Dod's $22.8M Contract for Iris Suite of Tools Awarded to Outerlink Corp for R&D

Contract Overview

Contract Amount: $22,881,491 ($22.9M)

Contractor: Outerlink Corp

Awarding Agency: Department of Defense

Start Date: 2023-08-10

End Date: 2026-05-28

Contract Duration: 1,022 days

Daily Burn Rate: $22.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IRIS SUITE OF TOOLS

Place of Performance

Location: WOBURN, MIDDLESEX County, MASSACHUSETTS, 01801

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $22.9 million to OUTERLINK CORP for work described as: IRIS SUITE OF TOOLS Key points: 1. Contract awarded for research and development in physical, engineering, and life sciences. 2. The contract type is Full and Open Competition after Exclusion of Sources, indicating a competitive process. 3. A Firm Fixed Price contract type suggests predictable costs for the government. 4. The contract duration is over 1000 days, implying a long-term need for the services. 5. The award was made by the Department of the Air Force, a major component of the DoD. 6. The North American Industry Classification System (NAICS) code 541715 points to a specialized R&D sector.

Value Assessment

Rating: good

The contract value of $22.8 million for a period of over 1000 days appears reasonable for specialized R&D services. Benchmarking against similar contracts in the physical, engineering, and life sciences R&D sector would provide a more precise value-for-money assessment. The firm fixed price structure helps manage cost predictability. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the initial indicators suggest a fair price for 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 after Exclusion of Sources.' This suggests that while the competition was open, certain sources may have been excluded based on specific criteria, potentially narrowing the field of bidders. The exact number of bidders is not provided, but the 'full and open' designation implies a competitive process aimed at achieving the best value. The exclusion of sources warrants further investigation to understand its impact on the breadth of competition.

Taxpayer Impact: This competitive approach aims to ensure that taxpayer funds are used efficiently by fostering a bidding environment that drives down prices and encourages innovation. The exclusion of sources, however, could potentially limit the range of solutions and price points available to the government.

Public Impact

The Department of Defense, specifically the Air Force, is the primary beneficiary, likely acquiring advanced research and development capabilities. The services delivered are in the realm of physical, engineering, and life sciences R&D, potentially leading to technological advancements. The geographic impact is not specified but is likely concentrated within the contractor's operational areas or DoD research facilities. Workforce implications may include employment for specialized researchers, engineers, and technical staff within OUTERLINK CORP and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Exclusion of Sources' in the competition type requires further clarity to ensure maximum competitive benefit.
Lack of specific performance metrics makes it difficult to assess the effectiveness and ultimate value of the R&D outcomes.
The long duration of the contract (over 1000 days) necessitates robust ongoing oversight to ensure continued alignment with evolving DoD needs.

Positive Signals

The 'Full and Open Competition' aspect, despite source exclusion, indicates an effort to engage a competitive market.
The Firm Fixed Price contract type provides cost certainty for the government, mitigating budget risks.
The contract is awarded to a specific entity, OUTERLINK CORP, suggesting a focused effort on a particular R&D objective.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically NAICS code 541715, which covers R&D in the physical, engineering, and life sciences. This is a critical sector for defense innovation, driving advancements in technology and capabilities. The market for such specialized R&D services is competitive, with numerous firms offering expertise. Spending in this area by the DoD is substantial, reflecting a strategic investment in future technological superiority. Comparable spending benchmarks would typically involve analyzing other large-scale R&D contracts awarded by defense agencies for similar scientific disciplines.

Small Business Impact

The provided data indicates that small business set-aside (ss) and subcontracting (sb) flags are false. This suggests that the contract was not specifically set aside for small businesses, nor are there explicit indications of mandatory subcontracting goals for small businesses within this award. Consequently, the direct impact on the small business ecosystem for this particular contract appears limited, though larger prime contractors often engage small businesses indirectly.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force contracting and program management offices. Accountability measures are typically embedded within the contract's performance work statement and reporting requirements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse, ensuring a level of external scrutiny.

Related Government Programs

Department of Defense Research and Development Programs
Air Force Science and Technology Investments
Physical Sciences Research Contracts
Engineering Development Contracts
Life Sciences Research Initiatives

Risk Flags

Potential for scope creep in R&D projects.
Risk of technological obsolescence during long contract duration.
Uncertainty of R&D outcome success.
Impact of 'Exclusion of Sources' on competitive breadth.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.9 million to OUTERLINK CORP. IRIS SUITE OF TOOLS

Who is the contractor on this award?

The obligated recipient is OUTERLINK 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 $22.9 million.

What is the period of performance?

Start: 2023-08-10. End: 2026-05-28.

What is the track record of OUTERLINK CORP in securing and successfully executing similar R&D contracts with the federal government?

Assessing OUTERLINK CORP's track record requires a review of their past performance on federal contracts, particularly those within the NAICS code 541715 (Research and Development in the Physical, Engineering, and Life Sciences). This would involve examining contract databases for previous awards, contract values, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or terminations. A strong track record would indicate a history of successful delivery, adherence to timelines and budgets, and positive client feedback. Conversely, a history of poor performance or contract issues could signal higher risk for this current $22.8 million award. Without specific historical data on OUTERLINK CORP's performance, it is difficult to definitively assess their reliability for this R&D initiative.

How does the $22.8 million contract value compare to similar R&D contracts awarded by the Department of the Air Force or other DoD branches for comparable services?

The $22.8 million contract value for IRIS SUITE OF TOOLS, awarded over approximately 1022 days (roughly 2.8 years), needs to be benchmarked against similar R&D contracts. The NAICS code 541715 suggests research in physical, engineering, and life sciences. To assess value for money, one would compare this contract's total value and its average annual value (approximately $8.1 million per year) to other DoD contracts for R&D in these fields. Factors like the specific research scope, technological complexity, required expertise, and duration influence pricing. If similar contracts for comparable R&D efforts have significantly higher or lower values, it could indicate that this contract is either overpriced or a particularly good deal. A thorough comparison would involve analyzing contract databases for awards with similar scopes, durations, and agencies.

What are the primary risk indicators associated with this contract, considering its R&D nature and competition type?

Key risk indicators for this contract include the inherent uncertainties of Research and Development projects, where outcomes are not guaranteed and timelines can shift. The 'Full and Open Competition after Exclusion of Sources' competition type presents a moderate risk; while competitive, the exclusion of certain sources might limit the pool of innovative solutions or potentially indicate pre-existing relationships or specific technical requirements that could restrict broader market participation. The Firm Fixed Price (FFP) contract type, while good for cost control, can pose a risk if the scope of work is not precisely defined, potentially leading to contractor claims for additional costs if unforeseen challenges arise during R&D. The long duration (1022 days) also introduces risks related to technological obsolescence, changing requirements, and contractor performance degradation over time. Finally, the specific nature of the 'IRIS SUITE OF TOOLS' and its intended application within the DoD would need to be examined for any unique technical or operational risks.

How effective is the 'Full and Open Competition after Exclusion of Sources' mechanism in ensuring optimal price discovery and innovation for this R&D contract?

The 'Full and Open Competition after Exclusion of Sources' mechanism aims to balance broad market engagement with specific requirements. It suggests that the solicitation was open to all responsible sources, but certain entities were excluded based on predefined criteria, possibly related to security, technical capability, or prior performance. This approach can be effective if the exclusions are justified and clearly communicated, ensuring that only qualified bidders participate, thereby potentially leading to more focused and relevant proposals. However, if the exclusions are too restrictive or not well-justified, they could limit competition, potentially leading to higher prices or fewer innovative solutions than a truly open competition might yield. The effectiveness hinges on the rationale behind the exclusions and the number of bidders that ultimately participated.

What are the historical spending patterns for R&D contracts under NAICS code 541715 by the Department of the Air Force?

Analyzing historical spending patterns for R&D contracts under NAICS code 541715 by the Department of the Air Force (DAF) is crucial for context. The DAF consistently invests heavily in R&D to maintain technological superiority. Historical data would likely show significant annual expenditures in this sector, often fluctuating based on strategic priorities and budget allocations. Spending trends might reveal an increasing focus on areas like artificial intelligence, cybersecurity, advanced materials, or aerospace technologies, depending on evolving threats and mission requirements. Understanding these patterns helps in evaluating whether the $22.8 million award to OUTERLINK CORP aligns with the DAF's typical investment levels and priorities for this specific R&D domain. It also provides a baseline for assessing future spending and identifying potential areas of growth or reduction.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 150 BAKER AVE EXT, CONCORD, MA, 01742

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

Financial Breakdown

Contract Ceiling: $28,777,837

Exercised Options: $23,940,876

Current Obligation: $22,881,491

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline