Naval Research Lab contract for Utah State University awarded $26.2M for advanced technology development

Contract Overview

Contract Amount: $26,242,008 ($26.2M)

Contractor: Utah State University Space Dynamics Laboratory

Awarding Agency: Department of Defense

Start Date: 2004-09-16

End Date: 2012-09-15

Contract Duration: 2,921 days

Daily Burn Rate: $9.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: 200412!002008!1700!E3230 !NAVAL RESEARCH LABORATORY !N0017302D2003 !A!N! !N!0006 ! !20040916!20070915!097760433!097760433!097760433!N!UTAH STATE UNIVERSITY RESEARCH!1695 N RESEARCH PARK WAY !NORTH LOGAN !UT!84341!54990!005!49!NORTH LOGAN !CACHE !UTAH !+000000567416!N!N!000000000000!AJ13!RDTE/PHYSICAL SCIENCES - ADV TECH DEV !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !541710!E! !5!B!S! ! !D!20070717!B! ! !A! !D!N!U!1!001!N!3A!Z!Y!Z! ! !N!V!N! ! ! ! ! !A!A!000!A!C!N! ! ! ! ! ! !0001! !

Place of Performance

Location: LOGAN, CACHE County, UTAH, 84341

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $26.2 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY for work described as: 200412!002008!1700!E3230 !NAVAL RESEARCH LABORATORY !N0017302D2003 !A!N! !N!0006 ! !20040916!20070915!097760433!097760433!097760433!N!UTAH STATE UNIVERSITY RESEARCH!1695 N RESEARCH PARK WAY !NORTH LOGAN !UT!84341!54990!005!49!NORTH LOGAN !CACH… Key points: 1. Contract focused on advanced technology development within physical sciences. 2. Significant funding allocated over a multi-year period. 3. Sole-source award raises questions about competition and potential cost savings. 4. Contractor has a history of performing research and development for the government. 5. The contract falls under the broader category of R&D spending. 6. Geographic concentration of award in Utah.

Value Assessment

Rating: fair

The contract value of $26.2 million over approximately 8 years represents a substantial investment in advanced technology. Benchmarking this specific contract is challenging due to its specialized nature and sole-source award. However, the cost-plus-fixed-fee structure suggests that while the government aimed to control overall costs, the final price could fluctuate based on actual expenses incurred by the contractor. Without comparable sole-source awards for similar advanced R&D projects, a definitive value-for-money assessment is difficult, but the duration and funding level indicate a significant commitment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when a specific contractor possesses unique capabilities, proprietary technology, or is the only source capable of meeting the requirement. The lack of competition means that the government did not benefit from the price discovery mechanisms that typically occur in a competitive bidding process, potentially leading to higher costs than might have been achieved otherwise.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure. The sole-source nature limits the government's ability to leverage market forces to secure the best possible price for advanced research and development services.

Public Impact

The primary beneficiary is Utah State University, specifically its research divisions, which will receive funding for advanced technology development. The services delivered involve research and development in physical sciences and advanced technologies, contributing to scientific and technological advancement. The geographic impact is concentrated in Utah, supporting local research institutions and potentially the regional economy. Workforce implications include the employment of researchers, scientists, and support staff at Utah State University.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potential cost savings for taxpayers.
Cost-plus-fixed-fee contract structure can lead to cost overruns if not managed carefully.
Lack of transparency in the justification for sole-source award.
Long contract duration may not allow for flexibility in adapting to evolving technological needs.
Limited public information on specific deliverables and performance metrics.

Positive Signals

Award to a university research institution suggests a focus on cutting-edge, potentially foundational research.
The contract duration indicates a long-term commitment to a specific research area, fostering deep expertise.
The Naval Research Laboratory is a reputable entity, implying a strategic need for the contracted research.
Utah State University has a history of receiving federal research grants, indicating established capabilities.

Sector Analysis

The contract falls within the Research and Development (R&D) sector, specifically focusing on physical sciences and advanced technology development. This sector is characterized by innovation, long development cycles, and significant government investment, particularly in defense and national security. The market size for advanced R&D is substantial, with agencies like the Department of Defense being major funders. This contract represents a specific investment by the Navy in a particular area of technological advancement, likely aligning with strategic priorities. Comparable spending benchmarks are difficult to establish due to the specialized nature of R&D, but the $26.2 million award over nearly eight years is a significant sum for a single project.

Small Business Impact

This contract does not appear to have a small business set-aside component, as it was awarded to Utah State University. There is no explicit information regarding subcontracting plans for small businesses. The focus on advanced R&D at a university level may not lend itself to typical small business subcontracting opportunities, though specific research tasks could potentially involve smaller, specialized firms.

Oversight & Accountability

Oversight for this contract would primarily reside with the Naval Research Laboratory, the awarding agency. As a sole-source award, the justification and terms would be subject to internal review and potentially oversight from the Government Accountability Office (GAO) if protests or specific inquiries arise. Transparency is limited due to the sole-source nature and the specialized R&D focus. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse emerge during the contract's performance.

Related Government Programs

Naval Research Laboratory Research and Development Programs
Department of Defense Advanced Technology Development
University Research Grants and Contracts
Physical Sciences Research Funding
Advanced Technology Development Contracts

Risk Flags

Sole-source award may limit cost-effectiveness.
Cost-plus-fixed-fee structure carries inherent cost overrun risk.
Lack of detailed public information on specific deliverables.
Potential for limited competition impacting price discovery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.2 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY. 200412!002008!1700!E3230 !NAVAL RESEARCH LABORATORY !N0017302D2003 !A!N! !N!0006 ! !20040916!20070915!097760433!097760433!097760433!N!UTAH STATE UNIVERSITY RESEARCH!1695 N RESEARCH PARK WAY !NORTH LOGAN !UT!84341!54990!005!49!NORTH LOGAN !CACHE !UTAH !+000000567416!N!N!000000000000!AJ13!RDTE/PHYSICAL SCIENCES - ADV TECH DEV !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !541710!E! !5!B!S! ! !D!200

Who is the contractor on this award?

The obligated recipient is UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $26.2 million.

What is the period of performance?

Start: 2004-09-16. End: 2012-09-15.

What specific advanced technologies is Utah State University contracted to develop under this award?

The provided data indicates the contract is for 'Research and Development in the Physical, Engineering, and Life Sciences' with a specific NAICS code of 541710, which covers 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology).' While the contract title is broad, the awarding agency, the Naval Research Laboratory, suggests a focus on technologies relevant to naval applications, which could encompass areas like materials science, sensor technology, advanced propulsion, or directed energy. However, the specific technological focus is not detailed in the provided data. Further investigation into the contract's statement of work or related documentation would be necessary to ascertain the precise nature of the advanced technologies being developed.

What is the justification for awarding this contract on a sole-source basis?

Sole-source awards are typically justified when only one responsible source is available or capable of meeting the agency's needs. For research and development contracts, this often occurs when a specific contractor possesses unique intellectual property, highly specialized expertise, or has already made significant progress on a project that would be difficult or impossible for another entity to replicate without substantial delay and cost. In the case of Utah State University, the justification might stem from unique research capabilities, existing infrastructure, or prior work that makes them the only viable option for the Naval Research Laboratory's specific requirements. A formal justification document, often required for sole-source awards above certain thresholds, would contain the detailed rationale.

How does the cost-plus-fixed-fee (CPFF) contract type influence the financial risk for the government?

A Cost-Plus-Fixed-Fee (CPFF) contract type means the government agrees to pay the contractor's actual allowable costs plus a fixed fee representing profit. This structure shifts some of the financial risk to the government, as the total cost is not predetermined. While the fixed fee provides a predictable profit margin for the contractor, the government bears the risk of cost overruns if the actual costs exceed initial estimates. Effective oversight and management are crucial to control costs and ensure the government receives good value. The fixed fee itself is negotiated and should reflect the level of risk and effort involved.

What is Utah State University's track record with federal R&D contracts, particularly with the Department of Defense?

Utah State University has a significant history of securing federal research and development contracts, including substantial funding from the Department of Defense and its various branches. Their Space Dynamics Laboratory (SDL), which appears to be the entity involved in this specific contract, is well-known for its work in areas such as space science, remote sensing, and advanced technology development. The university consistently ranks among top institutions for federal R&D expenditures. This track record suggests a proven capability to manage complex research projects, meet performance requirements, and handle government funding responsibly, making them a likely candidate for specialized R&D awards.

Can the value of this contract be benchmarked against similar R&D efforts by other universities or institutions?

Benchmarking the value of this $26.2 million contract for Utah State University against similar R&D efforts is challenging due to several factors. Firstly, the sole-source nature means direct competitive comparisons are unavailable. Secondly, the specific focus on 'advanced technology development in physical sciences' is highly specialized, and the exact nature of the research is not detailed. Universities often receive varying amounts for R&D based on the project's scope, duration, required expertise, and the strategic importance to the funding agency. While other large university R&D contracts exist, direct apples-to-apples comparisons are difficult without detailed knowledge of the technical objectives, deliverables, and research methodologies involved.

What are the potential long-term implications of this contract for technological advancement in the physical sciences?

This contract has the potential to significantly advance technological capabilities within the physical sciences, particularly in areas relevant to the Naval Research Laboratory's mission. By investing a substantial sum over an extended period, the government is fostering deep research and development, which can lead to breakthroughs in materials, energy, sensors, or other critical fields. Such advancements could have dual-use applications, benefiting both defense and civilian sectors. The long-term impact depends on the success of the research, the effective transition of developed technologies into practical applications, and the continued support for scientific exploration in these vital areas.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › General Science and Technology R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: Utah State University (UEI: 072983455)

Address: 1695 N RESEARCH PARK WAY, NORTH LOGAN, UT, 84341

Business Categories: Category Business, Educational Institution, Higher Education, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $26,249,456

Exercised Options: $26,249,456

Current Obligation: $26,242,008

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0017302D2003

IDV Type: IDC

Timeline