NIH invests over $16.4M in translational nanomedical therapies for cardiac and vascular diseases

Contract Overview

Contract Amount: $16,447,434 ($16.4M)

Contractor: Icahn School of Medicine AT Mount Sinai

Awarding Agency: Department of Health and Human Services

Start Date: 2010-08-13

End Date: 2015-08-12

Contract Duration: 1,825 days

Daily Burn Rate: $9.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: COST NO FEE

Sector: R&D

Official Description: TAS::75 0872::TAS TRANSLATIONAL NANOMEDICALTHERAPIES FOR CARDIAC & VASCULAR DISEASES

Place of Performance

Location: NEW YORK, NEW YORK County, NEW YORK, 10029

State: New York Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $16.4 million to ICAHN SCHOOL OF MEDICINE AT MOUNT SINAI for work described as: TAS::75 0872::TAS TRANSLATIONAL NANOMEDICALTHERAPIES FOR CARDIAC & VASCULAR DISEASES Key points: 1. Contract awarded to a single academic institution, raising questions about broad market engagement. 2. Focus on early-stage research and development suggests potential for high scientific impact but also inherent risks. 3. Long contract duration (5 years) may indicate a phased research approach or a need for sustained funding. 4. The 'Cost No Fee' contract type implies reimbursement of allowable costs without an additional profit margin. 5. Research area aligns with national health priorities for cardiovascular disease, a leading cause of mortality. 6. Geographic concentration in New York for this specific award.

Value Assessment

Rating: fair

The 'Cost No Fee' contract type is typical for research grants where the primary goal is scientific advancement rather than profit. Benchmarking value is challenging as it's not a typical procurement for goods or services with easily quantifiable market rates. The total award of over $16.4 million over five years suggests a significant investment in a specific research area. Without comparable contracts for similar nanomedical therapy research, a precise value-for-money assessment is difficult, but the scale indicates substantial resource allocation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple entities were eligible to bid. However, the award went to a single institution, the Icahn School of Medicine at Mount Sinai. The number of bidders is not specified, but the outcome suggests that while competition was open, the specific expertise and proposed research plan of this institution were deemed superior or most aligned with the NIH's objectives for this particular grant.

Taxpayer Impact: Full and open competition ensures that taxpayer funds are exposed to a wide range of potential solutions, theoretically driving down costs and maximizing innovation. Even if a single entity wins, the process itself provides a benchmark against which the chosen proposal is measured.

Public Impact

Patients suffering from cardiac and vascular diseases stand to benefit from potential new therapeutic approaches. The research aims to advance the field of nanomedicine, potentially leading to breakthroughs in treatment. The award supports scientific research and development within the biotechnology sector. The primary beneficiary is the scientific community and, ultimately, public health through potential medical advancements. Workforce implications include support for researchers, technicians, and administrative staff at the awardee institution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Cost No Fee' structure, while common in research, limits the potential for competitive pricing advantages typically seen in fee-based contracts.
Reliance on a single academic institution for this significant research investment may limit the diversity of approaches and potential for commercialization partnerships.
The long-term nature of the funding could create dependency and make it difficult to pivot if research directions prove unfruitful.

Positive Signals

Awarded through full and open competition, suggesting a rigorous selection process.
Focus on a critical health area (cardiac and vascular diseases) aligns with significant public health needs.
The investment supports cutting-edge research in nanomedicine, a field with high potential for innovation.
The awardee institution has a strong track record in medical research.

Sector Analysis

This contract falls within the Research and Development in Biotechnology sector (NAICS 541711). This sector is characterized by high innovation, significant investment in intellectual property, and often long development cycles. The market size for biotechnology research is substantial, driven by pharmaceutical, healthcare, and defense needs. This specific award represents a focused investment within the broader NIH portfolio, aiming to push the boundaries of nanomedicine for cardiovascular applications. Comparable spending benchmarks would typically be found within NIH's own grant databases for similar R&D initiatives.

Small Business Impact

This contract does not appear to involve small business set-asides, as it was awarded to a large academic institution. There is no explicit mention of subcontracting requirements for small businesses within the provided data. The focus on basic research at a major institution suggests that the primary impact on the small business ecosystem would be indirect, potentially through spin-off technologies or future commercialization efforts rather than direct contract awards.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Institutes of Health (NIH), the awarding agency. As a research grant, oversight likely focuses on adherence to research protocols, ethical conduct, financial accountability for awarded funds, and progress reporting. Transparency is generally maintained through public databases of NIH grants and published research findings. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to the federal funds.

Related Government Programs

National Heart, Lung, and Blood Institute (NHLBI) funding initiatives
NIH Nanotechnology Initiative
Biotechnology Research Grants
Medical Research and Development Contracts
Cardiovascular Disease Research Programs

Risk Flags

Research Uncertainty
Long Development Cycle
Single Awardee Concentration Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $16.4 million to ICAHN SCHOOL OF MEDICINE AT MOUNT SINAI. TAS::75 0872::TAS TRANSLATIONAL NANOMEDICALTHERAPIES FOR CARDIAC & VASCULAR DISEASES

Who is the contractor on this award?

The obligated recipient is ICAHN SCHOOL OF MEDICINE AT MOUNT SINAI.

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 $16.4 million.

What is the period of performance?

Start: 2010-08-13. End: 2015-08-12.

What is the specific research focus of the Translational Nanomedical Therapies for Cardiac & Vascular Diseases program?

The program, funded under TAS 75 0872, focuses on the development and application of nanomedical technologies specifically for treating cardiac and vascular diseases. This involves leveraging the unique properties of nanomaterials and nanodevices to create novel diagnostic tools, drug delivery systems, or therapeutic interventions for conditions affecting the heart and blood vessels. The research likely explores areas such as targeted drug delivery to damaged heart tissue, development of nanoscale sensors for early disease detection, or creation of nanostructured scaffolds for tissue regeneration. The goal is to translate promising nanomedical concepts from the laboratory bench to potential clinical applications, addressing unmet needs in cardiovascular medicine.

How does the 'Cost No Fee' contract type impact the financial structure and incentives for the awardee?

The 'Cost No Fee' (CNF) contract type is predominantly used for research and development grants, particularly in academic settings. Under a CNF agreement, the government reimburses the contractor (in this case, Icahn School of Medicine at Mount Sinai) for all allowable, allocable, and reasonable costs incurred in performing the contract. However, the contractor does not receive any additional payment for profit. This structure incentivizes the institution to perform the research efficiently and effectively, as their primary compensation is tied to the direct costs of the research itself. It shifts the focus from profit generation to scientific achievement and adherence to the research plan, aligning with the mission-driven nature of NIH-funded research.

What are the potential risks associated with investing over $16 million in a single academic institution for nanomedical research?

Investing a significant sum like $16.4 million into a single academic institution carries several potential risks. Firstly, there's a risk of 'groupthink' or a lack of diverse perspectives if the research team becomes too insular. Different institutions might explore alternative approaches or identify unforeseen challenges. Secondly, the success is heavily dependent on the specific expertise and infrastructure of that one institution; any disruption, such as key personnel leaving or unforeseen research roadblocks, could significantly jeopardize the entire project. Thirdly, while competition was open, awarding such a large sum to one entity might suggest a missed opportunity to foster broader innovation across multiple research groups or to encourage collaboration between academia and industry, potentially slowing down the translation of findings.

Can the performance of the Icahn School of Medicine at Mount Sinai in similar NIH-funded projects be used to assess the risk of this contract?

Yes, the track record of the Icahn School of Medicine at Mount Sinai in managing previous NIH-funded projects can serve as a valuable indicator of risk for this contract. Analyzing their history of successfully completing research objectives within budget and on schedule, their publication record, and their ability to secure follow-on funding can provide insights into their research management capabilities and scientific productivity. A history of strong performance suggests a lower risk profile, indicating a higher likelihood of successful project execution. Conversely, a pattern of missed deadlines, budget overruns, or a lack of significant scientific output from prior grants might signal increased risk, warranting closer scrutiny of the current project's management and progress.

What is the typical duration for NIH research grants of this magnitude, and how does this contract's duration compare?

NIH research grants, especially those involving complex R&D like nanomedicine, often have multi-year funding cycles. Initial grant periods are typically 1 to 3 years, with the possibility of renewal based on progress and continued need. Larger, more ambitious projects, or those requiring extensive development and validation, can span 5 years or more through competitive renewals. This contract's duration of 5 years (1825 days) is quite typical for a substantial NIH research award focused on a specific, long-term scientific objective. It allows for sustained effort in exploring a complex problem area, moving from initial hypothesis testing through to more advanced stages of research and potential validation, without the immediate pressure of frequent renewal applications.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 10

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mount Sinai Hospital (UEI: 058302266)

Address: 1 GUSTAVE L LEVY PRICE, NEW YORK, NY, 10029

Business Categories: Category Business, Corporate Entity Tax Exempt, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private), Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,447,434

Exercised Options: $16,447,434

Current Obligation: $16,447,434

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $8,919,127

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline