NIH awards $12.2M for Biomedical R&D to Emergent Product Development, a definitive contract

Contract Overview

Contract Amount: $12,196,302 ($12.2M)

Contractor: Emergent Product Development Gaithersburg Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2007-09-21

End Date: 2011-12-31

Contract Duration: 1,562 days

Daily Burn Rate: $7.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: BIOMEDICAL (BASIC)

Place of Performance

Location: GAITHERSBURG, MONTGOMERY County, MARYLAND, 20879

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.2 million to EMERGENT PRODUCT DEVELOPMENT GAITHERSBURG INC. for work described as: BIOMEDICAL (BASIC) Key points: 1. Spending focuses on Research and Development in Physical, Engineering, and Life Sciences. 2. The contract was awarded under full and open competition. 3. The primary contractor is Emergent Product Development. 4. This award represents a small portion of the overall NIH budget for R&D.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award amount of $12.2M for a 4-year period suggests a moderate investment in R&D.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating a robust price discovery process. This method generally ensures competitive pricing by allowing all eligible vendors to bid.

Taxpayer Impact: Taxpayer funds are being used for critical biomedical research, with the potential for significant public health benefits. The competitive award process aims to ensure efficient use of these funds.

Public Impact

Supports advancements in biomedical research, potentially leading to new treatments or technologies. Funding directed towards a specific company, Emergent Product Development, for specialized R&D. The contract duration of over 4 years indicates a long-term research objective.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Long contract duration may present risks if project scope changes.

Positive Signals

  • Awarded under full and open competition.
  • Supports critical R&D in the life sciences sector.

Sector Analysis

This spending falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Benchmarks for R&D contracts vary widely based on scope and duration, but $12.2M over four years is a substantial investment for a single project.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors or partners in this contract. The primary awardee is Emergent Product Development, whose size relative to small business status is not specified.

Oversight & Accountability

The contract was awarded by the National Institutes of Health (NIH), a major agency within HHS, suggesting established oversight mechanisms. However, the specific oversight details for this definitive contract are not provided.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences
  • Department of Health and Human Services Contracting
  • National Institutes of Health Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Long contract duration (over 4 years).
  • Lack of specific detail on expected outcomes.
  • No information on small business participation.

Tags

research-and-development-in-the-physical, department-of-health-and-human-services, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.2 million to EMERGENT PRODUCT DEVELOPMENT GAITHERSBURG INC.. BIOMEDICAL (BASIC)

Who is the contractor on this award?

The obligated recipient is EMERGENT PRODUCT DEVELOPMENT GAITHERSBURG 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 $12.2 million.

What is the period of performance?

Start: 2007-09-21. End: 2011-12-31.

What specific biomedical advancements are expected from this $12.2M investment, and how will their success be measured?

The specific advancements are not detailed in the provided data. Success measurement would typically involve milestones outlined in the Cost Plus Fixed Fee contract, focusing on research progress, data generation, and potential for future development. NIH program officers would monitor adherence to research protocols and achievement of defined objectives.

What are the potential risks associated with a Cost Plus Fixed Fee contract for long-term R&D, and how are they mitigated?

Risks include potential cost overruns if the contractor's actual costs exceed projections, as the government pays the fixed fee plus actual costs. Mitigation involves rigorous monitoring of expenditures, clear definition of contract scope, and performance metrics to ensure the contractor remains efficient and focused on achieving research goals within budget constraints.

How does this contract contribute to the overall strategic goals of the National Institutes of Health in biomedical research?

This contract likely supports NIH's mission to seek fundamental knowledge about the nature and behavior of living systems and the application of that knowledge to enhance health, lengthen life, and prevent illness. The specific R&D focus aligns with NIH's strategic priorities in areas like disease prevention, treatment development, or basic biological understanding.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENTN – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 4

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Emergent Biosolutions Inc. (UEI: 173570271)

Address: 300 PROFESSIONAL DR # 100, GAITHERSBURG, MD, 20879

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $12,196,302

Exercised Options: $12,196,302

Current Obligation: $12,196,302

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2007-09-21

Current End Date: 2011-12-31

Potential End Date: 2011-12-31 00:00:00

Last Modified: 2021-09-01

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