HHS awarded $23.7M for professional services to Emergency Care Research Institute over 7 years

Contract Overview

Contract Amount: $23,687,508 ($23.7M)

Contractor: Emergency Care Research Institute

Awarding Agency: Department of Health and Human Services

Start Date: 2007-07-17

End Date: 2014-08-21

Contract Duration: 2,592 days

Daily Burn Rate: $9.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS AWARD FEE

Sector: Healthcare

Official Description: OTHER PROFESSIONAL SERVICES

Place of Performance

Location: PLYMOUTH MEETING, MONTGOMERY County, PENNSYLVANIA, 19462, UNITED STATES OF AMERICA

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $23.7 million to EMERGENCY CARE RESEARCH INSTITUTE for work described as: OTHER PROFESSIONAL SERVICES Key points: 1. Contract value suggests a significant, long-term need for specialized professional services. 2. The duration of the contract indicates a stable, ongoing requirement rather than a short-term project. 3. The cost-plus award fee structure incentivizes performance but requires careful monitoring to ensure value. 4. The award to a single entity implies specialized capabilities or a highly competitive initial bid. 5. The contract's focus on professional services points to a need for expertise in areas like research, analysis, or consulting. 6. The geographic location of the contractor in Pennsylvania may indicate regional focus or specific expertise.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific service details. However, a $23.7 million award over seven years averages approximately $3.4 million annually. This figure needs to be compared against the typical cost of similar professional services procured by the Agency for Healthcare Research and Quality (AHRQ) or other health-related agencies. The cost-plus award fee (CPAF) structure means the final cost could vary based on performance, making a direct price comparison difficult without knowing the award fees paid. It is crucial to assess if the achieved performance justified the total expenditure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The fact that Emergency Care Research Institute (ECRI) was the ultimate awardee suggests they offered the most advantageous proposal based on the evaluation criteria. The number of bidders is not specified, but full and open competition generally fosters a more competitive pricing environment and allows the government to select the best value.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining competitive pricing and ensures that the government explores a wide range of potential solutions.

Public Impact

The primary beneficiaries are likely the Agency for Healthcare Research and Quality (AHRQ) and potentially the broader healthcare community through the research and analysis conducted. Services delivered likely involve expert consultation, research support, data analysis, and potentially the development of guidelines or best practices within the healthcare sector. The geographic impact is likely national, given AHRQ's mission, although the contractor is based in Pennsylvania. Workforce implications could include the utilization of specialized researchers, analysts, and subject matter experts within ECRI, and potentially the dissemination of findings that impact healthcare professionals nationwide.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • The cost-plus award fee structure requires diligent oversight to ensure that award fees are tied to demonstrable performance and do not inflate costs unnecessarily.
  • Without detailed performance metrics, it is difficult to assess the true value for money delivered over the contract's seven-year duration.
  • The specific nature of 'OTHER PROFESSIONAL SERVICES' is broad and could encompass a wide range of activities, necessitating clear scope management.

Positive Signals

  • The contract was awarded through full and open competition, suggesting a robust selection process.
  • The long duration indicates a sustained need and potentially a successful, long-term relationship with the contractor.
  • The contractor, Emergency Care Research Institute, is a known entity in healthcare research and analysis, suggesting relevant expertise.

Sector Analysis

This contract falls within the 'Other Professional Services' category, which is a broad classification often encompassing consulting, research, and analytical services. The healthcare sector, particularly within government agencies like AHRQ, frequently procures such services to support policy development, evidence-based practice, and research initiatives. Comparable spending benchmarks would depend heavily on the specific nature of the professional services rendered, but annual expenditures in the multi-million dollar range are common for significant research and advisory contracts within federal health agencies.

Small Business Impact

There is no indication from the provided data that this contract included small business set-asides. The award was made to Emergency Care Research Institute, which is likely a larger organization. Subcontracting opportunities for small businesses would depend on ECRI's internal strategy and the specific requirements of the professional services, but are not explicitly detailed here. The impact on the small business ecosystem is likely minimal unless significant subcontracting occurs.

Oversight & Accountability

Oversight for this contract would primarily reside with the Agency for Healthcare Research and Quality (AHRQ), the contracting agency. As a cost-plus award fee contract, performance monitoring and the justification of award fees are critical oversight functions. Transparency would be enhanced by public reporting of contract actions and performance outcomes. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

  • Agency for Healthcare Research and Quality (AHRQ) Research Grants
  • National Institutes of Health (NIH) Research Contracts
  • Centers for Medicare & Medicaid Services (CMS) Consulting Services
  • Department of Veterans Affairs (VA) Healthcare Research

Risk Flags

  • Cost-Plus Award Fee structure requires careful monitoring of performance metrics.
  • Broad 'Other Professional Services' category necessitates clear scope definition and management.
  • Long contract duration requires sustained government oversight.

Tags

healthcare, professional-services, agency-for-healthcare-research-and-quality, department-of-health-and-human-services, cost-plus-award-fee, full-and-open-competition, research-and-development, long-term-contract, pennsylvania, emergency-care-research-institute

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $23.7 million to EMERGENCY CARE RESEARCH INSTITUTE. OTHER PROFESSIONAL SERVICES

Who is the contractor on this award?

The obligated recipient is EMERGENCY CARE RESEARCH INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Agency for Healthcare Research and Quality).

What is the total obligated amount?

The obligated amount is $23.7 million.

What is the period of performance?

Start: 2007-07-17. End: 2014-08-21.

What specific professional services were rendered under this contract?

The provided data classifies this contract under 'OTHER PROFESSIONAL SERVICES' (NAICS code 541611) and identifies the contractor as Emergency Care Research Institute (ECRI). ECRI is known for its work in healthcare technology assessment, health policy research, patient safety, and evidence-based practice. Therefore, the services likely involved in-depth research, analysis, evaluation of healthcare technologies and practices, development of clinical guidelines, and providing expert advice to AHRQ on various healthcare-related issues. The exact scope would be detailed in the contract's Statement of Work (SOW), which is not provided here but would outline specific deliverables, research methodologies, and reporting requirements.

How does the annual average cost of this contract compare to similar professional services contracts within HHS?

The annual average cost of this contract is approximately $3.4 million ($23.7 million / 7 years). To benchmark this, one would need to compare it against other professional services contracts awarded by AHRQ or similar HHS agencies for comparable research, analysis, or consulting services. For instance, contracts for health technology assessments, policy analysis, or research support often range from hundreds of thousands to several million dollars annually, depending on the scope and duration. Without specific details on the services rendered and the complexity involved, a precise comparison is difficult. However, for a long-term, comprehensive research support contract, this figure appears within a plausible range for specialized federal health research procurements.

What are the key performance indicators (KPIs) used to determine award fees for ECRI?

The provided data does not specify the key performance indicators (KPIs) used to determine award fees for Emergency Care Research Institute (ECRI) under this contract. However, for a Cost Plus Award Fee (CPAF) contract, KPIs are typically defined in the contract's Performance Work Statement (PWS) or Statement of Work (SOW). These KPIs would be tailored to the specific professional services being procured. For ECRI's work with AHRQ, potential KPIs could include the timeliness and quality of research reports, the impact and utility of developed guidelines, successful completion of technology assessments, adherence to project milestones, and the overall satisfaction of the government contracting officer with the services provided. The government would evaluate ECRI's performance against these metrics to determine the amount of award fee earned.

What is the track record of Emergency Care Research Institute (ECRI) with federal contracts?

Emergency Care Research Institute (ECRI) has a history of working with federal agencies, particularly within the healthcare domain. While this specific contract with AHRQ is a significant award, ECRI has likely engaged in other federal contracts or grants related to healthcare research, technology assessment, and patient safety. Their reputation as a non-profit organization focused on improving patient care through evidence-based research suggests a generally positive track record. A deeper dive into federal procurement databases (like FPDS or SAM.gov) would reveal the full extent of their federal contracting history, including other agencies they have served, contract values, and performance ratings, if publicly available.

How has spending on 'Other Professional Services' by the Agency for Healthcare Research and Quality (AHRQ) evolved over time?

To assess the evolution of AHRQ's spending on 'Other Professional Services,' one would need to analyze historical contract data over multiple fiscal years. This contract, awarded in 2007 and ending in 2014, represents spending during that period. A trend analysis would involve examining AHRQ's total obligations for NAICS code 541611 (Management Consulting Services, which often encompasses 'Other Professional Services' in this context) and potentially related codes. Factors influencing this spending include shifts in healthcare policy, research priorities, budget allocations, and the increasing complexity of healthcare challenges requiring external expertise. Comparing this $23.7 million award to AHRQ's overall budget and its spending on similar services in preceding and subsequent years would provide context on its significance.

Industry Classification

NAICS: InformationRadio and Television Broadcasting StationsRadio Broadcasting Stations

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 5200 BUTLER PIKE, PLYMOUTH MEETING, PA, 19462

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

Financial Breakdown

Contract Ceiling: $23,687,508

Exercised Options: $23,687,508

Current Obligation: $23,687,508

Contract Characteristics

Cost or Pricing Data: YES

Timeline

Start Date: 2007-07-17

Current End Date: 2014-08-21

Potential End Date: 2014-08-21 00:00:00

Last Modified: 2015-08-01

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