NIH awards $28.6M for R&D in Physical, Engineering, and Life Sciences to Experimental Pathology Laboratories

Contract Overview

Contract Amount: $28,584,735 ($28.6M)

Contractor: Experimental Pathology Laboratories, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2000-06-15

End Date: 2008-09-29

Contract Duration: 3,028 days

Daily Burn Rate: $9.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: R&D-OTHER R & D-B RES

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20172

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $28.6 million to EXPERIMENTAL PATHOLOGY LABORATORIES, INC. for work described as: R&D-OTHER R & D-B RES Key points: 1. The contract value of $28.6 million over 8 years indicates a significant investment in research and development. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract type (Cost Plus Fixed Fee) carries inherent risk for the government in terms of cost overruns. 4. The sector is Research and Development, a critical area for scientific advancement.

Value Assessment

Rating: fair

The contract was awarded under a Cost Plus Fixed Fee structure, which can lead to higher costs for the government compared to fixed-price contracts. The final award amount of $28.6 million needs to be assessed against the scope of work and deliverables to determine true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters price discovery and competitive pricing. However, the Cost Plus Fixed Fee structure may mitigate some of the cost savings expected from competition.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers by promoting market efficiency. However, the cost-plus nature of the contract warrants careful monitoring to ensure costs remain reasonable.

Public Impact

This contract supports critical research and development activities within the physical, engineering, and life sciences. The long duration of the contract (over 8 years) suggests a sustained need for the services provided. The award to a single entity, Experimental Pathology Laboratories, Inc., highlights the specialized nature of the research.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can lead to cost overruns.
Long contract duration may not adapt well to evolving research needs.
Lack of specific performance metrics makes value assessment difficult.

Positive Signals

Full and open competition utilized.
Supports critical R&D in vital scientific fields.
Long-term commitment to research.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this sector is crucial for innovation and national competitiveness, with benchmarks varying widely based on the specific research area and agency.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The long duration and cost-plus nature of this contract necessitate robust oversight from the Department of Health and Human Services to ensure funds are used efficiently and effectively towards research objectives.

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 Overruns Risk (CPFF)
Scope Creep Risk
Lack of Measurable Outcomes
Long Contract Duration Inflexibility

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $28.6 million to EXPERIMENTAL PATHOLOGY LABORATORIES, INC.. R&D-OTHER R & D-B RES

Who is the contractor on this award?

The obligated recipient is EXPERIMENTAL PATHOLOGY LABORATORIES, 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 $28.6 million.

What is the period of performance?

Start: 2000-06-15. End: 2008-09-29.

What specific research outcomes were achieved with the $28.6 million awarded?

The provided data does not detail the specific research outcomes or deliverables associated with this contract. To assess the true value, a review of progress reports, final research findings, and any publications or patents resulting from the funding would be necessary. Understanding the tangible scientific advancements is key to evaluating the return on investment.

How were cost controls managed under the Cost Plus Fixed Fee structure to mitigate government risk?

The Cost Plus Fixed Fee (CPFF) structure inherently shifts some cost risk to the government. Effective oversight would involve rigorous auditing of direct costs, clear definition of indirect cost pools, and strict adherence to the negotiated fixed fee. Regular reviews and milestone tracking are crucial to ensure the contractor remains within projected cost parameters and the fee is justified by performance.

Was the full and open competition process effective in securing competitive pricing for the specialized R&D services?

While full and open competition was used, the CPFF contract type can complicate direct price comparisons. The effectiveness would depend on the number and quality of bids received, the government's negotiation strategy, and whether the final negotiated cost represented a fair market value for the specialized R&D. Benchmarking against similar contracts for comparable services would provide further insight.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 22866 SHAW RD, STERLING, VA, 10

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $110,796,035

Exercised Options: $76,938,023

Current Obligation: $28,584,735

Contract Characteristics

Multi-Year Contract: Yes

Timeline