HHS Awards $435M for Biological Products, Full Competition Utilized

Contract Overview

Contract Amount: $435,268,470 ($435.3M)

Contractor: Sanofi Vaccines US Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2007-04-16

End Date: 2008-03-31

Contract Duration: 350 days

Daily Burn Rate: $1.2M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: VFC 2007

Place of Performance

Location: BROOKHAVEN, DEKALB County, GEORGIA, 30329, UNITED STATES OF AMERICA

State: Georgia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $435.3 million to SANOFI VACCINES US INC. for work described as: VFC 2007 Key points: 1. Significant contract value of over $435 million awarded. 2. Competition was full and open, suggesting market engagement. 3. Contract type is Firm Fixed Price, providing cost certainty. 4. Sector is Biological Product Manufacturing, critical for public health.

Value Assessment

Rating: good

The contract value is substantial, but without specific per-unit data or historical benchmarks for this exact product, a precise value assessment is difficult. The firm fixed price structure is a positive indicator for cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to secure the best value.

Taxpayer Impact: Full and open competition is expected to yield a fair market price, maximizing taxpayer value for the procured biological products.

Public Impact

Ensures availability of critical biological products for public health initiatives. Supports the pharmaceutical manufacturing sector and related supply chains. Contributes to national health security by securing necessary medical supplies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in biological product markets.
Dependence on a single awardee for a large volume of product.

Positive Signals

Firm Fixed Price contract provides budget predictability.
Full and open competition suggests a competitive bidding process.
Awarded by a key health agency (CDC).

Sector Analysis

This contract falls within the Biological Product Manufacturing sector, which is vital for public health and national security. Spending in this area can fluctuate based on disease outbreaks and public health priorities.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The nature of biological product manufacturing often involves large-scale operations, potentially favoring larger, established companies.

Oversight & Accountability

The award was made by the Centers for Disease Control and Prevention (CDC), a reputable agency within HHS. Oversight would typically involve contract performance monitoring and adherence to quality standards.

Related Government Programs

Biological Product (except Diagnostic) Manufacturing
Department of Health and Human Services Contracting
Centers for Disease Control and Prevention Programs

Risk Flags

Lack of specific product detail limits granular analysis.
Potential for supply chain disruptions in biological product manufacturing.
Long-term public health impact depends on product effectiveness and uptake.
Contract duration and renewal options are not specified.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $435.3 million to SANOFI VACCINES US INC.. VFC 2007

Who is the contractor on this award?

The obligated recipient is SANOFI VACCINES US INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).

What is the total obligated amount?

The obligated amount is $435.3 million.

What is the period of performance?

Start: 2007-04-16. End: 2008-03-31.

What is the specific biological product being procured and its intended use?

The specific biological product is not detailed in the provided data, only its classification as 'Biological Product (except Diagnostic) Manufacturing'. Its intended use is likely related to public health programs managed by the CDC, such as vaccination campaigns or disease treatment, given the agency's mission.

How does the awarded amount compare to historical spending on similar biological products?

Without specific product identification and historical spending data for comparable items, a direct comparison is not feasible. The $435 million award is substantial and suggests a significant quantity or high-value product is being procured, necessitating further analysis against market trends.

What are the key performance indicators and quality assurance measures for this contract?

Key performance indicators and quality assurance measures are not detailed in the provided summary. However, for biological products, stringent quality control, adherence to manufacturing standards (like cGMP), timely delivery, and product efficacy would be critical performance aspects monitored by the CDC.

Industry Classification

NAICS: Manufacturing › Pharmaceutical and Medicine Manufacturing › Biological Product (except Diagnostic) Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Sanofi Pasteur Vaxdesign Corp (UEI: 739980787)

Address: RR611 DISCOVERY DRIVE, SWIFTWATER, PA, 18370

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

Financial Breakdown

Contract Ceiling: $450,515,087

Exercised Options: $450,515,087

Current Obligation: $435,268,470

Timeline