Chimp Haven contract for sanctuary operations awarded to incumbent, raising questions on competition and value

Contract Overview

Contract Amount: $22,054,138 ($22.1M)

Contractor: Chimp Haven, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2022-08-01

End Date: 2026-07-31

Contract Duration: 1,460 days

Daily Burn Rate: $15.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: OPERATION AND MAINTENANCE OF THE FEDERAL CHIMPANZEE SANCTUARY SYSTEM FOR RETIRED CHIMPANZEES

Place of Performance

Location: KEITHVILLE, CADDO County, LOUISIANA, 71047

State: Louisiana Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $22.1 million to CHIMP HAVEN, INC. for work described as: OPERATION AND MAINTENANCE OF THE FEDERAL CHIMPANZEE SANCTUARY SYSTEM FOR RETIRED CHIMPANZEES Key points: 1. Contract awarded on a sole-source basis, limiting opportunities for competitive bidding. 2. The contract's duration and cost structure warrant scrutiny for potential cost efficiencies. 3. Performance history of the incumbent contractor will be a key indicator of future success. 4. The specialized nature of chimpanzee sanctuary operations may influence market competition. 5. Geographic concentration in Louisiana could impact local economic benefits. 6. Oversight mechanisms will be crucial to ensure effective and ethical animal care.

Value Assessment

Rating: fair

The contract's total value of $22.05 million over four years for operating a federal chimpanzee sanctuary suggests a significant investment in animal welfare. Benchmarking this against similar specialized animal care contracts is challenging due to the unique nature of chimpanzee sanctuaries. The Cost Plus Fixed Fee (CPFF) structure requires careful monitoring to ensure costs remain reasonable and the fixed fee aligns with the scope of services. Without competitive bidding, it's difficult to definitively assess if this represents the best possible value for taxpayer dollars.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. Chimp Haven, Inc. is the sole provider of these specialized services, likely due to its existing infrastructure and expertise in operating the federal chimpanzee sanctuary. The lack of competition means there was no opportunity to solicit bids from other potential providers, which could have led to price discovery and potentially lower costs.

Taxpayer Impact: Sole-source awards can sometimes result in higher costs for taxpayers as there is no competitive pressure to drive down prices. This necessitates robust oversight to ensure the awarded price is fair and reasonable.

Public Impact

Retired chimpanzees benefit from specialized care and a safe environment. The contract ensures the continued operation of a critical federal sanctuary. Services are delivered in Louisiana, potentially creating local employment opportunities. The contract supports the ethical treatment and long-term well-being of retired research chimpanzees.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs than a competed contract.
Sole-source award requires strong justification and oversight to ensure fair pricing.
CPFF contract type can incentivize cost increases if not managed closely.
Long-term reliance on a single contractor may reduce flexibility and innovation.

Positive Signals

Incumbent contractor has established expertise in chimpanzee sanctuary operations.
Contract ensures continuity of care for a vulnerable animal population.
Fixed fee component provides some cost predictability for the government.

Sector Analysis

The contract falls within the 'Veterinary Services' and 'Other Services' categories, specifically related to animal care and sanctuary operations. The market for operating federal chimpanzee sanctuaries is highly specialized and likely dominated by a few organizations with the requisite expertise and facilities. Comparable spending benchmarks are difficult to establish due to the unique nature of this service, but general animal care and facility management costs provide a broad context.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of operating a federal chimpanzee sanctuary, it is unlikely that small businesses would be primary bidders for the prime contract. Subcontracting opportunities, if any, would depend on the specific needs identified by Chimp Haven, Inc. and their ability to engage small businesses for support services.

Oversight & Accountability

Oversight will primarily be the responsibility of the National Institutes of Health (NIH) within the Department of Health and Human Services. The agency will need to monitor contract performance, expenditures, and adherence to the terms and conditions, particularly given the CPFF structure. Transparency will be key, and regular reporting from the contractor will be essential. The Inspector General's office may conduct audits as part of their broader oversight responsibilities.

