NIH awards $62.2M for bioinformatics support, with a significant portion for data analysis and training

Contract Overview

Contract Amount: $62,259,193 ($62.3M)

Contractor: Guidehouse Digital LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2022-03-01

End Date: 2027-03-21

Contract Duration: 1,846 days

Daily Burn Rate: $33.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: BIOINFORMATICS AND COMPUTATIONAL BIOSCIENCES SUPPORT SERVICES - BIOINFORMATICS AND COMPUTATIONAL BIOLOGY ANALYSIS SERVICES INCLUDING SHORT-TERM CONSULTATIONS AS WELL AS HANDS-ON COLLABORATIVE LONG TERM DATA ANALYSIS. TRAINING SERVICES IN BOTH IN-PERS

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $62.3 million to GUIDEHOUSE DIGITAL LLC for work described as: BIOINFORMATICS AND COMPUTATIONAL BIOSCIENCES SUPPORT SERVICES - BIOINFORMATICS AND COMPUTATIONAL BIOLOGY ANALYSIS SERVICES INCLUDING SHORT-TERM CONSULTATIONS AS WELL AS HANDS-ON COLLABORATIVE LONG TERM DATA ANALYSIS. TRAINING SERVICES IN BOTH IN-PERS Key points: 1. Contract focuses on critical bioinformatics and computational biology analysis, including collaborative data analysis and training. 2. The award represents a substantial investment in advancing biological research through computational methods. 3. The duration of the contract suggests a long-term need for these specialized services. 4. The contract type (Time and Materials) allows for flexibility but requires careful monitoring of labor hours. 5. The geographic location in Maryland aligns with a hub for biomedical research and federal agencies.

Value Assessment

Rating: good

The total award of $62.2 million over approximately five years indicates a significant investment. Benchmarking against similar contracts for specialized bioinformatics support is challenging due to the unique combination of consultation, hands-on analysis, and training. The Time and Materials pricing structure necessitates close oversight to ensure cost-effectiveness and prevent scope creep. Without specific per-unit cost data for services, a definitive value-for-money assessment is difficult, but the duration and scope suggest a recognized need for these capabilities.

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,' which implies a competitive process was initiated but specific sources were excluded for defined reasons, potentially related to prior performance or specialized capabilities. The number of bidders is not specified, but the 'full and open' designation suggests an intent to maximize competition. The effectiveness of this specific competition type in driving down costs depends on the number of qualified bidders and the clarity of the solicitation requirements.

Taxpayer Impact: A competitive award process, even with exclusions, generally benefits taxpayers by encouraging multiple firms to offer their best pricing and technical solutions. This can lead to more efficient use of federal funds compared to sole-source awards.

Public Impact

Researchers and scientists at the National Institutes of Health (NIH) will benefit from advanced computational support for their biological research projects. The services delivered will include crucial data analysis, enabling breakthroughs in understanding complex biological systems. Training services will enhance the skills of researchers in bioinformatics and computational biology, fostering a more capable scientific workforce. The primary geographic impact is within the NIH's research ecosystem, likely concentrated in Maryland. The contract supports the scientific workforce by providing specialized technical expertise and training opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to Time and Materials pricing if not closely managed.
Dependence on contractor's ability to maintain highly specialized and up-to-date expertise.
Risk of vendor lock-in if knowledge transfer is not adequately managed.
Ensuring the 'exclusion of sources' in the competition was fully justified and did not unduly limit competition.

Positive Signals

Awarded through a competitive process, indicating potential for good value.
Long-term contract duration suggests a stable and ongoing need for critical services.
Focus on training implies investment in building internal capabilities and knowledge.
Contract supports a vital area of scientific research (bioinformatics).

Sector Analysis

This contract falls within the IT and professional services sector, specifically focusing on specialized bioinformatics and computational biology support. The market for these services is driven by the increasing volume and complexity of biological data generated by research institutions and government agencies. Comparable spending benchmarks would typically be found within IT services contracts for scientific research support, data analytics, and specialized consulting. The NIH is a major consumer of such services, reflecting the growing importance of computational approaches in modern biological sciences.

Small Business Impact

The data indicates that this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities, if any are pursued by the prime contractor, Guidehouse Digital LLC. Without specific subcontracting plans detailed in the award, it's difficult to assess the direct benefit to small businesses. Large prime contractors may engage small businesses for niche expertise, but this is not guaranteed.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officers and program managers within the National Institutes of Health (NIH). The Time and Materials (T&M) contract type necessitates rigorous monitoring of labor hours, rates, and deliverables to ensure compliance and prevent cost overruns. Transparency is generally maintained through contract databases and reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

NIH Research and Development Contracts
Biomedical Data Analysis Services
Computational Biology Support
IT Professional Services for Science
Health IT Services

Risk Flags

Potential for cost overruns with T&M contract type.
Effectiveness of 'exclusion of sources' in maintaining sufficient competition.
Ensuring adequate knowledge transfer and avoiding vendor lock-in.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $62.3 million to GUIDEHOUSE DIGITAL LLC. BIOINFORMATICS AND COMPUTATIONAL BIOSCIENCES SUPPORT SERVICES - BIOINFORMATICS AND COMPUTATIONAL BIOLOGY ANALYSIS SERVICES INCLUDING SHORT-TERM CONSULTATIONS AS WELL AS HANDS-ON COLLABORATIVE LONG TERM DATA ANALYSIS. TRAINING SERVICES IN BOTH IN-PERS

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE DIGITAL LLC.

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 $62.3 million.

What is the period of performance?

Start: 2022-03-01. End: 2027-03-21.

What is the track record of Guidehouse Digital LLC in providing similar bioinformatics and computational biology support services to federal agencies?

Assessing Guidehouse Digital LLC's track record requires a review of their past performance on federal contracts, particularly those involving complex data analysis, bioinformatics, and scientific consulting. Information on past performance is often available through federal procurement databases like SAM.gov or through agency-specific past performance evaluations. A detailed analysis would involve examining contract values, durations, customer satisfaction ratings, and any documented performance issues or commendations. Without specific access to these detailed records for Guidehouse Digital LLC's prior work in this niche, it is difficult to provide a definitive assessment of their suitability and experience for this specific NIH requirement. However, their ability to win a significant contract like this suggests they have met certain performance and capability thresholds.

How does the awarded amount of $62.2 million compare to typical spending on bioinformatics support services at NIH or similar agencies?

The $62.2 million award for bioinformatics and computational biology support services over approximately five years represents a substantial investment. To benchmark this, one would typically compare it to the average contract values for similar services awarded by NIH or other agencies like the National Science Foundation (NSF) or the Centers for Disease Control and Prevention (CDC). Factors influencing this comparison include the scope of services (consultation, hands-on analysis, training), the duration of the contract, and the specific scientific domains supported. Given the increasing reliance on big data and advanced analytics in biomedical research, it is plausible that such a significant award reflects the growing demand and specialized nature of these services. A comprehensive comparison would involve analyzing historical spending patterns for bioinformatics support across the federal government over the past several years.

What are the primary risks associated with a Time and Materials (T&M) contract for these specialized services, and how are they mitigated?

Time and Materials (T&M) contracts, like the one awarded to Guidehouse Digital LLC, carry inherent risks, primarily related to cost control and potential for scope creep. The government pays for the actual labor hours and materials used, which can lead to higher costs if not carefully managed. Risks include inefficient labor, inflated hourly rates, and the contractor extending tasks unnecessarily. Mitigation strategies employed by agencies typically involve establishing labor hour ceilings, defining fixed hourly rates for different labor categories, requiring detailed timesheets and progress reports, and implementing robust oversight by contracting officers and technical monitors. Regular performance reviews and clear communication channels are crucial to ensure the contractor remains focused on delivering defined objectives within budget expectations.

What is the expected impact of this contract on the advancement of specific research areas within NIH?

This contract is expected to significantly impact NIH's research endeavors by providing essential computational and analytical support. Bioinformatics and computational biology are foundational to modern life sciences, enabling researchers to interpret vast datasets from genomics, proteomics, and other high-throughput experiments. The support services will likely accelerate discoveries in areas such as disease mechanism elucidation, drug discovery and development, personalized medicine, and population health studies. The inclusion of training services suggests a strategic effort to build capacity within NIH, empowering researchers to leverage advanced computational tools more effectively, thereby fostering innovation and accelerating the pace of scientific breakthroughs across various biomedical disciplines.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method influence the potential for cost savings and innovation compared to a standard full and open competition?

The 'Full and Open Competition After Exclusion of Sources' method is a nuanced approach. Standard full and open competition aims to solicit bids from all responsible sources, maximizing competition and potentially driving down prices through market forces. In contrast, 'after exclusion of sources' implies that while the competition was intended to be broad, specific sources were deliberately excluded based on predefined criteria (e.g., national security, prior performance issues, unique capabilities). This exclusion can limit the pool of potential bidders. If the exclusions were narrowly defined and justified, the remaining competition might still be robust, fostering innovation among the qualified bidders. However, if the exclusions significantly reduce the number of bidders, it could potentially lessen price competition and limit the range of innovative solutions presented, compared to a scenario where all potential sources were allowed to compete.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: C-88392-SB

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1676 INTERNATIONAL DRIVE, MCLEAN, VA, 22102

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: $109,547,165

Exercised Options: $62,259,193

Current Obligation: $62,259,193

Actual Outlays: $40,482,190

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSN316201300006W

IDV Type: GWAC

Timeline