FedPoint Systems LLC awarded $38.4M for NICHD logistical support, with a 3-year duration

Contract Overview

Contract Amount: $38,357,663 ($38.4M)

Contractor: Fedpoint Systems LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2021-03-26

End Date: 2024-03-25

Contract Duration: 1,095 days

Daily Burn Rate: $35.0K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: PROVIDE LOGISTICAL SUPPORT AND SERVICES FOR THE DIR/NICHD.

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $38.4 million to FEDPOINT SYSTEMS LLC for work described as: PROVIDE LOGISTICAL SUPPORT AND SERVICES FOR THE DIR/NICHD. Key points: 1. Contract value appears reasonable given the 3-year term and scope of logistical support. 2. Competition was conducted under SAP, suggesting a streamlined process for this contract size. 3. Performance risk appears low due to the established nature of logistical support services. 4. This contract supports critical research infrastructure at the National Institutes of Health. 5. The contract falls within the broader category of analytical laboratory instrument manufacturing support. 6. The award was a purchase order, indicating a straightforward procurement mechanism.

Value Assessment

Rating: good

The contract's total value of $38.4 million over three years averages to approximately $12.8 million annually. This figure seems within a reasonable range for comprehensive logistical support services for a major research institute like NICHD. Benchmarking against similar contracts for logistical support at federal research facilities would provide a more precise value-for-money assessment, but initial indications suggest fair pricing for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under SAP (Small Acquisition Procedures), which is a method for procuring goods and services below certain dollar thresholds, often allowing for simplified acquisition processes. While the specific number of bidders is not provided, competing under SAP still implies an effort to solicit offers from multiple sources. This approach aims to ensure fair pricing and access to a range of qualified vendors for the government.

Taxpayer Impact: Competing under SAP, even for a contract of this size, generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and better service delivery compared to sole-source awards.

Public Impact

Researchers and staff at the National Institutes of Health (NIH), specifically within the National Institute of Child Health and Human Development (NICHD), benefit from uninterrupted logistical support. Essential services include the provision of logistical support and related services, ensuring the smooth operation of research activities. The geographic impact is primarily focused on the NIH facilities in Virginia. Workforce implications may include support roles for personnel involved in logistics and facility management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if logistical needs are not clearly defined and managed.
Reliance on a single vendor for critical logistical functions could pose a risk if performance falters.

Positive Signals

The contract has a defined duration, providing a clear timeframe for service delivery.
The award to FedPoint Systems LLC suggests they possess the necessary capabilities for this type of support.
The purchase order mechanism is a standard and well-understood procurement vehicle.

Sector Analysis

This contract falls within the broader sector of government services and support, specifically related to the operational needs of federal research institutions. The market for logistical support services for government agencies is substantial, with numerous companies specializing in providing such services. This contract represents a portion of the federal government's spending on maintaining its research infrastructure and ensuring the efficient functioning of its scientific endeavors.

Small Business Impact

The provided data does not indicate whether this contract included small business set-asides or subcontracting requirements. As a competed contract under SAP, it's possible that small businesses had the opportunity to bid. Further analysis would be needed to determine the extent of small business participation or impact.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the National Institutes of Health. Accountability measures are inherent in the purchase order terms and conditions, requiring FedPoint Systems LLC to meet specified service levels. Transparency is generally maintained through federal procurement databases where contract awards are reported.

Related Government Programs

NIH Research Support Services
Logistical Support Contracts
Federal Research Infrastructure Maintenance
Health and Human Services Agency Support

Risk Flags

Potential for cost overruns due to Time and Materials pricing structure.
Dependence on a single vendor for critical logistical functions.
Need for robust oversight to ensure service level adherence.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $38.4 million to FEDPOINT SYSTEMS LLC. PROVIDE LOGISTICAL SUPPORT AND SERVICES FOR THE DIR/NICHD.

Who is the contractor on this award?

The obligated recipient is FEDPOINT SYSTEMS LLC.

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 $38.4 million.

What is the period of performance?

Start: 2021-03-26. End: 2024-03-25.

What is FedPoint Systems LLC's track record with federal contracts, particularly in providing logistical support?

FedPoint Systems LLC has a history of receiving federal contracts, primarily within the Department of Health and Human Services. Their awards often pertain to logistical support, administrative services, and facility management. Analyzing their past performance on similar contracts, including any reported issues or commendations, would provide a clearer picture of their reliability and capability in fulfilling the NICHD's requirements. A review of contract close-out data and any past performance evaluations would be crucial for a comprehensive assessment.

How does the $38.4 million contract value compare to similar logistical support contracts awarded by NIH or other federal research agencies?

The $38.4 million contract value over three years, averaging approximately $12.8 million annually, appears to be within a reasonable range for comprehensive logistical support services at a major federal research institution like NICHD. Comparable contracts for similar scope and duration at agencies such as the National Science Foundation or other NIH institutes often fall within this general magnitude. However, a precise benchmark would require comparing specific service inclusions, geographic scope, and contract type (e.g., time and materials vs. firm-fixed-price) with recently awarded contracts in the federal market.

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

Key risks for this logistical support contract include potential disruptions to service delivery, cost overruns if not managed tightly, and vendor performance issues. Mitigation strategies typically involve clearly defined performance work statements (PWS), robust monitoring by contracting officers' representatives (CORs), regular performance reviews, and contingency planning. The contract's time and materials (T&M) pricing structure, while offering flexibility, necessitates vigilant oversight to prevent uncontrolled cost escalation. Ensuring clear communication channels and performance metrics are established from the outset is critical.

How effective has FedPoint Systems LLC been in delivering services under this specific contract, based on available performance data?

Based on the provided data, specific performance metrics for this contract are not available. However, the contract's duration of three years suggests a level of satisfaction or at least acceptance of performance to date. To assess effectiveness, one would need to examine contract performance reports, any issued cure notices or show-cause letters, and feedback from the program office at NICHD. Without this granular performance data, a definitive judgment on effectiveness cannot be made, though the continuation of services implies a baseline level of acceptable performance.

What are the historical spending patterns for logistical support at NICHD or similar NIH institutes, and how does this contract fit within those trends?

Historical spending on logistical support at NICHD and similar NIH institutes typically fluctuates based on research priorities, facility expansions, and specific project needs. Contracts for such services are a recurring necessity to maintain operational efficiency. This $38.4 million award represents a significant, but not necessarily anomalous, investment in ensuring the foundational support required for cutting-edge biomedical research. Analyzing past five to ten years of NICHD's procurement data for logistical services would reveal trends in contract values, durations, and types of services procured, allowing for a contextual understanding of this award's place within historical spending.

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: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: NIH-NICHD-ASB-IRMB-21-012

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 4571 GOSSAMER WAY, FAIRFAX, VA, 22033

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $38,607,663

Exercised Options: $38,357,663

Current Obligation: $38,357,663

Actual Outlays: $37,854,798

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline