HHS Awards $140M to University of New Mexico for National Nursing Home COVID Action Network

Contract Overview

Contract Amount: $139,567,146 ($139.6M)

Contractor: University of NEW Mexico

Awarding Agency: Department of Health and Human Services

Start Date: 2020-09-24

End Date: 2021-09-23

Contract Duration: 364 days

Daily Burn Rate: $383.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: THE NATIONAL NURSING HOME COVID ACTION NETWORK

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87131

State: New Mexico Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $139.6 million to UNIVERSITY OF NEW MEXICO for work described as: THE NATIONAL NURSING HOME COVID ACTION NETWORK Key points: 1. Significant investment in a critical public health initiative. 2. Sole-source award raises questions about competition and potential cost savings. 3. Focus on research and development in social sciences and humanities. 4. Contract duration of one year with a fixed price.

Value Assessment

Rating: questionable

The contract value of $140M for a one-year definitive contract is substantial. Without comparable contracts for similar national-level nursing home COVID action networks, it's difficult to assess if the pricing is optimal. The lack of competition further complicates a value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This method bypasses competitive bidding, potentially limiting price discovery and the opportunity to secure the best possible price through market forces.

Taxpayer Impact: The substantial award of $140M directly impacts taxpayer funds. The lack of competition means taxpayers may not have received the full benefit of a competitive bidding process, potentially leading to higher costs than if multiple vendors had vied for the contract.

Public Impact

Aims to improve COVID-19 response and prevention in nursing homes nationwide. Supports research and development in social sciences and humanities related to public health crises. The University of New Mexico is the primary recipient of these funds.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
High contract value
Sole-source award

Positive Signals

Addresses a critical public health need
Supports research and development

Sector Analysis

This contract falls under Research and Development in the Social Sciences and Humanities, a broad category. The specific focus on a national nursing home COVID action network suggests a significant investment in public health infrastructure and response capabilities.

Small Business Impact

There is no indication that small businesses were involved in this contract, as it was awarded solely to the University of New Mexico. Further analysis would be needed to determine if subcontracting opportunities were explored.

Oversight & Accountability

The Agency for Healthcare Research and Quality (AHRQ) within HHS is responsible for this contract. Oversight would involve monitoring the University of New Mexico's progress and expenditures to ensure the objectives of the National Nursing Home COVID Action Network are met effectively and efficiently.

Related Government Programs

Research and Development in the Social Sciences and Humanities
Department of Health and Human Services Contracting
Agency for Healthcare Research and Quality Programs

Risk Flags

Lack of competitive bidding
Potential for higher costs due to sole-source award
Limited transparency on justification for sole-source
No clear indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $139.6 million to UNIVERSITY OF NEW MEXICO. THE NATIONAL NURSING HOME COVID ACTION NETWORK

Who is the contractor on this award?

The obligated recipient is UNIVERSITY OF NEW MEXICO.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Agency for Healthcare Research and Quality).

What is the total obligated amount?

The obligated amount is $139.6 million.

What is the period of performance?

Start: 2020-09-24. End: 2021-09-23.

What specific research and development activities are encompassed by this $140M award, and how will they directly improve COVID-19 outcomes in nursing homes?

The award supports the National Nursing Home COVID Action Network, likely involving research into best practices for infection control, vaccine uptake strategies, and mitigation of pandemic-related health impacts on residents and staff. Development efforts may focus on creating new protocols, training materials, or data-sharing platforms to disseminate findings and improve real-time response capabilities across the nation's nursing facilities.

Given the sole-source nature of this award, what steps were taken to ensure the University of New Mexico's proposal represented the best value and met the government's needs comprehensively?

While the data indicates a sole-source award, the justification for this approach is not provided. Typically, sole-source contracts require a documented justification, such as the unique capability of the awardee or the urgency of the need. Without this justification, it's difficult to assess if alternative approaches were considered or if the government adequately ensured the best value was obtained.

How will the effectiveness of the National Nursing Home COVID Action Network be measured, and what are the key performance indicators (KPIs) to assess its impact on nursing home residents and staff?

The effectiveness of the network will likely be measured by its ability to reduce COVID-19 transmission rates, hospitalizations, and deaths in nursing homes. Key performance indicators could include vaccination rates among residents and staff, adherence to infection control protocols, improved resident outcomes, and the successful dissemination of best practices and research findings to nursing facilities nationwide.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2500 MARBLE DR NE, ALBUQUERQUE, NM, 87131

Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. National Government, Not Designated a Small Business, Higher Education (Public), U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $139,567,146

Exercised Options: $139,567,146

Current Obligation: $139,567,146

Actual Outlays: $139,567,146

Subaward Activity

Number of Subawards: 146

Total Subaward Amount: $88,126,330

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline