NIH Awards $24.7M for Infectious Disease Research to Seattle Children's Hospital Under Full and Open Competition
Contract Overview
Contract Amount: $24,736,501 ($24.7M)
Contractor: Seattle Children's Hospital
Awarding Agency: Department of Health and Human Services
Start Date: 2017-07-27
End Date: 2022-08-31
Contract Duration: 1,861 days
Daily Burn Rate: $13.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: IGF::OT::IGF - BASE. 09/01/2017 - 08/31/2018. STRUCTURAL GENOMICS CENTERS FOR INFECTIOUS DISEASES.
Place of Performance
Location: SEATTLE, KING County, WASHINGTON, 98109
Plain-Language Summary
Department of Health and Human Services obligated $24.7 million to SEATTLE CHILDREN'S HOSPITAL for work described as: IGF::OT::IGF - BASE. 09/01/2017 - 08/31/2018. STRUCTURAL GENOMICS CENTERS FOR INFECTIOUS DISEASES. Key points: 1. Significant investment in infectious disease research, a critical public health area. 2. Competition was full and open, suggesting a robust price discovery process. 3. Contract type (Cost Plus Fixed Fee) can lead to cost overruns if not managed closely. 4. Research and Development in Biotechnology sector is vital for future health advancements.
Value Assessment
Rating: good
The contract value of $24.7M over five years appears reasonable for a large-scale research initiative. Benchmarking against similar NIH grants for structural genomics would provide a more precise assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition is a positive indicator for achieving fair pricing. This method allows multiple qualified entities to bid, fostering a competitive environment that should drive down costs and improve value.
Taxpayer Impact: Taxpayer funds are being allocated through a competitive process, aiming for efficient use in critical research.
Public Impact
Supports vital research into infectious diseases, potentially leading to new treatments and cures. Investment in biotechnology research can spur innovation and economic growth in the sector. The long-term nature of the contract (over 5 years) indicates a sustained commitment to the research goals.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contracts require diligent oversight to control costs.
- Potential for scope creep in long-term research projects.
Positive Signals
- Full and open competition ensures broad market participation.
- Focus on critical infectious disease research aligns with public health priorities.
Sector Analysis
This contract falls within the Biotechnology Research and Development sector, characterized by high innovation and significant government investment. Benchmarks for similar NIH grants in this area would typically range from millions to tens of millions annually, depending on the scope.
Small Business Impact
While this contract was awarded to a large institution (Seattle Children's Hospital), the competitive nature of 'full and open' procurement allows for small businesses to participate as subcontractors or prime contractors if they meet the qualifications.
Oversight & Accountability
The National Institutes of Health (NIH) is responsible for overseeing this contract. Robust oversight is crucial for Cost Plus Fixed Fee contracts to ensure funds are used effectively and research milestones are met.
Related Government Programs
- Research and Development in Biotechnology
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Cost Plus Fixed Fee contract type requires careful monitoring.
- Long contract duration may increase risk of scope creep.
- Reliance on a single primary awardee for a large sum.
- Potential for indirect costs to inflate the total expenditure.
Tags
research-and-development-in-biotechnolog, department-of-health-and-human-services, wa, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $24.7 million to SEATTLE CHILDREN'S HOSPITAL. IGF::OT::IGF - BASE. 09/01/2017 - 08/31/2018. STRUCTURAL GENOMICS CENTERS FOR INFECTIOUS DISEASES.
Who is the contractor on this award?
The obligated recipient is SEATTLE CHILDREN'S HOSPITAL.
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 $24.7 million.
What is the period of performance?
Start: 2017-07-27. End: 2022-08-31.
What specific infectious diseases are targeted by this research, and what are the expected outcomes?
The contract details do not specify the exact infectious diseases. However, the 'Structural Genomics Centers for Infectious Diseases' designation implies a focus on understanding the molecular structures of pathogens and host interactions to identify potential drug targets or vaccine strategies. Expected outcomes would include advancements in basic science knowledge and potential leads for therapeutic development.
How will the NIH ensure cost control and prevent overruns with this Cost Plus Fixed Fee contract structure?
The NIH will likely employ stringent financial monitoring, regular progress reviews, and clear performance metrics. For Cost Plus Fixed Fee contracts, the 'fixed fee' component provides some incentive for the contractor to manage costs efficiently, as the fee is predetermined. However, close collaboration and clear communication regarding project scope and budget are essential.
What is the potential long-term impact of this research on public health preparedness and response?
This research has the potential to significantly enhance public health preparedness by deepening our understanding of disease mechanisms. By identifying novel targets for intervention, it could accelerate the development of new diagnostics, vaccines, and therapeutics, thereby improving the nation's ability to respond to current and future infectious disease threats.
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
Solicitation ID: NIAIDDMIDNIHAI2016061
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Seattle Children's Healthcare System
Address: 4800 SAND POINT WAY NE, SEATTLE, WA, 98105
Business Categories: Category Business, Corporate Entity Tax Exempt, Hospital, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $25,252,157
Exercised Options: $24,736,501
Current Obligation: $24,736,501
Actual Outlays: $7,644,845
Subaward Activity
Number of Subawards: 35
Total Subaward Amount: $9,715,276
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2017-07-27
Current End Date: 2022-08-31
Potential End Date: 2022-08-31 00:00:00
Last Modified: 2023-03-08
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