DoD awards $36M for cyber security and IT modeling research to Battelle Memorial Institute

Contract Overview

Contract Amount: $36,040,995 ($36.0M)

Contractor: Battelle Memorial Institute

Awarding Agency: Department of Defense

Start Date: 2022-08-30

End Date: 2025-08-30

Contract Duration: 1,096 days

Daily Burn Rate: $32.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: CYBER SECURITY, CYBER ASSURANCE, CRITICAL INFRASTRUCTURE PROTECTION, AND INFORMATION TECHNOLOGY MODELING AND DATA ANALYTICS RESEARCH AND ANALYSES FOR THE DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER

Place of Performance

Location: COLUMBUS, FRANKLIN County, OHIO, 43201

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $36.0 million to BATTELLE MEMORIAL INSTITUTE for work described as: CYBER SECURITY, CYBER ASSURANCE, CRITICAL INFRASTRUCTURE PROTECTION, AND INFORMATION TECHNOLOGY MODELING AND DATA ANALYTICS RESEARCH AND ANALYSES FOR THE DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER Key points: 1. Contract focuses on critical infrastructure protection and information technology modeling. 2. Research and Development in Physical, Engineering, and Life Sciences is the primary NAICS code. 3. The contract has a duration of 1096 days, ending in August 2025. 4. This award represents a significant investment in bolstering the Department of Defense's cyber capabilities. 5. The contract is a Delivery Order under a larger contract vehicle. 6. The contractor, Battelle Memorial Institute, has a substantial history in R&D. 7. The contract is not set aside for small businesses.

Value Assessment

Rating: good

The contract value of $36 million over approximately three years appears reasonable for specialized R&D in cyber security and IT modeling. Benchmarking against similar large-scale R&D contracts within the Department of Defense for cyber-related initiatives would provide a more precise value-for-money assessment. However, given the complexity and critical nature of the work, the allocated funds suggest a commitment to acquiring advanced research capabilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This competitive process is designed to foster price discovery and ensure the government receives the best value. The number of bidders is not specified, but the 'full and open' designation suggests a robust competitive environment.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces and encouraging innovation among a wider pool of potential contractors.

Public Impact

The Department of Defense, specifically the Chief Information Officer, will benefit from enhanced cyber security and IT modeling capabilities. Services delivered include research and analysis for critical infrastructure protection and information technology modeling. The geographic impact is primarily within the Department of Defense's operational and research facilities. Workforce implications may include specialized research and analytical roles within Battelle Memorial Institute and potentially within the DoD.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in complex R&D projects.
Reliance on a single contractor for critical research may pose long-term dependency risks.
Ensuring timely delivery of actionable research findings is crucial for DoD's cyber posture.

Positive Signals

Award to a reputable research institution like Battelle Memorial Institute suggests a high likelihood of technical competence.
Full and open competition indicates a broad market search for the best solutions.
The contract duration allows for in-depth research and development.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on advanced cyber security and information technology modeling. The market for such specialized R&D is driven by government needs for technological superiority and national security. Comparable spending benchmarks would involve other large-scale R&D contracts awarded by defense agencies for cyber-related advancements, which often represent significant investments in cutting-edge technologies.

Small Business Impact

This contract was not set aside for small businesses, as indicated by the 'ss' field being false. Therefore, there are no direct subcontracting requirements for small businesses mandated by this specific award. The primary focus is on the capabilities of the prime contractor, Battelle Memorial Institute. The impact on the small business ecosystem is indirect, as opportunities may arise if Battelle chooses to subcontract with small businesses for specialized support.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of Defense's contracting officers and program managers. Accountability measures will be tied to the delivery of research milestones and final reports as stipulated in the contract. Transparency is generally maintained through contract award databases and public reporting, though the specifics of the research may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Cyber Security Initiatives
Information Technology Research and Development Programs
Critical Infrastructure Protection Research
Advanced Modeling and Simulation Contracts

Risk Flags

Potential for research findings to become obsolete.
Complexity of R&D may lead to schedule overruns.
Ensuring effective transition of research to operational use.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.0 million to BATTELLE MEMORIAL INSTITUTE. CYBER SECURITY, CYBER ASSURANCE, CRITICAL INFRASTRUCTURE PROTECTION, AND INFORMATION TECHNOLOGY MODELING AND DATA ANALYTICS RESEARCH AND ANALYSES FOR THE DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER

Who is the contractor on this award?

The obligated recipient is BATTELLE MEMORIAL 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 $36.0 million.

What is the period of performance?

Start: 2022-08-30. End: 2025-08-30.

What is Battelle Memorial Institute's track record with the Department of Defense for similar R&D contracts?

Battelle Memorial Institute has a long-standing and extensive track record of performing research and development for the Department of Defense across various domains, including cyber security, advanced materials, and systems engineering. They have been a significant recipient of DoD contracts over many years, often engaging in complex, high-stakes research projects. Their history suggests a deep understanding of DoD requirements and a proven capability to deliver on challenging R&D objectives. Specific details on past performance metrics and successful project completions would be available through contract performance databases and agency records, but their general reputation within the defense R&D community is strong.

How does the $36 million contract value compare to other DoD cyber security R&D awards?

The $36 million contract value for cyber security and IT modeling research is a substantial but not unprecedented amount for the Department of Defense. Large-scale R&D efforts in cyber security, particularly those involving advanced modeling, simulation, and critical infrastructure protection, often command multi-million dollar investments. For context, other DoD cyber R&D contracts can range from a few million dollars for specific technology development to hundreds of millions for broader strategic initiatives. This particular award appears to be in the mid-to-high range for a focused R&D effort, reflecting the complexity and strategic importance of the research objectives.

What are the primary risks associated with this type of R&D contract?

The primary risks associated with this type of R&D contract include technical risks, such as the research not yielding the desired outcomes or encountering unforeseen scientific challenges. Schedule risks are also present, as R&D projects can be prone to delays due to the inherent uncertainties in scientific discovery. Cost risks can emerge if the project requires more resources than initially estimated. Furthermore, there's a risk of the technology becoming obsolete before it can be fully developed or implemented, or that the research findings may not be effectively transitioned into operational capabilities for the DoD.

How effective is Battelle Memorial Institute likely to be in delivering on the cyber security and IT modeling research objectives?

Battelle Memorial Institute's established reputation as a leading research organization, coupled with its extensive experience in defense-related R&D, suggests a high likelihood of effectiveness. Their history of successfully completing complex research projects for government agencies, including the DoD, indicates a strong foundation in scientific inquiry, project management, and technical execution. The 'Cost Plus Fixed Fee' contract type, while requiring careful oversight, allows for flexibility in R&D while maintaining cost control. The DoD's selection of Battelle through full and open competition further implies that they were assessed as having the most capable and promising approach to meet the stated research objectives.

What are the historical spending patterns for cyber security R&D within the Department of Defense?

Historical spending patterns for cyber security R&D within the Department of Defense have shown a consistent and increasing trend over the past decade. Driven by the evolving threat landscape and the increasing reliance on digital systems, the DoD has significantly ramped up investments in research aimed at enhancing cyber defenses, developing offensive cyber capabilities, and understanding emerging cyber threats. Funding is allocated across various research areas, including network security, data analytics, artificial intelligence for cyber, cryptography, and secure software development. This $36 million award aligns with the broader strategic priority and sustained financial commitment the DoD places on advancing its cyber resilience and technological superiority.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 505 KING AVENUE, COLUMBUS, OH, 43201

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

Financial Breakdown

Contract Ceiling: $42,431,062

Exercised Options: $42,431,062

Current Obligation: $36,040,995

Actual Outlays: $2,471,920

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $5,165,763

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807518D0005

IDV Type: IDC

Timeline