DoD's $11.6M R&D contract for physical sciences research awarded to General Atomics
Contract Overview
Contract Amount: $11,639,668 ($11.6M)
Contractor: General Atomics
Awarding Agency: Department of Defense
Start Date: 2004-05-13
End Date: 2011-12-01
Contract Duration: 2,758 days
Daily Burn Rate: $4.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92121
Plain-Language Summary
Department of Defense obligated $11.6 million to GENERAL ATOMICS for work described as: Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee (CPFF), which can shift some risk to the government. 3. Duration of 2758 days indicates a long-term research and development effort. 4. The North American Industry Classification System (NAICS) code 541710 points to significant R&D investment. 5. Awarded by the Department of the Air Force, a major component of the DoD. 6. The contract was awarded in 2004 and completed in 2011, providing historical performance data.
Value Assessment
Rating: fair
Benchmarking the value of this specific R&D contract is challenging without detailed technical specifications and deliverables. However, the CPFF contract type suggests that the final cost could exceed initial estimates if costs run higher than anticipated. The total award amount of $11.6 million over nearly 7.5 years averages to approximately $1.55 million per year, which for a specialized R&D effort may be within a reasonable range, but requires further context on the scope of work.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit bids. The presence of 6 bids suggests a moderate level of competition for this R&D effort. While multiple bidders are positive, the specific nature of advanced R&D can sometimes limit the pool of qualified competitors.
Taxpayer Impact: Full and open competition generally benefits taxpayers by encouraging competitive pricing and potentially leading to more innovative solutions at a better value.
Public Impact
The primary beneficiaries are likely the Department of the Air Force and potentially broader Department of Defense research initiatives. The services delivered fall under 'Research and Development in the Physical, Engineering, and Life Sciences,' contributing to technological advancements. The geographic impact is primarily linked to the contractor's location in California, though the research outcomes could have national implications. Workforce implications include employment for scientists, engineers, and support staff involved in the R&D process.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed carefully.
- Long contract duration (2758 days) increases the risk of scope creep or evolving research needs.
- Specific R&D outcomes and their direct applicability to defense needs require ongoing assessment.
Positive Signals
- Awarded through full and open competition, indicating a broad search for qualified contractors.
- Multiple bids (6) suggest a competitive environment for this specialized research.
- The contract supports critical research and development for the Department of the Air Force.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. This sector is characterized by innovation, long development cycles, and often high upfront investment. Comparable spending in this area by the DoD is substantial, reflecting a continuous need for technological superiority. The market for specialized R&D services is often concentrated among a few highly capable firms.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large-scale R&D effort, it is unlikely to have significant subcontracting opportunities for small businesses unless specified within the contract's statement of work, which is not detailed here. The focus is likely on prime contractors with advanced research capabilities.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting agency (Department of the Air Force) through program managers and contract officers. Accountability measures would be tied to milestones and deliverables outlined in the contract. Transparency is generally limited for specific R&D projects due to proprietary information and national security concerns, though contract award details are public.
Related Government Programs
- Department of Defense Research and Development Programs
- Air Force Science and Technology Investments
- Physical Sciences Research Contracts
- Engineering Research and Development
- Life Sciences Research Contracts
Risk Flags
- Cost Plus Fixed Fee contract type carries inherent cost overrun risk.
- Long contract duration increases potential for scope changes and cost escalation.
- Specific R&D deliverables and their impact are not detailed in award data.
Tags
department-of-defense, department-of-the-air-force, research-and-development, physical-sciences, engineering, life-sciences, cost-plus-fixed-fee, full-and-open-competition, general-atomics, california, long-term-contract, naics-541710
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.6 million to GENERAL ATOMICS. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is GENERAL ATOMICS.
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 $11.6 million.
What is the period of performance?
Start: 2004-05-13. End: 2011-12-01.
What was the specific nature of the 'Research and Development in the Physical, Engineering, and Life Sciences' conducted under this contract?
The provided data does not specify the exact nature of the R&D. NAICS code 541710 covers a broad spectrum of scientific research and experimental development services. For this contract, it could range from materials science, advanced physics, aerospace engineering principles, or even biological research relevant to defense applications. Without access to the contract's statement of work or technical reports, the precise research focus remains undisclosed in the public award data. Further investigation would require accessing contract-specific documentation from the Department of Defense.
How did the final cost compare to the initial estimated cost for this Cost Plus Fixed Fee (CPFF) contract?
The data indicates a total award amount of $11,639,668. For a CPFF contract, the government agrees to pay the contractor's allowable costs plus a fixed fee representing profit. The 'award amount' typically reflects the total authorized funding. To determine if the final cost aligned with initial estimates, one would need to compare the final incurred costs against the projected costs at the time of award or during contract modifications. CPFF contracts inherently carry a risk of cost overrun if the contractor's actual costs exceed projections, though the fixed fee provides a predictable profit margin. The provided data does not offer a breakdown of initial estimates versus final incurred costs.
What were the key performance indicators (KPIs) or milestones for this R&D contract, and were they met?
Key performance indicators and milestones are typically detailed within the contract's statement of work (SOW) or performance work statement (PWS). For an R&D contract like this, KPIs might include successful completion of specific research phases, delivery of prototypes, validation of theoretical models, or publication of findings. The provided data does not include these specific performance metrics. Assessing whether milestones were met would require reviewing contract performance reports, acceptance records, or final delivery documentation, which are not publicly available in this dataset. The contract's completion date (2011-12-01) suggests the period of performance concluded.
What is General Atomics' track record with similar R&D contracts awarded by the Department of Defense?
General Atomics is a well-established defense contractor known for its work in areas such as unmanned aerial systems (e.g., Predator, Reaper), nuclear technologies, and advanced defense systems. Their track record with the DoD, particularly in R&D, is extensive. While this specific $11.6 million contract is a data point, General Atomics has secured numerous larger and smaller R&D contracts across various defense agencies over decades. Their history suggests significant experience in complex, long-term research and development projects, often involving advanced technologies. A comprehensive assessment would involve analyzing their portfolio of past performance, including any past performance evaluations or disputes.
How does the average annual spending on this contract ($1.55M/year) compare to other R&D contracts in the physical sciences sector for the Air Force?
Comparing the average annual spending of approximately $1.55 million for this specific contract requires context regarding the scope and complexity of the R&D. The Department of the Air Force, and the DoD broadly, invest billions annually in R&D across numerous disciplines. Contracts can range from small, focused studies to massive, multi-year programs. This $1.55 million annual figure might be considered moderate for a significant R&D effort, especially compared to large platform development or system integration projects. However, for highly specialized, fundamental research in niche areas of physical sciences, it could represent substantial investment. Benchmarking requires access to a broader dataset of similar R&D contracts, including their objectives, durations, and funding levels.
What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract structure for R&D?
The primary risk of a CPFF contract for R&D lies in cost control. While the 'fixed fee' provides a predictable profit for the contractor, the government bears the risk of covering all allowable costs. If the R&D effort encounters unforeseen technical challenges or requires more resources than initially anticipated, the total cost to the government can escalate significantly beyond initial projections. This necessitates robust government oversight to ensure costs are reasonable and allocable to the contract. For R&D, where outcomes are inherently uncertain, CPFF can incentivize contractors to pursue innovative solutions but requires careful monitoring to prevent inefficient spending or 'gold plating' of research activities.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Offers Received: 6
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 3550 GENERAL ATOMICS COURT, SAN DIEGO, CA, 90
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2004-05-13
Current End Date: 2011-12-01
Potential End Date: 2011-12-01 00:00:00
Last Modified: 2011-08-25
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