DoD Awards $21.6M Software Enhancement Contract to Decibel Research, Inc
Contract Overview
Contract Amount: $21,584,880 ($21.6M)
Contractor: Decibel Research, Inc.
Awarding Agency: Department of Defense
Start Date: 2024-11-01
End Date: 2026-03-31
Contract Duration: 515 days
Daily Burn Rate: $41.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: COST PLUS INCENTIVE FEE
Sector: IT
Official Description: DEVELOP/SUSTAIN - SOFTWARE ENHANCEMENT
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35806
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $21.6 million to DECIBEL RESEARCH, INC. for work described as: DEVELOP/SUSTAIN - SOFTWARE ENHANCEMENT Key points: 1. Contract awarded to Decibel Research, Inc. for software enhancement. 2. The contract is for Custom Computer Programming Services. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The contract duration is 515 days. 5. The total award amount is $21,584,880.20.
Value Assessment
Rating: fair
The contract is a Cost Plus Incentive Fee type, which can lead to cost overruns if not managed carefully. The award amount of $21.6M for a 515-day duration needs further benchmarking against similar custom programming services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract utilized 'Full and Open Competition After Exclusion of Sources', indicating a competitive process was intended. However, the exclusion of sources warrants scrutiny to ensure maximum price discovery and value for taxpayers.
Taxpayer Impact: The $21.6M award represents a significant taxpayer investment. Ensuring competitive fairness and cost control is crucial for maximizing the value of this spending.
Public Impact
Missile Defense Agency receives critical software enhancements. Potential for improved defense capabilities through software development. Taxpayer funds allocated for advanced programming services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Incentive Fee contract type can incentivize higher costs.
- Exclusion of sources in competition needs justification.
- Lack of specific performance metrics in provided data.
Positive Signals
- Full and open competition was utilized.
- Contract supports critical defense agency needs.
- Clear award amount and duration provided.
Sector Analysis
This contract falls under IT services, specifically custom computer programming. The IT services sector is highly dynamic, with costs varying significantly based on complexity, technology stack, and vendor expertise. Benchmarking against similar custom programming contracts is essential.
Small Business Impact
The provided data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
Oversight will be critical for the Missile Defense Agency to manage the Cost Plus Incentive Fee structure effectively, ensuring performance targets are met and costs remain controlled. Regular reviews of contractor performance and expenditures are recommended.
Related Government Programs
- Custom Computer Programming Services
- Department of Defense Contracting
- Missile Defense Agency Programs
Risk Flags
- Potential for cost overruns due to CPIF contract type.
- Lack of transparency regarding source exclusion.
- Need for detailed performance metrics.
- Unclear impact on small businesses.
Tags
custom-computer-programming-services, department-of-defense, al, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $21.6 million to DECIBEL RESEARCH, INC.. DEVELOP/SUSTAIN - SOFTWARE ENHANCEMENT
Who is the contractor on this award?
The obligated recipient is DECIBEL RESEARCH, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Missile Defense Agency).
What is the total obligated amount?
The obligated amount is $21.6 million.
What is the period of performance?
Start: 2024-11-01. End: 2026-03-31.
What specific software enhancements are being developed, and how do they align with the Missile Defense Agency's strategic objectives?
The provided data categorizes the work as 'DEVELOP/SUSTAIN - SOFTWARE ENHANCEMENT' under NAICS code 541511 (Custom Computer Programming Services). While the general purpose is software enhancement for the Department of Defense's Missile Defense Agency, specific details regarding the nature of the enhancements, the systems they will impact, and their direct contribution to strategic objectives are not included. Further documentation would be required to assess this alignment.
What is the rationale behind excluding certain sources in the 'Full and Open Competition After Exclusion of Sources' process, and how was fair market price determined?
The contract type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that while the competition was open, specific vendors or types of vendors were intentionally excluded. The rationale for this exclusion is not provided in the data. Understanding this rationale is crucial for assessing whether the exclusion limited competition unfairly or was based on legitimate technical or security requirements. The method used to determine fair market price in such a scenario also requires further investigation.
How will the performance and cost-effectiveness of Decibel Research, Inc. be measured under this Cost Plus Incentive Fee contract?
The Cost Plus Incentive Fee (CPIF) contract structure implies that both the contractor's profit and the final contract price are subject to adjustments based on performance against predetermined targets. Specific performance metrics, incentive fee structures, and cost control mechanisms for this contract are not detailed in the provided data. Effective oversight would require clear definition and monitoring of these elements to ensure the government receives value and the contractor is incentivized appropriately.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: HQ014718R0022
Pricing Type: COST PLUS INCENTIVE FEE (V)
Evaluated Preference: NONE
Contractor Details
Address: 325 BOB HEATH DR, HUNTSVILLE, AL, 35806
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $21,585,683
Exercised Options: $21,585,683
Current Obligation: $21,584,880
Subaward Activity
Number of Subawards: 6
Total Subaward Amount: $6,392,204
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HQ014719D0003
IDV Type: IDC
Timeline
Start Date: 2024-11-01
Current End Date: 2026-03-31
Potential End Date: 2026-03-31 00:00:00
Last Modified: 2025-12-17
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