HHS awarded $15.1M to Research Triangle Institute for scientific consulting, with a 5-year duration

Contract Overview

Contract Amount: $15,090,949 ($15.1M)

Contractor: Research Triangle Institute

Awarding Agency: Department of Health and Human Services

Start Date: 2008-09-02

End Date: 2013-09-01

Contract Duration: 1,825 days

Daily Burn Rate: $8.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: NATIONAL LABORATORY CERTIFICATION PROGRAMSOLICITATION NO. 277-08-0208

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $15.1 million to RESEARCH TRIANGLE INSTITUTE for work described as: NATIONAL LABORATORY CERTIFICATION PROGRAMSOLICITATION NO. 277-08-0208 Key points: 1. The contract's cost-plus-award-fee structure incentivizes performance but can lead to higher final costs. 2. Full and open competition was utilized, suggesting a potentially competitive bidding process. 3. The contract duration of 1825 days (5 years) indicates a long-term need for these services. 4. The North Carolina location for the contractor may have implications for local economic impact. 5. The NAICS code 541690 points to a broad category of scientific and technical consulting services.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables and performance metrics. The cost-plus-award-fee (CPAF) pricing model allows for cost reimbursement plus a fixed fee that can be adjusted based on performance. While this can incentivize good performance, it also carries the risk of cost overruns if not managed tightly. Comparing this to similar contracts for scientific consulting services would require detailed analysis of the scope of work and the specific outcomes achieved.

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 offers. This suggests a robust bidding environment, which typically leads to better price discovery and potentially more competitive pricing for the government. The number of bidders is not specified, but the process itself implies a level of market engagement.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve the quality of services received.

Public Impact

The primary beneficiaries are likely the Substance Abuse and Mental Health Services Administration (SAMHSA) and potentially the broader public through the services supported by this contract. The contract supports scientific and technical consulting services, likely contributing to research, program evaluation, or policy development within SAMHSA's mission. The geographic impact is primarily centered in North Carolina, where Research Triangle Institute is located, potentially creating local employment and economic activity. Workforce implications may include the employment of scientists, researchers, and technical staff at Research Triangle Institute.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-award-fee contracts can sometimes lead to higher overall costs compared to fixed-price contracts if not meticulously managed.
The broad NAICS code (541690) makes it difficult to assess the specificity and necessity of the services without further detail.
The contract's duration of five years requires ongoing monitoring to ensure continued relevance and value.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that should yield fair pricing.
The contractor, Research Triangle Institute, is a well-established research organization, implying a level of expertise.
The contract duration indicates a sustained need for the services, suggesting importance to the agency's mission.

Sector Analysis

The contract falls under the 'Other Scientific and Technical Consulting Services' category (NAICS 541690). This sector is broad and encompasses a wide range of specialized advisory and analytical services. Spending in this area by federal agencies is often tied to research, development, program evaluation, and policy analysis. Comparable spending benchmarks would depend heavily on the specific nature of the consulting provided, but federal agencies frequently contract for such expertise to supplement internal capabilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. The primary focus of competition was likely on larger, established research institutions capable of fulfilling the contract requirements.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Health and Human Services, specifically the Substance Abuse and Mental Health Services Administration (SAMHSA). Accountability measures would be tied to the terms of the Cost Plus Award Fee (CPAF) contract, including performance metrics and deliverables. Transparency is generally facilitated through contract award databases, though specific performance details may be less public. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

National Laboratory Certification Program
Substance Abuse and Mental Health Services Administration Contracts
Scientific and Technical Consulting Services Contracts
Department of Health and Human Services Research Contracts

Risk Flags

Cost-plus-award-fee structure requires careful monitoring to control costs.
Broad NAICS code necessitates detailed review of specific deliverables for value assessment.
Contract duration of 5 years requires ongoing justification and performance management.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $15.1 million to RESEARCH TRIANGLE INSTITUTE. NATIONAL LABORATORY CERTIFICATION PROGRAMSOLICITATION NO. 277-08-0208

Who is the contractor on this award?

The obligated recipient is RESEARCH TRIANGLE INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Substance Abuse and Mental Health Services Administration).

What is the total obligated amount?

The obligated amount is $15.1 million.

What is the period of performance?

Start: 2008-09-02. End: 2013-09-01.

What specific scientific and technical consulting services were provided under this contract?

The provided data indicates the contract falls under NAICS code 541690, 'Other Scientific and Technical Consulting Services.' However, it does not specify the exact nature of these services. Typically, such contracts could involve areas like program evaluation, data analysis, research support, policy development, or technical assistance related to substance abuse and mental health. To understand the specific services, one would need to review the contract's statement of work (SOW) or task orders, which detail the expected deliverables and activities.

How does the Research Triangle Institute's performance history with federal contracts compare to industry standards?

Research Triangle Institute (RTI) is a well-established non-profit research organization with a long history of performing work for federal agencies, including HHS. While specific performance ratings for this particular contract are not provided, RTI generally has a strong reputation for conducting high-quality research and providing technical assistance. A comprehensive assessment would involve reviewing RTI's past performance evaluations on similar federal contracts, looking for any patterns of success or areas of concern across multiple awards. Their extensive experience suggests a generally positive track record, but individual contract performance can vary.

What are the potential risks associated with a Cost Plus Award Fee (CPAF) contract structure for this type of service?

The primary risk with a CPAF contract is that it can incentivize contractors to incur costs, as their fee is tied to both cost and performance. While the 'award fee' component aims to reward exceptional performance, it can also lead to less stringent cost control compared to fixed-price contracts. For scientific consulting, where the scope can sometimes be less defined, there's a risk that costs could escalate if the project scope expands or if performance metrics are not clearly defined and monitored. Effective oversight by the government is crucial to mitigate these risks and ensure value for money.

How does the $15.1 million total award amount compare to typical spending for similar scientific consulting services by SAMHSA?

Without knowing the specific scope of work, it's difficult to definitively benchmark the $15.1 million award. However, SAMHSA, as a major agency within HHS, often awards significant contracts for research, evaluation, and technical assistance. This amount appears to be a substantial, multi-year award, consistent with the agency's need for specialized expertise over an extended period. To provide a precise comparison, one would need to analyze historical SAMHSA contracts within NAICS 541690 or similar service categories, considering contract duration, complexity, and the number of bidders.

What is the historical spending trend for 'Other Scientific and Technical Consulting Services' by the Department of Health and Human Services?

The Department of Health and Human Services (HHS) consistently spends significant amounts on scientific and technical consulting services, as reflected by this contract. Historical data would show a pattern of substantial investment in areas such as public health research, program evaluation, data analysis, and policy development across its various operating divisions, including SAMHSA. Spending in this category often fluctuates based on agency priorities, research initiatives, and the need for specialized external expertise. Analyzing trends would require examining HHS's overall budget allocations and specific contract awards over several fiscal years.

Industry Classification

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

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: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 3040 CORNWALLIS RD, RESEARCH TRIANGLE PARK, NC, 04

Business Categories: Category Business, Corporate Entity Tax Exempt, Federally Funded Research and Development Corp, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,781,118

Exercised Options: $15,090,949

Current Obligation: $15,090,949

Contract Characteristics

Cost or Pricing Data: NO

Timeline