HHS awards $32.3M for Pathology Support to Integrated Laboratory Systems, LLC over 10 years

Contract Overview

Contract Amount: $32,346,267 ($32.3M)

Contractor: Integrated Laboratory Systems, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2005-07-18

End Date: 2015-07-17

Contract Duration: 3,651 days

Daily Burn Rate: $8.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: PATHOLOGY SUPPORT FOR THE NIEHS

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $32.3 million to INTEGRATED LABORATORY SYSTEMS, LLC for work described as: PATHOLOGY SUPPORT FOR THE NIEHS Key points: 1. Contract awarded to Integrated Laboratory Systems, LLC for pathology support services. 2. The contract spans 10 years, indicating a long-term need for these services. 3. The award value of $32.3M suggests a significant investment in research and development support. 4. Services fall under NAICS code 541710 (Research and Development in the Physical, Engineering, and Life Sciences).

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The total award value over 10 years averages around $3.2M annually, which needs to be benchmarked against similar R&D support contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific pricing mechanisms and discovery of fair and reasonable pricing are not detailed here.

Taxpayer Impact: Taxpayer funds are utilized for R&D support, with the value and efficiency of this spending being a key consideration.

Public Impact

Supports critical research and development activities at the National Institutes of Health (NIH). Ensures continuity of essential pathology services for scientific advancement. Long-term contract provides stability for research operations and service providers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically supporting life sciences. Spending benchmarks for pathology support services within federal R&D contracts can vary widely based on scope and duration.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses were likely not primary awardees, though they may have participated as subcontractors.

Oversight & Accountability

Oversight would typically involve contract officers and program managers ensuring adherence to contract terms, quality of service, and cost control. The long duration necessitates robust oversight to maintain value.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-health-and-human-services, nc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $32.3 million to INTEGRATED LABORATORY SYSTEMS, LLC. PATHOLOGY SUPPORT FOR THE NIEHS

Who is the contractor on this award?

The obligated recipient is INTEGRATED LABORATORY SYSTEMS, LLC.

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 $32.3 million.

What is the period of performance?

Start: 2005-07-18. End: 2015-07-17.

What specific pathology services are included, and how do they align with current NIH research priorities?

The provided data does not detail the specific pathology services rendered. A thorough review would require examining the contract's Statement of Work (SOW) to understand the scope, deliverables, and alignment with NIH's evolving research objectives. This ensures taxpayer funds are supporting the most critical scientific endeavors.

How was the fixed fee determined, and what mechanisms are in place to control costs under this CPFF contract?

The determination of the fixed fee for a Cost Plus Fixed Fee (CPFF) contract typically involves negotiation based on anticipated costs, complexity, and risk. Robust oversight mechanisms, including regular audits and performance reviews, are crucial to ensure the contractor remains efficient and costs are controlled throughout the contract's lifecycle.

What is the process for evaluating the effectiveness and value for money of these pathology support services over the 10-year period?

Evaluating effectiveness and value over a decade requires a structured approach. This includes establishing clear Key Performance Indicators (KPIs) from the outset, conducting periodic performance reviews, and potentially incorporating mechanisms for contract modification or re-competition if services become outdated or less cost-effective compared to market alternatives.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENTOTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1 PARK PL STE 200, DURHAM, NC, 27712

Business Categories: Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business

Financial Breakdown

Contract Ceiling: $43,405,874

Exercised Options: $43,405,874

Current Obligation: $32,346,267

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2005-07-18

Current End Date: 2015-07-17

Potential End Date: 2015-07-17 00:00:00

Last Modified: 2019-04-09

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