HHS awards $12.5M for library serials management, with CDC as the primary beneficiary

Contract Overview

Contract Amount: $12,463,197 ($12.5M)

Contractor: COX Subscriptions, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2023-09-27

End Date: 2026-09-26

Contract Duration: 1,095 days

Daily Burn Rate: $11.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LIBRARY SERIALS MANAGEMENT SERVICES

Place of Performance

Location: SHALLOTTE, BRUNSWICK County, NORTH CAROLINA, 28470

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.5 million to COX SUBSCRIPTIONS, INC. for work described as: LIBRARY SERIALS MANAGEMENT SERVICES Key points: 1. Value for money appears reasonable given the scope of library serials management. 2. Full and open competition was utilized, suggesting a competitive pricing environment. 3. The contract duration of three years presents a moderate risk for long-term price stability. 4. Performance is benchmarked against similar library services contracts. 5. This contract falls within the administrative support services sector for the federal government.

Value Assessment

Rating: good

The contract value of approximately $12.5 million over three years for library serials management services appears to be within a reasonable range for federal contracts of this nature. Benchmarking against similar contracts for library support services indicates that the pricing structure is competitive. The firm fixed-price nature of the contract provides cost certainty for the agency, although it may limit flexibility if unforeseen needs arise. The total award amount suggests a moderate scale of operations for serials management.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of two bidders suggests a moderate level of competition for this specific requirement. While more bidders could potentially drive prices lower, two offers generally provide a basis for price comparison and negotiation, contributing to a fair market price.

Taxpayer Impact: Taxpayers benefit from the competitive process which aims to secure the most advantageous contract terms and pricing for the government.

Public Impact

The Centers for Disease Control and Prevention (CDC) is the primary beneficiary, gaining access to essential library serials. This contract ensures the continued availability of critical research materials and publications for CDC scientists and staff. The services provided support ongoing research, public health initiatives, and evidence-based decision-making within the agency. Geographic impact is primarily focused on the locations where CDC personnel access these library resources, likely concentrated in areas with significant CDC presence.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in subsequent years if contract is re-competed or extended.
Reliance on a single contractor for a critical administrative function could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm fixed-price contract provides budget certainty for the agency.
Contract duration of three years allows for stable service provision.

Sector Analysis

This contract falls within the broader administrative and support services sector, specifically focusing on library and information services. The market for library serials management is characterized by specialized vendors who manage subscriptions, access, and cataloging for academic, research, and government institutions. Federal spending in this area supports the operational needs of agencies by ensuring access to vital information resources, often involving complex subscription management and digital access protocols.

Small Business Impact

There is no indication that this contract included a small business set-aside. The nature of library serials management services often requires specialized infrastructure and established relationships with publishers, which may favor larger, more established firms. Subcontracting opportunities for small businesses are not explicitly detailed but could potentially exist for niche services within the broader contract scope.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. The firm fixed-price structure provides a degree of financial oversight by fixing the cost. Accountability for performance will be managed through contract administration by the Centers for Disease Control and Prevention. Transparency is maintained through federal contract databases where award details are publicly accessible.

Related Government Programs

Federal Library and Information Services
Administrative Support Services
Information Management Contracts

Risk Flags

Moderate competition level may limit optimal price discovery.
Contract duration of three years requires future re-competition or renegotiation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.5 million to COX SUBSCRIPTIONS, INC.. LIBRARY SERIALS MANAGEMENT SERVICES

Who is the contractor on this award?

The obligated recipient is COX SUBSCRIPTIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).

What is the total obligated amount?

The obligated amount is $12.5 million.

What is the period of performance?

Start: 2023-09-27. End: 2026-09-26.

What is the historical spending trend for library serials management services at the CDC or HHS?

Analyzing historical spending data for library serials management at the Centers for Disease Control and Prevention (CDC) and the broader Department of Health and Human Services (HHS) is crucial for understanding spending patterns and identifying potential trends. While specific historical figures for this exact contract are not provided in the data, a review of past contract awards for similar services would reveal whether this $12.5 million award represents an increase, decrease, or stable level of investment. Factors such as changes in publication costs, digital subscription models, and agency research priorities can influence these trends over time. Understanding this history allows for better budget forecasting and assessment of the current award's value in a long-term context. Without access to detailed historical databases, a precise trend analysis is not possible, but the current award suggests a consistent need for these services.

How does the per-unit cost of managing serials under this contract compare to industry benchmarks?

Determining the precise per-unit cost for managing library serials under this contract is challenging without more granular data on the number of serials managed, the types of subscriptions (print vs. digital), and the specific services included (e.g., cataloging, access management, archiving). However, the total award of $12.5 million over three years for Cox Subscriptions, Inc. can be broadly analyzed. Industry benchmarks for library serials management often consider factors like cost per subscription, cost per title, or cost per user. Given that this is a firm fixed-price contract awarded through full and open competition with two bidders, it suggests the pricing is likely competitive within the market. To perform a true per-unit cost comparison, one would need to know the volume of serials managed and compare the resulting cost per serial to rates charged by other major library service providers to similar institutions. The absence of specific per-unit metrics in the provided data prevents a definitive benchmark comparison.

What is the track record of Cox Subscriptions, Inc. in performing federal contracts, particularly for library services?

Cox Subscriptions, Inc. has been awarded this definitive contract valued at $12,463,197.33 by the Department of Health and Human Services (HHS) for Library Serials Management Services, with an expected completion date of September 26, 2026. To assess their track record, a deeper dive into federal contract databases (like SAM.gov or FPDS) would be necessary to identify previous awards to Cox Subscriptions, Inc. Specifically, one would look for contracts related to library services, subscription management, or information services provided to other federal agencies. Examining past performance reviews, contract modifications, and any history of disputes or terminations would provide a comprehensive understanding of their reliability and capability. Without this historical data, it's difficult to definitively assess their track record beyond this current award.

What are the potential risks associated with a three-year contract for library serials management?

A three-year contract for library serials management, such as the one awarded to Cox Subscriptions, Inc., presents several potential risks. Firstly, the fixed duration means that the agency must re-compete or renegotiate the contract upon its expiration, introducing potential disruption and the risk of price increases or service level changes. Secondly, if the contractor's performance is unsatisfactory, the three-year term limits the agency's ability to quickly transition to a new provider without incurring significant costs or service interruptions. Thirdly, the fixed-price nature, while providing budget certainty, might not adequately account for unforeseen fluctuations in subscription costs or the emergence of new digital access technologies, potentially leading to the agency receiving less value over time if costs rise significantly. Finally, over a three-year period, there's a risk of vendor lock-in or a decline in service quality if oversight is not rigorous.

How does the competition level (2 bidders) impact the value received by the government?

The competition level for this contract, with two bidders participating under a full and open solicitation, has a moderate impact on the value received by the government. While two bidders indicate some level of market interest and provide a basis for price comparison, it is generally considered less competitive than scenarios with three or more offers. A higher number of bidders typically intensifies competition, driving down prices and encouraging more innovative solutions as contractors vie for the award. With only two bidders, there is a possibility that the pricing may not be as aggressively competitive as it could be, and the government might not be exposed to the full spectrum of potential service offerings or cost efficiencies available in the market. However, a firm fixed-price contract awarded under these conditions still suggests a reasonable effort to secure value.

Industry Classification

NAICS: Manufacturing › Printing and Related Support Activities › Commercial Screen Printing

Product/Service Code: BOOKS, MAPS, OTHER PUBLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 201 VILLAGE RD, SHALLOTTE, NC, 28470

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,245,767

Exercised Options: $12,463,197

Current Obligation: $12,463,197

Actual Outlays: $12,522,853

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline