DoD's $4.6M contract for advanced materials research aims to counter chemical threats

Contract Overview

Contract Amount: $4,605,000 ($4.6M)

Contractor: National Strategic Research Institute

Awarding Agency: Department of Defense

Start Date: 2024-09-27

End Date: 2027-09-26

Contract Duration: 1,094 days

Daily Burn Rate: $4.2K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IDENTIFICATION OF ADVANCES IN TECHNOLOGY; EVALUATE DEGRADATION OF CAPABILITY OF METAL ORGANIC FRAMEWORK MATERIALS AGAINST CHEMICAL AGENTS; IDENTIFY ADVANCEMENTS IN POINT DETECTION TECHNOLOGIES; AND INVESTIGATE SUBOPTIMAL GROWTH CONDITIONS.

Place of Performance

Location: OFFUTT AFB, SARPY County, NEBRASKA, 68113

State: Nebraska Government Spending

Plain-Language Summary

Department of Defense obligated $4.6 million to NATIONAL STRATEGIC RESEARCH INSTITUTE for work described as: IDENTIFICATION OF ADVANCES IN TECHNOLOGY; EVALUATE DEGRADATION OF CAPABILITY OF METAL ORGANIC FRAMEWORK MATERIALS AGAINST CHEMICAL AGENTS; IDENTIFY ADVANCEMENTS IN POINT DETECTION TECHNOLOGIES; AND INVESTIGATE SUBOPTIMAL GROWTH CONDITIONS. Key points: 1. Focuses on critical defense needs for material degradation and detection technologies. 2. Sole-source award suggests limited market options or specific expertise required. 3. Contract duration of three years allows for in-depth research and development. 4. Performance risk is moderate, given the R&D nature of the work. 5. Sector positioning is within advanced materials science for national security. 6. Potential for follow-on work if research yields significant technological advancements.

Value Assessment

Rating: fair

The contract value of $4.6 million for a three-year R&D effort appears reasonable given the specialized nature of the work. Benchmarking against similar advanced materials research contracts is challenging due to the unique focus on chemical agent degradation and point detection. However, the cost-plus-fixed-fee structure allows for flexibility while maintaining cost control, though it can sometimes lead to higher overall costs compared to fixed-price contracts if not managed carefully. The absence of a specific per-unit cost makes direct comparison difficult, but the total value aligns with the complexity of the research objectives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, indicating that the Department of Defense identified the National Strategic Research Institute as the only responsible source capable of meeting the specific research requirements. This could be due to proprietary knowledge, unique facilities, or specialized expertise. The lack of competition means that the government did not benefit from a broader range of proposals or potentially lower prices that could have resulted from a competitive bidding process.

Taxpayer Impact: Sole-source awards limit opportunities for other qualified contractors and may result in higher costs for taxpayers compared to competitively sourced contracts. It also bypasses the price discovery mechanism inherent in open competition.

Public Impact

The primary beneficiaries are the Department of Defense and national security, through advancements in protecting personnel and equipment from chemical agents. Services delivered include research into material degradation, identification of advanced detection technologies, and investigation of growth conditions for specialized materials. Geographic impact is national, focusing on research and development rather than deployment. Workforce implications include specialized scientific and engineering roles within the research institute.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pricing and potential innovation from a wider pool of contractors.
Cost-plus-fixed-fee contract type can incentivize cost overruns if not rigorously monitored.
Research and Development (R&D) inherently carries a risk of not achieving desired outcomes within the specified timeframe or budget.

Positive Signals

Addresses a critical national security need related to chemical warfare defense.
Focuses on advanced technological solutions for material resilience and detection.
The National Strategic Research Institute likely possesses unique capabilities for this specialized research.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on advanced materials science and physical sciences. The market for such specialized R&D is often niche, with a limited number of institutions possessing the required expertise and facilities. Comparable spending benchmarks are difficult to establish precisely due to the unique nature of the research, but government investment in defense-related materials science is substantial, driven by the need for technological superiority and force protection.

Small Business Impact

This contract does not appear to involve small business set-asides, as it was awarded sole-source to the National Strategic Research Institute. There is no explicit mention of subcontracting requirements for small businesses. The focus on highly specialized R&D may limit opportunities for small businesses unless they possess unique, niche capabilities that align with the prime contractor's needs.

Oversight & Accountability

Oversight will likely be managed by the contracting officer and program managers within the Department of the Air Force. Accountability measures will be tied to the achievement of research milestones outlined in the contract. Transparency may be limited due to the sole-source nature and the sensitive R&D focus, but progress reports and final research findings should be subject to review. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Chemical and Biological Defense Program
Materials Science Research
Advanced Technology Development
Defense Research and Engineering

Risk Flags

Sole-source award may limit competition and potentially increase costs.
Cost-plus-fixed-fee contract type requires diligent oversight to manage costs.
R&D projects carry inherent risks of not achieving desired outcomes.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $4.6 million to NATIONAL STRATEGIC RESEARCH INSTITUTE. IDENTIFICATION OF ADVANCES IN TECHNOLOGY; EVALUATE DEGRADATION OF CAPABILITY OF METAL ORGANIC FRAMEWORK MATERIALS AGAINST CHEMICAL AGENTS; IDENTIFY ADVANCEMENTS IN POINT DETECTION TECHNOLOGIES; AND INVESTIGATE SUBOPTIMAL GROWTH CONDITIONS.

Who is the contractor on this award?

The obligated recipient is NATIONAL STRATEGIC RESEARCH INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $4.6 million.

What is the period of performance?

Start: 2024-09-27. End: 2027-09-26.

What is the specific expertise of the National Strategic Research Institute that justified a sole-source award for this advanced materials research?

The justification for a sole-source award to the National Strategic Research Institute (NSRI) likely stems from its unique and specialized capabilities in materials science, particularly concerning degradation against chemical agents and the development of advanced detection technologies. NSRI may possess proprietary research, unique testing facilities, or a highly specialized team with specific knowledge crucial for this project that cannot be replicated by other entities within the required timeframe. Government contracting regulations (e.g., FAR 6.302-1) allow for sole-source awards when only one responsible source is available. A detailed justification would typically be documented, outlining the specific technical requirements and why only NSRI can meet them, potentially including prior research, unique equipment, or intellectual property.

How does the Cost Plus Fixed Fee (CPFF) contract structure influence the cost-effectiveness and risk for this R&D project?

The Cost Plus Fixed Fee (CPFF) structure means the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. For R&D, this structure offers flexibility, allowing the contractor to adapt to unforeseen technical challenges without being penalized for cost increases directly related to research scope changes. However, it shifts some cost risk to the government, as the final cost is not fixed upfront. To ensure cost-effectiveness, rigorous oversight is crucial to monitor allowable costs and prevent inefficiencies. The fixed fee provides a defined profit margin, incentivizing the contractor to complete the work efficiently to maximize their return on investment without necessarily driving down the total cost below what might be achieved in a fixed-price scenario.

What are the potential technological advancements expected from this research, and how will they be measured?

This research aims for several key technological advancements: 1) Identifying methods to evaluate and potentially mitigate the degradation of Metal-Organic Framework (MOF) materials when exposed to chemical agents. MOFs are promising for various applications, including filtration and sensing, but their stability is critical. 2) Identifying advancements in point detection technologies for chemical agents, which are crucial for rapid threat identification and personnel safety. 3) Investigating suboptimal growth conditions for these advanced materials, which could lead to more efficient and cost-effective production methods. Success will likely be measured through specific performance metrics defined in the contract's Statement of Work (SOW), such as improved material stability under simulated chemical attack, enhanced sensitivity and speed of detection devices, and optimized material synthesis protocols.

What is the historical spending pattern for similar advanced materials R&D contracts within the Department of Defense?

Historical spending on advanced materials R&D within the Department of Defense (DoD) is substantial and spans across various branches and research initiatives. While precise figures for contracts with identical objectives are difficult to isolate, the DoD consistently invests billions annually in materials science, nanotechnology, and chemical/biological defense research. This includes funding for universities, research institutions like NSRI, and defense contractors. Spending often fluctuates based on emerging threats, technological priorities, and budget allocations. Contracts can range from small, focused research grants to large, multi-year programs. The $4.6 million value for this specific contract appears to be within the typical range for specialized, mid-sized R&D efforts focused on critical defense applications.

What are the implications of this contract for the broader field of materials science and chemical defense?

This contract has significant implications for both materials science and chemical defense. By focusing on the degradation of MOF materials against chemical agents, it pushes the boundaries of understanding material resilience in harsh environments, potentially leading to the development of more robust materials for various defense applications beyond just chemical protection. Advancements in point detection technologies directly enhance the military's ability to respond to threats, improving situational awareness and safety. Furthermore, investigating suboptimal growth conditions could streamline the production of advanced materials, making them more accessible and cost-effective for future military and potentially civilian applications. The research contributes to the overall strategic goal of maintaining a technological advantage in defense capabilities.

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 COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3835 HOLDREGE ST, LINCOLN, NE, 68503

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,058,725

Exercised Options: $7,058,725

Current Obligation: $4,605,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA460020D0003

IDV Type: IDC

Timeline