DoD's $21.8M APFIT Contract to North Point Defense for Prototype Analysis

Contract Overview

Contract Amount: $21,789,871 ($21.8M)

Contractor: North Point Defense Inc

Awarding Agency: Department of Defense

Start Date: 2024-09-26

End Date: 2028-05-26

Contract Duration: 1,338 days

Daily Burn Rate: $16.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: UNICORN BLUE ACCELERATE THE PROCUREMENT AND FIELDING OF INNOVATIVE TECHNOLOGIES (APFIT) ARCHER TO ANALYZE THE CURRENT ARCHER PROTOTYPE FOR FUNCTION, PRODUCTION AT SCALE, AND SUSTAINABILITY.

Place of Performance

Location: ROME, ONEIDA County, NEW YORK, 13441

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $21.8 million to NORTH POINT DEFENSE INC for work described as: UNICORN BLUE ACCELERATE THE PROCUREMENT AND FIELDING OF INNOVATIVE TECHNOLOGIES (APFIT) ARCHER TO ANALYZE THE CURRENT ARCHER PROTOTYPE FOR FUNCTION, PRODUCTION AT SCALE, AND SUSTAINABILITY. Key points: 1. Focuses on R&D for physical and engineering sciences, specifically analyzing prototype sustainability and scalability. 2. Competition method is 'Full and Open Competition after Exclusion of Sources', suggesting a specific justification for limiting initial bidders. 3. Contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The project aims to accelerate the fielding of innovative technologies for the Air Force.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee structure requires close monitoring to ensure costs remain reasonable. Benchmarking is difficult without more specific details on the prototype's components and development stage.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'Full and Open Competition after Exclusion of Sources' indicates a deliberate decision to limit the initial pool of competitors, potentially impacting price discovery and overall value. The rationale for exclusion needs scrutiny.

Taxpayer Impact: Taxpayer funds are being used for advanced R&D. The effectiveness of the competition method will directly influence the ultimate value for money.

Public Impact

Accelerates development of new defense technologies. Supports innovation within the aerospace and defense sector. Potential for improved military capabilities through advanced prototypes. Investment in R&D may lead to future technological advancements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher spending.
Limited competition method may not yield the best price.
Prototype analysis scope could be broad, leading to potential cost creep.

Positive Signals

Focus on innovative technologies.
Clear objective to accelerate fielding.
Contract awarded to a specific company for specialized analysis.

Sector Analysis

This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is crucial for national security and technological advancement, but often involves high risk and long development cycles.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were subcontracting opportunities within this larger award.

Oversight & Accountability

The Department of the Air Force is the awarding agency, implying internal oversight. However, the Cost Plus Fixed Fee structure necessitates robust oversight to manage costs and ensure performance.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Limited competition method.
Potential for cost overruns.
R&D projects carry inherent risks of failure or unforeseen challenges.
Scalability and sustainability analysis can be complex and costly.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.8 million to NORTH POINT DEFENSE INC. UNICORN BLUE ACCELERATE THE PROCUREMENT AND FIELDING OF INNOVATIVE TECHNOLOGIES (APFIT) ARCHER TO ANALYZE THE CURRENT ARCHER PROTOTYPE FOR FUNCTION, PRODUCTION AT SCALE, AND SUSTAINABILITY.

Who is the contractor on this award?

The obligated recipient is NORTH POINT DEFENSE 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 $21.8 million.

What is the period of performance?

Start: 2024-09-26. End: 2028-05-26.

What is the specific justification for excluding sources in this 'Full and Open Competition after Exclusion of Sources' award, and how does this impact the potential for competitive pricing?

The justification for excluding sources is critical. If based on unique capabilities or prior development, it might be warranted. However, such exclusions can limit the competitive landscape, potentially leading to higher costs than a truly open competition. Understanding the specific criteria used for exclusion is key to assessing if the government secured the best possible value and if the process was truly competitive in spirit.

How will the Cost Plus Fixed Fee structure be managed to mitigate risks of cost overruns and ensure efficient use of taxpayer funds during the prototype analysis?

Effective management of a Cost Plus Fixed Fee contract requires stringent oversight, detailed cost tracking, and clear performance metrics. The Air Force must establish robust mechanisms to monitor all incurred costs, ensure they align with the fixed fee objectives, and prevent scope creep. Regular audits and performance reviews are essential to ensure the contractor remains focused on delivering the analysis efficiently and within projected parameters.

What are the key performance indicators (KPIs) for evaluating the success of the prototype analysis, and how will these be measured to ensure the 'acceleration of fielding innovative technologies' obj

Success will likely be measured by the thoroughness and accuracy of the prototype analysis concerning function, production at scale, and sustainability. Key Performance Indicators should include timely delivery of analytical reports, identification of critical risks and opportunities for improvement, and actionable recommendations for future development or fielding. The ultimate measure will be whether the insights gained directly contribute to accelerating the deployment of effective, innovative technologies.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 184 BROOKS RD, ROME, NY, 13441

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

Financial Breakdown

Contract Ceiling: $24,299,877

Exercised Options: $24,299,877

Current Obligation: $21,789,871

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA875021D1002

IDV Type: IDC

Timeline