ABSS SOLUTIONS INC awarded $115.8M contract for Biomedical R&D Services by GSA

Contract Overview

Contract Amount: $115,753,936 ($115.8M)

Contractor: Abss Solutions Inc

Awarding Agency: General Services Administration

Start Date: 2020-09-08

End Date: 2025-09-25

Contract Duration: 1,843 days

Daily Burn Rate: $62.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: 59MDW SCIENCE TECHNOLOGY START BIOMEDICAL R&D SERVICES

Place of Performance

Location: LACKLAND AFB, BEXAR County, TEXAS, 78236

State: Texas Government Spending

Plain-Language Summary

General Services Administration obligated $115.8 million to ABSS SOLUTIONS INC for work described as: 59MDW SCIENCE TECHNOLOGY START BIOMEDICAL R&D SERVICES Key points: 1. Contract value of $115.8M over approximately 5 years represents significant investment in biomedical research. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. Performance is concentrated in Texas, indicating a regional focus for these R&D services. 4. The contract type is Time and Materials, which can pose cost control challenges if not managed closely. 5. This award falls under the Biotechnology R&D NAICS code, placing it within a specialized scientific sector.

Value Assessment

Rating: good

The contract value of $115.8M over nearly five years for specialized R&D services appears reasonable given the scope. Benchmarking against similar large-scale biomedical R&D contracts is challenging without more specific service details. However, the duration and breadth of services suggest a substantial investment. The Time and Materials pricing structure warrants close monitoring to ensure cost efficiency and prevent overruns compared to fixed-price or cost-plus-award-fee contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the competition was broad, specific sources may have been excluded based on predefined criteria. With 5 bidders, the competition level suggests a healthy market interest. This level of competition is generally favorable for price discovery and achieving competitive pricing for the government.

Taxpayer Impact: A competitive award process helps ensure taxpayer dollars are used efficiently by driving down costs through market forces. The presence of multiple bidders indicates that the government received a range of proposals, likely leading to a more favorable price than a sole-source award.

Public Impact

The primary beneficiaries are likely federal research institutions and potentially the broader scientific community through advancements in biomedical knowledge. Services delivered encompass research and development in biotechnology, contributing to medical and health-related innovations. The geographic impact is concentrated in Texas, where the contractor is located, suggesting a focus on regional scientific infrastructure. Workforce implications include the creation or sustainment of highly skilled jobs in scientific research and development within the biotechnology sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not diligently managed and monitored.
The 'after exclusion of sources' clause in the competition type warrants further investigation into the rationale for exclusions.
Concentration of performance in a single state (Texas) might limit broader geographic distribution of benefits or research opportunities.

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Multiple bidders (5) suggest a competitive market for these specialized services.
The contract supports critical R&D in the vital field of biotechnology.

Sector Analysis

Biomedical R&D services fall within the broader scientific research and development sector, a critical area for national health and economic competitiveness. This sector is characterized by high innovation, significant government investment, and specialized expertise. The market size for federal R&D contracts is substantial, with biotechnology being a key growth area. This contract aligns with federal priorities to advance medical science and technology.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside. However, the prime contractor, ABSS SOLUTIONS INC, may choose to subcontract portions of the work, potentially creating opportunities for small businesses if they are sought out.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the General Services Administration (GSA), specifically the Federal Acquisition Service. Mechanisms likely include contract performance reviews, financial audits, and adherence to reporting requirements. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would depend on the specific GSA IG's mandate and any potential fraud, waste, or abuse identified.

Related Government Programs

Biotechnology Research Grants
National Institutes of Health (NIH) Contracts
Department of Defense Medical Research
National Science Foundation (NSF) R&D Funding

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Need for detailed oversight to ensure efficient use of funds.
Rationale for 'exclusion of sources' in competition needs clarification.
Concentration of work in Texas may limit broader impact.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $115.8 million to ABSS SOLUTIONS INC. 59MDW SCIENCE TECHNOLOGY START BIOMEDICAL R&D SERVICES

Who is the contractor on this award?

The obligated recipient is ABSS SOLUTIONS INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $115.8 million.

What is the period of performance?

Start: 2020-09-08. End: 2025-09-25.

What is the track record of ABSS SOLUTIONS INC in performing federal R&D contracts, particularly in biotechnology?

Information on ABSS SOLUTIONS INC's specific track record with federal R&D contracts, especially in biotechnology, is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), previous contract awards, and any documented successes or failures. Understanding their history with similar Time and Materials contracts would also be crucial to gauge their ability to manage costs effectively and deliver on technical objectives within budget. Without this historical data, it's difficult to definitively assess their capability and reliability for this significant $115.8M award.

How does the awarded value of $115.8M compare to similar biomedical R&D service contracts awarded by the federal government?

The awarded value of $115.8M for biomedical R&D services over approximately five years is substantial, placing it among significant federal investments in this sector. To benchmark effectively, one would need to compare it against contracts with similar scope, duration, and specific R&D focus (e.g., drug discovery, clinical research support, bioinformatics). Contracts awarded by agencies like NIH, DoD, or NSF for comparable services could serve as benchmarks. Given the specialized nature of biotechnology R&D, values can vary widely. A contract of this magnitude suggests a comprehensive, long-term research effort rather than a small, focused project. Further analysis would involve examining the average cost per year ($23.16M) against similar multi-year R&D efforts.

What are the primary risks associated with the Time and Materials (T&M) contract type for this biomedical R&D service, and how are they mitigated?

The primary risk with a Time and Materials (T&M) contract is the potential for cost overruns, as the government pays for the labor hours and materials used, rather than a fixed price. This can be exacerbated in R&D where project scope can evolve. Mitigation strategies typically involve robust oversight, detailed monitoring of labor hours and material costs, clear task definitions, and strong contract administration. The government contracting officer must ensure that the contractor's timekeeping and billing are accurate and that the work performed is necessary and efficient. Establishing ceiling prices for labor categories and total contract value is also a critical control mechanism to prevent uncontrolled spending.

What is the expected program effectiveness or impact of the services delivered under this contract?

The expected program effectiveness hinges on the specific biomedical R&D objectives outlined in the contract Statement of Work (SOW). As a contract for 'Research and Development in Biotechnology (except Nanobiotechnology),' its impact could range from advancing fundamental scientific understanding to developing novel diagnostics, therapeutics, or medical technologies. Success would be measured by achieving key research milestones, generating publishable data, contributing to intellectual property, and ultimately, translating research findings into practical applications that benefit public health. The effectiveness is directly tied to the quality of research conducted, the innovation demonstrated, and the ability of ABSS SOLUTIONS INC to meet the technical requirements within the contract's timeframe and budget.

How does the historical spending on NAICS code 541714 (Biotechnology R&D) compare to this contract's value?

Historical spending data for NAICS code 541714 provides context for the significance of this $115.8M contract. The federal government consistently invests billions annually in R&D, with biotechnology being a substantial component. While specific annual totals for 541714 fluctuate, contracts in the tens to hundreds of millions of dollars are not uncommon for large-scale, multi-year R&D efforts. This particular contract represents a significant portion of federal spending within this specific NAICS code for the period it covers. Understanding the total annual federal outlay for biotechnology R&D would allow for a precise comparison of this contract's relative size and importance within the broader federal research landscape.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in Biotechnology (except Nanobiotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47QFWA20K0014

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 5804 LOWERY LN, UPPER MARLBORO, MD, 20772

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $126,100,623

Exercised Options: $120,718,969

Current Obligation: $115,753,936

Actual Outlays: $105,831,161

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline