DOT's FAA awards $1.8M for gas turbine engine research, raising questions on competition and value

Contract Overview

Contract Amount: $180,027 ($180.0K)

Contractor: Bartos JON L

Awarding Agency: Department of Transportation

Start Date: 2024-03-01

End Date: 2027-02-28

Contract Duration: 1,094 days

Daily Burn Rate: $165/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: R&D

Official Description: ADVISORY/ASSISTANCE SERVICES IN SUPPORT OF GAS TURBINE ENGINE ROTOR INTEGRITY RESEARCH

Place of Performance

Location: CINCINNATI, HAMILTON County, OHIO, 45243

State: Ohio Government Spending

Plain-Language Summary

Department of Transportation obligated $180,026.8 to BARTOS JON L for work described as: ADVISORY/ASSISTANCE SERVICES IN SUPPORT OF GAS TURBINE ENGINE ROTOR INTEGRITY RESEARCH Key points: 1. Contract awarded on a sole-source basis, limiting potential cost savings from competition. 2. Pricing appears high relative to the contract duration and scope. 3. Lack of competition increases risk of overpayment and reduced service quality. 4. The contract supports critical research for aviation safety, aligning with FAA's mission. 5. Geographic concentration in Ohio for service delivery. 6. Focus on specialized technical consulting services for engine research.

Value Assessment

Rating: questionable

The contract's total value of $1.8 million over three years for advisory and assistance services in gas turbine engine research appears high, especially given the sole-source award. Benchmarking against similar contracts for specialized technical consulting in aerospace R&D is difficult without more detailed scope information. However, the absence of competitive bidding suggests a potential lack of price discovery, which could lead to suboptimal value for the government. The contract's duration and the nature of the services (labor hours) warrant close scrutiny of the hourly rates and overall cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under simplified acquisition procedures, indicating a sole-source award. The specific justification for this approach is not provided, but it means that only one contractor was solicited. This significantly limits the government's ability to explore alternative solutions or leverage competitive pressures to achieve lower prices. The lack of multiple bidders means that the government did not benefit from a range of proposals and pricing structures that typically emerge in a competitive environment.

Taxpayer Impact: Taxpayers may be paying a premium due to the absence of competitive bidding. Without a competitive process, there is a higher risk that the awarded price is not the most economical one available, potentially leading to less efficient use of federal funds.

Public Impact

The Federal Aviation Administration (FAA) benefits from specialized research to enhance gas turbine engine safety. The contract supports research into rotor integrity, crucial for preventing engine failures. Services are delivered in Ohio, potentially impacting the local technical workforce. Advancements in engine technology could lead to safer and more reliable air travel for the public.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potential cost savings.
High contract value for advisory services without clear performance metrics.
Potential for contractor lock-in due to specialized nature of research.
Limited transparency on the justification for sole-source procurement.

Positive Signals

Supports critical aviation safety research for the FAA.
Addresses a specialized technical area (gas turbine engine rotor integrity).
Contract duration allows for sustained research efforts.

Sector Analysis

The contract falls within the Scientific and Technical Consulting Services sector, specifically focusing on aerospace engineering and research. This sector is characterized by high specialization and often involves significant R&D investment. The Federal Aviation Administration (FAA) is a major consumer of such services to ensure aviation safety and technological advancement. Comparable spending in this niche area is difficult to pinpoint without more specific details on the research scope, but government contracts for specialized engineering and research services can range from hundreds of thousands to tens of millions of dollars.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of gas turbine engine research and the sole-source award, it is unlikely that subcontracting opportunities for small businesses will be significant unless explicitly mandated by the prime contractor. The absence of a set-aside means that the primary contractor, likely a larger entity with specialized expertise, will perform the majority of the work, with limited direct benefit to the small business ecosystem in this specific procurement.

Oversight & Accountability

Oversight for this contract will primarily reside with the Federal Aviation Administration (FAA) contracting officer and program managers. Accountability measures would typically be defined in the contract's statement of work and performance standards. Transparency is limited due to the sole-source nature of the award, as the justification and selection process are not publicly detailed. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

NASA Aeronautics Research
DoD Advanced Materials Research
Department of Energy Turbine Efficiency Programs
FAA Aircraft Certification Support

Risk Flags

Sole-source award
Lack of competitive bidding
Potential for overpricing
Limited transparency on justification

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $180,026.8 to BARTOS JON L. ADVISORY/ASSISTANCE SERVICES IN SUPPORT OF GAS TURBINE ENGINE ROTOR INTEGRITY RESEARCH

Who is the contractor on this award?

The obligated recipient is BARTOS JON L.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $180,026.8.

What is the period of performance?

Start: 2024-03-01. End: 2027-02-28.

What is the specific technical expertise of contractor BARTOS JON L that justified a sole-source award for gas turbine engine rotor integrity research?

The provided data does not specify the unique qualifications of BARTOS JON L that led to a sole-source award. Typically, sole-source justifications are based on factors such as the contractor possessing unique intellectual property, specialized facilities, or an unparalleled track record in a highly niche area. For this contract, the Federal Aviation Administration (FAA) would have had to document why no other source could reasonably fulfill the requirement. Without access to the Justification for Other Than Full and Open Competition (JOFOC) document, it is impossible to ascertain the precise technical expertise that made BARTOS JON L the sole option. This lack of transparency is a common concern with sole-source procurements, as it limits the public's understanding of the government's decision-making process and the rationale for foregoing competition.

How does the $1.8 million contract value compare to similar FAA or DoD contracts for gas turbine engine research and development over a similar timeframe?

Direct comparison of the $1.8 million contract value for advisory and assistance services in gas turbine engine rotor integrity research is challenging without access to detailed scope-of-work and performance metrics for comparable contracts. However, the value appears substantial for a three-year period focused on research support. The Department of Defense (DoD) and NASA also invest heavily in aerospace R&D, with contracts for engine research varying widely based on complexity, materials science, testing requirements, and whether it involves hardware development or primarily theoretical/analytical work. Given that this is an advisory and assistance contract, the cost is likely driven by specialized labor hours. The absence of competition makes it difficult to benchmark the hourly rates and overall cost-effectiveness against what might have been achieved through a competitive bidding process. Further analysis would require examining the specific deliverables and the labor categories involved.

What are the primary risks associated with awarding a sole-source contract for critical aviation safety research?

The primary risks associated with awarding a sole-source contract for critical aviation safety research include a lack of price competition, which can lead to inflated costs and reduced value for taxpayer money. Without multiple bidders, the government may not benefit from the most innovative solutions or the most efficient approaches that a competitive environment could foster. There's also a risk of contractor complacency or reduced incentive to perform at the highest level, as there is no immediate threat of losing future business to competitors. Furthermore, sole-source awards can raise concerns about fairness and transparency in the procurement process, potentially leading to perceptions of favoritism or a lack of due diligence in exploring all available options. For critical safety research, ensuring the best possible expertise and value is paramount, and sole-sourcing inherently limits the government's ability to rigorously assess these factors.

What specific research outcomes or deliverables are expected from this $1.8 million contract, and how will their success be measured?

The provided data does not detail the specific research outcomes or deliverables expected from this contract, nor does it outline the metrics for measuring success. As an 'ADVISORY/ASSISTANCE SERVICES IN SUPPORT OF GAS TURBINE ENGINE ROTOR INTEGRITY RESEARCH' contract, it likely involves technical analysis, research support, data interpretation, and potentially recommendations for future research or design improvements. The success measurement would typically be tied to the quality and timeliness of these advisory services, adherence to research protocols, and the clarity and utility of the findings provided to the Federal Aviation Administration (FAA). Without the full contract statement of work, it's impossible to define the precise deliverables (e.g., reports, analyses, simulations) or the key performance indicators (KPIs) that will be used to evaluate the contractor's performance and ensure the government receives adequate value.

What is the historical spending pattern of the Federal Aviation Administration (FAA) on gas turbine engine research and advisory services, and how does this contract fit within that pattern?

The provided data does not offer historical spending patterns for the FAA on gas turbine engine research or advisory services. To assess how this $1.8 million contract fits within the FAA's broader spending, one would need to analyze historical contract awards related to aviation safety, engine technology, and related research and development. The FAA's budget is allocated across various safety initiatives, and R&D spending fluctuates based on emerging threats, technological advancements, and strategic priorities. This specific contract appears to be a focused investment in a critical area of engine safety. Understanding its place in the historical context would require a review of past FAA solicitations, awards, and budget allocations for similar research domains over several fiscal years.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 692M15-24-R-00003

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 8325 OLD STABLE RD, CINCINNATI, OH, 45243

Business Categories: Category Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $219,210

Exercised Options: $180,027

Current Obligation: $180,027

Actual Outlays: $102,922

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline