DoD's $10M multi-spectral sensing R&D contract awarded to Matrix Research Inc. for 5 years

Contract Overview

Contract Amount: $10,007,469 ($10.0M)

Contractor: Matrix Research Inc

Awarding Agency: Department of Defense

Start Date: 2022-11-22

End Date: 2027-02-22

Contract Duration: 1,553 days

Daily Burn Rate: $6.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: MULTI-SPECTRAL SENSING TECHNOLOGIES RESEARCH & DEVELOPMENT 3-IN-1

Place of Performance

Location: BEAVERCREEK, GREENE County, OHIO, 45430

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $10.0 million to MATRIX RESEARCH INC for work described as: MULTI-SPECTRAL SENSING TECHNOLOGIES RESEARCH & DEVELOPMENT 3-IN-1 Key points: 1. Contract aims to advance multi-spectral sensing capabilities, potentially offering significant technological advantages. 2. The award to a single contractor suggests a focus on specialized expertise or a competitive process that identified a leading solution. 3. Performance risk appears moderate given the R&D nature, but successful delivery hinges on technological breakthroughs. 4. This contract aligns with broader DoD efforts to enhance intelligence, surveillance, and reconnaissance (ISR) capabilities. 5. The chosen contract type (Cost Plus Fixed Fee) is common for R&D where final costs are uncertain. 6. The duration of over 4 years allows for substantial development and testing phases.

Value Assessment

Rating: fair

Benchmarking the value of this R&D contract is challenging without specific technical deliverables and market comparables for similar advanced sensing technologies. The Cost Plus Fixed Fee structure means costs could fluctuate, but the fixed fee component provides some predictability for the contractor's profit. The total award value of approximately $10 million over five years suggests a significant investment in specialized research.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple capable vendors had the opportunity to bid. The fact that Matrix Research Inc. was selected suggests they offered the most advantageous proposal based on technical merit, cost, or a combination thereof. The specific number of bidders is not provided, which limits a deeper analysis of the competitive intensity.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and innovative solutions, ensuring the government receives optimal value for its investment.

Public Impact

The Department of Defense, specifically the Air Force, is the primary beneficiary, seeking to enhance its multi-spectral sensing capabilities. The contract will deliver advancements in research and development for sophisticated sensing technologies. The geographic impact is primarily within the United States, where the research and development activities will likely take place. Workforce implications may include specialized engineers, scientists, and technicians employed by Matrix Research Inc. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Uncertainty in R&D outcomes can lead to cost overruns or failure to achieve desired technological advancements.
Reliance on a single contractor for specialized R&D may limit future flexibility or access to alternative solutions.
The Cost Plus Fixed Fee structure requires careful monitoring to ensure costs remain reasonable and within projected bounds.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
The contract duration allows for thorough research and development, increasing the likelihood of successful innovation.
Matrix Research Inc.'s selection implies they possess the necessary expertise for this specialized R&D effort.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on advanced physical and engineering sciences. The market for multi-spectral sensing technologies is driven by defense, intelligence, and increasingly, commercial applications. Spending in this area is critical for maintaining technological superiority and developing next-generation surveillance and reconnaissance tools. Comparable spending benchmarks would typically be found within other DoD R&D contracts for advanced sensor systems.

Small Business Impact

The contract data indicates that small business participation is not a primary focus, as the 'ss' (small business set-aside) field is false and 'sb' (small business) is also false. This suggests the contract was not specifically set aside for small businesses, and the prime contractor, Matrix Research Inc., is likely a large business. Subcontracting opportunities for small businesses may exist but are not explicitly detailed in the provided data. The impact on the small business ecosystem would depend on the extent of any subcontracting efforts.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and program management office within the Department of the Air Force. Accountability measures are inherent in the Cost Plus Fixed Fee structure, which requires detailed cost reporting and justification. Transparency is typically maintained through contract databases and reporting requirements, though specific R&D details may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Advanced Sensor Technology Development
Intelligence, Surveillance, and Reconnaissance (ISR) Systems R&D
Department of Defense Research and Development Programs
Air Force Science and Technology Investments

Risk Flags

R&D Cost Overrun Potential
Technological Obsolescence Risk
Dependency on Contractor Expertise

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.0 million to MATRIX RESEARCH INC. MULTI-SPECTRAL SENSING TECHNOLOGIES RESEARCH & DEVELOPMENT 3-IN-1

Who is the contractor on this award?

The obligated recipient is MATRIX RESEARCH INC.

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 $10.0 million.

What is the period of performance?

Start: 2022-11-22. End: 2027-02-22.

What is Matrix Research Inc.'s track record with similar R&D contracts, particularly in multi-spectral sensing?

Assessing Matrix Research Inc.'s track record requires a deeper dive into their contract history. While the provided data confirms their selection for this $10 million multi-spectral sensing R&D contract, it does not detail their past performance on similar projects. A thorough analysis would involve reviewing their portfolio of previously awarded government contracts, focusing on the technical scope, complexity, and success rates of R&D efforts in advanced sensing, optics, or related fields. Information on past performance, including any awards, terminations, or significant challenges, would be crucial in evaluating their capability to successfully execute this current contract. Without this historical context, it is difficult to definitively gauge their expertise and reliability in this specialized domain.

How does the $10 million award compare to typical R&D spending for multi-spectral sensing technologies within the DoD?

The $10 million award for multi-spectral sensing R&D represents a significant, but not exceptionally large, investment within the broader DoD research and development landscape. The Department of Defense allocates billions annually to science and technology initiatives across various domains. For specialized areas like advanced sensing, individual contract values can range widely from a few million for focused research to hundreds of millions for large-scale system development. This particular contract's value suggests a focused effort on developing specific technological advancements rather than a full system acquisition. To provide a precise comparison, one would need to benchmark against similar R&D efforts within the Air Force or other branches focusing on comparable sensor technologies, considering factors like research phase, technological maturity, and project duration.

What are the key performance indicators (KPIs) and risk mitigation strategies for this contract?

Key performance indicators (KPIs) for this Cost Plus Fixed Fee R&D contract would likely revolve around achieving specific technical milestones, demonstrating proof-of-concept for new sensing capabilities, and adhering to projected research timelines. Given the inherent uncertainties in R&D, risk mitigation strategies are critical. These might include phased development with regular technical reviews, establishing clear go/no-go decision points, ensuring robust project management, and fostering open communication channels between the contractor and the government program office. The Cost Plus Fixed Fee structure itself includes a form of risk sharing, where the contractor's profit is fixed, incentivizing efficient cost management while allowing for cost flexibility to pursue research objectives. The government's primary risk lies in the potential for technological failure or delays.

What is the potential impact of this contract on the future capabilities of the Department of the Air Force?

This contract has the potential to significantly enhance the Department of the Air Force's future capabilities, particularly in intelligence, surveillance, and reconnaissance (ISR). Advancements in multi-spectral sensing technologies can lead to improved target identification, enhanced situational awareness in complex environments, and the ability to gather more detailed information from standoff distances. Such capabilities are crucial for modern military operations, enabling better decision-making, improved force protection, and potentially reducing the need for riskier manned reconnaissance missions. The successful development of these technologies could provide a critical operational advantage, influencing future platform designs and mission planning across various Air Force operations.

How has federal spending on multi-spectral sensing R&D evolved over the past five years?

Analyzing federal spending trends on multi-spectral sensing R&D over the past five years requires access to comprehensive government spending databases. Generally, investment in advanced sensing technologies, including multi-spectral capabilities, has been a consistent priority for defense and intelligence agencies due to their critical role in ISR. Spending in this area is often influenced by evolving geopolitical landscapes, technological advancements, and the need to counter emerging threats. While specific figures for 'multi-spectral sensing R&D' as a distinct category can be difficult to isolate without detailed budget breakdowns, overall R&D spending within defense agencies has seen fluctuations driven by strategic priorities and budget cycles. It is reasonable to assume a sustained or increasing level of investment in technologies that offer significant operational advantages.

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: TWO STEP

Solicitation ID: FA865021S1180

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3844 RESEARCH BLVD, BEAVERCREEK, OH, 45430

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,327,270

Exercised Options: $12,327,270

Current Obligation: $10,007,469

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline