DoD's $19.9M LUNA Innovations Contract for Integrated Circuits: R&D Focus
Contract Overview
Contract Amount: $19,914,885 ($19.9M)
Contractor: Luna Innovations Incorporated
Awarding Agency: Department of Defense
Start Date: 2007-10-25
End Date: 2011-09-08
Contract Duration: 1,414 days
Daily Burn Rate: $14.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 30
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: LUNA INNOVATIONS - PHASE I TRUST IN INTEGRATED CIRCUITS
Place of Performance
Location: ROANOKE, ROANOKE (CITY) County, VIRGINIA, 24016
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $19.9 million to LUNA INNOVATIONS INCORPORATED for work described as: LUNA INNOVATIONS - PHASE I TRUST IN INTEGRATED CIRCUITS Key points: 1. Contract awarded to LUNA INNOVATIONS INCORPORATED for $19.9M. 2. Focuses on Research and Development in Physical, Engineering, and Life Sciences. 3. Awarded by the Department of Defense (DARPA). 4. Utilized Full and Open Competition, suggesting a competitive bidding process. 5. Contract duration was 1414 days.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award amount of $19.9M for a 4-year R&D project needs further benchmarking against similar complex research efforts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under Full and Open Competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source procurement.
Public Impact
Advancement in integrated circuit technology could have broad applications. Investment in R&D by the DoD supports national security and technological innovation. The specific impact on the public depends on the eventual applications of the developed technology.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize higher costs.
- Long contract duration (1414 days) increases risk of scope creep or changing requirements.
Positive Signals
- Awarded under Full and Open Competition.
- Focus on critical R&D for defense applications.
Sector Analysis
This contract falls under the Research and Development sector, specifically focusing on advanced physical and engineering sciences related to integrated circuits. Spending in this area by the DoD is crucial for maintaining technological superiority.
Small Business Impact
The data does not indicate if small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded by DARPA, an agency known for its rigorous oversight of advanced research projects. However, the effectiveness of oversight for this specific contract is not detailed in the provided data.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Defense Advanced Research Projects Agency Programs
Risk Flags
- Cost Plus Fixed Fee contract type
- Long contract duration
- Lack of specific deliverable details
- Potential for cost overruns
Tags
research-and-development-in-the-physical, department-of-defense, va, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $19.9 million to LUNA INNOVATIONS INCORPORATED. LUNA INNOVATIONS - PHASE I TRUST IN INTEGRATED CIRCUITS
Who is the contractor on this award?
The obligated recipient is LUNA INNOVATIONS INCORPORATED.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Advanced Research Projects Agency).
What is the total obligated amount?
The obligated amount is $19.9 million.
What is the period of performance?
Start: 2007-10-25. End: 2011-09-08.
What was the final cost compared to the initial estimated cost for this Cost Plus Fixed Fee contract?
The provided data does not specify the final expenditure versus the initial estimate for this Cost Plus Fixed Fee contract. This contract type carries inherent risks of cost overruns, making it crucial to understand the final financial outcome to assess value for money and the effectiveness of government oversight in managing contractor expenses.
What specific technological advancements were achieved through this $19.9M R&D contract?
The data indicates the contract was for 'TRUST IN INTEGRATED CIRCUITS' under Phase I, suggesting foundational research. However, the specific technological breakthroughs or deliverables are not detailed. Understanding the tangible outcomes is essential for evaluating the return on investment and the overall success of the research effort.
How did the competitive bidding process under 'Full and Open Competition' influence the final negotiated price?
While 'Full and Open Competition' generally drives down prices through market forces, the exact impact on this specific contract's negotiated price is not quantified. The presence of multiple bidders likely ensured a more reasonable price than a sole-source award, but a detailed cost analysis would be needed to determine the extent of savings achieved.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Offers Received: 30
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 1703 S JEFFERSON ST SW STE 400, ROANOKE, VA, 06
Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $19,914,885
Exercised Options: $19,914,885
Current Obligation: $19,914,885
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2007-10-25
Current End Date: 2011-09-08
Potential End Date: 2011-09-08 00:00:00
Last Modified: 2011-09-20
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