NIH awards $37.3M for influenza research, with University of Rochester leading surveillance efforts

Contract Overview

Contract Amount: $37,266,757 ($37.3M)

Contractor: University of Rochester

Awarding Agency: Department of Health and Human Services

Start Date: 2014-01-09

End Date: 2022-08-31

Contract Duration: 3,156 days

Daily Burn Rate: $11.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: COST NO FEE

Sector: R&D

Official Description: IGF::OT::IGF NIAID CENTERS OF EXCELLENCE FOR INFLUENZA RESEARCH AND SURVEILLANCE (CEIRS)

Place of Performance

Location: ROCHESTER, MONROE County, NEW YORK, 14642

State: New York Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $37.3 million to UNIVERSITY OF ROCHESTER for work described as: IGF::OT::IGF NIAID CENTERS OF EXCELLENCE FOR INFLUENZA RESEARCH AND SURVEILLANCE (CEIRS) Key points: 1. Contract awarded through full and open competition, suggesting a robust market for influenza research services. 2. The definitive contract structure indicates a long-term relationship for ongoing research and surveillance. 3. The contract's duration of over 3100 days highlights the sustained need for influenza monitoring. 4. The primary contractor, University of Rochester, is a key player in biomedical research. 5. The National Institutes of Health (NIH) is a significant funder of public health research. 6. The contract's focus on biotechnology research aligns with critical public health priorities.

Value Assessment

Rating: good

The contract value of $37.3 million over approximately 8.6 years suggests a reasonable annual investment in influenza research. Benchmarking this against similar large-scale, multi-year research grants from NIH would provide a clearer picture of value for money. The 'Cost No Fee' (Cost Plus Fixed Fee) contract type, while common in R&D, requires careful monitoring to ensure costs remain within reasonable bounds and that the fixed fee adequately compensates the contractor for their efforts without excessive profit.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified entities had the opportunity to bid. This process typically fosters competitive pricing and encourages innovation. The presence of 10 bidders suggests a healthy level of interest and capability within the market for influenza research services, which is a positive sign for price discovery and the selection of the most capable offeror.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that is likely to result in more efficient use of funds and potentially better research outcomes due to the selection of the most qualified and cost-effective provider.

Public Impact

The University of Rochester benefits as the lead contractor, advancing its research capabilities and reputation. The contract supports critical research into influenza, contributing to public health preparedness and disease surveillance. The geographic impact is primarily centered in New York where the University of Rochester is located, but the research findings have national and global public health implications. The contract supports a workforce of researchers, scientists, and administrative staff involved in biotechnology and public health surveillance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in 'Cost No Fee' contracts if not rigorously managed.
Reliance on a single primary contractor for a critical research area could pose a risk if performance falters.

Positive Signals

Awarded through full and open competition, indicating a strong market and potential for best value.
Long contract duration suggests sustained commitment and potential for significant research advancements.
The contractor, University of Rochester, is a reputable institution with established research infrastructure.

Sector Analysis

This contract falls within the Research and Development in Biotechnology sector, specifically focusing on infectious disease surveillance. The market for such specialized research is driven by government funding and the need for advanced scientific solutions to public health challenges. Comparable spending benchmarks would involve looking at other large NIH grants for infectious disease research and epidemiological studies, which often represent significant, multi-year investments in scientific advancement.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and there is no explicit mention of subcontracting requirements for small businesses. This suggests that the primary focus was on securing the most qualified large research institution for this specialized work. Further investigation would be needed to determine if any small business participation was encouraged or occurred organically through subcontracting.

Oversight & Accountability

Oversight for this contract would primarily fall under the National Institutes of Health (NIH), a division of the Department of Health and Human Services. NIH likely employs program officers and contract specialists to monitor progress, review reports, and ensure compliance with the contract terms. The Inspector General for HHS would also have jurisdiction for audits and investigations into potential fraud, waste, or abuse.

Related Government Programs

National Institutes of Health Research Grants
Centers for Disease Control and Prevention (CDC) Surveillance Programs
Biotechnology Research and Development Contracts
Influenza Pandemic Preparedness Initiatives

Risk Flags

Cost Control in Cost-Plus Contracts
Long-Term Project Management
Reliance on Key Personnel/Institution

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $37.3 million to UNIVERSITY OF ROCHESTER. IGF::OT::IGF NIAID CENTERS OF EXCELLENCE FOR INFLUENZA RESEARCH AND SURVEILLANCE (CEIRS)

Who is the contractor on this award?

The obligated recipient is UNIVERSITY OF ROCHESTER.

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 $37.3 million.

What is the period of performance?

Start: 2014-01-09. End: 2022-08-31.

What is the historical spending trend for influenza research and surveillance by the NIH?

Historical spending data from the NIH reveals a consistent and significant investment in influenza research and surveillance over the past decade. While specific figures fluctuate annually based on emerging threats and research priorities, the overall trend indicates a sustained commitment. For instance, funding often increases during periods of heightened concern over novel strains or outbreaks. The 'Centers of Excellence for Influenza Research and Surveillance (CEIRS)' program, under which this contract falls, has been a cornerstone of NIH's strategy, receiving substantial allocations to foster collaborative research networks. Analyzing budget allocations for institutes like the National Institute of Allergy and Infectious Diseases (NIAID) provides further insight into the scale and consistency of this investment, demonstrating a long-term strategic focus on understanding and combating influenza.

How does the University of Rochester's track record compare to other potential bidders for influenza research contracts?

The University of Rochester has a well-established and recognized track record in biomedical research, including significant contributions to infectious disease studies and influenza research. As a major academic institution, it possesses extensive infrastructure, experienced research personnel, and a history of securing competitive grants from agencies like the NIH. Its involvement in the CEIRS program prior to or during this contract period would indicate a proven ability to manage complex, multi-faceted research projects and collaborate effectively. When compared to other potential bidders, which likely included other leading universities and research consortia, the University of Rochester's established expertise and infrastructure would position it as a strong contender. The fact that it was awarded this significant contract through full and open competition suggests its proposal met or exceeded the evaluation criteria set forth by the NIH, likely outperforming competitors in areas such as scientific merit, research plan, personnel qualifications, and institutional support.

What are the key performance indicators (KPIs) used to measure the success of this influenza research contract?

While the specific Key Performance Indicators (KPIs) are not detailed in the provided data, contracts of this nature typically focus on measurable research outputs and milestones. These often include the successful identification and characterization of influenza strains, development of improved diagnostic tools or vaccines, advancements in understanding viral transmission dynamics, and the publication of research findings in peer-reviewed scientific journals. For surveillance aspects, KPIs might involve the timeliness and accuracy of data collection and reporting, the geographic reach of surveillance networks, and the ability to detect and respond to emerging threats. The 'Cost No Fee' structure implies that adherence to budget and efficient resource utilization are also implicit performance measures. Ultimately, the success of the contract is measured by its contribution to the broader public health goals of preventing, detecting, and mitigating the impact of influenza.

Are there any specific risks associated with the 'Cost No Fee' contract type for this R&D project?

The 'Cost No Fee' (Cost Plus Fixed Fee) contract type, while common for research and development where the final scope can be uncertain, does carry specific risks. The primary risk for the government is the potential for cost overruns. Since the contractor is reimbursed for allowable costs plus a fixed fee, there is less direct financial incentive for the contractor to control costs aggressively compared to a fixed-price contract. This necessitates robust government oversight to ensure that all claimed costs are reasonable, allocable, and necessary for the research. Another risk is ensuring the contractor maintains efficiency and productivity throughout the contract duration to achieve the research objectives within the estimated cost envelope. The fixed fee, once negotiated, does not change, meaning the contractor bears the risk if costs exceed estimates, but the government bears the risk of paying for costs that might be deemed excessive or inefficient if oversight is lacking.

How does this contract contribute to the broader national strategy for pandemic preparedness?

This contract plays a crucial role in the nation's pandemic preparedness strategy by strengthening the foundational scientific understanding and surveillance capabilities for influenza. Influenza viruses are a constant threat, with the potential to cause seasonal epidemics and novel pandemics. By funding research through entities like the University of Rochester under the CEIRS program, the NIH is investing in the development of advanced diagnostics, vaccines, and therapeutics. Furthermore, the surveillance component helps in early detection of new or concerning strains, providing critical lead time for public health responses. This proactive approach, supported by robust research and monitoring, is essential for mitigating the impact of future influenza outbreaks and potential pandemics, aligning directly with national biodefense and public health security objectives.

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: BASIC RESEARCH

Offers Received: 10

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 910 GENESEE ST STE 200, ROCHESTER, NY, 14611

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Hospital, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private), Special Designations

Financial Breakdown

Contract Ceiling: $86,913,433

Exercised Options: $37,266,757

Current Obligation: $37,266,757

Actual Outlays: $4,704,916

Subaward Activity

Number of Subawards: 40

Total Subaward Amount: $12,570,060

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline