GSA awards $50.4M R&D contract to Universal Technical Resource Services Inc. for specialized research

Contract Overview

Contract Amount: $50,422,369 ($50.4M)

Contractor: Universal Technical Resource Services Inc

Awarding Agency: General Services Administration

Start Date: 2022-01-26

End Date: 2027-01-25

Contract Duration: 1,825 days

Daily Burn Rate: $27.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: CDCC

Place of Performance

Location: PICATINNY ARSENAL, MORRIS County, NEW JERSEY, 07806

State: New Jersey Government Spending

Plain-Language Summary

General Services Administration obligated $50.4 million to UNIVERSAL TECHNICAL RESOURCE SERVICES INC for work described as: CDCC Key points: 1. Contract value of $50.4M over 5 years suggests significant investment in specialized R&D. 2. Full and open competition indicates a potentially competitive bidding process. 3. Time and Materials pricing structure may pose cost control risks if not closely managed. 4. Contract awarded to a single entity, Universal Technical Resource Services Inc., warrants review of past performance. 5. The R&D focus on physical, engineering, and life sciences (NAICS 541715) aligns with critical government research needs. 6. Geographic location in New Jersey may indicate a concentration of specialized technical talent.

Value Assessment

Rating: fair

The contract's value of $50.4 million over five years, averaging approximately $10 million annually, requires benchmarking against similar R&D contracts in the physical, engineering, and life sciences. The Time and Materials (T&M) pricing model, while flexible, can lead to cost overruns if not meticulously monitored. Without specific performance metrics or comparison data, assessing the true value-for-money is challenging. However, the duration and scope suggest a substantial commitment to the research area.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple qualified vendors had the opportunity to bid. The number of bidders is not specified, but this approach generally fosters price discovery and encourages competitive pricing. The agency's decision to use full and open competition implies confidence in the market's ability to provide suitable solutions.

Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing inherent in a full and open competition, which can lead to more efficient use of federal funds for critical research.

Public Impact

The primary beneficiaries are likely government agencies requiring advanced research and development in physical, engineering, and life sciences. Services delivered will focus on specialized R&D, potentially leading to technological advancements and solutions for complex challenges. The contract's geographic impact is centered in New Jersey, potentially leveraging local expertise and contributing to the regional economy. Workforce implications may include the employment of highly skilled scientists, engineers, and researchers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) pricing can lead to unpredictable costs if not managed rigorously.
The contract is awarded to a single entity, necessitating a thorough review of the contractor's past performance and capacity.
Lack of specific performance metrics in the provided data makes it difficult to assess the effectiveness and efficiency of the R&D efforts.

Positive Signals

Awarded under full and open competition, indicating a potentially robust and competitive bidding process.
The contract duration of five years suggests a stable and long-term commitment to the research objectives.
The focus on specialized R&D aligns with national priorities and the need for scientific advancement.

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS code 541715, which covers Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology). This is a critical area for government investment, driving innovation and technological progress. Comparable spending benchmarks would involve analyzing other federal R&D contracts within this specific scientific domain, considering factors like contract duration, scope, and pricing structures.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. Therefore, there are no direct subcontracting implications for small businesses mandated by this award. The impact on the small business ecosystem is neutral unless the prime contractor voluntarily engages small businesses in their supply chain.

Oversight & Accountability

Oversight mechanisms for this contract would typically be managed by the contracting officer and the relevant program officials within the General Services Administration (GSA). Accountability measures are tied to the performance against the contract's Statement of Work and the Time and Materials pricing. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Federal Research and Development Programs
Science and Technology Investment
Engineering Research Contracts
Life Sciences Research Funding
General Services Administration Contracts

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Need to verify contractor's past performance and capacity for specialized R&D.
Limited visibility into the number of bidders and intensity of competition.
Reliance on contractor's internal controls for effective project management.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $50.4 million to UNIVERSAL TECHNICAL RESOURCE SERVICES INC. CDCC

Who is the contractor on this award?

The obligated recipient is UNIVERSAL TECHNICAL RESOURCE SERVICES INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $50.4 million.

What is the period of performance?

Start: 2022-01-26. End: 2027-01-25.

What is the track record of Universal Technical Resource Services Inc. with federal contracts, particularly in R&D?

A comprehensive review of Universal Technical Resource Services Inc.'s federal contract history would be necessary to assess their track record. This would involve examining past performance evaluations, any contract disputes or terminations, and their experience with similar R&D projects. Data from systems like the Federal Awardee Performance and Integrity Information System (FAPIIS) would be crucial. Understanding their success in delivering on previous government contracts, especially those involving complex scientific research, is key to evaluating their capability and reliability for this $50.4 million award.

How does the $50.4 million contract value compare to similar R&D contracts in the physical, engineering, and life sciences sector?

Benchmarking the $50.4 million contract value requires analyzing recent federal awards for R&D services under NAICS code 541715. Factors such as contract duration (5 years), scope of work (physical, engineering, life sciences), and the specific agencies involved are important comparison points. If this contract represents a significant portion of the agency's R&D spending in this area, or if it is substantially larger or smaller than typical awards, it warrants further investigation. Accessing contract databases and market research reports would provide the necessary data for a robust comparison.

What are the primary risks associated with the Time and Materials (T&M) pricing structure for this contract?

The primary risk with a Time and Materials (T&M) pricing structure is the potential for cost overruns, as the government pays for the actual labor hours and material costs incurred by the contractor. Without strict oversight, ceilings, and well-defined task orders, contractors may have less incentive to control costs efficiently. This can lead to the contract exceeding its estimated value of $50.4 million. Effective risk mitigation involves robust monitoring of labor hours, material usage, and regular reviews of the contractor's performance and billing.

How effective is the 'full and open competition' approach likely to be in ensuring competitive pricing for this R&D contract?

The 'full and open competition' approach is generally considered the most effective method for ensuring competitive pricing, as it allows all responsible sources to submit bids. The success of this approach in practice depends on the number of bidders who participate and the level of competition among them. If only a few bidders responded, or if the specialized nature of the R&D limited the pool of qualified vendors, the price competition might be less robust than anticipated. Analyzing the number of bids received and the price differences between them would provide insight into the effectiveness of the competition.

What historical spending patterns exist for R&D contracts awarded by the General Services Administration (GSA) in this specific scientific domain?

Analyzing historical spending patterns for GSA's R&D contracts under NAICS 541715 would reveal trends in contract values, durations, and the types of research prioritized. This context is crucial for understanding if the $50.4 million award is consistent with past investments or represents a significant shift in GSA's R&D strategy. Examining data over the last 5-10 years could highlight periods of increased or decreased spending, identify key contractors, and reveal common research areas, providing a baseline for evaluating the current contract's significance and potential future investments.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QFEA21Q0010

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 50 LAKE CTR STE 405, MARLTON, NJ, 08053

Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $63,723,386

Exercised Options: $63,723,386

Current Obligation: $50,422,369

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QRAA19D009N

IDV Type: FSS

Timeline