DOT Awards $2.07M for UAM Simulation to A3 Technology Inc. to Assess Aircraft-ATC Communication

Contract Overview

Contract Amount: $2,071,845 ($2.1M)

Contractor: A3 Technology Inc

Awarding Agency: Department of Transportation

Start Date: 2024-06-13

End Date: 2026-06-17

Contract Duration: 734 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: FOCUSING ON THE UAM SIMULATION, EVALUATION AND ASSESSMENT SCOPE OF WORK. THIS FUNDING WILL BE UTILIZED TOWARDS MILESTONE 01.00.00 TO ASSESS THE EXISTING COMMUNICATION METHODS BETWEEN THE TRADITIONAL AND NEW ENTRANTS' AIRCRAFT AND ATC, AND WILL E

Place of Performance

Location: EGG HARBOR CITY, ATLANTIC County, NEW JERSEY, 08215

State: New Jersey Government Spending

Plain-Language Summary

Department of Transportation obligated $2.1 million to A3 TECHNOLOGY INC for work described as: FOCUSING ON THE UAM SIMULATION, EVALUATION AND ASSESSMENT SCOPE OF WORK. THIS FUNDING WILL BE UTILIZED TOWARDS MILESTONE 01.00.00 TO ASSESS THE EXISTING COMMUNICATION METHODS BETWEEN THE TRADITIONAL AND NEW ENTRANTS' AIRCRAFT AND ATC, AND WILL E Key points: 1. Contract focuses on Urban Air Mobility (UAM) simulation and assessment. 2. A3 Technology Inc. is the prime contractor for this delivery order. 3. The work aims to evaluate communication methods between aircraft and Air Traffic Control. 4. This contract is part of a larger effort to integrate new aviation technologies.

Value Assessment

Rating: good

The contract value of $2.07 million for a 2-year period appears reasonable for specialized engineering services in a niche field like UAM simulation. Benchmarking against similar complex simulation and assessment contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition. This method may impact price discovery, potentially leading to higher costs than a fully open competition.

Taxpayer Impact: Taxpayer funds are being used for advanced aviation research and development, aiming to improve future air traffic management and safety.

Public Impact

Enhances understanding of future air traffic control needs for UAM. Supports the integration of new aviation technologies into the national airspace. Could lead to improved safety and efficiency in urban air transportation. Invests in the development of critical infrastructure for advanced aviation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may impact cost-effectiveness.
Scope of work is specific and may require specialized expertise.

Positive Signals

Addresses a critical emerging technology area (UAM).
Focuses on essential communication infrastructure.
Supports national airspace modernization efforts.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330). Spending in this sector is broad, but UAM simulation is a specialized niche. Benchmarks for similar advanced simulation and assessment contracts are difficult to pinpoint without more specific data.

Small Business Impact

The prime contractor, A3 Technology Inc., is not identified as a small business in the provided data. There is no indication of subcontracting opportunities for small businesses within this specific award.

Oversight & Accountability

The Federal Aviation Administration (FAA) is the awarding agency, responsible for overseeing aviation safety and modernization. Oversight will likely focus on milestone completion and adherence to the contract's technical requirements.

Related Government Programs

Engineering Services
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Limited competition award.
Potential for cost overruns if not closely managed.
Reliance on specialized expertise for UAM simulation.
Contract duration is relatively long for a specific milestone.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.1 million to A3 TECHNOLOGY INC. FOCUSING ON THE UAM SIMULATION, EVALUATION AND ASSESSMENT SCOPE OF WORK. THIS FUNDING WILL BE UTILIZED TOWARDS MILESTONE 01.00.00 TO ASSESS THE EXISTING COMMUNICATION METHODS BETWEEN THE TRADITIONAL AND NEW ENTRANTS' AIRCRAFT AND ATC, AND WILL E

Who is the contractor on this award?

The obligated recipient is A3 TECHNOLOGY INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $2.1 million.

What is the period of performance?

Start: 2024-06-13. End: 2026-06-17.

What is the specific methodology A3 Technology Inc. will use to assess communication methods, and how will success be measured?

The contract specifies Milestone 01.00.00 for the assessment. Success will likely be measured by the delivery of a comprehensive report detailing existing communication methods, identifying gaps or inefficiencies, and proposing potential improvements or standards. The methodology will probably involve data analysis, simulation modeling, and expert review of current and proposed communication protocols.

What are the potential risks associated with the limited competition award, and how are they being mitigated?

The primary risk of limited competition is potentially higher costs due to reduced market pressure. Mitigation strategies could include robust negotiation by the FAA, clear performance metrics, and potentially incorporating price adjustment clauses. The agency's justification for 'exclusion of sources' would detail why only specific sources were considered, aiming to ensure the best value despite limited options.

How will the findings from this UAM simulation assessment contribute to the broader effectiveness of future air traffic management systems?

The assessment's findings are crucial for understanding the communication challenges between traditional aircraft and emerging UAM vehicles with Air Traffic Control (ATC). By identifying current limitations and potential integration issues, this work directly informs the development of new communication standards, technologies, and procedures necessary for the safe and efficient operation of UAM within the national airspace, thus enhancing overall ATC effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 327 W WHITE HORSE PKE, EGG HARBOR CITY, NJ, 08215

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $7,249,213

Exercised Options: $2,071,845

Current Obligation: $2,071,845

Actual Outlays: $1,797,345

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693KA822D00026

IDV Type: IDC

Timeline