HHS awards $330K for laboratory instruments to QuidelOrtho Sales, highlighting a need for analytical tools in North Dakota

Contract Overview

Contract Amount: $33,000 ($33.0K)

Contractor: Quidelortho Sales Company, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2026-04-10

End Date: 2026-06-30

Contract Duration: 81 days

Daily Burn Rate: $407/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: ORTHO CLINICAL BPA CALL AGAINST 75H70621A00009; SRSU/FYH.

Place of Performance

Location: FORT YATES, SIOUX County, NORTH DAKOTA, 58538

State: North Dakota Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $33,000 to QUIDELORTHO SALES COMPANY, LLC for work described as: ORTHO CLINICAL BPA CALL AGAINST 75H70621A00009; SRSU/FYH. Key points: 1. Contract value appears modest, suggesting a focused need rather than broad program support. 2. The award was made under a broad agency announcement (BPA call), indicating a pre-competed framework. 3. Fixed-price contract type suggests cost certainty for the government. 4. The duration of the contract is relatively short, implying a specific project or immediate need. 5. The awardee is a significant player in the diagnostics market, suggesting established capabilities. 6. Geographic focus on North Dakota points to specific operational requirements within the Indian Health Service.

Value Assessment

Rating: good

The contract value of $330,000 for laboratory instruments is relatively small in the context of federal procurement. Benchmarking against similar contracts for analytical laboratory instruments would require access to a broader dataset of comparable awards. However, the fixed-price nature of the contract provides cost certainty. The short duration (81 days) suggests a specific, time-bound need, which can sometimes lead to higher per-unit costs if not managed efficiently, but without specific item details, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under a 'Full and Open Competition' BPA call against a specific contract (75H70621A00009). This indicates that the initial competition for the BPA likely involved multiple bidders, and this call-off was made within that established competitive framework. The specific number of bidders for this particular call-off is not detailed, but the 'full and open' designation suggests a broad solicitation.

Taxpayer Impact: A full and open competition, even within a BPA, generally leads to better price discovery and potentially lower costs for taxpayers compared to sole-source or limited competition awards.

Public Impact

Beneficiaries include healthcare providers and potentially patients within the Indian Health Service network in North Dakota. Services delivered involve the provision of analytical laboratory instruments. Geographic impact is concentrated in North Dakota, serving IHS facilities in the state. Workforce implications are likely minimal, primarily involving the operation and maintenance of the new instruments by existing healthcare staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short contract duration may limit long-term strategic planning for instrument support.
Lack of specific details on the instruments procured makes it difficult to assess technological advancement or obsolescence risk.

Positive Signals

Award to a known entity (QuidelOrtho) suggests reliability and established product lines.
Fixed-price contract provides budget predictability.
Full and open competition framework implies a degree of market vetting.

Sector Analysis

The procurement falls within the Analytical Laboratory Instrument Manufacturing sector (NAICS 334516). This sector is crucial for healthcare diagnostics and research, providing essential tools for disease detection and monitoring. The market is characterized by innovation and a need for reliable, high-performance equipment. Federal spending in this area supports public health initiatives, particularly within agencies like the Indian Health Service that require diagnostic capabilities in diverse geographic locations.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). As such, there are no direct subcontracting implications for small businesses stemming from this particular award. The primary awardee, QuidelOrtho Sales Company, LLC, is a large entity, suggesting that opportunities for small business participation would likely be through their broader supply chain rather than direct set-asides on this BPA call.

Oversight & Accountability

Oversight for this contract would fall under the Department of Health and Human Services (HHS) and specifically the Indian Health Service (IHS). As a BPA call-off, the underlying BPA likely has its own oversight mechanisms. The fixed-price nature simplifies some aspects of financial oversight. Transparency is generally maintained through contract databases like FPDS. The Inspector General for HHS would have jurisdiction over potential fraud, waste, or abuse related to this award.

Related Government Programs

Indian Health Service Medical Equipment Procurement
Department of Health and Human Services Laboratory Services
Federal Supply Schedule (FSS) for Medical Equipment
Broad Agency Announcements (BAA) for Health Research and Development

Risk Flags

Short contract duration may limit long-term support.
Lack of specific instrument details hinders detailed value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $33,000 to QUIDELORTHO SALES COMPANY, LLC. ORTHO CLINICAL BPA CALL AGAINST 75H70621A00009; SRSU/FYH.

Who is the contractor on this award?

The obligated recipient is QUIDELORTHO SALES COMPANY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Indian Health Service).

What is the total obligated amount?

The obligated amount is $33,000.

What is the period of performance?

Start: 2026-04-10. End: 2026-06-30.

What is the specific type and model of analytical laboratory instruments being procured under this BPA call?

The provided data does not specify the exact type or model of analytical laboratory instruments being procured. The NAICS code 334516 covers 'Analytical Laboratory Instrument Manufacturing,' which is a broad category. To understand the specific utility and value, details on the instruments themselves (e.g., chemistry analyzers, hematology analyzers, immunoassay platforms) would be necessary. This information is typically found in the detailed statement of work or product descriptions associated with the BPA call, which are not included in the summary data.

How does the $330,000 award compare to typical spending on similar laboratory instruments by the Indian Health Service?

Without specific details on the instruments, a direct comparison is difficult. However, $330,000 for a set of analytical laboratory instruments is a moderate amount. The Indian Health Service (IHS) operates numerous clinics and hospitals, each requiring varying levels of diagnostic equipment. Larger facilities might procure multi-million dollar systems, while smaller clinics might acquire less complex, lower-cost instruments. This award likely represents a specific need for one or a few facilities in North Dakota, possibly for replacing aging equipment or expanding capabilities, rather than a large-scale system-wide upgrade.

What are the potential risks associated with the short contract duration of 81 days?

The primary risk associated with a short contract duration like 81 days is the potential for rushed implementation, inadequate training, or insufficient time for the contractor to fully meet the government's needs. It could also indicate an emergency procurement or a stop-gap measure, which might not represent the most cost-effective or strategically sound solution. For the government, it might mean less leverage in negotiating long-term support or maintenance agreements. However, if the need is for a specific, short-term project or immediate supply, the duration might be appropriate.

What is the track record of QuidelOrtho Sales Company, LLC with the Indian Health Service or similar federal health agencies?

QuidelOrtho Sales Company, LLC is a significant entity in the diagnostics market, formed from the merger of Quidel Corporation and Ortho Clinical Diagnostics. Both predecessor companies have a history of supplying diagnostic instruments and assays to various federal agencies, including the Department of Defense and HHS. While the summary data doesn't detail past performance specifically with IHS on this exact type of BPA call, their established presence suggests they are a known supplier. A deeper dive into contract history databases would reveal specific past performance ratings and contract vehicles utilized.

How does the 'Full and Open Competition' BPA call mechanism impact price discovery and value for taxpayers?

A 'Full and Open Competition' BPA call, even when executed under an existing BPA, generally promotes better price discovery. It signifies that the opportunity was made available to all responsible sources, allowing multiple vendors to compete. This competition typically drives prices down as vendors strive to offer the most competitive bids. For taxpayers, this mechanism is favorable as it increases the likelihood of obtaining goods or services at or near market rates, reducing the risk of overpayment compared to sole-source or limited-competition awards. The existence of a competitive BPA framework suggests that initial vetting of potential suppliers occurred.

What are the implications of this contract being awarded in North Dakota for the IHS healthcare system?

The award specifically for North Dakota suggests a localized need within the IHS facilities operating in that state. This could be driven by factors such as the prevalence of certain diseases requiring specific diagnostic tests, the need to upgrade or replace existing instrumentation in IHS clinics or hospitals in the region, or a strategic initiative to enhance diagnostic capabilities in underserved areas. The procurement supports the IHS's mission to provide healthcare to Native Americans and Alaska Natives, ensuring that healthcare providers in North Dakota have access to necessary laboratory equipment.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Analytical Laboratory Instrument Manufacturing

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9975 SUMMERS RIDGE RD, SAN DIEGO, CA, 92121

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $33,000

Exercised Options: $33,000

Current Obligation: $33,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 75H70621A00009

IDV Type: BPA

Timeline