HHS awards $20.6M for Adult Vaccines to GlaxoSmithKline, LLC under full and open competition
Contract Overview
Contract Amount: $20,576,564 ($20.6M)
Contractor: Glaxosmithkline, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2012-07-06
End Date: 2013-06-30
Contract Duration: 359 days
Daily Burn Rate: $57.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: 2012 ADULT VACCINES
Place of Performance
Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709
Plain-Language Summary
Department of Health and Human Services obligated $20.6 million to GLAXOSMITHKLINE, LLC for work described as: 2012 ADULT VACCINES Key points: 1. Spending of $20.6M on adult vaccines highlights the significant investment in public health. 2. GlaxoSmithKline, LLC is a major player in the pharmaceutical and vaccine market. 3. The contract's fixed-price nature aims to control costs, but market dynamics can still influence overall value. 4. This procurement falls within the broader healthcare and pharmaceutical sector.
Value Assessment
Rating: good
The contract value of $20.6M for adult vaccines appears reasonable given the scale of public health initiatives. Benchmarking against similar large-scale vaccine procurements would provide a more precise assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was utilized, suggesting a robust process for price discovery and selection of the most advantageous offer. This method generally leads to competitive pricing.
Taxpayer Impact: Competitive bidding in this procurement aims to ensure taxpayer funds are used efficiently for essential public health supplies.
Public Impact
Ensures availability of critical adult vaccines for public health programs. Supports disease prevention and reduces healthcare burdens associated with vaccine-preventable illnesses. Contributes to the overall health and well-being of the adult population.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price fluctuations in the pharmaceutical market.
- Dependence on a single supplier for a specific vaccine type.
Positive Signals
- Procurement through full and open competition.
- Firm fixed-price contract type.
Sector Analysis
This contract is within the healthcare sector, specifically focusing on biological product manufacturing. Spending on vaccines is a critical component of public health budgets, with significant annual investments.
Small Business Impact
The data does not indicate specific participation or subcontracting by small businesses in this particular contract award.
Oversight & Accountability
The contract was awarded by the Department of Health and Human Services (CDC), indicating established oversight mechanisms for public health procurements.
Related Government Programs
- Biological Product (except Diagnostic) Manufacturing
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Market volatility in pharmaceutical pricing.
- Potential for supply chain disruptions.
- Long-term vaccine needs and future procurement strategies.
- Effectiveness of vaccine distribution and administration.
Tags
biological-product-except-diagnostic-man, department-of-health-and-human-services, nc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $20.6 million to GLAXOSMITHKLINE, LLC. 2012 ADULT VACCINES
Who is the contractor on this award?
The obligated recipient is GLAXOSMITHKLINE, LLC.
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 $20.6 million.
What is the period of performance?
Start: 2012-07-06. End: 2013-06-30.
What specific adult vaccines were procured under this contract and what is their current market demand?
The specific adult vaccines procured are not detailed in the provided data. Understanding the exact vaccines is crucial for assessing their public health importance and current market demand. This information would allow for a more accurate evaluation of the contract's value and necessity, and whether the quantity procured aligns with public health needs.
What was the competitive landscape like for this specific vaccine procurement, and were there any sole-source justifications?
The contract was awarded under 'FULL AND OPEN COMPETITION,' indicating that multiple vendors were likely solicited and allowed to bid. This suggests a competitive landscape rather than a sole-source situation. The use of full and open competition generally implies that the government sought the best value and price through a broad solicitation process.
How does the firm fixed-price contract structure impact the government's ability to manage costs and ensure value for taxpayer money?
A firm fixed-price contract locks in the price regardless of the contractor's actual costs, providing cost certainty for the government and shifting cost-risk to the contractor. This structure is beneficial for managing budgets and ensuring value, as the government pays a predetermined amount. However, it relies on accurate initial pricing and may limit flexibility if market conditions change significantly.
Industry Classification
NAICS: Manufacturing › Pharmaceutical and Medicine Manufacturing › Biological Product (except Diagnostic) Manufacturing
Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 2012N14298
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Glaxosmithkline PLC (UEI: 238980408)
Address: 5 MOORE DR, RESEARCH TRIANGLE PARK, NC, 27709
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: $50,783,175
Exercised Options: $50,783,175
Current Obligation: $20,576,564
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Timeline
Start Date: 2012-07-06
Current End Date: 2013-06-30
Potential End Date: 2013-06-30 00:00:00
Last Modified: 2021-09-09
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