DoD's $24.4M NSET Contract Awarded to Atmospheric & Environmental Research Inc. for R&D
Contract Overview
Contract Amount: $24,421,848 ($24.4M)
Contractor: Atmospheric & Environmental Research Inc
Awarding Agency: Department of Defense
Start Date: 2019-03-22
End Date: 2025-12-31
Contract Duration: 2,476 days
Daily Burn Rate: $9.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: NEXT-GENERATION SPACE ENVIRONMENT TECHNOLOGIES (NSET) BASIC AWARD
Place of Performance
Location: CHESTNUT HILL, MIDDLESEX County, MASSACHUSETTS, 02467
Plain-Language Summary
Department of Defense obligated $24.4 million to ATMOSPHERIC & ENVIRONMENTAL RESEARCH INC for work described as: NEXT-GENERATION SPACE ENVIRONMENT TECHNOLOGIES (NSET) BASIC AWARD Key points: 1. The contract focuses on Research and Development in Physical, Engineering, and Life Sciences. 2. Atmospheric & Environmental Research Inc. secured this award through full and open competition. 3. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 4. This award falls under the 'Research and Development' sector, specifically NAICS 541715.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type can lead to higher costs than fixed-price contracts if not managed carefully. The award amount of $24.4M over approximately 6.8 years suggests a moderate investment in R&D.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, which generally promotes competitive pricing and allows for a wide range of potential contractors to bid. This method aims to ensure the government receives the best value.
Taxpayer Impact: Full and open competition is designed to maximize taxpayer value by fostering a competitive environment that drives down costs and encourages innovation.
Public Impact
Advancement in space environment technologies could lead to improved national security and scientific understanding. Investment in R&D signals a commitment to future technological capabilities. The duration of the contract suggests a long-term research objective.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type carries inherent risk of cost escalation.
- The specific deliverables and milestones are not detailed, making performance assessment challenging.
- Lack of small business participation noted.
Positive Signals
- Awarded through full and open competition, maximizing potential for best value.
- Focus on critical R&D for space environment technologies.
- Long contract duration allows for in-depth research and development.
Sector Analysis
This contract falls under the Research and Development sector, specifically NAICS code 541715. Spending in this area is crucial for technological advancement but can be subject to cost overruns due to the inherent uncertainties of research.
Small Business Impact
The data indicates that this contract was not awarded to a small business (ss: false, sb: false). There is no indication of specific provisions or set-asides for small businesses in this award.
Oversight & Accountability
The contract is managed by the Department of the Air Force. Oversight will be critical to ensure the Cost Plus Fixed Fee structure does not lead to excessive spending and that research objectives are met effectively.
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.
- Lack of detailed performance metrics.
- No small business participation.
- Potential for scope creep in R&D projects.
Tags
research-and-development-in-the-physical, department-of-defense, ma, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.4 million to ATMOSPHERIC & ENVIRONMENTAL RESEARCH INC. NEXT-GENERATION SPACE ENVIRONMENT TECHNOLOGIES (NSET) BASIC AWARD
Who is the contractor on this award?
The obligated recipient is ATMOSPHERIC & ENVIRONMENTAL 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 $24.4 million.
What is the period of performance?
Start: 2019-03-22. End: 2025-12-31.
What are the specific research objectives and expected outcomes for the NSET program?
The specific research objectives and expected outcomes for the Next-Generation Space Environment Technologies (NSET) program are not detailed in the provided data. Further information would be needed to assess the program's scientific and technological goals and how they align with the Department of Defense's strategic interests in space.
How will the Cost Plus Fixed Fee structure be monitored to mitigate cost overruns?
Effective oversight of the Cost Plus Fixed Fee (CPFF) contract is crucial. The Department of the Air Force must implement rigorous monitoring of incurred costs, regular audits, and clear performance metrics to ensure the contractor operates efficiently and stays within the intended budget scope. Milestones and deliverables should be clearly defined and tied to fee disbursement.
What is the potential impact of this R&D on future space capabilities and national security?
Advancements in space environment technologies can significantly enhance future space capabilities by improving satellite resilience, enabling more effective space operations, and providing better situational awareness. This, in turn, bolsters national security by safeguarding critical space assets and maintaining a strategic advantage in the space domain.
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
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 4
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Verisk Analytics, Inc.
Address: 131 HARTWELL AVE STE 4, LEXINGTON, MA, 02421
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $24,677,231
Exercised Options: $24,677,231
Current Obligation: $24,421,848
Actual Outlays: $1,506,405
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2019-03-22
Current End Date: 2025-12-31
Potential End Date: 2025-12-31 00:00:00
Last Modified: 2025-06-10
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