NIH awarded $14M for cancer preventive agent research to C C S ASSOCIATES INC over 7 years

Contract Overview

Contract Amount: $14,049,331 ($14.0M)

Contractor: C C S Associates Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2004-09-30

End Date: 2011-09-29

Contract Duration: 2,555 days

Daily Burn Rate: $5.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: TECHNICAL INFORMATION RESEARCH RESOURCES FOR CANCER PREVENTIVE AGENT DEVELOPMENT

Place of Performance

Location: MOUNTAIN VIEW, SANTA CLARA County, CALIFORNIA, 94043

State: California Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $14.0 million to C C S ASSOCIATES INC for work described as: TECHNICAL INFORMATION RESEARCH RESOURCES FOR CANCER PREVENTIVE AGENT DEVELOPMENT Key points: 1. Contract value appears reasonable given the 7-year duration and specialized research focus. 2. Full and open competition suggests a competitive bidding process was utilized. 3. The contract type (Cost Plus Fixed Fee) may present some cost control challenges. 4. Performance period spans 7 years, indicating a long-term research commitment. 5. The contract falls under scientific and technical consulting services, a broad category. 6. No small business set-aside was applied, suggesting larger firms were likely involved.

Value Assessment

Rating: fair

The total award of $14.05 million over approximately 7 years averages to about $2 million per year. Benchmarking this against similar research and development contracts is challenging without more specific details on the scope of work. However, the Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility in research, can sometimes lead to higher overall costs compared to fixed-price contracts if not managed carefully. The fixed fee component provides some cost certainty for the contractor, but the cost-reimbursement aspect requires robust oversight to ensure efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. This suggests a robust bidding process where multiple companies likely vied for the contract. The level of competition is not explicitly stated in terms of the number of bidders, but the designation implies a market that was accessible to a wide range of potential contractors.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation, leading to better value for the government's investment.

Public Impact

The primary beneficiaries are researchers and institutions involved in cancer prevention, who will receive resources and support. The contract supports the development of cancer preventive agents, a critical area of public health research. Geographic impact is likely national, given the NIH's mission, though specific research sites may be localized. Workforce implications include employment for scientists, researchers, and support staff within the contractor's organization and potentially partner institutions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not closely monitored.
Long performance period (7 years) increases the risk of scope creep or changing research priorities.
Lack of specific performance metrics makes it difficult to assess contractor efficiency and effectiveness.
The broad nature of 'Other Scientific and Technical Consulting Services' could allow for significant flexibility, potentially impacting focused outcomes.

Positive Signals

Awarded under full and open competition, suggesting a competitive process and potential for good value.
The contract supports critical cancer research, aligning with a significant public health objective.
The contractor, C C S ASSOCIATES INC, has a long-standing relationship with the government, indicated by the award date and duration.
The fixed fee component in the CPFF contract provides a degree of cost predictability for the government.

Sector Analysis

This contract falls within the broader scientific research and development services sector, specifically focusing on pharmaceutical and biotechnology research. The market for such services is highly specialized, involving a mix of government funding, academic institutions, and private sector R&D. Comparable spending benchmarks would typically be found within NIH's overall budget for extramural research grants and contracts aimed at disease prevention and treatment.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). This suggests that the scope and requirements of the contract were likely geared towards larger organizations with the capacity and expertise to handle complex, long-term research projects. There is no explicit information on subcontracting plans, but typically, prime contractors in such large awards may engage small businesses for specialized support services.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Institutes of Health (NIH), a component of the Department of Health and Human Services (HHS). As a Cost Plus Fixed Fee contract, rigorous financial oversight and auditing would be expected to ensure that costs are reasonable and allocable to the contract. Transparency would be facilitated through contract reporting mechanisms, and the HHS Office of Inspector General (OIG) would have jurisdiction for audits and investigations if any impropriety were suspected.

Related Government Programs

National Cancer Institute Research Grants
NIH Extramural Research Programs
Biomedical Research and Development Contracts
Public Health Service Contracts
Cancer Prevention Research Funding

Risk Flags

Potential for cost overruns due to CPFF structure.
Risk of research relevance diminishing over the long performance period.
Need for robust oversight to ensure efficient use of funds.
Broad service category may lack specific performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $14.0 million to C C S ASSOCIATES INC. TECHNICAL INFORMATION RESEARCH RESOURCES FOR CANCER PREVENTIVE AGENT DEVELOPMENT

Who is the contractor on this award?

The obligated recipient is C C S ASSOCIATES 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 $14.0 million.

What is the period of performance?

Start: 2004-09-30. End: 2011-09-29.

What is the specific research focus of 'TECHNICAL INFORMATION RESEARCH RESOURCES FOR CANCER PREVENTIVE AGENT DEVELOPMENT'?

The contract title, 'TECHNICAL INFORMATION RESEARCH RESOURCES FOR CANCER PREVENTIVE AGENT DEVELOPMENT,' suggests the primary objective is to gather, analyze, and disseminate technical information and research resources crucial for the development of agents that prevent cancer. This could encompass a wide range of activities, including literature reviews, data analysis, identification of potential therapeutic targets, evaluation of existing research, and potentially the development of databases or platforms to support these efforts. The specific nature of the 'agents' and the 'development' process would be detailed in the contract's statement of work, which is not provided here. However, the overarching goal is to advance the scientific understanding and practical application of cancer prevention strategies through robust research support.

How does the Cost Plus Fixed Fee (CPFF) structure impact the value for money in this contract?

The Cost Plus Fixed Fee (CPFF) contract structure aims to balance flexibility for the contractor with cost control for the government. In this case, the government agrees to reimburse the contractor (C C S ASSOCIATES INC) for all allowable costs incurred during the performance of the contract, plus a predetermined fixed fee. This fee represents the contractor's profit. While the fixed fee provides some predictability regarding the contractor's profit margin, the 'cost-plus' element means the total contract cost can fluctuate based on actual expenses. For value for money, effective oversight is critical to ensure that costs are reasonable, allocable, and necessary. If costs escalate beyond initial projections without a corresponding increase in value or scope, the value for money could be diminished. Conversely, if the flexibility allows the contractor to adapt to research challenges and achieve breakthroughs efficiently, it could represent good value.

What are the potential risks associated with a 7-year performance period for a research contract?

A 7-year performance period for a research contract, such as this one for cancer preventive agent development, presents several potential risks. Firstly, the scientific landscape can change dramatically over such a long timeframe. New discoveries, technological advancements, or shifts in research priorities by the funding agency (NIH) could render the original objectives less relevant or necessitate significant modifications to the research plan. Secondly, maintaining consistent project management, scientific direction, and contractor engagement over an extended period can be challenging. There's a risk of 'project fatigue' or a decline in momentum. Thirdly, the longer the contract duration, the greater the potential for unforeseen cost increases due to inflation, changes in labor rates, or unexpected research hurdles. Robust contract management, including regular reviews and flexibility for amendments, is essential to mitigate these risks.

Can we compare the annual spending on this contract to other NIH research initiatives?

The total award for this contract is approximately $14.05 million over roughly 2555 days (7 years), averaging about $2 million per year. Comparing this annual figure to other NIH research initiatives requires context. The NIH manages a vast portfolio of research, with annual budgets in the tens of billions of dollars. Individual research grants can range from hundreds of thousands to millions of dollars per year, depending on the scope and duration. Large, multi-year contracts like this one, focused on specific development areas, are common. However, without knowing the specific research area's funding priorities or the scale of comparable projects, it's difficult to definitively state whether $2 million annually represents high, low, or average spending. It appears to be a significant but not exceptionally large investment within the broader NIH funding landscape.

What does the 'Other Scientific and Technical Consulting Services' (NAICS 541690) classification imply about the contractor's role?

The NAICS code 541690, 'Other Scientific and Technical Consulting Services,' indicates a broad category of services that are not elsewhere classified. For this contract, it implies that C C S ASSOCIATES INC is likely providing expert advice, analysis, and technical support related to scientific research and development, specifically in the area of cancer prevention. This could involve tasks such as research design, data interpretation, feasibility studies, technical assessments, or providing specialized knowledge that the government agency (NIH) may not possess internally. It suggests a role focused on intellectual contribution and guidance rather than direct laboratory experimentation or manufacturing, although it could support those activities by providing critical information and resources.

What is the track record of C C S ASSOCIATES INC with federal contracts, based on the provided data?

The provided data indicates that C C S ASSOCIATES INC was awarded this contract, which had a start date of September 30, 2004, and an end date of September 29, 2011. This signifies a contract duration of approximately 7 years. While this specific data point shows a successful award and completion of a substantial contract with the Department of Health and Human Services (specifically NIH), it doesn't provide a comprehensive view of their entire federal contracting history. To assess their overall track record, one would need to examine other contracts awarded to them, including their performance history, any past performance issues, and their success rate in competitive bidding across various agencies and contract types.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation ID: N02CN4500546

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Address: N/A

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

Financial Breakdown

Contract Ceiling: $52,186,662

Exercised Options: $23,763,932

Current Obligation: $14,049,331

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline