciences Research and Development

Risk Flags

Limited Competition Justification
Long-term Research Project Oversight
Public Health Research Value Assessment

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $24.9 million to CHILDREN'S HOSPITAL CORPORATION, THE. COVID-19 & MIS-C VE STUDY

Who is the contractor on this award?

The obligated recipient is CHILDREN'S HOSPITAL CORPORATION, THE.

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 $24.9 million.

What is the period of performance?

Start: 2022-08-03. End: 2026-09-15.

What is the specific research methodology and expected outcomes for this COVID-19 & MIS-C study?

The provided data does not detail the specific research methodology or expected outcomes. However, given the contract's focus on COVID-19 and MIS-C (Multisystem Inflammatory Syndrome in Children), the research likely aims to understand the pathogenesis, clinical manifestations, long-term sequelae, and potential treatment or prevention strategies for these conditions. Expected outcomes could include peer-reviewed publications, data sets for further analysis, and evidence-based recommendations for public health interventions and clinical care. The awardee, Children's Hospital Corporation, suggests a focus on pediatric health impacts.

How does the $24.9 million award compare to other federal investments in COVID-19 related research?

The $24.9 million award represents a significant but not unprecedented investment in a specific area of COVID-19 research. Federal agencies like the National Institutes of Health (NIH) and the Centers for Disease Control and Prevention (CDC) have allocated billions of dollars towards various aspects of the pandemic response, including vaccine development, therapeutic research, epidemiological studies, and understanding long-term health effects. This contract's value is substantial for a single, focused research project, but it is part of a much larger federal portfolio addressing the multifaceted impacts of COVID-19.

What are the key performance indicators (KPIs) for this contract, and how will success be measured?

Specific Key Performance Indicators (KPIs) are not detailed in the provided summary data. However, for a research and development contract of this nature, success is typically measured by the achievement of research milestones outlined in the Performance Work Statement (PWS). This often includes timely completion of research phases, quality and validity of data collected, adherence to ethical research standards, and the dissemination of findings through reports and publications. The firm fixed price structure implies that the contractor is responsible for delivering the agreed-upon research outcomes within the budget.

What is the track record of Children's Hospital Corporation in managing large federal research grants?

While the specific track record of Children's Hospital Corporation in managing federal grants is not detailed in the provided data, as a major healthcare institution, it is likely experienced in managing research projects and potentially federal funding. A deeper analysis would involve reviewing their past performance on federal contracts and grants, including their history with the CDC or other relevant agencies, to assess their capacity, compliance, and success in delivering on research objectives. Their designation as the awardee suggests they met the agency's criteria for capability and experience.

Given the limited competition, what steps are in place to ensure the contractor remains accountable for delivering high-value research?

Accountability for contractors, especially in limited competition scenarios, is typically ensured through robust contract management and oversight by the awarding agency (CDC in this case). This includes clearly defined deliverables, performance standards, and reporting requirements within the contract's Performance Work Statement (PWS). Regular progress reviews, milestone tracking, and potentially independent scientific review panels can help ensure the research is progressing as intended and yielding valuable results. The firm fixed price nature also incentivizes the contractor to manage resources effectively to meet the defined scope.

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: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75D301-22-R-72184

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 LONGWOOD AVE, BOSTON, MA, 02115

Business Categories: Category Business, Corporate Entity Tax Exempt, Hospital, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,899,419

Exercised Options: $24,899,419

Current Obligation: $24,899,419

Actual Outlays: $23,481,801

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline