DoD awards $36.2M for R&D to ChemImage Biothreat, LLC, a sole-source contract

Contract Overview

Contract Amount: $36,243,788 ($36.2M)

Contractor: Chemimage Biothreat, LLC

Awarding Agency: Department of Defense

Start Date: 2010-12-09

End Date: 2014-12-31

Contract Duration: 1,483 days

Daily Burn Rate: $24.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: FUNDING FOR CLIN 0001

Place of Performance

Location: PITTSBURGH, ALLEGHENY County, PENNSYLVANIA, 15208

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $36.2 million to CHEMIMAGE BIOTHREAT, LLC for work described as: FUNDING FOR CLIN 0001 Key points: 1. Contract awarded to a single vendor, limiting competitive pricing. 2. Focus on R&D in physical, engineering, and life sciences. 3. Potential risk associated with sole-source procurement and cost-plus contract type. 4. Significant funding allocated over a 4-year period.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to higher costs as the contractor is reimbursed for expenses plus a fixed fee. Without competitive bidding, it's difficult to assess if the pricing is optimal compared to similar R&D contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This significantly limits price discovery and competition, potentially leading to higher costs for taxpayers.

Taxpayer Impact: The lack of competition in this sole-source award raises concerns about the efficient use of taxpayer funds.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The specific R&D outcomes and their public benefit are not detailed. Reliance on a single vendor for critical research could pose supply chain risks.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Cost-plus contract type
  • Lack of competition
  • Limited transparency on R&D outcomes

Positive Signals

  • Focus on critical R&D area
  • Long-term funding commitment

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology) sector. Spending in this sector is often characterized by innovation and high risk, with significant government investment.

Small Business Impact

The contract was awarded to a single entity, ChemImage Biothreat, LLC, and there is no indication of small business participation or subcontracting in the provided data.

Oversight & Accountability

The contract was managed by the Defense Contract Management Agency. Oversight would focus on ensuring the contractor meets the cost-plus fixed fee requirements and delivers on the R&D objectives.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Sole-source award limits competition and price discovery.
  • Cost-plus contract type can incentivize higher spending.
  • Lack of transparency regarding specific research objectives and outcomes.
  • Potential for contractor lock-in due to specialized R&D.
  • No indication of small business participation.

Tags

research-and-development-in-the-physical, department-of-defense, pa, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.2 million to CHEMIMAGE BIOTHREAT, LLC. FUNDING FOR CLIN 0001

Who is the contractor on this award?

The obligated recipient is CHEMIMAGE BIOTHREAT, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $36.2 million.

What is the period of performance?

Start: 2010-12-09. End: 2014-12-31.

What specific biothreat research is being conducted, and what are the expected deliverables or milestones for this $36.2M investment?

The provided data does not specify the exact nature of the biothreat research or the expected deliverables. Further investigation into contract details and agency reports would be necessary to understand the specific research objectives and milestones. This information is crucial for assessing the value and potential impact of the funding.

Given the sole-source nature and cost-plus contract type, what measures were in place to ensure cost control and prevent potential overruns?

Sole-source awards and cost-plus contracts inherently carry higher risks of cost overruns. While the Defense Contract Management Agency likely provided oversight, specific cost control mechanisms like robust auditing, detailed milestone tracking, and strict adherence to the fixed fee component would be critical. The absence of competition means these internal controls are paramount.

How does the R&D conducted under this contract align with current national security priorities related to biothreat defense, and what is the projected timeline for realizing its benefits?

The alignment with national security priorities is implied by the Department of Defense as the awarding agency. However, the specific R&D focus and its contribution to biothreat defense capabilities are not detailed. The contract duration ending in 2014 suggests that benefits, if realized, should have begun to emerge, but the timeline for full impact is likely longer-term and dependent on the research outcomes.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Chemimage Corporation

Address: 7301 PENN AVE, PITTSBURGH, PA, 15208

Business Categories: Category Business, Limited Liability Corporation, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $39,537,237

Exercised Options: $36,321,722

Current Obligation: $36,243,788

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2010-12-09

Current End Date: 2014-12-31

Potential End Date: 2014-12-31 00:00:00

Last Modified: 2025-12-31

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