DoD's $15.5M contract for space environment impacts and applications research awarded to Utah State University

Contract Overview

Contract Amount: $15,499,744 ($15.5M)

Contractor: Utah State University Space Dynamics Laboratory

Awarding Agency: Department of Defense

Start Date: 2022-05-02

End Date: 2027-08-02

Contract Duration: 1,918 days

Daily Burn Rate: $8.1K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SNAPET TO 4 GEOSPACE ENVIRONMENT IMPACTS AND APPLICATIONS

Place of Performance

Location: LOGAN, CACHE County, UTAH, 84341

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $15.5 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY for work described as: SNAPET TO 4 GEOSPACE ENVIRONMENT IMPACTS AND APPLICATIONS Key points: 1. Contract focuses on critical research and development in physical and engineering sciences. 2. Sole-source award to a university research laboratory suggests specialized expertise. 3. Long performance period indicates a complex, multi-year research effort. 4. Potential for significant advancements in understanding space environment impacts. 5. Research may inform future defense strategies and technological development. 6. Geographic concentration of awardee in Utah may have local economic implications.

Value Assessment

Rating: fair

The contract's value of $15.5 million over approximately five years for R&D is difficult to benchmark without more specific details on the research scope and deliverables. As a sole-source award to a university, traditional price comparisons are less applicable. However, the Cost Plus Fixed Fee (CPFF) contract type allows for cost reimbursement plus a fixed fee, which can incentivize efficient performance but also carries risk if costs escalate beyond initial projections. Further analysis would require understanding the fixed fee percentage and the baseline cost estimates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis to Utah State University Space Dynamics Laboratory. This indicates that the agency identified a unique capability or specialized knowledge residing with this specific contractor that was deemed essential for the research. The lack of competition means that the government did not solicit bids from multiple sources, potentially limiting price discovery and the opportunity for innovative solutions from a broader market.

Taxpayer Impact: Sole-source awards can sometimes lead to higher prices for taxpayers compared to competitive procurements, as the absence of competing bids reduces pressure on the contractor to offer the lowest possible price. However, if the contractor possesses truly unique and critical expertise, the value derived from their specialized knowledge might outweigh the potential cost increase.

Public Impact

The Department of the Air Force benefits from advanced research into the space environment. This research is expected to yield insights into the impacts of space phenomena on systems and operations. The primary geographic impact is within Utah, where the Space Dynamics Laboratory is located. The contract supports scientific and research personnel at Utah State University, potentially creating or sustaining high-skilled jobs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure, potentially impacting cost-effectiveness.
Cost Plus Fixed Fee structure requires careful monitoring to prevent cost overruns.
Long performance period increases the risk of scope creep or changing research priorities.

Positive Signals

Award to a university research lab suggests access to specialized scientific talent and facilities.
Focus on space environment impacts is critical for national security and technological advancement.
Long duration allows for in-depth, comprehensive research.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for space environment research is specialized, often involving academic institutions and dedicated research organizations with unique expertise and facilities. Spending in this area is crucial for defense agencies to maintain technological superiority and understand the operational challenges posed by the space domain, including factors like radiation, orbital debris, and atmospheric effects.

Small Business Impact

This contract does not appear to have a small business set-aside component, nor is there information suggesting significant subcontracting opportunities for small businesses. The award is directly to a university, which typically operates as a large entity in terms of research capacity. The focus is on specialized R&D, which may not align with typical small business contracting areas.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Air Force contracting and program management offices. As a Cost Plus Fixed Fee contract, rigorous financial oversight is necessary to track costs against the fixed fee and ensure adherence to the research scope. Transparency may be limited due to the sole-source nature and the proprietary or sensitive nature of some research findings. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Space Domain Awareness
Satellite Operations Research
Aerospace Engineering Research
National Security Space Initiatives

Risk Flags

Sole-source award may limit competitive pricing.
CPFF contract type requires diligent cost monitoring.
Long performance period increases risk of changing requirements.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.5 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY. SNAPET TO 4 GEOSPACE ENVIRONMENT IMPACTS AND APPLICATIONS

Who is the contractor on this award?

