Colsa Corp Awarded $78.4M for Bounty Hunter 2.0 R&D by Air Force

Contract Overview

Contract Amount: $78,355,673 ($78.4M)

Contractor: Colsa Corp

Awarding Agency: Department of Defense

Start Date: 2020-06-22

End Date: 2026-09-26

Contract Duration: 2,287 days

Daily Burn Rate: $34.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: BOUNTY HUNTER 2.0

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35806

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $78.4 million to COLSA CORP for work described as: BOUNTY HUNTER 2.0 Key points: 1. Contract focuses on advanced research and development, indicating a need for specialized scientific expertise. 2. The firm fixed-price structure shifts performance risk to the contractor, COLSA CORP. 3. A long performance period of 2287 days suggests a complex, multi-phase project. 4. The contract was awarded under full and open competition, implying a robust bidding process. 5. Geographic location in Alabama may indicate a concentration of defense R&D activities in the region. 6. The North American Industry Classification System (NAICS) code 541712 points to a specific niche within scientific research.

Value Assessment

Rating: good

The contract value of $78.4 million over approximately 6.3 years represents a significant investment in R&D. Benchmarking this against similar large-scale defense research contracts is challenging without more specific project details. However, the firm fixed-price nature suggests the government has negotiated a price upfront, aiming for cost certainty. The number of bids received (2) is on the lower side for full and open competition, which could warrant further investigation into pricing competitiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. While the data indicates two bids were received, the specific details of the solicitation and evaluation process are not provided. A low number of bids in a full and open competition can sometimes suggest high barriers to entry, specialized requirements, or potentially limited market interest for this specific R&D effort.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to foster a competitive environment that can drive down prices and encourage innovation. However, with only two bids, the potential for significant cost savings through broad competition may have been limited.

Public Impact

The primary beneficiaries are the Department of the Air Force, which will receive advanced R&D services. The contract supports the development of technologies potentially crucial for national security and defense capabilities. Work is expected to be performed in Alabama, potentially creating or sustaining high-skilled jobs in the state. The research outcomes could lead to advancements in physical, engineering, and life sciences, benefiting broader scientific communities if findings are shared.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited number of bidders (2) in a full and open competition could indicate potential issues with market reach or contractor capacity.
The long duration of the contract (over 6 years) increases the risk of scope creep or evolving technological requirements.
Lack of specific details on the R&D objectives makes it difficult to assess the true value and potential impact of the work.

Positive Signals

Firm fixed-price contract structure provides cost certainty for the government.
Awarding to a single contractor (COLSA CORP) suggests they possess the specialized capabilities required for this R&D.
The contract is for research and development, aligning with strategic goals for technological advancement.

Sector Analysis

The contract falls within the Research and Development sector, specifically NAICS code 541712, which covers R&D in physical, engineering, and life sciences (excluding biotechnology). This is a critical area for defense agencies seeking to maintain technological superiority. The total federal spending in this R&D category is substantial, with numerous contracts awarded annually. This specific award to COLSA CORP represents a portion of the broader defense R&D budget, focused on specialized scientific advancements.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses mandated by a set-aside. However, the prime contractor, COLSA CORP, may choose to subcontract portions of the work to small businesses as part of their overall business strategy, which could provide opportunities within the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force contracting and program management offices. The firm fixed-price nature simplifies some aspects of financial oversight by fixing the total cost. Transparency is dependent on the agency's reporting practices and any public disclosures related to the R&D outcomes. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Research and Development
Advanced Technology Development
Air Force Research Laboratory Contracts
Scientific and Technical Services

Risk Flags

Limited competition (2 bidders)
Long contract duration increases risk
R&D projects inherently carry technical uncertainty

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $78.4 million to COLSA CORP. BOUNTY HUNTER 2.0

Who is the contractor on this award?

The obligated recipient is COLSA CORP.

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 $78.4 million.

What is the period of performance?

Start: 2020-06-22. End: 2026-09-26.

What is the specific nature of the 'BOUNTY HUNTER 2.0' research and development effort?

The provided data does not specify the exact nature of the 'BOUNTY HUNTER 2.0' R&D effort beyond its classification under NAICS code 541712 (Research and Development in the Physical, Engineering, and Life Sciences). This code suggests the work involves scientific inquiry and experimentation to expand knowledge and understanding in areas like physics, engineering principles, or biological processes, excluding biotechnology. Without further details from the contract solicitation or performance statements, the precise technological goals, applications, or scientific domains remain undisclosed. Such R&D can range from fundamental research to applied research aimed at developing new materials, systems, or methodologies for defense applications.

How does the $78.4 million contract value compare to similar R&D contracts awarded by the Department of Defense?

The $78.4 million contract value for BOUNTY HUNTER 2.0 is a substantial sum, indicative of a significant R&D undertaking. To benchmark it effectively, one would need to compare it against other R&D contracts within the same NAICS code (541712) and awarded by similar agencies (like the Air Force or other DoD branches) over comparable performance periods. Federal procurement data often shows R&D contracts ranging from a few million to hundreds of millions of dollars. A contract of this magnitude suggests a project requiring specialized expertise, advanced facilities, and a considerable duration, likely involving complex research questions or the development of sophisticated prototypes or systems. Without access to a detailed database of comparable contracts, a precise value-for-money assessment is difficult, but it appears to be within the upper range for specialized R&D efforts.

What are the potential risks associated with a firm fixed-price contract for a long-duration R&D project?

Firm fixed-price (FFP) contracts aim to provide cost certainty by obligating the contractor to complete the work for a predetermined price. For a long-duration R&D project (2287 days, approx. 6.3 years), the primary risk with FFP is that the contractor may underestimate the costs, complexity, or time required. If unforeseen technical challenges arise or the scope needs to evolve significantly due to research findings, the contractor might struggle to deliver within the fixed price, potentially leading to quality compromises, delays, or contractor financial distress. Conversely, if the contractor significantly overestimates costs, the government might pay a premium. The long duration also increases the risk of technological obsolescence or shifts in strategic priorities, which might not be easily accommodated within an FFP structure without formal modifications.

What does the limited number of bidders (2) in a full and open competition imply for this contract?

A full and open competition typically aims to attract a wide range of bidders to foster the best possible pricing and technical solutions. Receiving only two bids for the BOUNTY HUNTER 2.0 contract, despite being competed openly, could suggest several possibilities. It might indicate that the required technical expertise is highly specialized, limiting the number of capable contractors. Alternatively, the barriers to entry (e.g., security clearances, specific equipment, past performance requirements) might be high, deterring potential bidders. It could also reflect market conditions, where only a few companies possess the necessary qualifications and capacity for such a large-scale R&D effort. From a taxpayer perspective, fewer bidders can sometimes mean less competitive pressure on pricing, potentially leading to a higher final cost than if more companies had vied for the contract.

How does the geographic location (Alabama) potentially influence the contract's execution and impact?

The contract's performance location in Alabama (ST: AL, SN: ALABAMA) suggests a connection to the state's existing defense industry and research infrastructure. Alabama has a significant presence in aerospace and defense, including research facilities and a skilled workforce. Awarding this contract to a company based or operating in Alabama could stimulate the local economy through job creation, particularly for highly skilled scientists, engineers, and technicians. It may also leverage existing regional expertise and collaborations within the defense R&D ecosystem. Furthermore, proximity between the contractor and the Air Force's relevant operational or oversight units could potentially facilitate communication and project management, although this is not guaranteed and depends on the specific locations of those units.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA830720R0057

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6728 ODYSSEY DR NW, HUNTSVILLE, AL, 35806

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Not Designated a Small Business, Service Disabled Veteran Owned Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $81,597,149

Exercised Options: $80,467,294

Current Obligation: $78,355,673

Actual Outlays: $6,420,824

Subaward Activity

Number of Subawards: 128

Total Subaward Amount: $24,286,922

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU706

IDV Type: IDC

Timeline