NIH Spends $41.9M on Molecular Biology Software Support via Full and Open Competition

Contract Overview

Contract Amount: $41,881,180 ($41.9M)

Contractor: Mackson Consulting, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2022-09-20

End Date: 2023-09-29

Contract Duration: 374 days

Daily Burn Rate: $112.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: IT

Official Description: PROFESSIONAL SERVICES - SOFTWARE SUPPORT FOR MOLECULAR BIOLOGY

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $41.9 million to MACKSON CONSULTING, LLC for work described as: PROFESSIONAL SERVICES - SOFTWARE SUPPORT FOR MOLECULAR BIOLOGY Key points: 1. Significant investment in specialized software support for molecular biology research. 2. Competition was full and open, suggesting a robust price discovery process. 3. Potential risk associated with reliance on a single vendor for critical software. 4. Spending falls within the IT services sector, specifically computer systems design.

Value Assessment

Rating: good

The contract's value of $41.9 million for software support appears reasonable given the specialized nature of molecular biology. Benchmarking against similar complex IT service contracts would provide further context on its value proposition.

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 a competitive bidding process. This method generally leads to better pricing and selection of the most capable vendor.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in critical research infrastructure.

Public Impact

Supports advanced molecular biology research at NIH, potentially leading to scientific breakthroughs. Ensures continuity of critical software operations for researchers. The investment may enhance the efficiency and capabilities of NIH's scientific endeavors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Vendor lock-in risk for specialized software.
Potential for cost increases in future renewals if competition is not maintained.

Positive Signals

Competitive award process.
Supports critical scientific research.

Sector Analysis

This contract falls under IT Professional Services, specifically Computer Systems Design Services. Spending benchmarks for similar NIH IT contracts would indicate if this $41.9M is typical for specialized software support.

Small Business Impact

The contract was not awarded to a small business, as indicated by 'ss' and 'sb' being false. This suggests larger, specialized firms are competing for these types of complex IT service contracts.

Oversight & Accountability

The contract was awarded under full and open competition, which inherently provides a level of oversight. Further oversight would involve monitoring performance and ensuring adherence to contract terms.

Related Government Programs

Computer Systems Design Services
Department of Health and Human Services Contracting
National Institutes of Health Programs

Risk Flags

Potential for vendor lock-in.
Lack of small business participation.
Dependence on specialized expertise.
Cost escalation risk in future contract periods.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $41.9 million to MACKSON CONSULTING, LLC. PROFESSIONAL SERVICES - SOFTWARE SUPPORT FOR MOLECULAR BIOLOGY

Who is the contractor on this award?

The obligated recipient is MACKSON CONSULTING, 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 $41.9 million.

What is the period of performance?

Start: 2022-09-20. End: 2023-09-29.

What is the specific nature of the molecular biology software supported and its criticality to NIH research?

The data indicates 'SOFTWARE SUPPORT FOR MOLECULAR BIOLOGY' under 'Computer Systems Design Services'. This likely involves maintenance, updates, and technical assistance for specialized software used in genetic sequencing, protein analysis, or other complex biological research. Its criticality stems from enabling advanced scientific discovery and ensuring the uninterrupted operation of vital research tools.

What are the risks associated with relying on a single vendor for specialized software support, even with initial competition?

Even with initial full and open competition, reliance on a single vendor can lead to vendor lock-in, limiting future negotiation leverage and potentially increasing costs upon contract renewal. There's also a risk of knowledge transfer gaps if the vendor's personnel change, impacting long-term support quality and institutional memory.

How does the awarded price compare to industry benchmarks for similar specialized software support contracts?

The contract value of $41.9 million for a 1-year period (approx. 374 labor hours) requires comparison with industry benchmarks for specialized molecular biology software support. Without specific benchmark data, it's difficult to definitively assess if the price represents excellent value or is inflated, though the competitive award process is a positive indicator.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: C-90665-SB

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: A-Tek, Inc.

Address: 1430 SPRING HILL RD STE 450, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $41,881,180

Exercised Options: $41,881,180

Current Obligation: $41,881,180

Actual Outlays: $42,123,780

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98121D00006

IDV Type: GWAC

Timeline