DoD's $46M R&D Contract to JHU APL for Missile Defense Tech Faces Limited Competition
Contract Overview
Contract Amount: $46,151,576 ($46.2M)
Contractor: THE Johns Hopkins University Applied Physics Laboratory LLC
Awarding Agency: Department of Defense
Start Date: 2020-08-20
End Date: 2025-06-30
Contract Duration: 1,775 days
Daily Burn Rate: $26.0K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: ENGINEERING AND TECH SUPPORT RDTE FUNDS
Place of Performance
Location: LAUREL, HOWARD County, MARYLAND, 20723
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $46.2 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC for work described as: ENGINEERING AND TECH SUPPORT RDTE FUNDS Key points: 1. Significant R&D funding allocated to a single entity. 2. Missile Defense Agency is the primary customer. 3. Potential for limited competition due to specialized nature. 4. Focus on physical, engineering, and life sciences R&D.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed tightly. Benchmarking CPFF contracts in specialized R&D is difficult without more granular data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not competed, indicating a limited source selection. This approach may be justified by unique capabilities but raises concerns about price discovery and potential lack of cost-effectiveness.
Taxpayer Impact: Taxpayers may be paying a premium due to the absence of competitive bidding, though the specialized nature of the work might necessitate a sole-source or limited approach.
Public Impact
Advanced missile defense research impacts national security. Funding supports critical technological development in a specialized field. Potential for breakthroughs in physical and engineering sciences.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost-plus contract type
- Long duration
Positive Signals
- Supports critical national security mission
- Funds specialized R&D
Sector Analysis
This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. Spending in this sector is often characterized by high upfront investment and uncertain outcomes, with significant government funding directed towards specialized institutions.
Small Business Impact
The contract is not set aside for small businesses and is awarded to a large, well-established research institution. There is no indication of subcontracting opportunities for small businesses in the provided data.
Oversight & Accountability
The Department of Defense, specifically the Missile Defense Agency, is responsible for oversight. The CPFF contract type requires diligent monitoring to ensure costs are reasonable and fixed fees are earned.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Missile Defense Agency Programs
Risk Flags
- Lack of competitive bidding
- Cost-plus contract type may lead to higher costs
- Long contract duration increases risk exposure
- Potential for scope creep in R&D projects
- Limited transparency on specific R&D deliverables
Tags
research-and-development-in-the-physical, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $46.2 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC. ENGINEERING AND TECH SUPPORT RDTE FUNDS
Who is the contractor on this award?
The obligated recipient is THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Missile Defense Agency).
What is the total obligated amount?
The obligated amount is $46.2 million.
What is the period of performance?
Start: 2020-08-20. End: 2025-06-30.
What is the justification for not competing this significant R&D contract, given the potential for cost efficiencies through competition?
The justification for not competing likely stems from the highly specialized and unique capabilities required for advanced missile defense research and development. The Applied Physics Laboratory at Johns Hopkins University is known for its expertise in this domain, potentially making it the only entity capable of performing the work to the agency's satisfaction within the required timeframe and technical specifications.
How does the Cost Plus Fixed Fee (CPFF) structure mitigate risks associated with R&D uncertainty while ensuring contractor accountability?
CPFF aims to balance R&D uncertainty with contractor accountability by allowing the contractor to recover all allowable costs plus a predetermined fixed fee. This structure incentivizes efficiency as the fee remains constant regardless of actual costs. However, it requires robust government oversight to prevent cost creep and ensure the fixed fee adequately compensates for the risks undertaken.
What is the long-term strategic value of awarding such a large, non-competed contract for missile defense R&D?
The long-term strategic value lies in maintaining and advancing critical national security capabilities. By partnering with a leading institution like JHU APL, the DoD ensures access to cutting-edge research and development necessary to counter evolving threats. This focused investment can lead to technological superiority, though it relies heavily on the agency's ability to manage the relationship and ensure continued innovation.
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
Solicitation ID: HQ014717R0041
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 11100 JOHNS HOPKINS RD, LAUREL, MD, 20723
Business Categories: Category Business, Limited Liability Corporation, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $67,459,153
Exercised Options: $67,459,153
Current Obligation: $46,151,576
Subaward Activity
Number of Subawards: 33
Total Subaward Amount: $4,591,105
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HQ014718D0004
IDV Type: IDC
Timeline
Start Date: 2020-08-20
Current End Date: 2025-06-30
Potential End Date: 2025-06-30 00:00:00
Last Modified: 2025-11-20
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