Alnylam Pharmaceuticals awarded $10.7M contract for R&D in physical, engineering, and life sciences

Contract Overview

Contract Amount: $10,766,081 ($10.8M)

Contractor: Alnylam Pharmaceuticals, Inc.

Awarding Agency: Department of Defense

Start Date: 2007-08-08

End Date: 2011-02-07

Contract Duration: 1,279 days

Daily Burn Rate: $8.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: BASE PERIOD

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02142

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $10.8 million to ALNYLAM PHARMACEUTICALS, INC. for work described as: BASE PERIOD Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but also carries risk. 3. Performance period spans over 3 years, indicating a significant R&D effort. 4. The contract falls under Research and Development in the Physical, Engineering, and Life Sciences NAICS code. 5. The awardee, Alnylam Pharmaceuticals, Inc., is a known entity in the biopharmaceutical sector. 6. The contract was awarded by the Defense Threat Reduction Agency, suggesting a focus on national security applications of R&D.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables or comparable projects. The Cost Plus Fixed Fee structure means the final cost could exceed the initial estimate. However, the base period award of $10.7 million for over three years of R&D suggests a substantial investment in a specialized area. Further analysis would require understanding the scope of work and the specific R&D outcomes expected.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but this approach generally fosters price discovery and allows the government to select the most advantageous offer. The open competition suggests a desire for broad market engagement.

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

Public Impact

The primary beneficiaries are likely the Department of Defense and potentially national security interests, given the awarding agency. The contract supports research and development activities in advanced scientific and technical fields. The geographic impact is primarily associated with Alnylam Pharmaceuticals' operations, likely within Massachusetts. Workforce implications include the potential for highly skilled scientists, researchers, and technicians to be engaged in this project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to cost overruns if not managed carefully.
The specific R&D outcomes and their direct applicability to defense needs require further clarification.
The long performance period necessitates ongoing oversight to ensure progress and value.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
The contractor, Alnylam Pharmaceuticals, is a reputable company in its field.
The contract supports critical research and development for national security objectives.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. This sector is characterized by innovation and often involves long-term projects with uncertain outcomes. Comparable spending in this area can vary widely depending on the specific scientific domain and agency priorities. The Defense Threat Reduction Agency's involvement suggests a focus on R&D with potential national security implications, which may command higher investment due to strategic importance.

Small Business Impact

There is no indication that this contract included a small business set-aside. As a definitive contract awarded to a large corporation, it is unlikely to have direct subcontracting opportunities specifically targeted at small businesses unless specified within the contract's statement of work. The primary impact on the small business ecosystem would be indirect, through potential advancements in the broader life sciences sector.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Threat Reduction Agency's contracting officers and program managers. Accountability measures would be tied to the Cost Plus Fixed Fee structure, requiring detailed reporting on costs and progress. Transparency is generally maintained through contract databases, though specific project details may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development
Biotechnology Research Contracts
Advanced Scientific Research Programs
National Security Science Initiatives

Risk Flags

Cost Plus Fixed Fee contract type requires careful monitoring of costs.
Specific R&D deliverables and outcomes are not detailed, making performance assessment difficult.
Long performance period necessitates sustained oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.8 million to ALNYLAM PHARMACEUTICALS, INC.. BASE PERIOD

Who is the contractor on this award?

The obligated recipient is ALNYLAM PHARMACEUTICALS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Threat Reduction Agency).

What is the total obligated amount?

The obligated amount is $10.8 million.

What is the period of performance?

Start: 2007-08-08. End: 2011-02-07.

What specific research and development activities are encompassed by this contract?

The provided data indicates the contract falls under NAICS code 541710, 'Research and Development in the Physical, Engineering, and Life Sciences.' However, the specific nature of the R&D is not detailed. Given the awarding agency, the Defense Threat Reduction Agency (DTRA), it is plausible that the research pertains to areas relevant to countering weapons of mass destruction, emerging threats, or advanced materials and technologies with national security applications. Without access to the contract's statement of work, the precise scientific or engineering focus remains unspecified. Further inquiry would be needed to ascertain if the R&D involves novel drug development, advanced materials science, or other specialized fields pertinent to defense.

How does the Cost Plus Fixed Fee (CPFF) contract type influence cost control and risk for this R&D project?

The Cost Plus Fixed Fee (CPFF) contract type means the contractor (Alnylam Pharmaceuticals) is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. For R&D, this structure can be beneficial as it allows for flexibility in exploring research avenues where costs might be uncertain. However, it places the onus on the government to meticulously audit and approve incurred costs. The 'fixed fee' component provides some predictability for the contractor's profit. The risk for the government lies in potential cost overruns if the initial estimates are inaccurate or if unforeseen research challenges arise, driving up expenses. Effective government oversight and clear definition of allowable costs are crucial to mitigate this risk and ensure value for money.

What is Alnylam Pharmaceuticals' track record with government R&D contracts, particularly with the Department of Defense?

Alnylam Pharmaceuticals is a well-established biopharmaceutical company primarily known for its work in RNA interference (RNAi) therapeutics. While their primary focus is commercial drug development, companies of this scale often engage in government contracts, especially for R&D. Information on their specific track record with the Department of Defense (DoD) or DTRA would require a deeper dive into federal procurement databases beyond the basic award data. Generally, large pharmaceutical and biotech firms have experience navigating government contracting requirements, including compliance, reporting, and intellectual property considerations. Their success on this specific contract would depend on their ability to meet the technical and programmatic objectives set forth by DTRA.

What are the potential national security implications of the R&D funded by this contract?

Given that the Defense Threat Reduction Agency (DTRA) awarded this contract, the R&D likely has direct or indirect implications for national security. DTRA's mission includes countering weapons of mass destruction (WMD) and emerging threats. Therefore, the research could be focused on developing countermeasures, detection technologies, medical countermeasures against biological or chemical agents, or advanced materials relevant to defense applications. For instance, breakthroughs in life sciences could lead to novel treatments for personnel exposed to specific threats, or advancements in physical sciences might yield materials for enhanced protective equipment or surveillance systems. The specific application would depend on the precise R&D focus, which is not detailed in the provided data.

How does this contract's value compare to other R&D spending within the physical, engineering, and life sciences sector by the DoD?

The base period award of $10.7 million for this contract is a significant sum, but within the context of the Department of Defense's overall R&D budget, it represents a specific investment in a particular area. The DoD's R&D spending spans numerous categories, including basic research, applied research, and advanced technology development, often totaling billions of dollars annually. To benchmark this contract's value, one would need to compare it against other DTRA awards or similar R&D contracts within the physical, engineering, and life sciences domain across different DoD branches. Without broader spending data, it's difficult to definitively state if $10.7 million is high or low. However, R&D contracts, especially those involving specialized scientific expertise like that of Alnylam Pharmaceuticals, often require substantial funding due to the complexity and potential for innovation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 300 THIRD STREET, 3RD FLOOR, CAMBRIDGE, MA, 02142

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $38,634,245

Exercised Options: $10,856,721

Current Obligation: $10,766,081

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline