Missile Defense Agency awards $47.8M R&D contract to COLSA CORP for advanced research center operations

Contract Overview

Contract Amount: $47,816,094 ($47.8M)

Contractor: Colsa Corp

Awarding Agency: Department of Defense

Start Date: 2007-11-20

End Date: 2014-05-31

Contract Duration: 2,384 days

Daily Burn Rate: $20.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: ADVANCED RESEARCH CENTER - TASK ORDER 0002 OPERATION AND SUSTAINMENT

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35806

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $47.8 million to COLSA CORP for work described as: ADVANCED RESEARCH CENTER - TASK ORDER 0002 OPERATION AND SUSTAINMENT Key points: 1. Contract awarded on a Time and Materials basis, which can pose cost control challenges. 2. The contract duration of nearly 7 years suggests a long-term need for these services. 3. Awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a specific justification for limiting bidders. 4. The North American Industry Classification System (NAICS) code 541712 points to significant R&D investment. 5. The contract was awarded in 2007, with performance extending to 2014, reflecting historical spending patterns. 6. The Missile Defense Agency's focus on advanced research highlights the strategic importance of this contract.

Value Assessment

Rating: fair

Assessing the value for money is challenging without detailed performance metrics and cost breakdowns. The Time and Materials pricing structure inherently carries higher risk for cost overruns compared to fixed-price contracts. Benchmarking against similar R&D support contracts for advanced research centers would be necessary for a comprehensive value assessment. The duration of the contract suggests sustained need, but the lack of specific performance data makes a definitive value judgment 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 indicates that while competition was sought, specific criteria or circumstances led to the exclusion of certain potential sources. The exact reasons for this exclusion are not detailed, but it suggests a targeted approach rather than a broad solicitation. The number of bidders is not specified, making it difficult to fully assess the breadth of competition.

Taxpayer Impact: The limited competition may have resulted in less competitive pricing for taxpayers compared to a truly full and open competition. It suggests that only a select group of contractors met the specific requirements, potentially reducing the downward pressure on costs.

Public Impact

The primary beneficiaries are the Department of Defense and the Missile Defense Agency, receiving critical research and development support. The services delivered likely involve specialized technical expertise, operational support, and maintenance for advanced research facilities. The geographic impact is centered in Alabama, where the contract was awarded and likely performed. The contract supports a specialized workforce in research and development, potentially including scientists, engineers, and technical support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing structure increases cost uncertainty.
Limited competition may have reduced price discovery.
Lack of detailed performance metrics hinders value assessment.

Positive Signals

Awarded to support critical R&D for missile defense.
Long contract duration indicates sustained need and potential for stable support.
Contractor COLSA CORP has a history of government contracting.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The Missile Defense Agency's work is a critical component of national security, requiring highly specialized scientific and technical expertise. Comparable spending benchmarks would involve other large-scale R&D support contracts for defense agencies, often characterized by significant investment and long-term commitments.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as the 'small business set-aside' flag is false. There is no explicit information regarding subcontracting plans for small businesses. This suggests that the primary contractor, COLSA CORP, likely possesses the specialized capabilities required, and opportunities for small businesses may be limited unless they are direct suppliers or partners to COLSA.

Oversight & Accountability

Oversight mechanisms for this contract would typically involve the contracting officer's representative (COR) at the Missile Defense Agency, who monitors performance and ensures compliance. Accountability measures are embedded in the contract terms, including reporting requirements and adherence to the Time and Materials pricing. Transparency is generally limited for specific task orders, but overall contract spending is publicly available through federal procurement databases.

Related Government Programs

Missile Defense Systems
Advanced Technology Development
Department of Defense Research Contracts
Aerospace R&D
National Security Technology

Risk Flags

Cost Uncertainty due to Time and Materials pricing
Limited Competition justification requires review
Long-term contract requires sustained oversight

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.8 million to COLSA CORP. ADVANCED RESEARCH CENTER - TASK ORDER 0002 OPERATION AND SUSTAINMENT

Who is the contractor on this award?

The obligated recipient is COLSA CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Missile Defense Agency).

What is the total obligated amount?

The obligated amount is $47.8 million.

What is the period of performance?

Start: 2007-11-20. End: 2014-05-31.

What was the specific justification for awarding this contract under 'Full and Open Competition After Exclusion of Sources'?

The designation 'Full and Open Competition After Exclusion of Sources' typically implies that a broad solicitation was initially considered, but specific circumstances led to the exclusion of certain potential offerors. This could be due to unique technical requirements, proprietary technology, or prior performance history that narrowed the field of eligible contractors. Without access to the specific justification documentation (e.g., Justification and Approval - J&A), the precise reasons remain unclear. However, it suggests that the Missile Defense Agency had specific needs that only a subset of the market could fulfill, leading to a more limited, though still competitive, procurement process.

How does the Time and Materials (T&M) pricing structure compare to other contract types for R&D services, and what are the associated risks?

Time and Materials (T&M) contracts are often used when the scope of work is not clearly defined or is expected to change significantly, which can be common in research and development. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This offers flexibility but carries inherent risks for the government, primarily cost uncertainty. If not closely monitored, T&M contracts can lead to cost overruns as the total price is not capped upfront. Effective oversight, including detailed tracking of labor hours and material costs, is crucial to mitigate these risks and ensure value for money. For R&D, T&M can be appropriate for exploratory phases but less so for well-defined development tasks.

What was COLSA CORP's performance history with the Missile Defense Agency or similar agencies prior to this award?

COLSA CORP has a significant history of contracting with the U.S. government, including various agencies within the Department of Defense. Prior to this specific task order awarded in 2007, COLSA had likely engaged in numerous contracts related to research, development, engineering, and technical support. Their track record with the Missile Defense Agency (MDA) would be a key factor in the agency's decision-making process. A review of historical contract data would reveal the types of services provided, contract values, and performance ratings (if available). Generally, contractors with a strong performance history in specialized R&D support are favored for complex, long-term projects like the operation and sustainment of advanced research centers.

How does the $47.8 million total award value compare to overall Missile Defense Agency R&D spending during the contract period (2007-2014)?

The total award value of $47.8 million for this task order represents a specific investment in the operation and sustainment of an advanced research center. To contextualize this, it needs to be compared against the Missile Defense Agency's (MDA) overall Research, Development, Test, and Evaluation (RDT&E) budget during the contract's performance period (November 20, 2007, to May 31, 2014). The MDA's annual RDT&E budgets typically range in the billions of dollars. Therefore, this $47.8 million contract, while substantial for a single task order, likely represents a relatively small fraction of the MDA's total R&D expenditure over those approximately seven years. It highlights a specific, focused area of investment within the broader missile defense research portfolio.

What are the potential implications of a nearly 7-year contract duration for R&D services?

A contract duration of nearly seven years (2384 days) for R&D services, such as operating and sustaining an advanced research center, suggests a long-term strategic commitment by the Missile Defense Agency. This extended period allows for sustained focus on complex research objectives, fostering deeper expertise and continuity within the contractor's team. It can also lead to greater efficiency and cost savings through economies of scale and reduced transition costs associated with frequent re-procurement. However, it also necessitates robust oversight to ensure the contractor remains aligned with evolving technological needs and performance expectations throughout the contract's life. The long duration might also present challenges in adapting to rapid technological advancements if the contract is not structured with flexibility.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HQ014707R0001

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6726 ODYSSEY DR, HUNTSVILLE, AL, 35806

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Small Business

Financial Breakdown

Contract Ceiling: $47,816,094

Exercised Options: $47,816,094

Current Obligation: $47,816,094

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ014707D0002

IDV Type: IDC

Timeline