DoD's $391M DICE R&D Contract with Volant Associates Faces Scrutiny for Value and Competition
Contract Overview
Contract Amount: $39,126,228 ($39.1M)
Contractor: Volant Associates LLC
Awarding Agency: Department of Defense
Start Date: 2017-02-14
End Date: 2021-04-13
Contract Duration: 1,519 days
Daily Burn Rate: $25.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: IGF::OT::IGF DI2E FRAMEWORK INTEGRATED COLLABORATIVE ENVIRONMENT (DICE)
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $39.1 million to VOLANT ASSOCIATES LLC for work described as: IGF::OT::IGF DI2E FRAMEWORK INTEGRATED COLLABORATIVE ENVIRONMENT (DICE) Key points: 1. The contract awarded to Volant Associates LLC for the DICE framework represents significant R&D spending. 2. Full and open competition was cited, but the contract type (Cost Plus Fixed Fee) warrants scrutiny regarding cost control. 3. The lack of small business participation is a notable concern. 4. The R&D sector is prone to cost overruns and evolving requirements, increasing risk.
Value Assessment
Rating: questionable
The Cost Plus Fixed Fee structure can incentivize cost escalation rather than efficiency. Benchmarking against similar R&D contracts is difficult without detailed cost breakdowns, but the total value suggests a need for rigorous oversight.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
While advertised as full and open competition, the effectiveness of price discovery is questionable given the Cost Plus Fixed Fee award type. This structure may not always yield the most cost-effective outcome for the government.
Taxpayer Impact: Taxpayer funds are at risk of being spent inefficiently due to the contract's cost-reimbursement nature, potentially exceeding the value derived from the R&D.
Public Impact
Significant taxpayer investment in advanced R&D for defense. Potential for technological advancements impacting national security. Questions surrounding the efficiency of spending on a Cost Plus Fixed Fee contract. Limited visibility into the specific deliverables and their ultimate impact.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type
- No small business participation
- Long contract duration with significant value
Positive Signals
- Awarded under full and open competition
- Focus on critical R&D area
Sector Analysis
This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is inherently high-risk and high-reward, often characterized by evolving requirements and the need for specialized expertise. Benchmarks are difficult due to the unique nature of R&D projects.
Small Business Impact
The contract data indicates no small business participation. This is a missed opportunity to foster innovation within the small business sector and could suggest a lack of outreach or accessibility for smaller firms in this specific procurement.
Oversight & Accountability
The contract's duration and cost-plus nature necessitate robust oversight from the Defense Contract Management Agency to ensure adherence to scope, prevent cost overruns, and verify the value delivered to the government.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Potential for cost overruns due to CPFF structure
- Lack of small business participation
- Difficulty in benchmarking R&D contract value
- Long contract duration increases risk exposure
- Limited transparency on specific R&D outcomes
Tags
research-and-development-in-the-physical, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $39.1 million to VOLANT ASSOCIATES LLC. IGF::OT::IGF DI2E FRAMEWORK INTEGRATED COLLABORATIVE ENVIRONMENT (DICE)
Who is the contractor on this award?
The obligated recipient is VOLANT ASSOCIATES LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $39.1 million.
What is the period of performance?
Start: 2017-02-14. End: 2021-04-13.
What specific technological advancements or capabilities has the DICE framework delivered relative to its significant cost?
The provided data does not detail the specific technological advancements or capabilities delivered by the DICE framework. A thorough review of contract performance reports, milestone achievements, and final deliverables would be necessary to assess the value proposition against the $391 million expenditure. Without this information, it's challenging to definitively state the return on investment for this R&D effort.
How effectively did the 'full and open competition' process ensure competitive pricing for a Cost Plus Fixed Fee R&D contract?
While 'full and open competition' suggests a broad solicitation, the Cost Plus Fixed Fee (CPFF) structure inherently limits direct price competition. The government agrees to cover costs plus a fixed fee, shifting risk to the government. Effective price discovery in CPFF relies heavily on detailed cost proposals, negotiation, and robust oversight to prevent unallowable costs, rather than a simple low-bid scenario.
What measures are in place to ensure the long-term effectiveness and adaptability of the DICE framework developed under this contract?
The provided data does not specify measures for long-term effectiveness or adaptability. Typically, such measures would involve requirements for documentation, knowledge transfer, ongoing support contracts, or built-in modularity for future upgrades. Post-award reviews and ongoing program management would be crucial to assess and ensure the sustained utility of the developed framework.
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: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Solicitation ID: FA875015S0001
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 15049 CONFERENCE CENTER DRIVE, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $39,126,228
Exercised Options: $39,126,228
Current Obligation: $39,126,228
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2017-02-14
Current End Date: 2021-04-13
Potential End Date: 2021-04-13 00:00:00
Last Modified: 2025-05-22
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