DoD Awards $31.7M for Vulcan Gas Turbine Tech R&D to GE

Contract Overview

Contract Amount: $31,722,530 ($31.7M)

Contractor: General Electric Company

Awarding Agency: Department of Defense

Start Date: 2010-06-24

End Date: 2012-12-28

Contract Duration: 918 days

Daily Burn Rate: $34.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: VULCAN PHASE II, NEW CONTRACT AWARD FOR VULCAN PROGRAM, PHASE II TO EVALUATE THE DESIGN, PERFORMANCE, LIFE, AND DURABILITY OF THE CVC GAS TURBINE TECHNOLOGIES.

Place of Performance

Location: CINCINNATI, HAMILTON County, OHIO, 45215

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $31.7 million to GENERAL ELECTRIC COMPANY for work described as: VULCAN PHASE II, NEW CONTRACT AWARD FOR VULCAN PROGRAM, PHASE II TO EVALUATE THE DESIGN, PERFORMANCE, LIFE, AND DURABILITY OF THE CVC GAS TURBINE TECHNOLOGIES. Key points: 1. Contract focuses on evaluating gas turbine design, performance, and durability. 2. General Electric Company is the sole awardee. 3. Research and Development sector, specifically physical and engineering sciences. 4. Potential for significant advancements in turbine technology.

Value Assessment

Rating: fair

The contract value of $31.7 million for a 2-year R&D effort appears reasonable given the scope of evaluating advanced turbine technologies. Benchmarking against similar complex R&D contracts is difficult without more specific cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the awardee is General Electric, indicating they likely offered the most competitive technical and price proposal.

Taxpayer Impact: Taxpayer funds are being invested in potentially groundbreaking turbine technology, which could lead to long-term efficiencies and cost savings if successful.

Public Impact

Advancements in gas turbine technology could lead to more efficient and durable engines for defense applications. Investment in R&D supports technological superiority for the Department of Defense. Potential for spin-off technologies benefiting commercial sectors. The research could impact future energy production and efficiency standards.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost-plus fixed fee contracts can sometimes lead to cost overruns if not managed tightly.
  • R&D projects inherently carry a risk of not achieving desired outcomes.
  • Sole awardee may limit immediate competitive pressure on future development phases.

Positive Signals

  • Focus on critical technology development for national security.
  • Award to a reputable company with extensive experience in turbine technology.
  • Clear objectives for evaluating design, performance, and durability.
  • Potential for significant technological breakthroughs.

Sector Analysis

This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is crucial for maintaining technological advantage, with benchmarks varying widely based on project complexity and duration.

Small Business Impact

The awardee is General Electric Company, a large business. There is no indication of small business participation in this specific contract award, which is common for highly specialized R&D efforts.

Oversight & Accountability

The Department of Defense, through DARPA, is responsible for overseeing this R&D contract. Accountability will be tied to the achievement of milestones related to design, performance, life, and durability evaluations.

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.
  • R&D inherent uncertainty.
  • Limited visibility into specific performance metrics achieved.
  • Potential for technology obsolescence if development is slow.

Tags

research-and-development-in-the-physical, department-of-defense, oh, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.7 million to GENERAL ELECTRIC COMPANY. VULCAN PHASE II, NEW CONTRACT AWARD FOR VULCAN PROGRAM, PHASE II TO EVALUATE THE DESIGN, PERFORMANCE, LIFE, AND DURABILITY OF THE CVC GAS TURBINE TECHNOLOGIES.

Who is the contractor on this award?

The obligated recipient is GENERAL ELECTRIC COMPANY.

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 $31.7 million.

What is the period of performance?

Start: 2010-06-24. End: 2012-12-28.

What is the projected long-term cost-benefit of these advanced gas turbine technologies if successfully developed?

The long-term cost-benefit hinges on the degree of efficiency gains and lifespan extension achieved. If the Vulcan Phase II technologies result in significantly lower fuel consumption and reduced maintenance requirements for military platforms, the return on the $31.7 million investment could be substantial over the operational life of the equipment, potentially saving billions in fuel and sustainment costs.

What are the primary technical risks associated with evaluating the CVC gas turbine technologies in Phase II?

Primary technical risks include unforeseen challenges in achieving the desired performance metrics, potential material limitations under extreme operating conditions, and difficulties in accurately simulating real-world operational stresses during testing. Ensuring the reliability and durability of novel components within the CVC design presents a significant hurdle that could impact the evaluation's success.

How effectively will the R&D outcomes translate into deployable defense capabilities?

The effectiveness of translation depends on the maturity of the CVC technology upon completion of Phase II and the DoD's subsequent commitment to further development and integration. DARPA's focus on evaluating fundamental aspects suggests a foundational research effort. Successful outcomes will require clear transition pathways and continued investment to bridge the gap from R&D to fielded systems.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1 NEUMANN WAY, CINCINNATI, OH, 45215

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

Financial Breakdown

Contract Ceiling: $31,722,530

Exercised Options: $31,722,530

Current Obligation: $31,722,530

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2010-06-24

Current End Date: 2012-12-28

Potential End Date: 2012-12-28 00:00:00

Last Modified: 2017-09-29

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