USDA awards $500K for animal diagnostic testing to UC Davis, a sole-source contract

Contract Overview

Contract Amount: $500,000 ($500.0K)

Contractor: University of California, Davis

Awarding Agency: Department of Agriculture

Start Date: 2025-12-17

End Date: 2026-12-16

Contract Duration: 364 days

Daily Burn Rate: $1.4K/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: NATIONAL ANIMAL HEALTH LABORATORY NETWORK (NAHLN) DIAGNOSTIC TESTING SERVICES (USDA PROGRAM TRACKING PO 201653 PR 4127 CALIFORNIA)

Place of Performance

Location: DAVIS, YOLO County, CALIFORNIA, 95618

State: California Government Spending

Plain-Language Summary

Department of Agriculture obligated $500,000 to UNIVERSITY OF CALIFORNIA, DAVIS for work described as: NATIONAL ANIMAL HEALTH LABORATORY NETWORK (NAHLN) DIAGNOSTIC TESTING SERVICES (USDA PROGRAM TRACKING PO 201653 PR 4127 CALIFORNIA) Key points: 1. Contract awarded to a single source, raising questions about price competitiveness. 2. Limited competition may lead to higher costs for taxpayers. 3. The contract duration is one year, with potential for extensions. 4. Focus on veterinary services and diagnostic testing for animal health. 5. Geographic focus on California. 6. The contract type is Firm Fixed Price, providing cost certainty.

Value Assessment

Rating: questionable

The contract value of $500,000 for one year of diagnostic testing services is difficult to benchmark without more detailed service descriptions and comparable contract data. Given the sole-source nature of this award, it is challenging to assess if the pricing represents fair market value. Without competitive bids, there is a risk that the price may be higher than if the contract had been competed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP) and was awarded on a sole-source basis to the University of California, Davis. This indicates that either only one source was deemed capable of performing the required services, or a justification for other-than-full-and-open competition was utilized. The lack of multiple bidders limits the agency's ability to leverage market forces to achieve the best possible price.

Taxpayer Impact: Sole-source awards can potentially result in higher costs for taxpayers as there is no direct price competition to drive down the cost of services.

Public Impact

Benefits the University of California, Davis by providing funding for their diagnostic services. Delivers critical veterinary diagnostic testing services to support animal health initiatives. Geographic impact is primarily within California, supporting state and federal animal health programs. Supports a workforce of scientists, technicians, and support staff at the university's veterinary laboratory.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to suboptimal pricing.
Sole-source award requires strong justification to ensure necessity and fairness.
Limited transparency into the selection process due to non-competitive nature.

Positive Signals

University of California, Davis is a reputable institution with established veterinary diagnostic capabilities.
Firm Fixed Price contract provides budget predictability.
Contract supports critical animal health and disease surveillance efforts.

Sector Analysis

This contract falls within the broader scientific and research services sector, specifically focusing on veterinary diagnostics. The market for such specialized services can be limited, often involving academic institutions or specialized private laboratories. The value of $500,000 is relatively modest for a federal contract, suggesting a focused scope of work rather than a large-scale program.

Small Business Impact

This contract does not appear to involve small business set-asides, as it was awarded to a large university. There is no indication of subcontracting requirements for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem is likely minimal.

Oversight & Accountability

Oversight for this contract would typically reside with the Department of Agriculture's Animal and Plant Health Inspection Service (APHIS). Accountability measures would be tied to the delivery order terms and conditions, performance metrics, and payment schedules. Transparency is limited due to the sole-source nature of the award, but contract award details are publicly available.

Related Government Programs

National Animal Health Laboratory Network (NAHLN)
Animal Disease Surveillance Programs
Veterinary Diagnostic Services
USDA APHIS Programs

Risk Flags

Sole-source award limits price competition.
Potential for higher costs due to lack of competition.
Need for clear justification for non-competitive procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $500,000 to UNIVERSITY OF CALIFORNIA, DAVIS. NATIONAL ANIMAL HEALTH LABORATORY NETWORK (NAHLN) DIAGNOSTIC TESTING SERVICES (USDA PROGRAM TRACKING PO 201653 PR 4127 CALIFORNIA)

Who is the contractor on this award?

The obligated recipient is UNIVERSITY OF CALIFORNIA, DAVIS.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Animal and Plant Health Inspection Service).

What is the total obligated amount?

The obligated amount is $500,000.

What is the period of performance?

Start: 2025-12-17. End: 2026-12-16.

What specific diagnostic tests are included under this contract?

The provided data does not specify the exact diagnostic tests to be performed under this contract. However, given the context of the National Animal Health Laboratory Network (NAHLN) and the USDA's Animal and Plant Health Inspection Service (APHIS), these services likely encompass a range of tests for detecting and diagnosing animal diseases. This could include serological tests, molecular assays (like PCR), microbiological cultures, and histopathology, aimed at identifying pathogens, monitoring disease prevalence, and supporting outbreak investigations within the animal population, particularly in California.

What is the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award is not detailed in the provided data. Typically, agencies must document why full and open competition is not feasible. Reasons can include the unique capabilities of a single source, urgent and compelling needs where only one source can reasonably satisfy them, or specific circumstances like follow-on work to a previous contract where only the original contractor possesses the necessary knowledge or proprietary data. For this contract, it's possible the University of California, Davis possesses unique facilities, expertise, or existing infrastructure critical for the specific diagnostic services required by APHIS in California that cannot be replicated by other entities in a timely manner.

How does the $500,000 contract value compare to historical spending on similar services by USDA APHIS?

Without historical spending data for comparable diagnostic testing services procured by USDA APHIS, a direct comparison is not possible. The $500,000 value suggests a specific, likely localized or specialized, set of services rather than a broad, agency-wide contract. To assess if this value is typical, one would need to analyze past contracts for similar diagnostic capabilities, considering factors like the types of diseases tested, the volume of samples, and the geographic scope. The sole-source nature also complicates direct value comparisons, as competitive bidding often drives prices down.

What are the performance metrics and quality assurance measures for these diagnostic services?

The provided data does not detail the specific performance metrics or quality assurance measures for this contract. However, contracts of this nature typically include requirements for turnaround times for test results, accuracy rates, adherence to laboratory standards (e.g., CLIA, ISO), and proper sample handling protocols. The University of California, Davis, as an accredited laboratory, would be expected to maintain high standards. The USDA APHIS would likely monitor performance through regular reporting, potential site visits, and review of diagnostic accuracy and timeliness to ensure the services meet program objectives.

What is the track record of the University of California, Davis in providing veterinary diagnostic services to federal agencies?

The University of California, Davis (UC Davis) has a well-established and recognized track record in veterinary medicine and diagnostic services. Its School of Veterinary Medicine is a leading institution, and its Veterinary Diagnostic Laboratory is accredited and equipped to handle a wide range of animal health issues. UC Davis frequently collaborates with state and federal agencies, including USDA APHIS, on animal health research, surveillance, and diagnostic testing. Their extensive experience and infrastructure make them a likely candidate for sole-source awards when specialized capabilities are required for critical animal health programs.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Veterinary Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1850 RESEARCH PARK DR, STE 300, DAVIS, CA, 95618

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Public), Special Designations, U.S.-Owned Business, Veterinary College

Financial Breakdown

Contract Ceiling: $500,000

Exercised Options: $500,000

Current Obligation: $500,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 12639521D0072

IDV Type: IDC

Timeline