NIH Awards Leidos Biomedical $97.5M for Febrile Illness Study Amidst R&D Spending

Contract Overview

Contract Amount: $97,534,556 ($97.5M)

Contractor: Leidos Biomedical Research Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2020-09-28

End Date: 2028-09-24

Contract Duration: 2,918 days

Daily Burn Rate: $33.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: DCR IS REQUESTING THE SERVICES OF LEIDOS BIOMEDICAL RESEARCH, INC. TO INITIATE MANAGEMENT, OVERSIGHT, EXECUTION, CLOSEOUT AND PUBLICATION OF FINDINGS OF A PROSPECTIVE OBSERVATIONAL STUDY OF ADULT AND PEDIATRIC PATIENTS WITH UNKNOWN FEBRILE ILLNESS FR

Place of Performance

Location: FREDERICK, FREDERICK County, MARYLAND, 21702

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $97.5 million to LEIDOS BIOMEDICAL RESEARCH INC for work described as: DCR IS REQUESTING THE SERVICES OF LEIDOS BIOMEDICAL RESEARCH, INC. TO INITIATE MANAGEMENT, OVERSIGHT, EXECUTION, CLOSEOUT AND PUBLICATION OF FINDINGS OF A PROSPECTIVE OBSERVATIONAL STUDY OF ADULT AND PEDIATRIC PATIENTS WITH UNKNOWN FEBRILE ILLNESS FR Key points: 1. Leidos Biomedical Research Inc. secured a significant contract for a prospective observational study. 2. The contract falls under the 'Research and Development in the Physical, Engineering, and Life Sciences' sector. 3. Competition was full and open, suggesting a potentially competitive pricing environment. 4. The contract type is Cost Plus Fixed Fee, which can sometimes lead to cost overruns if not managed tightly.

Value Assessment

Rating: good

The Cost Plus Fixed Fee contract type allows for cost reimbursement plus a fixed fee, which can be effective for R&D where costs are uncertain. However, it requires robust oversight to prevent scope creep and ensure value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value proposal.

Taxpayer Impact: The competitive nature of the award is expected to yield a fair price, ensuring taxpayer funds are used efficiently for critical research.

Public Impact

Advancing understanding of unknown febrile illnesses in adults and children. Potential for significant public health insights and improved diagnostic/treatment strategies. Contract duration of nearly 8 years suggests a long-term commitment to research outcomes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract risk
Long contract duration may increase risk if objectives shift

Positive Signals

Full and open competition
Focus on critical public health research

Sector Analysis

This contract falls within the R&D sector, specifically NAICS code 541715. Spending in this sector is crucial for scientific advancement but can be subject to long timelines and evolving research needs.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract award.

Oversight & Accountability

The Cost Plus Fixed Fee structure necessitates strong oversight from the Department of Health and Human Services to manage costs, monitor progress, and ensure the research objectives are met effectively.

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

Potential for cost overruns with Cost Plus Fixed Fee structure.
Long contract duration (nearly 8 years) increases exposure to changing research priorities or unforeseen challenges.
Complexity of managing a prospective observational study across adult and pediatric populations.
Reliance on a single contractor (Leidos Biomedical) for the entirety of the study execution.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $97.5 million to LEIDOS BIOMEDICAL RESEARCH INC. DCR IS REQUESTING THE SERVICES OF LEIDOS BIOMEDICAL RESEARCH, INC. TO INITIATE MANAGEMENT, OVERSIGHT, EXECUTION, CLOSEOUT AND PUBLICATION OF FINDINGS OF A PROSPECTIVE OBSERVATIONAL STUDY OF ADULT AND PEDIATRIC PATIENTS WITH UNKNOWN FEBRILE ILLNESS FR

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 $97.5 million.

What is the period of performance?

Start: 2020-09-28. End: 2028-09-24.

What is the projected total cost of the study, and how does it compare to similar large-scale observational studies?

The current award is for $97.5 million. A precise comparison is difficult without knowing the full scope and duration of similar studies. However, large-scale, multi-year observational studies in the life sciences can range from tens to hundreds of millions of dollars, depending on patient populations, data collection intensity, and research complexity.

What are the key performance indicators (KPIs) for this contract, and how will Leidos Biomedical's performance be measured?

Key performance indicators would likely include timely initiation and execution of study protocols, patient recruitment rates, data quality and integrity, adherence to budget, and successful publication of findings. Performance will be measured against milestones defined in the contract and through regular progress reports and reviews by NIH.

How will the findings of this study be disseminated to ensure maximum public health benefit?

The contract explicitly mentions 'publication of findings.' This implies a commitment to disseminating results through peer-reviewed journals, scientific conferences, and potentially public health reports. NIH will likely ensure a robust dissemination plan is in place to maximize the impact of the research.

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: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

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: $97,534,556

Exercised Options: $97,534,556

Current Obligation: $97,534,556

Actual Outlays: $40,780,632

Subaward Activity

Number of Subawards: 22

Total Subaward Amount: $94,277,881

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 75N91019D00024

IDV Type: IDC

Timeline