DoD's $86.8M R&D Contract with Torch Technologies Inc. Awarded Under Full and Open Competition

Contract Overview

Contract Amount: $86,813,949 ($86.8M)

Contractor: Torch Technologies Inc

Awarding Agency: Department of Defense

Start Date: 2014-04-09

End Date: 2019-03-31

Contract Duration: 1,817 days

Daily Burn Rate: $47.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IGF::CL,CT::IGF BASE TASK ORDER

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $86.8 million to TORCH TECHNOLOGIES INC for work described as: IGF::CL,CT::IGF BASE TASK ORDER Key points: 1. Significant R&D investment by the Department of the Army. 2. Torch Technologies Inc. secured a substantial contract. 3. Full and open competition suggests a potentially competitive pricing environment. 4. The contract falls within the Research and Development sector.

Value Assessment

Rating: good

The contract value of $86.8M over nearly 5 years is substantial. Benchmarking against similar R&D contracts requires detailed analysis of scope and deliverables, but the firm fixed price structure provides cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment that drives down costs and improves service quality.

Public Impact

Supports advanced research and development initiatives within the Department of the Army. Potential for technological advancements and innovation stemming from the contract. Economic impact through contract spending and potential job creation in Alabama.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics or deliverables in provided data.
  • Potential for cost overruns if scope creep occurs despite fixed price.
  • Dependence on a single contractor for a significant R&D effort.

Positive Signals

  • Awarded through full and open competition.
  • Firm fixed price contract type.
  • Long-term commitment indicating strategic importance.

Sector Analysis

This contract falls under the Research and Development sector, specifically in physical, engineering, and life sciences. Spending in this area is crucial for technological advancement but can be subject to long development cycles and uncertain outcomes.

Small Business Impact

The provided data does not indicate any specific subcontracting goals or participation by small businesses in this contract. Further investigation would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight would typically involve regular progress reviews, milestone tracking, and financial audits by the Department of Defense to ensure contract compliance and effective use of funds.

Related Government Programs

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

Risk Flags

  • Contract duration is extensive (over 4 years).
  • Potential for R&D outcomes to be intangible or difficult to quantify.
  • Lack of transparency on specific project goals and deliverables.
  • No clear indication of small business participation.

Tags

research-and-development-in-the-physical, department-of-defense, al, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $86.8 million to TORCH TECHNOLOGIES INC. IGF::CL,CT::IGF BASE TASK ORDER

Who is the contractor on this award?

The obligated recipient is TORCH TECHNOLOGIES INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $86.8 million.

What is the period of performance?

Start: 2014-04-09. End: 2019-03-31.

What specific R&D projects were undertaken, and what were the key performance indicators for success?

The provided data lacks specifics on the R&D projects. Key performance indicators would typically include successful completion of research phases, development of prototypes, validation of technologies, and adherence to project timelines and budget. Without this detail, assessing the true value and effectiveness is challenging.

How does the $86.8M contract value compare to similar R&D efforts within the DoD for comparable technological advancements?

Benchmarking this $86.8M contract requires a detailed comparison with other DoD R&D contracts of similar scope, duration, and technological focus. Factors like the maturity of the technology, the complexity of the research, and the specific deliverables influence cost. A preliminary assessment suggests it's a significant investment, but its competitiveness hinges on the specific R&D outcomes achieved.

What mechanisms are in place to ensure accountability and prevent potential cost overruns or scope creep, given the long duration?

The firm fixed price contract type inherently limits cost overruns for the government, shifting that risk to the contractor. However, robust oversight, including regular technical reviews, milestone tracking, and change control processes, is essential to manage scope creep and ensure the contractor remains focused on the original objectives throughout the 1817-day period.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4035 CHRIS DR SW STE C, HUNTSVILLE, AL, 35802

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

Financial Breakdown

Contract Ceiling: $88,397,801

Exercised Options: $86,813,949

Current Obligation: $86,813,949

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W31P4Q09A0021

IDV Type: IDC

Timeline

Start Date: 2014-04-09

Current End Date: 2019-03-31

Potential End Date: 2019-04-08 00:00:00

Last Modified: 2025-04-24

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