HHS Awards $72.8M GOCO R&D Facility Contract to Leidos Biomedical Research Inc

Contract Overview

Contract Amount: $72,781,714 ($72.8M)

Contractor: Leidos Biomedical Research Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2015-09-26

End Date: 2020-09-25

Contract Duration: 1,826 days

Daily Burn Rate: $39.9K/day

Competition Type: NOT COMPETED

Pricing Type: COST NO FEE

Sector: R&D

Official Description: IGF::OT::IGF OPERATION OF GOVERNMENT-OWNED CONTRACTOR-OPERATED (GOCO) R&D FACILITIES

Place of Performance

Location: FREDERICK, FREDERICK County, MARYLAND, 21702

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $72.8 million to LEIDOS BIOMEDICAL RESEARCH INC for work described as: IGF::OT::IGF OPERATION OF GOVERNMENT-OWNED CONTRACTOR-OPERATED (GOCO) R&D FACILITIES Key points: 1. Contract supports operation of government-owned, contractor-operated research facilities. 2. Leidos Biomedical Research Inc. is the sole awardee. 3. The contract value is substantial, indicating significant operational scope. 4. Focus on facilities support services within the R&D sector.

Value Assessment

Rating: fair

The contract type is 'COST NO FEE', which can be complex to assess for value. The award amount of $72.8M over five years suggests a significant operational scale. Benchmarking against similar GOCO facility management contracts would be necessary for a precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially reduces competitive pressure on Leidos Biomedical Research Inc. to offer the most cost-effective solution.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these facility operations compared to a fully competed scenario.

Public Impact

Ensures continued operation of critical government R&D facilities. Supports scientific research and development activities funded by the NIH. Potential for innovation and efficiency gains within the GOCO model. Impacts the scientific community relying on these research infrastructures.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Facilities Support Services for Government-Owned Contractor-Operated (GOCO) Research and Development facilities. Spending in this area is crucial for maintaining national research capabilities, with benchmarks varying widely based on facility size and complexity.

Small Business Impact

The data indicates this contract was awarded to Leidos Biomedical Research Inc. and does not specify any subcontracting goals or achievements for small businesses. Further investigation would be needed to determine small business participation.

Oversight & Accountability

As a sole-source award for GOCO facilities, oversight is critical to ensure cost-effectiveness and performance. The National Institutes of Health (NIH) would be responsible for monitoring contractor performance and expenditures.

Related Government Programs

Risk Flags

Tags

facilities-support-services, department-of-health-and-human-services, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $72.8 million to LEIDOS BIOMEDICAL RESEARCH INC. IGF::OT::IGF OPERATION OF GOVERNMENT-OWNED CONTRACTOR-OPERATED (GOCO) R&D FACILITIES

Who is the contractor on this award?

The obligated recipient is LEIDOS BIOMEDICAL RESEARCH INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $72.8 million.

What is the period of performance?

Start: 2015-09-26. End: 2020-09-25.

What is the specific scope of 'Facilities Support Services' covered under this GOCO contract?

Facilities Support Services under this GOCO contract likely encompass a broad range of operational and maintenance activities essential for running government-owned research facilities. This typically includes infrastructure maintenance, utilities management, safety and security, environmental compliance, waste management, and potentially logistical support for researchers and equipment within the facility.

What are the risks associated with a sole-source award for GOCO R&D facilities?

The primary risk of a sole-source award is the absence of competitive pressure, which can lead to inflated costs and reduced incentive for efficiency. There's also a risk that the chosen contractor may not be the most innovative or best-suited provider, potentially hindering optimal facility performance and scientific output.

How does the 'COST NO FEE' contract type impact the government's ability to ensure value for money?

The 'COST NO FEE' structure means the contractor is reimbursed for allowable costs but receives no additional fee. While this can align contractor incentives with cost control, it places a significant burden on the government to rigorously audit and approve all claimed costs to ensure they are reasonable, allocable, and necessary for contract performance.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N01CO5240180

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 1050 BOYLES ST, FREDERICK, MD, 21702

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

Financial Breakdown

Contract Ceiling: $72,781,714

Exercised Options: $72,781,714

Current Obligation: $72,781,714

Actual Outlays: $48,588

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: HHSN261201500003I

IDV Type: IDC

Timeline

Start Date: 2015-09-26

Current End Date: 2020-09-25

Potential End Date: 2020-09-25 00:00:00

Last Modified: 2020-10-27

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