DoD's $328.6M Contract with Battelle for NBACC FFRDC Services: A Decade of Management Consulting

Contract Overview

Contract Amount: $328,638,019 ($328.6M)

Contractor: Battelle National Biodefense Institute, LLC

Awarding Agency: Department of Defense

Start Date: 2006-12-15

End Date: 2016-03-19

Contract Duration: 3,382 days

Daily Burn Rate: $97.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: NBACC FFRDC- AWARD PROCESSED THROUGH USAMRAA

Place of Performance

Location: COLUMBUS, FRANKLIN County, OHIO, 43201

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $328.6 million to BATTELLE NATIONAL BIODEFENSE INSTITUTE, LLC for work described as: NBACC FFRDC- AWARD PROCESSED THROUGH USAMRAA Key points: 1. The contract awarded to Battelle National Biodefense Institute, LLC, represents a significant investment in biodefense research and development support. 2. Competition was full and open, suggesting a robust process for selecting the contractor. 3. The contract's duration and value indicate a long-term, critical need for these specialized administrative and management services. 4. The absence of small business participation is noted, potentially limiting broader economic impact.

Value Assessment

Rating: fair

The total award of $328.6 million over approximately 9.3 years suggests an average annual spend of roughly $35 million. Benchmarking this against similar FFRDC contracts for management and administrative services is difficult without more granular data on the specific services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple bidders had the opportunity to compete. This method generally promotes price discovery and ensures the government receives competitive pricing.

Taxpayer Impact: While competition was robust, the long-term nature and significant value of this contract mean taxpayers are funding a substantial, ongoing service requirement.

Public Impact

Supports critical national biodefense research infrastructure. Ensures continuity of operations for a key federal research center. Provides specialized management and administrative expertise for complex scientific endeavors. Long-term commitment may indicate a stable but potentially less flexible approach to service acquisition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of small business participation.
  • Long contract duration may limit agility.
  • Cost Plus Fixed Fee structure can incentivize cost growth if not managed tightly.

Positive Signals

  • Full and open competition ensures a competitive selection process.
  • Contract supports a critical national security function (biodefense).
  • Established FFRDC relationship provides continuity and expertise.

Sector Analysis

This contract falls under administrative management and general management consulting services, specifically supporting the National Biodefense Analysis and Countermeasures Center (NBACC) FFRDC. Spending in this category can vary widely, but FFRDC support often represents a significant, long-term investment.

Small Business Impact

The data indicates that small businesses were not involved in this contract (ss: false, sb: false). This suggests that the prime contractor, Battelle, is a large entity and that opportunities for small business subcontracting may have been limited or not pursued.

Oversight & Accountability

The contract was processed through USAMRAA, implying adherence to established procurement regulations. However, the long duration and FFRDC nature warrant ongoing oversight to ensure continued value and alignment with national biodefense objectives.

Related Government Programs

  • Administrative Management and General Management Consulting Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for cost overruns due to CPFF structure.
  • Lack of small business participation limits economic inclusion.
  • Long contract duration may reduce flexibility in adapting to changing needs.
  • Dependence on a single FFRDC contractor for critical support.

Tags

administrative-management-and-general-ma, department-of-defense, oh, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $328.6 million to BATTELLE NATIONAL BIODEFENSE INSTITUTE, LLC. NBACC FFRDC- AWARD PROCESSED THROUGH USAMRAA

Who is the contractor on this award?

The obligated recipient is BATTELLE NATIONAL BIODEFENSE INSTITUTE, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $328.6 million.

What is the period of performance?

Start: 2006-12-15. End: 2016-03-19.

What specific management and administrative services were provided under this contract, and how did they contribute to the NBACC's mission?

The contract number and NAICS code (541611) suggest services related to general management consulting and administrative support. For the NBACC FFRDC, this likely encompassed program management, strategic planning, financial administration, and operational support crucial for maintaining a high-level biodefense research facility. The effectiveness hinges on how well these services enabled the NBACC's core research and countermeasure development functions.

Given the Cost Plus Fixed Fee (CPFF) structure, what mechanisms were in place to control costs and mitigate the risk of contractor inefficiency?

CPFF contracts, while allowing for flexibility, carry inherent risks of cost overruns. Effective oversight would involve rigorous monitoring of expenditures, clear performance metrics, and potentially incentive clauses tied to cost savings or efficiency gains. The 'br' (base-to-option ratio?) value of 97173 might offer some insight, but without context, it's hard to assess its impact on cost control.

How does the performance of Battelle National Biodefense Institute, LLC, under this contract align with the government's long-term biodefense strategy and goals?

The decade-long award suggests a strong alignment with the government's strategic needs in biodefense. As an FFRDC, Battelle is expected to provide objective advice and specialized capabilities. Evaluating alignment requires assessing the NBACC's research outputs, contributions to national security, and adaptability to evolving threats, all facilitated by the management and administrative support provided.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

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: Battelle Memorial Institute (UEI: 007901598)

Address: 110 THOMAS JOHNSON DR STE 200, FREDERICK, MD, 21702

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

Financial Breakdown

Contract Ceiling: $328,638,019

Exercised Options: $328,638,019

Current Obligation: $328,638,019

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2006-12-15

Current End Date: 2016-03-19

Potential End Date: 2016-03-19 00:00:00

Last Modified: 2021-09-01

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