DoD's $103M contract with Institute for Defense Analyses for technical services awarded without competition

Contract Overview

Contract Amount: $102,967,486 ($103.0M)

Contractor: Institute for Defense Analyses

Awarding Agency: Department of Defense

Start Date: 2020-11-20

End Date: 2025-09-30

Contract Duration: 1,775 days

Daily Burn Rate: $58.0K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IDA FFRDC IS TO PROVIDE RESEARCH AND ANALYSIS SUPPORT TO THE OSD, THE JOINT STAFF/COMBATANT COMMANDS, DEFENSE AGENCIES, JOINT PROGRAM OFFICES, AND OTHER USERS AS SPECIFIED IN THE SPONSORING AGREEMENT BETWEEN OSD AND THE FFRDC

Place of Performance

Location: ALEXANDRIA, ALEXANDRIA CITY County, VIRGINIA, 22311

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $103.0 million to INSTITUTE FOR DEFENSE ANALYSES for work described as: IDA FFRDC IS TO PROVIDE RESEARCH AND ANALYSIS SUPPORT TO THE OSD, THE JOINT STAFF/COMBATANT COMMANDS, DEFENSE AGENCIES, JOINT PROGRAM OFFICES, AND OTHER USERS AS SPECIFIED IN THE SPONSORING AGREEMENT BETWEEN OSD AND THE FFRDC Key points: 1. The contract is for research and analysis support to various DoD entities. 2. IDA is a Federally Funded Research and Development Center (FFRDC), often used for specialized, long-term support. 3. The award method was 'NOT COMPETED', raising questions about potential alternatives. 4. The sector is professional, scientific, and technical services, crucial for defense strategy and operations.

Value Assessment

Rating: fair

The contract's value of $103 million over nearly five years suggests significant, ongoing support needs. Benchmarking is difficult without specific task orders and comparable FFRDC contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. While FFRDCs are often sole-sourced due to their unique nature and established relationships, this limits price discovery and competitive pressure.

Taxpayer Impact: Taxpayer funds are committed without a competitive process, potentially leading to higher costs than if multiple vendors had bid.

Public Impact

Ensures continued specialized research and analysis for national defense. Supports critical decision-making within the Department of Defense. FFRDC model provides a stable, trusted source for sensitive defense-related work. Lack of competition may mean higher costs for taxpayers.

Waste & Efficiency Indicators

Waste Risk Score: 58 / 10

Warning Flags

Lack of competition
Potential for cost overruns without competitive pressure

Positive Signals

Provides essential, specialized expertise
Long-term support for critical defense functions
Established relationship with DoD

Sector Analysis

This contract falls under professional, scientific, and technical services, a broad category. For defense-related FFRDCs, spending can be substantial and is often justified by the unique capabilities and trust required for national security.

Small Business Impact

This contract is with a large FFRDC and does not appear to involve small business participation as a prime contractor. Subcontracting opportunities for small businesses are not detailed in this award notice.

Oversight & Accountability

As a sole-source award to an FFRDC, oversight would typically focus on performance metrics, adherence to scope, and cost management rather than the initial procurement process. The sponsoring agreement between OSD and IDA governs the relationship.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Department of Defense Contracting
Washington Headquarters Services Programs

Risk Flags

Sole-source award limits competition.
Potential for higher costs due to lack of competitive bidding.
Cost-plus contracts can incentivize spending if not tightly managed.
Transparency on specific task orders and performance metrics could be enhanced.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $103.0 million to INSTITUTE FOR DEFENSE ANALYSES. IDA FFRDC IS TO PROVIDE RESEARCH AND ANALYSIS SUPPORT TO THE OSD, THE JOINT STAFF/COMBATANT COMMANDS, DEFENSE AGENCIES, JOINT PROGRAM OFFICES, AND OTHER USERS AS SPECIFIED IN THE SPONSORING AGREEMENT BETWEEN OSD AND THE FFRDC

Who is the contractor on this award?

The obligated recipient is INSTITUTE FOR DEFENSE ANALYSES.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $103.0 million.

What is the period of performance?

Start: 2020-11-20. End: 2025-09-30.

What specific analytical tasks will IDA perform under this contract, and how do they align with current DoD priorities?

The contract broadly covers research and analysis support for OSD, Joint Staff, Combatant Commands, and Defense Agencies. Specific tasks are defined in the sponsoring agreement and subsequent task orders. These likely include strategic assessments, technology evaluations, policy analysis, and wargaming, all critical for informing DoD's evolving operational and strategic needs in a complex global security environment.

What is the justification for awarding this contract sole-source, and have alternative FFRDCs or competitive approaches been considered?

FFRDCs like IDA are typically awarded sole-source due to their unique capabilities, established infrastructure, and trusted relationship with the government, often requiring long-term, specialized support. The justification would likely cite IDA's specific expertise and its role as a designated FFRDC. While alternatives might be considered conceptually, the nature of FFRDC work often favors continuity and deep institutional knowledge.

How is the cost-plus-fixed-fee structure being managed to ensure cost-effectiveness and prevent contractor overruns?

The Cost Plus Fixed Fee (CPFF) structure means IDA is reimbursed for allowable costs plus a negotiated fixed fee. Effective management requires rigorous oversight of incurred costs, clear definition of work scope, and performance metrics to ensure the fixed fee remains appropriate. Regular audits and reviews by the DoD contracting officer are essential to control costs and ensure value for taxpayer money.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: HQ003418R0156

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4850 MARK CENTER DR, ALEXANDRIA, VA, 22311

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

Financial Breakdown

Contract Ceiling: $102,967,486

Exercised Options: $102,967,486

Current Obligation: $102,967,486

Actual Outlays: $908,866

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $707,605

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ003419D0001

IDV Type: IDC

Timeline