ASPR awards $25.3M contract for biotechnology R&D to Arizona State University over 12 years
Contract Overview
Contract Amount: $25,347,509 ($25.3M)
Contractor: Arizona State University
Awarding Agency: Department of Health and Human Services
Start Date: 2009-12-18
End Date: 2022-11-16
Contract Duration: 4,716 days
Daily Burn Rate: $5.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 10
Pricing Type: COST NO FEE
Sector: R&D
Official Description: TAS::75 0140::TAS
Place of Performance
Location: TEMPE, MARICOPA County, ARIZONA, 85287
State: Arizona Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $25.3 million to ARIZONA STATE UNIVERSITY for work described as: TAS::75 0140::TAS Key points: 1. Significant long-term investment in biotechnology research. 2. Sole awardee suggests potential for specialized expertise or limited market. 3. Contract duration spans over a decade, indicating ongoing project needs. 4. Focus on R&D in a critical health sector.
Value Assessment
Rating: fair
The contract value of $25.3M over 12 years averages approximately $2.1M annually. Without specific deliverables or benchmarks, it's difficult to assess value. However, for specialized R&D, this annual figure may be within a reasonable range.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive process to select the best offeror. The definitive contract type implies a fixed scope and price, though the 'COST NO FEE' indicates cost reimbursement.
Taxpayer Impact: Taxpayer funds are supporting advanced biotechnology research, which could lead to future public health benefits. The long duration and cost reimbursement structure warrant oversight to ensure efficient use of funds.
Public Impact
Supports advancements in biotechnology with potential public health applications. Long-term commitment to a single research institution. Funding for research and development in a critical scientific field.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration may not adapt to evolving research needs.
- Cost-reimbursement contracts can pose risks of overspending without strict oversight.
- Lack of specific performance metrics makes value assessment challenging.
Positive Signals
- Supports critical R&D in biotechnology.
- Awarded through full and open competition.
- Long-term commitment allows for sustained research progress.
Sector Analysis
This contract falls within the Research and Development in Biotechnology sector. Spending in this area is crucial for innovation in healthcare and life sciences. Benchmarks for R&D contracts vary widely based on scope and duration.
Small Business Impact
The data does not indicate any specific set-asides or participation goals for small businesses in this contract. The award to a large university suggests it was not primarily targeted towards small business development.
Oversight & Accountability
The long duration of the contract necessitates robust oversight from the Office of Assistant Secretary for Preparedness and Response to ensure milestones are met and funds are used effectively. Regular reviews of research progress and expenditures are critical.
Related Government Programs
- Research and Development in Biotechnology
- Department of Health and Human Services Contracting
- Office of Assistant Secretary for Preparedness and Response Programs
Risk Flags
- Long contract duration.
- Cost reimbursement contract type.
- Lack of specific performance metrics in provided data.
- Potential for scope creep over 12 years.
Tags
research-and-development-in-biotechnolog, department-of-health-and-human-services, az, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $25.3 million to ARIZONA STATE UNIVERSITY. TAS::75 0140::TAS
Who is the contractor on this award?
The obligated recipient is ARIZONA STATE UNIVERSITY.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Office of Assistant Secretary for Preparedness and Response).
What is the total obligated amount?
The obligated amount is $25.3 million.
What is the period of performance?
Start: 2009-12-18. End: 2022-11-16.
What specific research objectives and expected outcomes are associated with this $25.3M contract, and how are they being measured to ensure value for taxpayer investment?
The contract details are limited, but it's crucial to understand the specific research objectives and expected outcomes. Measuring value requires clearly defined milestones, deliverables, and performance metrics. Without these, assessing the return on the $25.3M investment is challenging. Regular progress reports and independent evaluations would be necessary to ensure accountability and track scientific advancements against the funding provided.
Given the 'COST NO FEE' structure and long duration, what mechanisms are in place to mitigate the risk of cost overruns and ensure efficient use of funds?
Cost-reimbursement contracts, especially those spanning over a decade, inherently carry a risk of cost overruns. Mitigation strategies should include stringent financial controls, regular audits, and detailed budget reviews. The 'NO FEE' aspect suggests the contractor is not profiting beyond cost recovery, but oversight is still needed to prevent unnecessary expenses. Clear guidelines on allowable costs and performance-based payment adjustments can further enhance efficiency.
How does the biotechnology research funded by this contract align with current public health priorities and preparedness goals of the HHS?
The alignment of this contract with public health priorities is critical for justifying the significant taxpayer investment. Research and Development in Biotechnology can directly address emerging health threats, vaccine development, or novel therapeutic strategies. The Office of the Assistant Secretary for Preparedness and Response (ASPR) typically focuses on such areas. Understanding the specific research focus and its potential impact on national health security would clarify its strategic importance.
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
Address: 1711 S RURAL RD ADM B 160, TEMPE, AZ, 85287
Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. National Government, Not Designated a Small Business, Higher Education (Public), U.S. Regional/State Government, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $52,062,643
Exercised Options: $34,685,397
Current Obligation: $25,347,509
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2009-12-18
Current End Date: 2022-11-16
Potential End Date: 2022-11-16 00:00:00
Last Modified: 2022-11-16
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