NIH awards $5.4M contract for veterinary services, extending through August 2026

Contract Overview

Contract Amount: $5,444,435 ($5.4M)

Contractor: Charles River Laboratories, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2019-08-12

End Date: 2026-08-31

Contract Duration: 2,576 days

Daily Burn Rate: $2.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Healthcare

Official Description: TASK ORDER SOLICITATION NUMBER: LARC-2025-DVR-0008. TASK ORDER NUMBER: 75N98025F00012. PARENT IDIQ CONTRACT NUMBER: 75N98019D00042.

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20810

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $5.4 million to CHARLES RIVER LABORATORIES, INC. for work described as: TASK ORDER SOLICITATION NUMBER: LARC-2025-DVR-0008. TASK ORDER NUMBER: 75N98025F00012. PARENT IDIQ CONTRACT NUMBER: 75N98019D00042. Key points: 1. Contract value appears reasonable given the multi-year duration and specialized nature of veterinary services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract is a Time and Materials type, which can pose cost control risks if not closely monitored. 4. This award falls within the broader category of scientific and technical services for the NIH. 5. The contractor, Charles River Laboratories, Inc., is a known entity in the life sciences sector.

Value Assessment

Rating: good

The contract value of $5.44 million over approximately seven years (August 2019 to August 2026) averages to roughly $777,000 per year. This appears to be a fair valuation for specialized veterinary services supporting a large research institution like the NIH. Benchmarking against similar contracts for comprehensive animal care and research support services would provide a more precise value-for-money assessment, but the annual spend is not excessively high.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The presence of two bidders suggests a moderate level of competition for this specific task order. While more bidders could potentially drive prices lower, full and open competition generally ensures a fair process and access to the best available solutions.

Taxpayer Impact: Taxpayers benefit from the assurance that the government sought competitive bids, which typically leads to more cost-effective solutions compared to sole-source or limited competition awards.

Public Impact

This contract directly supports the National Institutes of Health (NIH) in its biomedical research endeavors by providing essential veterinary services. Researchers and scientists at NIH facilities will benefit from the continuity of care and specialized support for laboratory animals, crucial for experimental integrity. The services are geographically concentrated at NIH facilities, primarily in Maryland. The contract ensures the ethical treatment and welfare of research animals, a critical component of responsible scientific practice.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not managed diligently.
Reliance on a single contractor for a critical service requires robust performance monitoring.

Positive Signals

Awarded under full and open competition, suggesting a competitive process.
Contract duration provides stability for essential research support services.
Contractor is an established entity in the life sciences field.

Sector Analysis

This contract falls within the scientific and technical services sector, specifically supporting biomedical research through veterinary services. The market for such specialized services is driven by government agencies and academic institutions with significant research programs. Comparable spending benchmarks would involve analyzing other federal contracts for animal care, laboratory support, and specialized scientific services, which are often substantial given the scale of federal research.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). There is no explicit information regarding subcontracting plans for small businesses within this task order. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for specific components of the veterinary services.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and program managers at the National Institutes of Health. As a task order under a larger IDIQ contract, the parent contract likely has established oversight mechanisms. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

NIH Research Support Services
Federal Laboratory Animal Welfare Programs
Biomedical Research Infrastructure Support
Scientific and Technical Services Contracts

Risk Flags

Time and Materials contract type requires close monitoring to control costs.
Dependence on a single contractor for critical services necessitates strong performance management.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $5.4 million to CHARLES RIVER LABORATORIES, INC.. TASK ORDER SOLICITATION NUMBER: LARC-2025-DVR-0008. TASK ORDER NUMBER: 75N98025F00012. PARENT IDIQ CONTRACT NUMBER: 75N98019D00042.

Who is the contractor on this award?

The obligated recipient is CHARLES RIVER LABORATORIES, 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 $5.4 million.

What is the period of performance?

Start: 2019-08-12. End: 2026-08-31.

What is the historical spending pattern for veterinary services at NIH under the parent IDIQ contract?

The provided data focuses on a single task order (75N98025F00012) valued at $5.44 million. To understand historical spending patterns, one would need to examine all task orders issued under the parent IDIQ contract (75N98019D00042) awarded to Charles River Laboratories, Inc. This would involve querying federal procurement databases for all related awards, their values, durations, and the specific services rendered. Without access to the full history of the parent IDIQ, a comprehensive analysis of spending trends is not possible from this data alone. However, the current task order's duration (2019-2026) suggests a long-term need for these services.

How does the per-year cost of this contract compare to similar veterinary service contracts at other federal research institutions?

The annual cost for this contract is approximately $777,000 ($5.44M / ~7 years). Benchmarking this against similar veterinary service contracts at other federal research institutions, such as the Centers for Disease Control and Prevention (CDC) or the Department of Veterans Affairs (VA) research arms, would require accessing and analyzing contract data for comparable services. Factors like the scale of animal facilities, the types of research conducted, and geographic location can influence costs. Generally, federal veterinary services are specialized and can be costly. A preliminary assessment suggests this annual figure is within a reasonable range for supporting a major research entity like NIH, but a detailed comparison with specific contract data is needed for a definitive conclusion.

What are the specific risks associated with the Time and Materials (T&M) contract type for this veterinary service requirement?

The primary risk with a Time and Materials (T&M) contract type, such as this one, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. If the scope of work is not well-defined, or if the contractor's efficiency is low, the total cost can escalate beyond initial estimates. For veterinary services, this could manifest as extended labor hours for routine tasks or increased material costs for supplies. Effective risk mitigation requires robust government oversight, clear performance standards, and diligent tracking of labor hours and material expenditures by the contracting officer's representative (COR).

What is Charles River Laboratories, Inc.'s track record with federal contracts, particularly with NIH?

Charles River Laboratories, Inc. is a well-established global contract research organization (CRO) that provides a wide range of services to the pharmaceutical, biotechnology, and medical device industries, including extensive work with federal agencies. They have a significant history of receiving federal contracts, often related to preclinical research, drug development, and laboratory animal services. Their track record with NIH specifically would involve reviewing their performance on past and current contracts, including any reported issues, successes, or contract modifications. Generally, large, established companies like Charles River have extensive experience navigating federal procurement and compliance requirements, suggesting a degree of reliability, though specific performance on any given contract should always be evaluated.

What is the potential impact of this contract on the broader biomedical research ecosystem in Maryland?

This contract directly supports the operations of the National Institutes of Health, a major hub for biomedical research located in Maryland. By ensuring the provision of essential veterinary services, it contributes to the stability and continuity of research activities at NIH facilities. This, in turn, supports the broader research ecosystem by enabling ongoing scientific discovery and innovation. Furthermore, the contract may indirectly benefit local businesses through the contractor's procurement of supplies and services, and potentially through employment opportunities. The presence of such significant federal contracts also reinforces Maryland's position as a leader in the life sciences sector.

Are there any specific performance metrics or key performance indicators (KPIs) associated with this contract to ensure service quality?

While the provided data does not detail specific Key Performance Indicators (KPIs) for this task order, contracts of this nature typically include performance standards and quality assurance surveillance plans (QASPs). These mechanisms are crucial for monitoring the contractor's adherence to service level agreements, animal welfare standards, and timely delivery of services. The Contracting Officer's Representative (COR) is usually responsible for monitoring performance against these metrics. Common KPIs for veterinary services might include adherence to veterinary care protocols, response times for animal health issues, accuracy of record-keeping, and compliance with regulatory requirements. The effectiveness of the contract hinges on the government's ability to actively measure and manage these performance aspects.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: LARC-2025-DVR-0008

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Charles River Laboratories International, Inc.

Address: 251 BALLARDVALE ST, WILMINGTON, MA, 01887

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

Financial Breakdown

Contract Ceiling: $31,526,307

Exercised Options: $5,444,435

Current Obligation: $5,444,435

Actual Outlays: $56,480

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75N98019D00042

IDV Type: IDC

Timeline