HHS awards $27.7M for Animal Care Services to Priority One Services, Inc

Contract Overview

Contract Amount: $27,753,054 ($27.8M)

Contractor: Priority ONE Services, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2011-05-23

End Date: 2018-10-15

Contract Duration: 2,702 days

Daily Burn Rate: $10.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: ANIMAL CARE SERVICES AT NCTR

Place of Performance

Location: JEFFERSON, JEFFERSON County, ARKANSAS, 72079

State: Arkansas Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $27.8 million to PRIORITY ONE SERVICES, INC. for work described as: ANIMAL CARE SERVICES AT NCTR Key points: 1. Contract awarded for Animal Care Services at NCTR. 2. Priority One Services, Inc. is the contractor. 3. The contract falls under Research and Development in Biotechnology. 4. The total award value is $27,753,053.77. 5. The contract period spans from May 2011 to October 2018.

Value Assessment

Rating: fair

The contract value of $27.7M over approximately 7.5 years suggests a moderate annual spend. Benchmarking against similar R&D support contracts would be necessary to fully assess pricing fairness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', indicating a limited competition approach. This method may impact price discovery and potentially lead to higher costs compared to unrestricted full and open competition.

Taxpayer Impact: The limited competition nature of this award raises questions about whether taxpayers received the best possible price for these services.

Public Impact

Ensures continuity of essential animal care services for critical research at NCTR. Supports the Food and Drug Administration's research and development initiatives. Provides stable employment for personnel involved in animal care and research support. The duration of the contract suggests a long-term need for these specialized services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have inflated costs.
Lack of small business participation noted.
Contract duration is extensive.

Positive Signals

Essential services for critical research.
Contractor has a long tenure.
Firm Fixed Price contract provides cost certainty.

Sector Analysis

This contract falls within the Research and Development in Biotechnology sector, specifically NAICS code 541711. Spending in this sector is driven by scientific advancement and regulatory requirements, often involving specialized facilities and personnel.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis is needed to determine if opportunities were missed for small businesses in this contracting action.

Oversight & Accountability

The contract was awarded by the Department of Health and Human Services, Food and Drug Administration. Oversight would involve ensuring the contractor meets performance standards and adheres to the terms of the definitive contract.

Related Government Programs

Research and Development in Biotechnology
Department of Health and Human Services Contracting
Food and Drug Administration Programs

Risk Flags

Limited competition.
No small business participation.
Long contract duration.
Potential for uncompetitive pricing.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $27.8 million to PRIORITY ONE SERVICES, INC.. ANIMAL CARE SERVICES AT NCTR

Who is the contractor on this award?

The obligated recipient is PRIORITY ONE SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $27.8 million.

What is the period of performance?

Start: 2011-05-23. End: 2018-10-15.

What was the justification for excluding other sources during the competition?

The justification for excluding other sources needs to be reviewed to understand if there were specific technical requirements, proprietary capabilities, or other factors that legitimately limited the pool of potential offerors. Without this information, it's difficult to assess if the limited competition was warranted or if it restricted potential cost savings for the government.

How does the per-unit cost of animal care compare to industry benchmarks?

Benchmarking the per-unit cost of animal care services against similar contracts within the federal government and the private sector is crucial. This analysis would reveal if Priority One Services, Inc. was compensated at a competitive rate, considering the scope, duration, and specialized nature of the services provided. Significant deviations could indicate overpricing or underperformance.

What was the impact of the contract's long duration on overall cost-effectiveness?

A contract duration of over 7 years (2702 days) can offer stability and potentially reduce administrative costs associated with frequent re-competition. However, it also carries the risk of locking the government into potentially suboptimal pricing or service levels if market conditions or needs change. Evaluating cost-effectiveness requires assessing if earlier re-competition could have yielded better terms.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in Biotechnology

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 11223SOL00006

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6600 FLEET DR, ALEXANDRIA, VA, 22310

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,753,054

Exercised Options: $27,753,054

Current Obligation: $27,753,054

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline