DoD's $197M IDA Contract for Research Services: A Deep Dive into Value and Competition

Contract Overview

Contract Amount: $197,372,354 ($197.4M)

Contractor: Institute for Defense Analyses

Awarding Agency: Department of Defense

Start Date: 2015-07-08

End Date: 2022-09-30

Contract Duration: 2,641 days

Daily Burn Rate: $74.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::CL::IGF RESEARCH PROJECTS ADDED TO THE IDA CONTRACT

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22305

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $197.4 million to INSTITUTE FOR DEFENSE ANALYSES for work described as: IGF::CL::IGF RESEARCH PROJECTS ADDED TO THE IDA CONTRACT Key points: 1. Significant contract value of $197.37M awarded to a single entity. 2. Sole-source award raises questions about competitive pricing and market fairness. 3. Contract duration of over 6 years suggests long-term reliance on this provider. 4. The 'All Other Professional, Scientific, and Technical Services' category is broad, potentially masking specific service costs.

Value Assessment

Rating: questionable

The contract's cost-plus-fixed-fee structure, combined with a sole-source award, makes a direct pricing assessment difficult. Benchmarking against similar, competitively procured contracts for specialized research services would be necessary to determine true value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning there was no open competition. This limits price discovery and may result in higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition for a nearly $200 million contract raises concerns about potential overspending and inefficient use of taxpayer funds.

Public Impact

Taxpayers may be paying a premium due to the absence of competitive bidding. Limited transparency into the specific research projects funded under this large contract. Potential for reduced innovation if alternative research institutions are not considered.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • Cost-plus contract type
  • Broad service category

Positive Signals

  • Established provider for DoD research
  • Long contract duration indicates consistent need

Sector Analysis

The Department of Defense frequently procures professional, scientific, and technical services. Benchmarks for similar large-scale, sole-source research contracts are difficult to establish due to the unique nature of such awards.

Small Business Impact

The contract data does not indicate any specific provisions or awards made to small businesses. The sole-source nature of this award likely precluded small business participation.

Oversight & Accountability

The 'INSTITUTE FOR DEFENSE ANALYSES' is a federally funded research and development center (FFRDC), which typically operates under specific oversight frameworks. However, the sole-source nature of this delivery order warrants scrutiny to ensure fair pricing and performance.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Lack of competitive bidding
  • Potential for inflated costs
  • Limited transparency on project specifics
  • Broad service category obscuring detailed costs
  • Long contract duration without clear re-competition

Tags

all-other-professional-scientific-and-te, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $197.4 million to INSTITUTE FOR DEFENSE ANALYSES. IGF::CL::IGF RESEARCH PROJECTS ADDED TO THE IDA CONTRACT

Who is the contractor on this award?

The obligated recipient is INSTITUTE FOR DEFENSE ANALYSES.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $197.4 million.

What is the period of performance?

Start: 2015-07-08. End: 2022-09-30.

What specific research projects were undertaken, and how did their outcomes justify the significant investment without competition?

The contract's broad description 'IGF RESEARCH PROJECTS ADDED TO THE IDA CONTRACT' lacks specificity. Without detailed project information, it's impossible to assess the value derived from the $197.37M expenditure. A review of project reports and deliverables would be necessary to determine if the research outcomes aligned with the cost and met the Department of Defense's strategic objectives.

What is the rationale for the sole-source award, and were alternative competitive approaches considered?

The justification for a sole-source award, especially for a contract of this magnitude, needs rigorous documentation. Agencies must demonstrate why only one source can fulfill the requirement. Without this justification, it suggests a potential failure to explore competitive avenues, which could lead to suboptimal pricing and reduced innovation.

How does the cost-plus-fixed-fee structure compare to industry standards for similar research services, and what mechanisms are in place to control costs?

Cost-plus-fixed-fee contracts can incentivize contractors to incur costs, as a portion of their profit is tied to the total cost. For a nearly $200 million contract, robust oversight is crucial to ensure costs are reasonable and allocable. Benchmarking against similar FFRDC contracts and scrutinizing cost reports are essential to verify value for money.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&DSPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: HQ003413R0092

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4850 MARK CENTER DR, ALEXANDRIA, VA, 22311

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $197,384,468

Exercised Options: $197,384,468

Current Obligation: $197,372,354

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ003414D0001

IDV Type: IDC

Timeline

Start Date: 2015-07-08

Current End Date: 2022-09-30

Potential End Date: 2022-09-30 00:00:00

Last Modified: 2025-07-18

More Contracts from Institute for Defense Analyses

View all Institute for Defense Analyses federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending