HHS awards $16.2M for Immune Tolerance Network Data Coordinating Center to PPD Development LP
Contract Overview
Contract Amount: $16,203,108 ($16.2M)
Contractor: PPD Development LP
Awarding Agency: Department of Health and Human Services
Start Date: 2004-09-27
End Date: 2008-09-26
Contract Duration: 1,460 days
Daily Burn Rate: $11.1K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: DATA COORDINATING CENTER FOR THE IMMUNE TOLERANCE NETWORK (ITN)
Place of Performance
Location: WILMINGTON, NEW HANOVER County, NORTH CAROLINA, 28401
Plain-Language Summary
Department of Health and Human Services obligated $16.2 million to PPD DEVELOPMENT LP for work described as: DATA COORDINATING CENTER FOR THE IMMUNE TOLERANCE NETWORK (ITN) Key points: 1. The contract supports critical research in immune tolerance. 2. Sole-source award raises questions about competition and potential cost savings. 3. Long-term data coordination is essential for research continuity. 4. The sector is R&D, a high-value area for federal investment.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking against similar data coordination contracts is difficult without more detailed cost breakdowns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and may result in a higher price than if multiple vendors had competed.
Taxpayer Impact: Taxpayer funds are used for this research, and the lack of competition means potential savings may have been forgone.
Public Impact
Supports vital research into immune system disorders. Ensures continuity of data management for long-term studies. Potential for increased healthcare insights and treatments. Funding directed towards scientific advancement.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost-plus contract type
- Long duration
Positive Signals
- Supports critical research
- Established entity (ITN)
- Long-term data management
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on life sciences. Federal spending in this area is crucial for scientific advancement and public health, with benchmarks varying widely based on project scope and complexity.
Small Business Impact
There is no indication that small businesses were involved in this contract, as it was awarded sole-source to a specific vendor.
Oversight & Accountability
Oversight would typically be managed by the National Institutes of Health (NIH) to ensure the contractor meets performance requirements and manages costs effectively, especially given the cost-plus contract type.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Sole-source award limits competition.
- Cost-plus contract type may lead to cost overruns.
- Long contract duration increases risk exposure.
- Lack of transparency on justification for sole-source award.
Tags
research-and-development-in-the-physical, department-of-health-and-human-services, nc, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $16.2 million to PPD DEVELOPMENT LP. DATA COORDINATING CENTER FOR THE IMMUNE TOLERANCE NETWORK (ITN)
Who is the contractor on this award?
The obligated recipient is PPD DEVELOPMENT LP.
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 $16.2 million.
What is the period of performance?
Start: 2004-09-27. End: 2008-09-26.
What is the justification for the sole-source award, and were alternative competitive strategies considered?
The justification for a sole-source award is not provided in the data. Typically, such awards are made when only one source is capable of meeting the requirement. Without this justification, it's difficult to assess if competitive strategies were adequately explored or if this was the most efficient path to fulfilling the government's needs.
How does the cost-plus fixed fee structure compare to other contract types for similar data coordination services, and what are the associated risks?
Cost-plus fixed fee contracts allow for cost reimbursement plus a fixed fee, which can incentivize contractors to control costs. However, they also carry the risk of cost overruns if the initial cost estimates are inaccurate or if the scope of work expands significantly without proper adjustments. Benchmarking against fixed-price contracts for similar services would reveal potential cost efficiencies.
What mechanisms are in place to ensure the effectiveness and long-term value of the data coordinated by PPD Development LP?
Effectiveness is likely ensured through performance metrics and deliverables outlined in the contract, overseen by the contracting agency. Long-term value depends on data integrity, accessibility, and its utility for future research. Regular reviews and audits by NIH would be crucial to monitor data quality and adherence to research protocols.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation ID: NIAIDDAIT0459
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Contractor Details
Address: 3151 17TH STREET EXTENSION, WILMINGTON, NC, 07
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,531,219
Exercised Options: $22,531,219
Current Obligation: $16,203,108
Contract Characteristics
Multi-Year Contract: Yes
Timeline
Start Date: 2004-09-27
Current End Date: 2008-09-26
Potential End Date: 2008-09-26 00:00:00
Last Modified: 2011-06-27
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