DoD Awards $14.7M for Missile and Space Systems R&D to Miltec Corp

Contract Overview

Contract Amount: $14,782,660 ($14.8M)

Contractor: Miltec Corporation

Awarding Agency: Department of Defense

Start Date: 2001-04-09

End Date: 2005-04-09

Contract Duration: 1,461 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: 200107!000926!2100!SG60 !USA SPACE AND STRATEGIC DEF CDR !DASG6001C0027 !A!N!*!N! !20010409!20050409!009757360!009757360!009757360!N!MILTEC CORPORATION !678 DISCOVERY DRIVE !HUNTSVILLE !AL!35806!37000!089!01!HUNTSVILLE !MADISON !ALABAMA !+000003990710!N!N!000000000000!AC23!RDTE/MISSILE AND SPACE SYSTEMS-ADV TECH DEV !A2 !MISSILE AND SPACE SYSTEMS !1CAA!BALLISTIC MISSILE DEFENSE SYS !541710!*!*!3! ! ! !*!*!*!B!*!*!B! !A !N!U!2!001!E! !Z!Y!Z! ! !N!B!N!N! ! !A! !A!A!000!A!B!N! ! ! ! ! ! !0001!

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35806

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $14.8 million to MILTEC CORPORATION for work described as: 200107!000926!2100!SG60 !USA SPACE AND STRATEGIC DEF CDR !DASG6001C0027 !A!N!*!N! !20010409!20050409!009757360!009757360!009757360!N!MILTEC CORPORATION !678 DISCOVERY DRIVE !HUNTSVILLE !AL!35806!37000!089!01!HUNTSVILLE !MADIS… Key points: 1. Contract awarded for advanced technology development in missile and space systems. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is $14.7 million over approximately 4 years. 4. Research and Development sector, specifically physical, engineering, and life sciences.

Value Assessment

Rating: fair

The contract value of $14.7 million for a 4-year R&D project appears reasonable, but without specific deliverables or benchmarks, a precise value assessment is difficult. It's a cost-plus-fixed-fee contract, which can lead to cost overruns if not managed tightly.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The $14.7 million expenditure supports critical defense R&D, aiming for technological advancement. The ultimate taxpayer impact depends on the success and application of the developed technologies.

Public Impact

Supports advancement in ballistic missile defense systems. Potential for technological breakthroughs in space and strategic defense. Investment in the Huntsville, Alabama defense technology hub. Contract duration of 4 years allows for sustained research efforts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost-plus-fixed-fee contracts can be susceptible to cost overruns.
  • R&D projects inherently carry risk of not achieving desired outcomes.
  • Limited information on specific performance metrics and deliverables.

Positive Signals

  • Awarded under full and open competition.
  • Focus on critical defense R&D area.
  • Long-term commitment to research.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on advanced technology development for missile and space systems. Defense R&D spending can vary significantly based on geopolitical factors and technological priorities.

Small Business Impact

The data indicates the prime contractor is Miltec Corporation, a private entity. There is no explicit mention of small business subcontracting in the provided data.

Oversight & Accountability

The contract was awarded by the Department of the Army. Oversight would typically involve program managers monitoring progress, costs, and adherence to contract terms to ensure accountability and effective use of funds.

Related Government Programs

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

Risk Flags

  • Cost-plus-fixed-fee contract type.
  • R&D projects have inherent uncertainty.
  • Potential for scope creep in advanced technology development.
  • Limited public information on specific deliverables and success metrics.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.8 million to MILTEC CORPORATION. 200107!000926!2100!SG60 !USA SPACE AND STRATEGIC DEF CDR !DASG6001C0027 !A!N!*!N! !20010409!20050409!009757360!009757360!009757360!N!MILTEC CORPORATION !678 DISCOVERY DRIVE !HUNTSVILLE !AL!35806!37000!089!01!HUNTSVILLE !MADISON !ALABAMA !+000003990710!N!N!000000000000!AC23!RDTE/MISSILE AND SPACE SYSTEMS-ADV TECH DEV !A2 !MISSILE AND SPACE SYSTEMS !1CAA!BALLISTIC MISSILE DEFENSE SYS !541710!*!*!3! ! ! !*!*!*!B!*!*!B!

Who is the contractor on this award?

The obligated recipient is MILTEC CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.8 million.

What is the period of performance?

Start: 2001-04-09. End: 2005-04-09.

What are the specific technological advancements expected from this R&D contract, and how will their success be measured?

The contract specifies 'Research and Development in the Physical, Engineering, and Life Sciences' related to 'Missile and Space Systems - Advanced Tech Dev' and 'Ballistic Missile Defense Systems'. Specific advancements are not detailed in the provided data. Success measurement would likely involve milestones, prototypes, technical reviews, and final reports, managed by the Department of the Army contracting and technical officers.

What is the risk associated with the cost-plus-fixed-fee structure for this R&D project?

Cost-plus-fixed-fee (CPFF) contracts provide reimbursement for allowable costs plus a fixed fee representing profit. For R&D, this structure can incentivize innovation but also carries a risk of cost overruns if the scope is not well-defined or if unforeseen technical challenges arise, potentially increasing the final cost to the government beyond initial estimates.

How effective is the full and open competition process in ensuring value for money in advanced defense R&D?

Full and open competition is generally considered effective in promoting value for money by fostering a competitive environment that drives down prices and encourages innovation. However, for highly specialized R&D, the pool of qualified bidders might be limited, potentially impacting the breadth of competition and the ultimate value achieved.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: Ducommun Incorporated (UEI: 006907042)

Address: 678 DISCOVERY DRIVE, HUNTSVILLE, AL, 05

Business Categories: Category Business, Small Business

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2001-04-09

Current End Date: 2005-04-09

Potential End Date: 2005-04-09 00:00:00

Last Modified: 2010-09-28

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