Related Government Programs

Federal Animal Welfare Programs
Research Animal Care and Use
Government Facility Operations and Maintenance
Non-profit Organization Support Contracts

Risk Flags

Sole-source award
Cost Plus Fixed Fee contract type
Lack of competitive bidding

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $22.1 million to CHIMP HAVEN, INC.. OPERATION AND MAINTENANCE OF THE FEDERAL CHIMPANZEE SANCTUARY SYSTEM FOR RETIRED CHIMPANZEES

Who is the contractor on this award?

The obligated recipient is CHIMP HAVEN, INC..

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 $22.1 million.

What is the period of performance?

Start: 2022-08-01. End: 2026-07-31.

What is the track record of Chimp Haven, Inc. in managing federal contracts, particularly those involving animal care?

Chimp Haven, Inc. has a long-standing relationship with the federal government, serving as the primary operator of the federal chimpanzee sanctuary. Their track record is largely defined by their role in providing long-term care for retired research chimpanzees. While specific performance metrics from past federal contracts are not detailed here, their continued selection for this critical function suggests a satisfactory level of performance in meeting the specialized needs of the chimpanzee population. However, a deeper dive into past performance reviews, any documented issues, and the effectiveness of their animal care protocols would provide a more comprehensive understanding of their capabilities and reliability as a federal contractor.

How does the cost of this contract compare to similar specialized animal care or sanctuary operations?

Direct comparison of the $22.05 million cost for operating the federal chimpanzee sanctuary is challenging due to the unique and highly specialized nature of the services provided. Unlike standard veterinary services or general animal shelter operations, federal chimpanzee sanctuaries require extensive infrastructure, specialized veterinary expertise for non-human primates, long-term care planning, and robust safety protocols. Benchmarking would ideally involve comparing costs with other large-scale primate sanctuaries or similar long-term care facilities for complex animal populations, if such data were publicly available and comparable. The Cost Plus Fixed Fee (CPFF) structure also means that the final cost can fluctuate based on actual expenses incurred, making a precise upfront comparison difficult without detailed cost breakdowns.

What are the primary risks associated with a sole-source award for this type of service?

The primary risk associated with a sole-source award for operating the federal chimpanzee sanctuary is the potential for reduced cost-effectiveness due to the absence of competition. Without competing bids, there is less market pressure to drive down prices, potentially leading to higher costs for taxpayers. Another risk is the potential for complacency from the incumbent contractor, as they face no immediate threat of losing the contract to a competitor. This can sometimes impact service quality or innovation over time. Furthermore, a sole-source award limits the government's ability to explore alternative solutions or providers that might offer better value or specialized capabilities. Robust contract management and oversight are therefore critical to mitigate these risks.

What is the expected effectiveness of the services delivered under this contract in ensuring the welfare of retired chimpanzees?

The expected effectiveness of the services under this contract is high, given Chimp Haven, Inc.'s established role and specialized focus on the long-term care of retired research chimpanzees. The contract's objective is to provide comprehensive operation and maintenance of the sanctuary system, which includes housing, veterinary care, enrichment activities, and overall well-being for the chimpanzee population. The Cost Plus Fixed Fee (CPFF) structure, while requiring oversight, aims to ensure that necessary services are provided while maintaining a degree of cost control. The effectiveness will ultimately be measured by the health, safety, and quality of life maintained for the chimpanzees throughout the contract period, as assessed through ongoing monitoring and performance evaluations by the National Institutes of Health.

How has federal spending on chimpanzee sanctuary operations evolved over time, and what does this contract represent in that trend?

Federal spending on chimpanzee sanctuary operations has evolved significantly, particularly following the recommendations from the Institute of Medicine and subsequent policy changes regarding the use of chimpanzees in research. Historically, the government funded the care of chimpanzees in research facilities and then transitioned them to sanctuaries. This contract, valued at approximately $22.05 million over four years, represents the ongoing federal commitment to providing lifetime care for these retired chimpanzees. It reflects a shift from research-focused funding to sanctuary support. While specific historical spending figures for this exact contract are not provided, the trend indicates a sustained and significant investment in ensuring the welfare of this specific animal population post-research.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Veterinary Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75N97021R00016

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 13600 CHIMPANZEE PL, KEITHVILLE, LA, 71047

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

Financial Breakdown

Contract Ceiling: $28,499,550

Exercised Options: $22,054,138

Current Obligation: $22,054,138

Actual Outlays: $20,195,989

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline