HHS awarded $920K for testing services to Interpflow Corp, with a 2428-day duration

Contract Overview

Contract Amount: $92,072 ($92.1K)

Contractor: Interpflow Corporation

Awarding Agency: Department of Health and Human Services

Start Date: 2017-01-26

End Date: 2023-09-20

Contract Duration: 2,428 days

Daily Burn Rate: $38/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IGF::CL::IGF TESTING SERVICES INTERPFLOW CORP:1139076 [17-000102]

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $92,072 to INTERPFLOW CORPORATION for work described as: IGF::CL::IGF TESTING SERVICES INTERPFLOW CORP:1139076 [17-000102] Key points: 1. The contract's long duration suggests a need for sustained testing services. 2. Fixed-price contract type may offer cost certainty but limits flexibility for scope changes. 3. The award was made under Simplified Acquisition Procedures (SAP), indicating a smaller value procurement. 4. The geographic location of the contractor in Maryland might influence local economic impact. 5. The specific nature of 'Testing Laboratories and Services' points to a specialized technical requirement.

Value Assessment

Rating: fair

The contract value of $920,720 over approximately 6.7 years averages to about $137,000 annually. Without specific details on the testing services provided, it is difficult to benchmark against similar contracts. However, the fixed-price nature suggests an attempt to control costs, but the long duration could lead to cost overruns if not managed carefully. The value appears moderate for a government contract of this length.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders and less formal solicitation processes compared to full and open competition. While the exact number of bidders is not specified, SAP awards are generally not subject to the same level of competitive pressure as larger procurements. This suggests that the agency may have had specific reasons for limiting the competition, potentially related to urgency or pre-existing relationships.

Taxpayer Impact: For taxpayers, limited competition under SAP can sometimes result in higher prices than if the contract had been broadly competed. However, it can also lead to faster award times for essential services.

Public Impact

The National Institutes of Health (NIH) benefits from these testing services, likely supporting its research and development initiatives. The services delivered are categorized under 'Testing Laboratories and Services', indicating a focus on scientific or technical validation. The geographic impact is primarily within Maryland, where the contractor is located. Workforce implications may include employment opportunities for technical and laboratory staff at Interpflow Corporation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (2428 days) could lead to scope creep or price increases if not tightly managed.
Reliance on a single awardee for a prolonged period might reduce future competitive options.
Simplified Acquisition Procedures may limit the pool of potential offerors, potentially impacting price competitiveness.

Positive Signals

Fixed-price contract type provides cost predictability for the agency.
The contract was awarded to a specific firm, suggesting they met the agency's technical requirements.
The long duration indicates a sustained need for the services, implying a valuable role in the agency's operations.

Sector Analysis

The 'Testing Laboratories and Services' category (NAICS 541380) falls within the broader professional, scientific, and technical services sector. This sector is crucial for government agencies, particularly in research and development, quality assurance, and regulatory compliance. The market size for such services is substantial, with numerous firms offering specialized testing capabilities. This contract represents a small portion of overall federal spending in this domain, likely supporting a specific NIH program's testing needs.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a result, there are no direct subcontracting implications for small businesses stemming from a set-aside requirement. The prime contractor, Interpflow Corporation, is likely a small business itself given the contract value and SAP competition, but this is not explicitly stated. The impact on the broader small business ecosystem is minimal without specific subcontracting goals.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Health and Human Services, specifically the National Institutes of Health. As a purchase order awarded under SAP, detailed oversight mechanisms might be less formalized than for larger, more complex contracts. Accountability would be managed through performance reviews and adherence to the fixed-price terms. Transparency is generally limited for SAP procurements compared to full and open competition, though contract award data is publicly available.

Related Government Programs

NIH Research and Development Contracts
Federal Scientific and Technical Services
Government Testing and Evaluation Contracts

Risk Flags

Long contract duration may increase risk of cost escalation or scope creep.
Limited competition under SAP could impact price competitiveness.
Lack of detailed service description hinders full value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $92,072 to INTERPFLOW CORPORATION. IGF::CL::IGF TESTING SERVICES INTERPFLOW CORP:1139076 [17-000102]

Who is the contractor on this award?

The obligated recipient is INTERPFLOW CORPORATION.

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 $92,072.

What is the period of performance?

Start: 2017-01-26. End: 2023-09-20.

What specific types of testing services does Interpflow Corporation provide under this contract?

The provided data categorizes the contract under NAICS code 541380, 'Testing Laboratories and Services.' However, it does not specify the exact nature of these services. Given the awarding agency is the National Institutes of Health (NIH), the testing likely pertains to biomedical research, pharmaceutical development, medical device validation, or laboratory analysis related to public health initiatives. Further details would require examining the contract's statement of work or task orders, which are not included in the provided data.

How does the $920,720 contract value compare to typical spending for similar testing services at NIH?

The total contract value of $920,720 spread over approximately 6.7 years (2428 days) equates to an average annual spend of roughly $137,000. This is a moderate annual figure for specialized testing services within a large agency like NIH. Without knowing the specific testing requirements, it's challenging to make a precise comparison. However, NIH procures a wide range of services, from small, targeted analyses to large-scale, multi-year research support contracts. This particular award appears to be for a sustained, but not exceptionally large, service requirement.

What are the potential risks associated with a fixed-price contract of this duration?

A significant risk with a long-duration fixed-price contract is the potential for the contractor to face unforeseen cost increases due to inflation, material price volatility, or changes in labor costs over the contract's 6.7-year term. If costs rise significantly beyond initial estimates, the contractor may struggle to deliver services profitably, potentially impacting quality or leading to requests for modification. Conversely, if the contractor becomes highly efficient, the government might be paying above market rates by the end of the term. Effective performance monitoring is crucial to mitigate these risks.

What does 'COMPETED UNDER SAP' imply about the competition and potential value for money?

'COMPETED UNDER SAP' means the contract was awarded using Simplified Acquisition Procedures, typically for purchases under the federal micro-purchase and simplified acquisition thresholds (often $250,000, but can be higher for certain agencies/circumstances). This usually involves a less formal, quicker process with a limited number of quotes or proposals solicited. While it can lead to faster acquisition, it generally offers less robust price competition than full and open competition. The value for money is therefore potentially less optimized, though agencies use SAP for efficiency when appropriate for the acquisition's scale and urgency.

What is the historical spending pattern for Interpflow Corporation with the federal government?

The provided data only details one contract award to Interpflow Corporation: this specific purchase order valued at $920,720 with an end date of September 20, 2023. There is no information here about prior or subsequent contracts, making it impossible to assess a historical spending pattern. To understand their track record, one would need to search federal procurement databases (like FPDS or USASpending) for all contracts awarded to 'INTERPFLOW CORPORATION' across all agencies and contract types.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Testing Laboratories and Services

Product/Service Code: MEDICAL SERVICES › LABORATORY TESTING SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: NIHCC17000102

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5201 BLUE LAGOON DR FL 8, MIAMI, FL, 33126

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $92,072

Exercised Options: $92,072

Current Obligation: $92,072

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline