DoD's DTRA awards $2.4M training contract to Applied Research Associates, Inc. for R&D support

Contract Overview

Contract Amount: $2,425,818 ($2.4M)

Contractor: Applied Research Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-05-13

End Date: 2026-05-12

Contract Duration: 364 days

Daily Burn Rate: $6.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: PROVIDE TRAINING SUPPORT SERVICES FOR TECHNOLOGIES PRODUCED BY THE DTRA RESEARCH AND DEVELOPMENT ENTERPRISE.

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $2.4 million to APPLIED RESEARCH ASSOCIATES, INC. for work described as: PROVIDE TRAINING SUPPORT SERVICES FOR TECHNOLOGIES PRODUCED BY THE DTRA RESEARCH AND DEVELOPMENT ENTERPRISE. Key points: 1. Contract focuses on specialized training for advanced technologies developed by DTRA. 2. Applied Research Associates, Inc. is the sole awardee for this delivery order. 3. The contract duration is one year, with a potential for follow-on work. 4. This award falls under R&D services for physical, engineering, and life sciences. 5. The contract type is Cost Plus Fixed Fee, indicating shared risk and reward. 6. The base award value is $2.4 million, with a total potential value not specified.

Value Assessment

Rating: fair

The contract value of $2.4 million for a one-year training support service appears reasonable given the specialized nature of supporting DTRA's R&D technologies. Benchmarking against similar R&D support contracts is difficult without more specific service details. The Cost Plus Fixed Fee structure suggests that costs will be reimbursed, plus a fixed fee for profit, which can lead to cost overruns if not managed carefully. However, it also incentivizes the contractor to complete the work efficiently to maximize their fixed fee.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. The presence of three bidders suggests a competitive environment, which should theoretically lead to better pricing and value. However, the specific details of the competition, such as the number of proposals received and the evaluation criteria, are not provided, making a definitive assessment of price discovery challenging.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and improve service quality.

Public Impact

The primary beneficiaries are the personnel within the Defense Threat Reduction Agency (DTRA) who will receive training on new technologies. The services delivered will enhance the operational readiness and effectiveness of DTRA's R&D enterprise. The geographic impact is likely concentrated around DTRA facilities, primarily in Virginia. Workforce implications include the need for skilled trainers and the upskilling of DTRA personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can incentivize overspending if not closely monitored.
Limited public information on the specific training curriculum and performance metrics.
The single delivery order award limits immediate visibility into broader contractor performance.

Positive Signals

Awarded under full and open competition, suggesting a robust bidding process.
Contractor has experience in applied research and development support.
Focus on training for advanced technologies aligns with DTRA's mission.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for specialized R&D support and training services is competitive, with numerous firms offering expertise in scientific research, technology development, and associated training. DTRA's mission requires highly specialized knowledge, making contracts like this crucial for maintaining technological superiority and operational effectiveness.

Small Business Impact

The contract data indicates that small business participation was not a specific set-aside requirement for this award (ss: false, sb: false). Therefore, the direct impact on small businesses is likely minimal unless Applied Research Associates, Inc. intends to subcontract portions of the work to small businesses. Further analysis would be needed to determine any subcontracting plans and their potential benefit to the small business ecosystem.

Oversight & Accountability

Oversight for this contract will be managed by the Defense Threat Reduction Agency (DTRA) within the Department of Defense. Accountability measures are typically embedded within the Cost Plus Fixed Fee contract structure, requiring detailed reporting of costs and progress. Transparency is facilitated through contract award databases, but specific performance metrics and detailed cost breakdowns may not be publicly available.

Related Government Programs

DTRA Research and Development Programs
DoD Technology Training Initiatives
Applied Scientific Research Services
Defense Contractor Training Programs

Risk Flags

Cost Overrun Risk (CPFF Contract)
Technical Expertise Gap
Training Material Obsolescence
Security Compliance Challenges

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $2.4 million to APPLIED RESEARCH ASSOCIATES, INC.. PROVIDE TRAINING SUPPORT SERVICES FOR TECHNOLOGIES PRODUCED BY THE DTRA RESEARCH AND DEVELOPMENT ENTERPRISE.

Who is the contractor on this award?

The obligated recipient is APPLIED RESEARCH ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Threat Reduction Agency).

What is the total obligated amount?

The obligated amount is $2.4 million.

What is the period of performance?

Start: 2025-05-13. End: 2026-05-12.

What is the track record of Applied Research Associates, Inc. in providing similar training support services to defense agencies?

Applied Research Associates, Inc. (ARA) has a history of supporting defense agencies, including the Department of Defense, with a range of services that often involve research, development, and technical support. While specific details on their training delivery for R&D technologies are not immediately available in this summary, their general experience in the defense sector suggests a foundational capability. To fully assess their track record for this specific contract, a deeper dive into their past performance on similar contracts, including client feedback, project outcomes, and any past performance issues or commendations, would be necessary. This would involve reviewing contract databases and potentially agency performance reports.

How does the $2.4 million award compare to similar training support contracts for R&D technologies within the DoD?

Benchmarking the $2.4 million award for a one-year training support contract requires comparing it to similar contracts for specialized R&D technology training within the Department of Defense. Without specific details on the technologies being supported and the scope of training, a precise comparison is challenging. However, for highly specialized technical training supporting advanced research and development, this value appears within a reasonable range. Contracts for broader technical training or less specialized R&D support might be lower, while those involving highly classified or complex systems could be significantly higher. The Cost Plus Fixed Fee structure also influences the overall cost compared to fixed-price contracts.

What are the primary risks associated with this Cost Plus Fixed Fee contract type for DTRA?

The primary risks associated with a Cost Plus Fixed Fee (CPFF) contract type for DTRA in this scenario revolve around cost control and potential for overruns. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing their profit. This structure can incentivize contractors to incur higher costs, as their profit margin remains constant regardless of the actual expenses. DTRA must implement robust oversight mechanisms, including detailed cost monitoring, auditing, and clear definition of allowable costs, to mitigate the risk of the project exceeding its budgeted amount. Scope creep, where the project's requirements expand beyond the initial agreement, is another significant risk that needs careful management.

How effective is the 'full and open competition' approach likely to be in ensuring value for money on this contract?

The 'full and open competition' approach is generally considered the most effective method for ensuring value for money, as it allows any interested and qualified vendor to submit a bid. This broad competition increases the likelihood of receiving multiple proposals, driving down prices through market forces and encouraging innovation. For this DTRA training support contract, having three bidders suggests a degree of competition. However, the ultimate value for money depends on the clarity of the solicitation, the evaluation criteria used, and the government's ability to effectively assess the proposals received. If the competition was robust and the evaluation fair, taxpayers are more likely to benefit from competitive pricing and high-quality service delivery.

What are the potential performance challenges given the specialized nature of DTRA's R&D technologies?

The specialized nature of DTRA's R&D technologies presents several potential performance challenges for training support. Firstly, finding contractors with the requisite deep technical expertise in niche scientific and engineering fields can be difficult, potentially limiting the pool of qualified bidders. Secondly, the rapid pace of R&D means that training materials and curricula may need frequent updates to remain relevant, requiring a highly agile and responsive training provider. Thirdly, ensuring that the training effectively translates complex technical concepts into practical skills for DTRA personnel requires trainers with not only subject matter expertise but also strong pedagogical skills. Finally, the security requirements associated with DTRA's work may add complexity to personnel vetting and training delivery.

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: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HDTRA124R0100

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4300 SAN MATEO BLVD NE, ALBUQUERQUE, NM, 87110

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

Financial Breakdown

Contract Ceiling: $14,310,810

Exercised Options: $2,425,818

Current Obligation: $2,425,818

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $602,608

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HDTRA124D0002

IDV Type: IDC

Timeline