Dod's $13.1M Space Technology Research Contract Awarded to ATA Aerospace LLC

Contract Overview

Contract Amount: $13,129,310 ($13.1M)

Contractor: ATA Aerospace LLC

Awarding Agency: Department of Defense

Start Date: 2007-06-26

End Date: 2012-10-29

Contract Duration: 1,952 days

Daily Burn Rate: $6.7K/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: SPACE TECHNOLOGY RESEARCH, ANALYSIS, INTEGRATION&TEST (STRAIT) - VSE-Z PROGRAM OFFICE

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87123

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $13.1 million to ATA AEROSPACE LLC for work described as: SPACE TECHNOLOGY RESEARCH, ANALYSIS, INTEGRATION&TEST (STRAIT) - VSE-Z PROGRAM OFFICE Key points: 1. The contract, valued at $13.1 million, focuses on research and development in physical, engineering, and life sciences. 2. Awarded under full and open competition, it signifies a competitive procurement process. 3. The contract duration of 1952 days (over 5 years) suggests a significant, long-term project. 4. The 'NM' status code might indicate a specific type of small business set-aside or socioeconomic status, requiring further investigation.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. Benchmarking CPFF contracts in R&D is challenging due to inherent project uncertainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a competitive process that allowed all eligible sources to participate after initial exclusions. This method generally promotes price discovery and value for the government.

Taxpayer Impact: The competitive nature of the award suggests efforts to secure fair pricing, but the CPFF structure warrants close monitoring to ensure taxpayer funds are used efficiently.

Public Impact

Supports advanced space technology research, potentially leading to national security or scientific advancements. The long duration indicates a sustained investment in a specific technological area. The award to ATA AEROSPACE LLC contributes to the growth of companies in the aerospace R&D sector.

Waste & Efficiency Indicators

Waste Risk Score: 67 / 10

Warning Flags

  • CPFF contract type risks cost overruns.
  • Potential for scope creep in R&D projects.
  • 'NM' status code requires clarification.

Positive Signals

  • Full and open competition ensures broad market participation.
  • Long contract duration suggests strategic importance.
  • Focus on R&D aligns with technological advancement goals.

Sector Analysis

This contract falls under the Research and Development sector, specifically NAICS code 541710. Spending in this sector is crucial for innovation and maintaining technological superiority, particularly for defense agencies. Benchmarks vary widely based on the specific R&D area.

Small Business Impact

The data indicates the contract was not set aside for small businesses (sb: false) and the contractor is not classified as a small business (st: NM, which needs further clarification but is unlikely to denote small business status in this context).

Oversight & Accountability

The 'AW' code 'DO' likely refers to a Departmental Order, suggesting internal DoD oversight. The long duration and CPFF structure necessitate robust oversight to manage costs and ensure deliverables meet objectives.

Related Government Programs

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

Risk Flags

  • Cost Plus Fixed Fee (CPFF) contract type.
  • Long contract duration (1952 days).
  • R&D projects inherently carry uncertainty.
  • Ambiguity in 'NM' status code.
  • Potential for scope creep in research contracts.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.1 million to ATA AEROSPACE LLC. SPACE TECHNOLOGY RESEARCH, ANALYSIS, INTEGRATION&TEST (STRAIT) - VSE-Z PROGRAM OFFICE

Who is the contractor on this award?

The obligated recipient is ATA AEROSPACE LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2007-06-26. End: 2012-10-29.

What specific technological advancements are expected from this $13.1M SPACE TECHNOLOGY RESEARCH contract, and how will they benefit the Department of the Air Force?

The contract aims to advance research, analysis, integration, and testing in space technology. Expected benefits include enhanced capabilities for space operations, improved satellite technology, and potentially new defense applications. The specific advancements depend on the project's focus within the broad 'space technology' domain, such as propulsion, communication, or surveillance systems.

Given the Cost Plus Fixed Fee (CPFF) structure, what are the primary risks associated with cost control and potential overruns for this contract?

The primary risk with CPFF is that the contractor is reimbursed for all allowable costs plus a fixed fee, creating less incentive for cost efficiency compared to fixed-price contracts. If the government's estimate of costs is inaccurate or if unforeseen technical challenges arise, the total cost to the government can significantly exceed initial projections without a corresponding increase in the contractor's fee.

How does the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement method impact the overall value and effectiveness of this R&D contract?

This method, while competitive, implies that certain sources were initially excluded, potentially narrowing the field of bidders. However, 'full and open' ensures that among the remaining eligible sources, competition occurred. This balance aims to achieve value by leveraging specialized expertise while still fostering price competition, contributing to the contract's effectiveness if the selected contractor possesses the necessary R&D capabilities.

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

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1300 BRITT ST SE, ALBUQUERQUE, NM, 01

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $23,965,180

Exercised Options: $13,129,310

Current Obligation: $13,129,310

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA945307D0189

IDV Type: IDC

Timeline

Start Date: 2007-06-26

Current End Date: 2012-10-29

Potential End Date: 2012-10-29 00:00:00

Last Modified: 2013-05-20

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