DoD's $20.2M Biotechnology R&D Contract Awarded to Leidos, Inc. for Deployment Health Research

Contract Overview

Contract Amount: $20,231,991 ($20.2M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-08-28

End Date: 2026-08-27

Contract Duration: 729 days

Daily Burn Rate: $27.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: DEPLOYMENT HEALTH RESEARCH

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $20.2 million to LEIDOS, INC. for work described as: DEPLOYMENT HEALTH RESEARCH Key points: 1. Leidos, Inc. secured a significant contract for specialized biotechnology research. 2. The contract falls under the Research and Development in Biotechnology sector. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract duration is 729 days, indicating a medium-term project.

Value Assessment

Rating: good

The contract's Cost Plus Fixed Fee (CPFF) pricing structure is common for R&D, allowing for flexibility. Benchmarking against similar CPFF contracts in biotech R&D is needed for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The specific price discovery mechanisms within this competitive process would need further examination.

Taxpayer Impact: Taxpayer funds are being utilized for critical research and development in biotechnology, aiming for advancements in deployment health.

Public Impact

Advancements in deployment health research could lead to improved well-being for military personnel. Investment in biotechnology R&D supports innovation and technological progress within the defense sector. The contract award to Leidos, Inc. highlights the role of private sector expertise in government research initiatives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in CPFF contracts.
  • Reliance on a single contractor for a critical research area.

Positive Signals

  • Awarded through full and open competition.
  • Focus on a critical area of defense research.

Sector Analysis

This contract is within the Biotechnology R&D sector, a high-growth area with significant government investment. Spending benchmarks for similar R&D contracts can vary widely based on scope and complexity.

Small Business Impact

The data indicates this contract was not awarded to small businesses. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this larger award.

Oversight & Accountability

Oversight will be crucial to ensure the research objectives are met efficiently and within budget, given the CPFF structure. The Department of the Navy will be responsible for monitoring contractor performance and expenditures.

Related Government Programs

  • Research and Development in Biotechnology (except Nanobiotechnology)
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) pricing can lead to cost overruns if not managed carefully.
  • The specific deliverables and success metrics for this R&D contract need clear definition.
  • Potential for intellectual property disputes in R&D contracts.
  • Dependence on Leidos, Inc.'s specialized expertise.

Tags

research-and-development-in-biotechnolog, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.2 million to LEIDOS, INC.. DEPLOYMENT HEALTH RESEARCH

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $20.2 million.

What is the period of performance?

Start: 2024-08-28. End: 2026-08-27.

What specific deployment health challenges does this research aim to address, and what are the expected outcomes?

The research aims to address critical health challenges faced by deployed military personnel, potentially including infectious diseases, environmental health risks, or psychological well-being. Expected outcomes could range from new diagnostic tools and treatments to improved preventative measures and operational guidelines, ultimately enhancing soldier readiness and long-term health.

How does the CPFF pricing structure mitigate risks associated with R&D uncertainty while ensuring cost control?

The CPFF structure allows for flexibility in R&D where exact costs are unpredictable, covering allowable costs plus a fixed fee. Risk mitigation involves robust government oversight, clear performance metrics, and defined scope. Cost control relies on the fixed fee incentivizing efficiency, but requires diligent monitoring to prevent scope creep or unnecessary expenditures.

What is the potential long-term impact of this research on military healthcare and operational readiness?

Successful research outcomes could significantly improve military healthcare by providing advanced solutions for health threats encountered during deployments. This directly translates to enhanced operational readiness, as healthier service members are more capable of fulfilling their missions. Long-term, it could also reduce healthcare burdens and improve the quality of life for veterans.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in Biotechnology (except Nanobiotechnology)

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0018924QZ089

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 1750 PRESIDENTS ST, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $87,336,531

Exercised Options: $30,277,151

Current Obligation: $20,231,991

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $59,565

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT001122D0028

IDV Type: IDC

Timeline

Start Date: 2024-08-28

Current End Date: 2026-08-27

Potential End Date: 2030-02-28 00:00:00

Last Modified: 2026-01-09

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