Stanford University Awarded $25.6M for Antiviral Molecule Development to Combat Viral Infections

Contract Overview

Contract Amount: $25,640,420 ($25.6M)

Contractor: THE Leland Stanford Junior University

Awarding Agency: Department of Health and Human Services

Start Date: 2020-09-01

End Date: 2030-05-31

Contract Duration: 3,559 days

Daily Burn Rate: $7.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 23

Pricing Type: COST NO FEE

Sector: R&D

Official Description: COVID-19. TO DEVELOP SMALL SYNTHETIC CHEMICAL MOLECULES AS BROADLY ACTIVE ANTIVIRAL FOR THE TREATMENT OF VIRAL INFECTIONS.

Place of Performance

Location: STANFORD, SANTA CLARA County, CALIFORNIA, 94305

State: California Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $25.6 million to THE LELAND STANFORD JUNIOR UNIVERSITY for work described as: COVID-19. TO DEVELOP SMALL SYNTHETIC CHEMICAL MOLECULES AS BROADLY ACTIVE ANTIVIRAL FOR THE TREATMENT OF VIRAL INFECTIONS. Key points: 1. Focuses on developing broad-spectrum antiviral molecules for potential COVID-19 and future viral threats. 2. Significant investment in R&D for novel therapeutic solutions. 3. Potential for long-term public health benefits, but early-stage research carries inherent risks. 4. The contract spans a decade, indicating a long-term research commitment.

Value Assessment

Rating: good

The contract value of $25.6 million over 10 years appears reasonable for advanced R&D in synthetic chemistry and virology. Benchmarking is difficult due to the specialized nature of the research, but it aligns with typical NIH funding for complex scientific endeavors.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust process for selecting the most qualified research institution. This method generally promotes competitive pricing and ensures access to the best available talent and technology.

Taxpayer Impact: The investment aims to develop critical medical countermeasures, potentially saving taxpayer money in the long run by mitigating the impact of future pandemics.

Public Impact

Development of new treatments for viral infections, including potential applications against future pandemics. Advancement of scientific knowledge in synthetic chemistry and antiviral drug discovery. Potential for the creation of intellectual property and commercialization opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Research and Development uncertainty
Long project duration
Potential for scope creep

Positive Signals

Addresses critical public health need
Leverages established research institution
Potential for broad impact

Sector Analysis

This contract falls under the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for innovation but often involves higher risk and longer timelines compared to procurement of existing technologies.

Small Business Impact

This contract was awarded to a large university (Stanford) and does not appear to involve specific set-asides or subcontracting opportunities for small businesses. The focus is on specialized research capabilities.

Oversight & Accountability

The National Institutes of Health (NIH) is responsible for oversight, ensuring research milestones are met and funds are used appropriately. The contract's long duration may require consistent monitoring to ensure progress and adherence to objectives.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Scientific uncertainty
Long project duration
Potential for limited practical application
Reliance on future funding continuity

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $25.6 million to THE LELAND STANFORD JUNIOR UNIVERSITY. COVID-19. TO DEVELOP SMALL SYNTHETIC CHEMICAL MOLECULES AS BROADLY ACTIVE ANTIVIRAL FOR THE TREATMENT OF VIRAL INFECTIONS.

Who is the contractor on this award?

The obligated recipient is THE LELAND STANFORD JUNIOR UNIVERSITY.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $25.6 million.

What is the period of performance?

Start: 2020-09-01. End: 2030-05-31.

What is the likelihood of developing a broadly active antiviral molecule within the contract's timeframe?

Developing a broadly active antiviral molecule is a highly complex and uncertain scientific endeavor. While Stanford has strong research capabilities, success is not guaranteed. The 10-year duration provides ample time for exploration, but significant breakthroughs are often unpredictable. The 'Cost No Fee' contract structure implies the government is bearing the financial risk of research outcomes.

What are the primary risks associated with this long-term R&D investment?

The primary risks include scientific failure (inability to develop a viable molecule), technological obsolescence (new discoveries rendering this approach outdated), and potential budget overruns if the 'Cost No Fee' structure is not strictly managed. Furthermore, the long timeline increases the risk of shifting research priorities or changes in funding availability.

How effective is this type of investment in preparing for future viral threats compared to other strategies?

Investing in fundamental R&D for broad-spectrum antivirals is a proactive and potentially highly effective strategy for future pandemic preparedness. It aims to create tools that can be rapidly deployed against novel pathogens, unlike reactive measures. However, it must be complemented by other strategies like surveillance, vaccine development, and public health infrastructure.

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 › General Science and Technology R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HHS-NIH-NIAID-BAA2020-1

Offers Received: 23

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 450 JANE STANFORD WAY, STANFORD, CA, 94305

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private)

Financial Breakdown

Contract Ceiling: $38,210,701

Exercised Options: $25,640,420

Current Obligation: $25,640,420

Actual Outlays: $15,439,816

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $2,405,624

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline