HHS awards $2.5M contract for scientific consulting, with a 5-year performance period

Contract Overview

Contract Amount: $2,531,037 ($2.5M)

Contractor: GAP Solutions, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2021-07-08

End Date: 2027-06-20

Contract Duration: 2,173 days

Daily Burn Rate: $1.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SOAR - TO350_75N95025F00028

Place of Performance

Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $2.5 million to GAP SOLUTIONS, INC. for work described as: SOAR - TO350_75N95025F00028 Key points: 1. Contract value appears reasonable given the 5-year duration and specialized nature of scientific consulting. 2. Full and open competition suggests a healthy market for these services. 3. Performance period extends through mid-2027, indicating a long-term need. 4. The contract is for scientific and technical consulting, aligning with NIH's research mission. 5. Fixed-price contract type may offer cost certainty for the government. 6. No small business set-aside was utilized, suggesting the primary awardee is not a small business.

Value Assessment

Rating: good

The contract value of approximately $2.5 million over five years averages to $500,000 annually. This figure seems within a reasonable range for specialized scientific and technical consulting services, especially when considering the potential need for expert knowledge and support for complex research initiatives. Benchmarking against similar contracts for scientific advisory services at agencies like NIH would provide a more precise value-for-money assessment, but the initial figures do not raise immediate concerns.

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 proposals. The number of bidders is not specified in the provided data, but the use of full and open competition generally suggests a competitive environment. This approach is intended to foster price discovery and ensure the government receives the best value by considering a wide range of potential contractors.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it maximizes the pool of potential offerors, driving down prices and increasing the likelihood of selecting the most cost-effective solution.

Public Impact

The primary beneficiaries are the National Institutes of Health (NIH) and its research programs, which will receive expert scientific and technical consulting. Services delivered likely include advisory support, technical analysis, and potentially program management assistance for research initiatives. The geographic impact is centered around the agency's operations, primarily in Maryland. Workforce implications may involve specialized consultants contributing to scientific advancements and research outcomes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders in the full and open competition limits the assessment of competitive intensity.
The provided data does not detail the specific deliverables or performance metrics, making it difficult to fully assess performance outcomes.
No information is available regarding potential conflicts of interest or contractor performance history on prior contracts.

Positive Signals

The contract is awarded under full and open competition, suggesting a robust market and potential for competitive pricing.
The firm fixed-price contract type provides cost predictability for the government.
The extended performance period of five years indicates a sustained need and potential for building long-term expertise.

Sector Analysis

The contract falls within the Scientific and Technical Consulting Services sector (NAICS 541690). This sector encompasses a wide range of services supporting research, development, and technical operations across various industries. Spending in this area is often driven by government agencies like NIH that require specialized expertise to advance scientific discovery and manage complex projects. Comparable spending benchmarks would typically be found within government-wide IT and professional services spending reports, though specific figures for this niche require detailed analysis.

Small Business Impact

The data indicates that this contract was not awarded as a small business set-aside. This suggests that the competition was open to all responsible sources, and the primary awardee is likely a larger entity. There is no explicit information on subcontracting plans for small businesses, which would be a key area to monitor for ensuring small business participation in federal contracting.

Oversight & Accountability

Oversight for this contract would typically reside with the contracting officer and program officials within the National Institutes of Health. Accountability measures are inherent in the firm fixed-price structure, requiring the contractor to deliver specified services within the agreed-upon budget. Transparency is generally facilitated through contract databases like FPDS, though detailed performance reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

NIH Research Support Contracts
Scientific Advisory Services
Technical Consulting Services
Federal Professional Services

Risk Flags

Potential for scope creep if requirements are not precisely defined.
Contractor's ability to maintain specialized expertise over the full performance period.
Adequacy of firm fixed-price structure for potentially complex scientific tasks.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $2.5 million to GAP SOLUTIONS, INC.. SOAR - TO350_75N95025F00028

Who is the contractor on this award?

The obligated recipient is GAP SOLUTIONS, 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 $2.5 million.

What is the period of performance?

Start: 2021-07-08. End: 2027-06-20.

What is the track record of GAP SOLUTIONS, INC. in performing similar federal contracts?

A review of federal procurement data would be necessary to fully assess GAP SOLUTIONS, INC.'s track record. Key indicators to examine would include past performance evaluations on similar contracts, any history of contract disputes or terminations, and the company's experience with firm fixed-price awards and the specific scientific domains relevant to this NIH contract. Without access to detailed past performance information, it's challenging to definitively gauge their reliability and expertise for this specific engagement. However, securing a contract with NIH, especially through full and open competition, suggests a level of qualification and capability.

How does the average annual value of this contract compare to similar scientific consulting contracts awarded by NIH or other health-focused agencies?

The average annual value of this contract is approximately $500,000 ($2.5M / 5 years). To benchmark this effectively, one would need to analyze recent awards for scientific and technical consulting services within the Department of Health and Human Services (HHS) and specifically NIH, as well as comparable agencies like the Centers for Disease Control and Prevention (CDC) or the Food and Drug Administration (FDA). Factors such as the specific scientific disciplines involved, the level of expertise required, and the duration of the services would influence comparisons. If similar contracts for comparable services typically range from $300,000 to $700,000 annually, this contract would appear to be within a reasonable market range.

What are the primary risks associated with this contract, and how are they being mitigated?

Potential risks include the contractor's ability to deliver specialized scientific expertise consistently over the five-year period, potential scope creep if requirements are not clearly defined, and the risk of cost overruns if the firm fixed-price model proves inadequate for unforeseen technical challenges. Mitigation strategies typically involve robust contract management by the NIH, clear definition of tasks and deliverables, regular performance reviews, and maintaining open communication channels with the contractor. The fixed-price nature itself acts as a risk mitigation tool for the government by capping costs, provided the scope is well-managed.

How effective is the firm fixed-price contract type likely to be for these scientific consulting services?

The firm fixed-price (FFP) contract type is generally most effective when the scope of work is well-defined and the risks of cost overruns are relatively low or can be reasonably estimated. For scientific consulting services, FFP can be advantageous as it provides cost certainty for the government. However, if the nature of the scientific work involves significant unknowns or potential for unexpected technical hurdles, an FFP contract might place undue risk on the contractor, potentially leading to less competitive bidding or demands for change orders. The success of FFP here depends heavily on the clarity and stability of the SOW provided by NIH.

What is the historical spending trend for scientific and technical consulting services at NIH?

Analyzing historical spending trends for scientific and technical consulting services at NIH would require accessing detailed procurement data over several fiscal years. This would involve querying databases like FPDS or USAspending for contracts awarded under NAICS code 541690 (Other Scientific and Technical Consulting Services) and potentially related codes, specifically filtered for NIH as the awarding agency. Observing trends would reveal whether spending in this category has been increasing, decreasing, or remaining stable, and identify major contractors or types of services most frequently procured. This context helps in evaluating the current award's significance and potential future spending patterns.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 205 VAN BUREN ST STE 205, HERNDON, VA, 20170

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

Financial Breakdown

Contract Ceiling: $2,531,037

Exercised Options: $2,531,037

Current Obligation: $2,531,037

Actual Outlays: $772,024

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 75N95021D00011

IDV Type: IDC

Timeline