HHS awards $437M R&D contract to Leidos Biomedical Research Inc. for NCI operational support
Contract Overview
Contract Amount: $437,365,070 ($437.4M)
Contractor: Leidos Biomedical Research Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2019-08-31
End Date: 2020-08-30
Contract Duration: 365 days
Daily Burn Rate: $1.2M/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: NCI OPERATIONAL TASK ORDER
Place of Performance
Location: FREDERICK, FREDERICK County, MARYLAND, 21702
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $437.4 million to LEIDOS BIOMEDICAL RESEARCH INC for work described as: NCI OPERATIONAL TASK ORDER Key points: 1. Contract value of $437M for one year of R&D services. 2. Leidos Biomedical Research Inc. is the sole awardee. 3. The contract falls under R&D in Physical, Engineering, and Life Sciences. 4. This is a delivery order under a larger contract.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award amount is substantial for a single year of service.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, this specific award is a delivery order, implying it's part of a pre-existing contract vehicle.
Taxpayer Impact: Taxpayer funds are being used for operational support and research and development activities for the National Cancer Institute.
Public Impact
Supports critical research for the National Cancer Institute. Funds advanced scientific and technical services. Potential for innovation in cancer research and treatment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize higher costs.
- Single year duration may limit long-term project continuity.
- No small business participation noted.
Positive Signals
- Awarded under full and open competition.
- Supports a vital government health agency (NIH/NCI).
Sector Analysis
This contract falls under the Research and Development sector, specifically for physical, engineering, and life sciences. The value is significant for a single year's operational support.
Small Business Impact
The data indicates that small business participation was not a factor in this specific award, as the 'sb' field is false.
Oversight & Accountability
Oversight would typically be managed by the National Institutes of Health (NIH) contracting officers to ensure performance and adherence to contract terms.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Single year duration for a significant award.
- No explicit small business participation.
- Delivery order under a potentially larger contract vehicle.
Tags
research-and-development-in-the-physical, department-of-health-and-human-services, md, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $437.4 million to LEIDOS BIOMEDICAL RESEARCH INC. NCI OPERATIONAL TASK ORDER
Who is the contractor on this award?
The obligated recipient is LEIDOS BIOMEDICAL RESEARCH INC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (National Institutes of Health).
What is the total obligated amount?
The obligated amount is $437.4 million.
What is the period of performance?
Start: 2019-08-31. End: 2020-08-30.
What is the total value of the contract vehicle from which this delivery order was issued, and what is its remaining duration?
The provided data only details a single delivery order with an award amount of $437,365,070 and a duration of 365 days. Information regarding the parent contract vehicle, its total value, or its remaining duration is not available in this dataset. Further investigation into the contract vehicle is needed to assess the full scope and long-term commitment.
How does the cost-plus-fixed-fee structure impact the government's ability to control costs for these operational tasks?
Cost-plus-fixed-fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. While the fee is fixed, the contractor is incentivized to control costs to maximize their profit margin. However, if costs exceed estimates, the government bears the burden, potentially leading to higher-than-anticipated spending if not rigorously monitored and managed by the contracting agency.
What specific operational tasks are encompassed by this contract, and how do they directly contribute to NCI's mission?
The contract is for 'NCI OPERATIONAL TASK ORDER' and falls under 'Research and Development in the Physical, Engineering, and Life Sciences.' While the specific tasks are not detailed, they likely involve supporting the day-to-day scientific and administrative functions essential for the National Cancer Institute's research initiatives, clinical trials, and data management, directly advancing its mission to prevent, detect, and treat cancer.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N02CO7240681
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc. (UEI: 611641312)
Address: 1050 BOYLES ST, FREDERICK, MD, 21702
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $437,365,070
Exercised Options: $437,365,070
Current Obligation: $437,365,070
Actual Outlays: $3,178,685
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $2,484,542
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: 75N91019D00024
IDV Type: IDC
Timeline
Start Date: 2019-08-31
Current End Date: 2020-08-30
Potential End Date: 2020-09-19 00:00:00
Last Modified: 2020-10-13
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