DARPA's $63.8M Northrop Grumman Contract for Endurance Research Project Under Full and Open Competition

Contract Overview

Contract Amount: $63,864,916 ($63.9M)

Contractor: Northrop Grumman Systems Corp

Awarding Agency: Department of Defense

Start Date: 2013-10-28

End Date: 2019-05-31

Contract Duration: 2,041 days

Daily Burn Rate: $31.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: DARPA RESEARCH PROJECT (ENDURANCE).

Place of Performance

Location: REDONDO BEACH, LOS ANGELES County, CALIFORNIA, 90278

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $63.9 million to NORTHROP GRUMMAN SYSTEMS CORP for work described as: DARPA RESEARCH PROJECT (ENDURANCE). Key points: 1. Significant investment in advanced research and development by DARPA. 2. Northrop Grumman is a major defense contractor, indicating a competitive landscape. 3. Contract type (Cost Plus Fixed Fee) can lead to cost overruns if not managed closely. 4. The project falls under R&D in Physical, Engineering, and Life Sciences.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type, while allowing for flexibility in R&D, carries inherent risks of cost escalation. Benchmarking is difficult without specific project milestones and deliverables.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition after exclusion of sources, suggesting a competitive bidding process. However, the 'exclusion of sources' aspect warrants further investigation into the rationale.

Taxpayer Impact: Taxpayer funds are supporting advanced R&D, with potential long-term benefits but also the risk of research not yielding expected outcomes.

Public Impact

Supports cutting-edge research with potential for technological breakthroughs. Investment in a major defense contractor highlights the scale of government R&D. The project's duration and cost indicate a substantial commitment to its objectives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type risk
  • Potential for cost overruns in R&D
  • Rationale for 'exclusion of sources' in competition needs clarity

Positive Signals

  • Full and open competition utilized
  • Investment in critical R&D area
  • Award to established defense contractor

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS code 541712. Spending in this sector is crucial for innovation but can be subject to long development cycles and uncertain outcomes.

Small Business Impact

The contract was awarded to Northrop Grumman Systems Corp, a large business. There is no indication of small business participation in this specific contract award.

Oversight & Accountability

The Defense Contract Management Agency (DCMA) is responsible for oversight. The contract's duration and cost necessitate robust monitoring to ensure progress and fiscal responsibility.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Cost Plus Fixed Fee contract risk
  • Potential for R&D cost overruns
  • Lack of transparency on specific project goals
  • Justification for 'exclusion of sources' unclear
  • No small business participation noted

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $63.9 million to NORTHROP GRUMMAN SYSTEMS CORP. DARPA RESEARCH PROJECT (ENDURANCE).

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $63.9 million.

What is the period of performance?

Start: 2013-10-28. End: 2019-05-31.

What specific technological advancements or capabilities is the DARPA Endurance project aiming to achieve, and how do these align with national security objectives?

The DARPA Endurance project likely focuses on advancing capabilities in areas critical to national security, such as autonomous systems, advanced materials, or novel propulsion. Specific objectives are often classified due to the sensitive nature of DARPA research. The alignment with national security would be through enhancing U.S. technological superiority and addressing emerging threats.

Given the Cost Plus Fixed Fee structure, what mechanisms are in place to control costs and ensure value for money, especially considering the project's significant budget?

Cost Plus Fixed Fee contracts require stringent oversight. Mechanisms likely include detailed cost tracking, regular performance reviews against milestones, and negotiation of the fixed fee based on realistic cost estimates. DARPA's program managers would be responsible for ensuring efficient resource utilization and preventing unnecessary expenditures.

What was the justification for 'exclusion of sources' in the full and open competition process, and did this exclusion potentially limit the range of innovative solutions considered?

Exclusion of sources in a full and open competition typically occurs when specific capabilities, security clearances, or proprietary technologies are required that only a limited number of entities possess. The justification would need to be clearly documented by DARPA. While intended to ensure necessary qualifications, it could potentially limit the breadth of innovative approaches if not carefully managed.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northrop Grumman Corporation

Address: 1 SPACE PARK BLVD, REDONDO BEACH, CA, 90278

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

Financial Breakdown

Contract Ceiling: $65,400,705

Exercised Options: $64,221,371

Current Obligation: $63,864,916

Subaward Activity

Number of Subawards: 194

Total Subaward Amount: $70,081,079

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2013-10-28

Current End Date: 2019-05-31

Potential End Date: 2019-05-31 00:00:00

Last Modified: 2024-07-24

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