DoD's $30.9M Aviation Applied Technology Contract Awarded to PIASECKI AIRCRAFT CORP

Contract Overview

Contract Amount: $30,921,148 ($30.9M)

Contractor: Piasecki Aircraft Corp

Awarding Agency: Department of Defense

Start Date: 2004-05-07

End Date: 2010-09-30

Contract Duration: 2,337 days

Daily Burn Rate: $13.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: 200411!000187!2100!W911W6!AVIATION APPLIED TECHNOLOGY !W911W604D0002 !A!N! !N!0001 ! !20040507!20050131!002266609!002266609!002266609!N!PIASECKI AIRCRAFT CORPORATION !WEST TERMINUS OF 2ND STREE!ESSINGTON !PA!19029!24112!045!42!ESSINGTON !DELAWARE !PENN !+000004250000!N!N!000000000000!AC13!RDTE/AIRCRAFT-ADV TECH DEV !A1C!OTHER AIRCRAFT EQUIPMENT !000 !* !541710!E! !5!B!S! ! ! !99990909!B! ! !A! !A!N!U!2!001!K! !Z!Y!Z! ! !N!B!N!N! ! !A! !B!A!00 !D!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: ESSINGTON, DELAWARE County, PENNSYLVANIA, 19029

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $30.9 million to PIASECKI AIRCRAFT CORP for work described as: 200411!000187!2100!W911W6!AVIATION APPLIED TECHNOLOGY !W911W604D0002 !A!N! !N!0001 ! !20040507!20050131!002266609!002266609!002266609!N!PIASECKI AIRCRAFT CORPORATION !WEST TERMINUS OF 2ND STREE!ESSINGTON !PA!19029!24112!045!42!ESSINGTON !DELA… Key points: 1. The contract, valued at $30.9 million, focuses on aviation applied technology development. 2. Awarded to PIASECKI AIRCRAFT CORP, this contract falls under the Research and Development sector. 3. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 4. Competition was 'Full and Open After Exclusion of Sources', suggesting limited initial competition. 5. The duration is over 7 years, implying a long-term R&D effort.

Value Assessment

Rating: questionable

The Cost Plus Fixed Fee contract type can lead to higher costs than fixed-price contracts if not managed carefully. Without specific cost breakdowns or benchmarks for similar R&D efforts, assessing the value is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources'. This method implies that while competition was sought, it was restricted, potentially limiting price discovery and competitive pressure.

Taxpayer Impact: The significant value of $30.9 million over a long period means taxpayer funds are committed to a specific vendor, with potential for less cost-efficiency due to limited competition.

Public Impact

Advancement in aviation technology could lead to future military capabilities. The long contract duration suggests a sustained investment in a particular area of research. Focus on applied technology indicates a move towards practical implementation of R&D. The award to a specific company raises questions about broader industry innovation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type
  • Limited competition method
  • Long contract duration

Positive Signals

  • Focus on applied technology development
  • Potential for technological advancement

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on aircraft technology. Benchmarks for R&D contracts can vary widely based on the specific technology and project scope, making direct comparisons challenging.

Small Business Impact

The contract was not awarded to a small business, as indicated by 'sb': false. There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The 'Cost Plus Fixed Fee' structure requires robust oversight to ensure costs are reasonable and the fixed fee is justified. The 'Full and Open Competition After Exclusion of Sources' also necessitates clear justification for the exclusion.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Cost Plus Fixed Fee contract type may lead to cost overruns.
  • Limited competition could result in higher prices.
  • Long contract duration increases exposure to changing technological landscapes.
  • Lack of transparency on specific R&D goals and expected outcomes.
  • No indication of small business participation.

Tags

research-and-development-in-the-physical, department-of-defense, pa, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $30.9 million to PIASECKI AIRCRAFT CORP. 200411!000187!2100!W911W6!AVIATION APPLIED TECHNOLOGY !W911W604D0002 !A!N! !N!0001 ! !20040507!20050131!002266609!002266609!002266609!N!PIASECKI AIRCRAFT CORPORATION !WEST TERMINUS OF 2ND STREE!ESSINGTON !PA!19029!24112!045!42!ESSINGTON !DELAWARE !PENN !+000004250000!N!N!000000000000!AC13!RDTE/AIRCRAFT-ADV TECH DEV !A1C!OTHER AIRCRAFT EQUIPMENT !000 !* !541710!E! !5!B!S! ! ! !999

Who is the contractor on this award?

The obligated recipient is PIASECKI AIRCRAFT CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $30.9 million.

What is the period of performance?

Start: 2004-05-07. End: 2010-09-30.

What specific aviation technologies are being developed under this contract, and what is the expected return on investment for the DoD?

The contract specifies 'AVIATION APPLIED TECHNOLOGY'. Without further details on the specific research areas, it's difficult to assess the expected return on investment. Applied technology development aims for practical applications, suggesting potential improvements in aircraft performance, efficiency, or new capabilities. However, the ROI for R&D is inherently uncertain and often realized over the long term through subsequent programs or operational benefits.

How was the 'exclusion of sources' justified in the 'Full and Open Competition' process, and did it limit potential cost savings?

The justification for excluding sources in a 'Full and Open Competition After Exclusion of Sources' award typically involves specific technical requirements, unique capabilities, or prior development efforts that only a limited number of entities possess. This method, while allowing for competition among the eligible sources, inherently restricts the pool, potentially limiting the downward pressure on pricing that a broader competition might achieve. The specific rationale for excluding other sources is crucial for evaluating cost-effectiveness.

What are the key performance indicators (KPIs) for this long-term R&D contract, and how is progress measured?

Key performance indicators for applied technology R&D contracts often include achieving specific technical milestones, demonstrating prototypes, meeting performance targets (e.g., speed, efficiency, payload), and successful integration testing. Progress is typically measured through regular technical reviews, progress reports, and demonstrations of developed technologies. The Cost Plus Fixed Fee structure necessitates clear contractual language defining these KPIs and the government's acceptance criteria to ensure accountability and track the effectiveness of the research.

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 DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Address: WEST TERMINUS OF 2ND STREE, ESSINGTON, PA, 05

Business Categories: Category Business, Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W911W604D0002

IDV Type: IDC

Timeline

Start Date: 2004-05-07

Current End Date: 2010-09-30

Potential End Date: 2010-09-30 00:00:00

Last Modified: 2010-10-12

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