The obligated recipient is UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY.

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 $15.5 million.

What is the period of performance?

Start: 2022-05-02. End: 2027-08-02.

What is the specific expertise of Utah State University Space Dynamics Laboratory that led to this sole-source award?

Utah State University's Space Dynamics Laboratory (SDL) is a recognized leader in space science and technology research. SDL has a long history of developing and operating spaceflight instruments, conducting space weather research, and analyzing the effects of the space environment on various systems. Their expertise often includes areas like plasma physics, remote sensing, spacecraft instrumentation, and the development of advanced modeling and simulation capabilities. The specific capabilities that likely led to this sole-source award would be their unique facilities, established research programs, and a proven track record in areas directly relevant to understanding and mitigating the impacts of the space environment on Department of Defense assets and operations.

How does the Cost Plus Fixed Fee (CPFF) contract type compare to other R&D contract types in terms of value for money?

The Cost Plus Fixed Fee (CPFF) contract type is common for research and development efforts where the scope is not fully defined or is expected to evolve. It reimburses the contractor for allowable costs and pays a predetermined fixed fee, representing profit. While CPFF can encourage innovation and flexibility by allowing cost reimbursement, it carries a risk of cost overruns if not managed diligently, as the contractor is incentivized to incur costs to achieve the fixed fee. Compared to Firm-Fixed-Price (FFP) contracts, CPFF offers less price certainty for the government but greater flexibility for the contractor to adapt to research challenges. Best value for money with CPFF depends heavily on robust government oversight, clear definition of research objectives, and effective cost control measures.

What are the potential risks associated with the long performance period (approx. 5 years) for this R&D contract?

A long performance period, such as the approximately five years for this contract, presents several potential risks for R&D. Firstly, the technological landscape and the agency's specific needs can change significantly over this timeframe, potentially rendering the research outcomes less relevant or requiring costly scope adjustments. Secondly, there's an increased risk of 'scope creep,' where the project expands beyond its original objectives, leading to cost increases. Thirdly, maintaining consistent contractor engagement and focus over an extended period can be challenging. Finally, economic or political shifts could impact funding stability. Mitigating these risks requires proactive program management, regular reviews of research relevance, and flexible contract modification processes.

What historical spending patterns exist for similar R&D contracts related to space environment impacts within the Department of Defense?

Historical spending patterns for R&D contracts related to space environment impacts within the DoD show a consistent and often increasing investment due to the growing reliance on space assets for national security and military operations. Agencies like the Air Force, Space Force, and DARPA frequently award contracts for research into space weather, orbital debris, satellite hardening, and the effects of the space environment on electronic systems. Contract values can range widely, from smaller, targeted studies to multi-year, multi-million dollar programs similar to this one. Spending is often driven by emerging threats, technological advancements, and the need to ensure the resilience and survivability of space-based capabilities.

How does the geographic location of the contractor (Utah) influence the contract's execution or oversight?

The geographic location of Utah State University in Utah primarily influences the contract through logistical considerations and potentially local economic impact. Oversight might involve a combination of on-site visits by government representatives (if feasible and deemed necessary) and remote monitoring through regular reporting and virtual meetings. While Utah is not a traditional aerospace hub compared to regions like Southern California or Florida, it has a growing presence in aerospace and defense industries, particularly in areas related to space technology and research. The contract's execution relies on the contractor's internal management and communication protocols, with the government's oversight adapting to the distance.

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: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 416 E INNOVATION AVE, NORTH LOGAN, UT, 84341

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

Financial Breakdown

Contract Ceiling: $22,031,183

Exercised Options: $22,031,183

Current Obligation: $15,499,744

Actual Outlays: $390,458

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA945322D0005

IDV Type: IDC

Timeline