HHS awards $31M contract to Biobot Analytics for wastewater COVID-19 testing services

Contract Overview

Contract Amount: $31,077,006 ($31.1M)

Contractor: Biobot Analytics Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2022-04-15

End Date: 2023-09-14

Contract Duration: 517 days

Daily Burn Rate: $60.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: WASTEWATER TESTING FOR COVID-19

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02138

State: Massachusetts Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $31.1 million to BIOBOT ANALYTICS INC for work described as: WASTEWATER TESTING FOR COVID-19 Key points: 1. Contract value appears reasonable given the scope of national public health surveillance. 2. Full and open competition suggests a competitive bidding process was utilized. 3. The definitive contract type indicates a flexible agreement for ongoing services. 4. Performance period spans over a year, allowing for sustained public health monitoring. 5. The contract is positioned within the public health surveillance sector, a critical area for disease outbreak detection. 6. The fixed-price nature of the contract provides cost certainty for the government.

Value Assessment

Rating: good

The contract value of $31 million for wastewater testing services over approximately 17 months appears to be within a reasonable range for a national public health surveillance program. Benchmarking against similar large-scale public health monitoring contracts, this award represents a significant investment in understanding disease prevalence. The firm fixed-price structure helps manage costs, although detailed cost breakdowns are not publicly available to fully assess value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while initial exclusions might have occurred, the final award was made after a broad solicitation. With six bidders participating, the competition level suggests a healthy market interest and provides a basis for price discovery. This approach aims to ensure the government receives competitive pricing and access to a range of qualified vendors.

Taxpayer Impact: The robust competition level is beneficial for taxpayers as it likely drove down prices and encouraged innovation among bidders, leading to a more cost-effective solution for essential public health services.

Public Impact

The Centers for Disease Control and Prevention (CDC) benefits from this contract by enhancing its capacity for national disease surveillance. Services delivered include critical wastewater testing for COVID-19, providing early warning signals for outbreaks. The geographic impact is national, covering various regions across the United States. Workforce implications include support for laboratory technicians, data analysts, and public health professionals involved in testing and reporting.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if follow-on contracts are not competitively bid.
Reliance on a single vendor for critical national surveillance data could pose a risk if performance falters.

Positive Signals

The use of full and open competition mitigates risks associated with limited vendor pools.
A firm fixed-price contract provides budget predictability.
The contract duration allows for sustained monitoring and trend analysis.

Sector Analysis

The contract falls within the broader 'Testing Laboratories and Services' sector, specifically supporting public health surveillance. This sector is crucial for national security and public well-being, especially in the wake of recent pandemics. The market for such services is growing, driven by increased awareness and investment in infectious disease monitoring. Comparable spending benchmarks in public health diagnostics and surveillance can be found across various federal agencies, including HHS and the Department of Defense.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as the 'small business set-aside' field is false. There is no explicit information on subcontracting plans for small businesses. This suggests that larger, established firms were likely the primary participants in the bidding process, and the impact on the broader small business ecosystem for this particular award may be limited unless subcontracting opportunities arise organically.

Oversight & Accountability

Oversight for this contract is likely managed by the Centers for Disease Control and Prevention (CDC) program officials within the Department of Health and Human Services. Accountability measures would be embedded in the contract's performance standards and reporting requirements. Transparency is facilitated through public contract databases, though detailed operational data may be sensitive. The Inspector General for HHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

COVID-19 Public Health Response
National Wastewater Surveillance System
Public Health Laboratory Services
Disease Surveillance and Monitoring Programs
Epidemiological Research Contracts

Risk Flags

Potential for data integrity issues.
Dependence on contractor's technical expertise.
Scalability challenges for national coverage.
Timeliness of reporting critical for public health response.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $31.1 million to BIOBOT ANALYTICS INC. WASTEWATER TESTING FOR COVID-19

Who is the contractor on this award?

The obligated recipient is BIOBOT ANALYTICS INC.

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 $31.1 million.

What is the period of performance?

Start: 2022-04-15. End: 2023-09-14.

What is the track record of Biobot Analytics Inc. in performing similar public health surveillance contracts for the federal government?

Information regarding Biobot Analytics Inc.'s specific track record with federal public health surveillance contracts is not detailed in the provided data. However, their selection for this significant $31 million contract by the Department of Health and Human Services (HHS) suggests they possess the necessary qualifications and capabilities deemed sufficient by the contracting agency. Further investigation into their past performance on government contracts, client testimonials, and any publicly available performance reports would be required for a comprehensive assessment of their track record. It is common for agencies to conduct thorough pre-award reviews of a contractor's past performance, which would have informed HHS's decision.

How does the per-unit cost of wastewater testing under this contract compare to market rates or similar government contracts?

The provided data does not include specific per-unit cost breakdowns for the wastewater testing services. Therefore, a direct comparison to market rates or similar government contracts is not possible without more granular cost information. The total contract value of $31,077,006 over an estimated period of 517 days (approximately 17 months) suggests an average annual value of around $18.3 million. To benchmark, one would need to know the number of samples tested, the geographic coverage, and the specific analytical methods employed to derive a comparable per-unit cost. The firm fixed-price nature of the contract implies that Biobot Analytics Inc. is responsible for managing these costs to remain profitable.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks associated with this contract could include potential delays in data reporting, accuracy issues with testing, or challenges in scaling services to meet national demand. Given the public health implications, any disruption in service could impact the government's ability to monitor disease outbreaks effectively. Mitigation strategies are likely embedded within the contract's performance work statement (PWS), which would outline specific deliverables, timelines, and quality control measures. The firm fixed-price structure incentivizes the contractor to manage operational risks efficiently. Furthermore, the 'Full and Open Competition' award process suggests that multiple vendors were vetted, potentially reducing the risk associated with relying on a single entity's capabilities.

How effective is wastewater surveillance as a public health tool, and how does this contract contribute to its effectiveness?

Wastewater surveillance has emerged as a highly effective, non-invasive public health tool for monitoring the prevalence of infectious diseases, including COVID-19, within a community. It provides early warning signals of increasing or decreasing disease trends, often before clinical data reflects these changes, as it captures asymptomatic and unreported cases. This contract directly contributes to the effectiveness of wastewater surveillance by funding Biobot Analytics Inc. to conduct these critical tests on a national scale. The data generated allows public health agencies like the CDC to track disease spread, identify hotspots, and inform public health interventions and resource allocation, thereby enhancing the overall public health response system.

What are the historical spending patterns for wastewater surveillance or similar public health monitoring services by the Department of Health and Human Services?

Historical spending patterns for wastewater surveillance specifically by HHS are likely to have increased significantly with the onset of the COVID-19 pandemic. Prior to the pandemic, such large-scale, national wastewater surveillance programs may have been less common or funded at lower levels. The $31 million awarded to Biobot Analytics Inc. represents a substantial investment, reflecting the heightened importance of this surveillance method. To understand historical patterns, one would need to analyze HHS's budget allocations and contract awards for epidemiological surveillance, laboratory services, and public health informatics over the past decade, paying close attention to the period before and after 2020.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Testing Laboratories and Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 75D301-22-R-72255

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 501 MASSACHUSETTS AVE, CAMBRIDGE, MA, 02138

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $31,077,006

Exercised Options: $31,077,006

Current Obligation: $31,077,006

Actual Outlays: $31,077,006

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline