GSA awards $12.4M R&D contract to Edaptive Computing Inc. for specialized research services

Contract Overview

Contract Amount: $12,373,901 ($12.4M)

Contractor: Edaptive Computing Inc

Awarding Agency: General Services Administration

Start Date: 2022-08-24

End Date: 2026-08-23

Contract Duration: 1,460 days

Daily Burn Rate: $8.5K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: TAME SBIR PHASE III TO2

Place of Performance

Location: DAYTON, GREENE County, OHIO, 45433

State: Ohio Government Spending

Plain-Language Summary

General Services Administration obligated $12.4 million to EDAPTIVE COMPUTING INC for work described as: TAME SBIR PHASE III TO2 Key points: 1. Contract value of $12.4M over 4 years suggests a significant investment in specialized R&D. 2. The 'Not Available for Competition' status raises questions about the procurement process and potential missed opportunities for broader market engagement. 3. The use of Time and Materials pricing introduces potential cost escalation risks if not closely managed. 4. The contract's focus on physical, engineering, and life sciences R&D aligns with critical national innovation priorities. 5. The award to a single contractor may limit the infusion of diverse technical approaches and competitive innovation. 6. The contract duration of 4 years indicates a long-term need for the services provided.

Value Assessment

Rating: questionable

The contract value of $12.4 million over four years for R&D services requires careful benchmarking against similar specialized research efforts. Without specific details on the scope of work, it is difficult to definitively assess value for money. However, the 'Not Available for Competition' designation and Time and Materials pricing structure warrant scrutiny, as these can sometimes lead to less competitive pricing and potential cost overruns compared to fixed-price contracts awarded through open competition. Further analysis of the contractor's historical performance and the specific deliverables would be needed for a more robust valuation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded under a 'Not Available for Competition' (NAF) procurement, indicating that the General Services Administration (GSA) did not conduct a competitive bidding process. This typically occurs when a specific capability or technology is only available from a single source, or in certain emergency situations. The lack of competition means that price discovery through market forces was bypassed, potentially leading to higher costs for the government than if multiple vendors had competed.

Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the absence of a competitive bidding process. The government's ability to negotiate favorable terms is also diminished in a sole-source scenario.

Public Impact

The primary beneficiaries are likely the researchers and technical personnel employed by Edaptive Computing Inc., who will be engaged in specialized R&D activities. The contract is expected to deliver advancements in physical, engineering, and life sciences research, potentially leading to new technologies or scientific understanding. The geographic impact is primarily focused on the location of Edaptive Computing Inc.'s operations, likely within Ohio, where the contractor is registered. Workforce implications include the creation or sustainment of high-skilled jobs in the R&D sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing and innovation.
Time and Materials contract type carries inherent risk of cost escalation without strict oversight.
Lack of detailed performance metrics in the provided data makes assessing effectiveness challenging.
The specific nature of R&D can make outcomes uncertain, posing a risk to achieving desired technological advancements.

Positive Signals

Contract supports critical R&D in physical, engineering, and life sciences, aligning with national strategic goals.
The award to Edaptive Computing Inc. suggests confidence in their specialized capabilities for this specific research need.
The long-term nature of the contract (4 years) provides stability for the contractor and ensures sustained focus on the research objectives.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. This is a critical area for innovation and national competitiveness. The R&D market is characterized by high specialization, significant intellectual property considerations, and often long development cycles. Comparable spending benchmarks would depend heavily on the specific sub-discipline of R&D, but government investment in this sector is substantial, supporting advancements across various industries.

Small Business Impact

The provided data indicates that this contract was not awarded as a small business set-aside (ss=false) and the contractor is not identified as a small business (sb=false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. However, larger prime contractors like Edaptive Computing Inc. may still engage small businesses as subcontractors, though this is not mandated by the contract type or set-aside status presented here.

Oversight & Accountability

Oversight for this contract would primarily fall under the General Services Administration (GSA), specifically the Federal Acquisition Service. Mechanisms for oversight would typically include contract performance reviews, financial audits, and adherence to the terms of the Time and Materials contract. Transparency is facilitated through contract databases like FPDS, but detailed programmatic oversight and accountability measures are internal to the agency and contractor. Inspector General jurisdiction would apply if fraud, waste, or abuse were suspected.

Related Government Programs

SBIR/STTR Programs
Department of Defense Research and Development
National Science Foundation Grants
National Institutes of Health Research Grants
NASA Research Contracts

Risk Flags

Sole-source award may limit competition and potentially increase costs.
Time and Materials pricing structure carries inherent risk of cost escalation.
Lack of detailed scope of work in summary data hinders precise value assessment.
Contractor's specific R&D expertise and past performance require further vetting.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $12.4 million to EDAPTIVE COMPUTING INC. TAME SBIR PHASE III TO2

Who is the contractor on this award?

The obligated recipient is EDAPTIVE COMPUTING INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.4 million.

What is the period of performance?

Start: 2022-08-24. End: 2026-08-23.

What is the specific research area or project being funded under this contract?

The contract is categorized under NAICS code 541715, which covers 'Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)'. While this provides a broad classification, the specific research focus is not detailed in the provided data. It could encompass a wide range of activities from materials science and advanced manufacturing to biological research and engineering solutions. Understanding the precise project goals, deliverables, and expected outcomes would require access to the contract statement of work (SOW) or related documentation.

How does the $12.4 million contract value compare to similar R&D contracts in the physical, engineering, and life sciences sector?

Benchmarking the $12.4 million contract value requires comparing it to contracts with similar scopes of work, durations, and specific R&D disciplines. Without knowing the exact nature of the research, a direct comparison is challenging. However, government R&D contracts can range from a few hundred thousand dollars for early-stage research to hundreds of millions for large-scale development programs. A $12.4 million award over four years suggests a moderately sized, focused research effort. The 'Not Available for Competition' status, however, means it cannot be directly compared to competitively procured contracts, which often yield better price points.

What are the potential risks associated with the Time and Materials (T&M) contract type for this R&D effort?

The primary risk with a Time and Materials (T&M) contract is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. If the scope of work is not well-defined, or if project timelines extend unexpectedly, costs can escalate significantly. For R&D, where outcomes can be uncertain, T&M can be appropriate but requires robust oversight, detailed tracking of labor hours, and strict management of material costs to ensure value for money and prevent uncontrolled spending.

What is Edaptive Computing Inc.'s track record with federal R&D contracts, particularly with GSA?

Information regarding Edaptive Computing Inc.'s specific track record with federal R&D contracts, especially with the General Services Administration (GSA), is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance on similar contracts, including client satisfaction, adherence to schedules and budgets, and the quality of deliverables. Their history with sole-source awards versus competitive bids would also be relevant to understanding their typical engagement model with the government.

What are the implications of this contract being awarded on a sole-source basis for future government R&D procurement strategies?

A sole-source award, particularly under the 'Not Available for Competition' designation, suggests that either a unique capability exists with only one provider or that the agency determined competition was not feasible or practical for this specific requirement. For future R&D procurement, this highlights the importance of market research to identify potential sources and the need for clear justification when sole-sourcing. Over-reliance on sole-source awards can stifle innovation and lead to higher costs, so agencies strive to use competitive processes whenever possible to leverage the full breadth of the market.

How does this contract align with GSA's broader mission and strategic goals in supporting federal agencies' R&D needs?

The General Services Administration (GSA) plays a crucial role in providing centralized procurement and management services for federal agencies. By awarding this R&D contract, GSA is fulfilling its mission to support agency needs, in this case, for specialized research in physical, engineering, and life sciences. This aligns with broader government goals of fostering innovation, technological advancement, and scientific discovery. GSA's involvement ensures that procurement processes are followed, although the sole-source nature of this award suggests a specific, perhaps urgent or unique, requirement that GSA is facilitating for another agency or internal program.

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: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 47QFLA22Q0153

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 210 E SPRING VALLEY PIKE STE C, DAYTON, OH, 45458

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $39,999,891

Exercised Options: $39,999,891

Current Obligation: $12,373,901

Actual Outlays: $-104,785

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 47QFLA20D0007

IDV Type: IDC

Timeline