HHS Awards $31.3M for R&D in Physical, Engineering, and Life Sciences to Children's Hospital Corporation
Contract Overview
Contract Amount: $31,261,573 ($31.3M)
Contractor: Children's Hospital Corporation, the
Awarding Agency: Department of Health and Human Services
Start Date: 2017-07-31
End Date: 2023-01-30
Contract Duration: 2,009 days
Daily Burn Rate: $15.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: R&D
Official Description: FLUMED IGF::OT::IGF FOR OTHER FUNCTIONS
Place of Performance
Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02115
Plain-Language Summary
Department of Health and Human Services obligated $31.3 million to CHILDREN'S HOSPITAL CORPORATION, THE for work described as: FLUMED IGF::OT::IGF FOR OTHER FUNCTIONS Key points: 1. The contract value of $31.3M is significant for R&D in the specified fields. 2. Competition was not utilized, raising questions about potential price discovery. 3. The risk is moderate due to the lack of competition and the long duration of the contract. 4. This spending falls within the Research and Development sector.
Value Assessment
Rating: fair
The contract value of $31.3M for a definitive contract with a firm fixed price is substantial. Benchmarking against similar R&D contracts is difficult without more specific details on the research scope and deliverables.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was 'NOT COMPETED', indicating a limited competition approach. This method may not have resulted in the most favorable pricing for the government as alternative vendors were not solicited.
Taxpayer Impact: The lack of competition could mean taxpayers did not benefit from the most cost-effective solution available in the market.
Public Impact
Significant federal investment in medical research and development. Potential for advancements in physical, engineering, and life sciences impacting public health. Focus on a specific research area, potentially leading to specialized outcomes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Long contract duration (2017-2023)
Positive Signals
- Clear R&D focus
- Firm fixed price contract type
Sector Analysis
This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. Spending in this sector is crucial for innovation but requires careful oversight to ensure value for money, especially when competition is limited.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The 'NOT COMPETED' status suggests a need for robust justification and oversight to ensure the procurement was necessary and that the pricing is reasonable. The long duration also warrants ongoing monitoring.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Health and Human Services Contracting
- Centers for Disease Control and Prevention Programs
Risk Flags
- Lack of competition
- Potential for price escalation over contract duration
- Limited transparency on pricing justification
- Long performance period without competitive re-evaluation
Tags
research-and-development-in-the-physical, department-of-health-and-human-services, ma, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $31.3 million to CHILDREN'S HOSPITAL CORPORATION, THE. FLUMED IGF::OT::IGF FOR OTHER FUNCTIONS
Who is the contractor on this award?
The obligated recipient is CHILDREN'S HOSPITAL CORPORATION, THE.
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 $31.3 million.
What is the period of performance?
Start: 2017-07-31. End: 2023-01-30.
What was the specific justification for not competing this contract, and how was the price determined to be fair and reasonable?
The justification for not competing this contract is not provided in the data. Typically, such decisions are based on factors like unique capabilities, urgent needs, or specific program requirements. The determination of a fair and reasonable price would usually involve cost analysis, market research, or comparison to previous contracts, though details are absent here.
What are the potential risks associated with awarding a long-term, non-competed R&D contract to a single entity?
The primary risks include a lack of innovation spurred by competition, potential for cost overruns if not managed tightly, and the possibility that the government is not receiving the best value. Without competitive pressure, the contractor may have less incentive to optimize costs or explore novel approaches, and the government's leverage in price negotiations is reduced.
How will the outcomes of this R&D contract be measured to ensure effectiveness and taxpayer value?
Effectiveness will be measured by the achievement of specific research milestones and deliverables outlined in the contract. The agency's program office is responsible for monitoring progress, reviewing reports, and ensuring the research aligns with its objectives. Ultimately, the value to taxpayers will be assessed by the impact of the research findings on public health or scientific advancement.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 2017N66808
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 300 LONGWOOD AVE, BOSTON, MA, 02115
Business Categories: Category Business, Corporate Entity Tax Exempt, Hospital, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $31,468,032
Exercised Options: $31,266,323
Current Obligation: $31,261,573
Actual Outlays: $27,643,118
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-07-31
Current End Date: 2023-01-30
Potential End Date: 2023-01-30 00:00:00
Last Modified: 2024-07-10
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