DoD awards $14M R&D contract for multi-domain processing to Maxar Mission Solutions Inc

Contract Overview

Contract Amount: $13,999,954 ($14.0M)

Contractor: Maxar Mission Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2021-09-30

End Date: 2023-09-29

Contract Duration: 729 days

Daily Burn Rate: $19.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: RED WING MULTI-DOMAIN PROCESSING EXPLOITATION AND DISSEMINATION

Place of Performance

Location: YPSILANTI, WASHTENAW County, MICHIGAN, 48197

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $14.0 million to MAXAR MISSION SOLUTIONS INC for work described as: RED WING MULTI-DOMAIN PROCESSING EXPLOITATION AND DISSEMINATION Key points: 1. Contract focuses on advanced R&D in physical and engineering sciences. 2. Maxar Mission Solutions Inc. is the sole awardee. 3. The contract duration is 729 days. 4. This award falls under the 'Research and Development' sector.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed tightly. Benchmarking is difficult without specific deliverables and performance metrics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific details of the price discovery mechanism are not provided.

Taxpayer Impact: Taxpayer funds are being used for advanced R&D, with the ultimate value dependent on the successful development of the multi-domain processing capabilities.

Public Impact

Enhances Department of Defense capabilities in data processing and dissemination. Supports innovation in critical defense technology areas. Potential for advancements in intelligence gathering and analysis.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Limited transparency on specific R&D deliverables and success metrics.

Positive Signals

  • Awarded under full and open competition.
  • Addresses a critical need for advanced data processing.

Sector Analysis

This contract is in the Research and Development sector, specifically focusing on physical and engineering sciences. Spending in this sector is crucial for technological advancement but carries inherent risks due to the speculative nature of R&D.

Small Business Impact

The contract was awarded to Maxar Mission Solutions Inc., a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

Oversight will be crucial to ensure that the Cost Plus Fixed Fee structure does not lead to excessive spending and that the R&D objectives are met efficiently.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Lack of specific performance metrics in award data.
  • Potential for scope creep in R&D projects.
  • Sole awardee may limit competitive pressure on future related efforts.

Tags

research-and-development-in-the-physical, department-of-defense, mi, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.0 million to MAXAR MISSION SOLUTIONS INC. RED WING MULTI-DOMAIN PROCESSING EXPLOITATION AND DISSEMINATION

Who is the contractor on this award?

The obligated recipient is MAXAR MISSION SOLUTIONS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $14.0 million.

What is the period of performance?

Start: 2021-09-30. End: 2023-09-29.

What are the specific performance metrics and deliverables tied to this R&D contract to ensure value for taxpayer money?

The provided data does not detail specific performance metrics or deliverables. For R&D contracts, these are often defined in subsequent task orders or project milestones. Effective oversight would require clear, measurable objectives to track progress and ensure the $14M investment yields tangible advancements in multi-domain processing and dissemination capabilities.

How will the Department of Defense mitigate the inherent risks associated with Cost Plus Fixed Fee R&D contracts to prevent cost overruns?

Mitigation strategies for CPFF R&D contracts typically involve robust government oversight, detailed milestone tracking, and stringent review of contractor expenditures. The Defense Contract Management Agency (DCMA) would play a key role in monitoring costs and progress. Clear communication channels and defined exit strategies are also essential to manage risks and ensure accountability.

What is the expected impact of this contract on the Department of Defense's overall multi-domain operational capabilities?

This contract aims to enhance the DoD's ability to process and disseminate information across multiple domains (e.g., land, sea, air, space, cyber). Successful execution could lead to improved situational awareness, faster decision-making, and more effective joint operations by integrating disparate data sources and providing actionable intelligence to warfighters.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Solicitation ID: FA875017S7004

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE Stratagem Group LLC

Address: 1200 JOE HALL DR, YPSILANTI, MI, 48197

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

Financial Breakdown

Contract Ceiling: $13,999,954

Exercised Options: $13,999,954

Current Obligation: $13,999,954

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $620,519

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2021-09-30

Current End Date: 2023-09-29

Potential End Date: 2023-09-29 00:00:00

Last Modified: 2026-04-15

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