DoD's Air Force awards $38.7M contract for remote sensing support to Tecolote Research, Inc

Contract Overview

Contract Amount: $38,746,391 ($38.7M)

Contractor: Tecolote Research, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-02-18

End Date: 2020-06-30

Contract Duration: 498 days

Daily Burn Rate: $77.8K/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: REMOTE SENSING SYSTEMS DIRECTORATE TASK ORDER FOR ACQUISITION, FINANCIAL, ADMINISTRATIVE SUPPORT SERVICES

Place of Performance

Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $38.7 million to TECOLOTE RESEARCH, INC. for work described as: REMOTE SENSING SYSTEMS DIRECTORATE TASK ORDER FOR ACQUISITION, FINANCIAL, ADMINISTRATIVE SUPPORT SERVICES Key points: 1. Contract awarded via full and open competition after exclusion of sources. 2. Service category is R&D in Physical, Engineering, and Life Sciences. 3. Tecolote Research, Inc. is the sole awardee for this delivery order. 4. Contract duration is approximately 16 months.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking against similar R&D support services is difficult without more detailed cost breakdowns.

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,' suggesting a competitive process but with specific source exclusions. This method aims for competition while potentially narrowing the field.

Taxpayer Impact: Taxpayer funds are being used for specialized R&D support services, with the final cost influenced by the CPFF contract type and the competitive process.

Public Impact

Supports critical remote sensing systems for the Department of the Air Force. Funds advanced research and development activities. Ensures continuity of acquisition, financial, and administrative support for a key directorate.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize cost overruns.
  • Limited transparency on specific cost drivers within the CPFF structure.
  • Exclusion of sources in competition may limit optimal price discovery.

Positive Signals

  • Awarded through a competitive process.
  • Supports a critical national security function (remote sensing).
  • Clear contract end date.

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. Spending in this sector is crucial for technological advancement but can be subject to cost overruns due to the inherent uncertainties in R&D.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Analysis of subcontracting opportunities for small businesses is not provided.

Oversight & Accountability

Oversight is managed by the Department of the Air Force. The CPFF contract type necessitates robust oversight to control costs and ensure performance objectives are met.

Related Government Programs

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

Risk Flags

  • Potential for cost overruns due to CPFF structure.
  • Limited visibility into specific cost drivers.
  • Competition method may not yield the lowest possible price.
  • No indication of small business participation.

Tags

research-and-development-in-the-physical, department-of-defense, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.7 million to TECOLOTE RESEARCH, INC.. REMOTE SENSING SYSTEMS DIRECTORATE TASK ORDER FOR ACQUISITION, FINANCIAL, ADMINISTRATIVE SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is TECOLOTE 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 $38.7 million.

What is the period of performance?

Start: 2019-02-18. End: 2020-06-30.

What specific R&D activities does this contract support, and how do they align with Air Force strategic goals?

The contract provides acquisition, financial, and administrative support services for the Remote Sensing Systems Directorate. While the specific R&D projects are not detailed, this support is crucial for enabling the directorate's mission, which likely involves developing and maintaining advanced remote sensing capabilities vital for intelligence, surveillance, reconnaissance, and other strategic Air Force objectives.

How does the 'exclusion of sources' in the competition process impact the overall value and cost-effectiveness of this contract?

Excluding certain sources, even in a full and open competition, can limit the pool of potential bidders. This might reduce competitive pressure, potentially leading to higher prices than if all qualified vendors could participate. However, it could also be justified if only specific vendors possess the unique expertise required for these specialized R&D support services.

What mechanisms are in place to ensure the fixed fee component of this CPFF contract accurately reflects the value delivered?

With a Cost Plus Fixed Fee (CPFF) contract, the fixed fee is negotiated upfront. Robust oversight by the Air Force is essential to monitor costs and ensure the contractor is performing efficiently. The fee's accuracy is typically assessed based on the contractor's performance against contract requirements and adherence to cost projections throughout the contract lifecycle.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)MANAGEMENT SUPPORT 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: 420 S FAIRVIEW AVE STE 201, GOLETA, CA, 93117

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

Financial Breakdown

Contract Ceiling: $73,676,198

Exercised Options: $41,489,926

Current Obligation: $38,746,391

Subaward Activity

Number of Subawards: 237

Total Subaward Amount: $576,383,182

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS619

IDV Type: IDC

Timeline

Start Date: 2019-02-18

Current End Date: 2020-06-30

Potential End Date: 2020-06-30 00:00:00

Last Modified: 2025-09-29

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