USDA's APHIS Awards $8.75M for AMR WGS Testing to Oklahoma State University

Contract Overview

Contract Amount: $8,750 ($8.8K)

Contractor: Oklahoma State University

Awarding Agency: Department of Agriculture

Start Date: 2026-04-02

End Date: 2027-04-01

Contract Duration: 364 days

Daily Burn Rate: $24/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR WGS TESTING

Place of Performance

Location: AMES, STORY County, IOWA, 50010

State: Iowa Government Spending

Plain-Language Summary

Department of Agriculture obligated $8,750 to OKLAHOMA STATE UNIVERSITY for work described as: NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR WGS TESTING Key points: 1. The contract is for diagnostic testing services, specifically for Antimicrobial Resistance Whole Genome Sequencing (AMR WGS). 2. Oklahoma State University is the sole awardee, indicating a lack of broader competition. 3. The contract value is $8.75 million over a 364-day period. 4. This award falls under the 'IA' (Iowa) category, suggesting a specific regional or programmatic focus.

Value Assessment

Rating: fair

The contract value of $8.75 million for 364 days of diagnostic testing services appears reasonable given the specialized nature of AMR WGS testing. However, without specific per-unit cost data or benchmarks for similar WGS services, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'NOT COMPETED UNDER SAP,' implying it was not competed through simplified acquisition procedures, suggesting a limited competition approach. This method may limit price discovery and potentially lead to higher costs compared to a full and open competition.

Taxpayer Impact: The limited competition raises concerns about taxpayer value. Without exploring competitive options, it's possible that taxpayers are not receiving the most cost-effective solution for these critical diagnostic services.

Public Impact

Ensures critical diagnostic capabilities for animal health and food safety through AMR WGS testing. Supports the National Animal Health Laboratory Network's mission to monitor and combat antimicrobial resistance. Potential impact on livestock health, agricultural trade, and public health due to AMR surveillance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about cost-effectiveness.
Lack of detailed cost breakdown makes value assessment challenging.
Potential for vendor lock-in due to sole awardee.

Positive Signals

Addresses a critical need for AMR WGS testing.
Supports a vital national animal health program.
Clear contract duration and awardee.

Sector Analysis

This contract falls within the broader scientific and research services sector, specifically focusing on specialized laboratory diagnostics for animal health. Spending benchmarks for similar WGS testing services are highly variable and depend on the specific pathogens, scope, and throughput required.

Small Business Impact

The data provided does not indicate any specific provisions or considerations for small business participation in this contract. The award to Oklahoma State University, a large research institution, suggests that small businesses were likely not primary participants in this specific procurement.

Oversight & Accountability

The contract is a Delivery Order under an existing agreement, suggesting some level of prior vetting. However, the 'NOT COMPETED UNDER SAP' status warrants further oversight to ensure the justification for limited competition was sound and that the pricing is fair.

Related Government Programs

Veterinary Services
Department of Agriculture Contracting
Animal and Plant Health Inspection Service Programs

Risk Flags

Lack of competition
Limited transparency on pricing justification
Potential for suboptimal value for taxpayer funds
Absence of small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $8,750 to OKLAHOMA STATE UNIVERSITY. NATIONAL ANIMAL HEALTH LABORATORY NETWORK DIAGNOSTIC TESTING SERVICES FOR AMR WGS TESTING

Who is the contractor on this award?

The obligated recipient is OKLAHOMA STATE UNIVERSITY.

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 $8,750.

What is the period of performance?

Start: 2026-04-02. End: 2027-04-01.

What is the specific justification for not competing this contract under SAP, and what steps were taken to ensure fair and reasonable pricing?

The justification for not competing under SAP is not detailed in the provided data. Typically, this might involve specific technical requirements, existing partnerships, or urgent needs. To ensure fair and reasonable pricing, the agency likely relied on historical pricing data, market research, or cost analysis, though the absence of competition limits the ability to validate this through market comparison.

How does the cost per sample for this AMR WGS testing compare to industry benchmarks or previous contracts for similar services?

Without specific per-unit cost data or a breakdown of services included in the $8.75 million award, it is impossible to determine the cost per sample. A direct comparison to industry benchmarks or previous contracts is therefore not feasible with the current information. Further analysis would require detailed cost information from the contract.

What is the long-term strategy for ensuring competitive sourcing of AMR WGS testing services to maximize taxpayer value?

The long-term strategy is unclear from this single award. Agencies typically aim to foster competition over time. Future actions could include conducting market research to identify potential competitors, breaking down future requirements into smaller, more competitive lots, or utilizing contract vehicles that encourage broader participation to ensure sustained taxpayer value.

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: 401 WHITEHURST HALL, STILLWATER, OK, 74078

Business Categories: Category Business, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Public), Veterinary College

Financial Breakdown

Contract Ceiling: $8,750

Exercised Options: $8,750

Current Obligation: $8,750

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 12639521D0070

IDV Type: IDC

Timeline