DARPA Awards Northrop Grumman $45.7M for R&D in Physical, Engineering, and Life Sciences
Contract Overview
Contract Amount: $45,721,533 ($45.7M)
Contractor: Northrop Grumman Systems Corporation
Awarding Agency: Department of Defense
Start Date: 2022-09-22
End Date: 2026-04-30
Contract Duration: 1,316 days
Daily Burn Rate: $34.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: DARPA RESEARCH PROJECT
Place of Performance
Location: CHANDLER, MARICOPA County, ARIZONA, 85286
State: Arizona Government Spending
Plain-Language Summary
Department of Defense obligated $45.7 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: DARPA RESEARCH PROJECT Key points: 1. Significant investment in advanced research and development by DARPA. 2. Northrop Grumman, a major defense contractor, is the sole awardee. 3. Contract type is Cost Plus Fixed Fee, which can carry cost overrun risks. 4. The project falls under R&D in Physical, Engineering, and Life Sciences, a critical sector for innovation.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type allows for cost reimbursement plus a fixed fee, which can lead to higher costs than fixed-price contracts if not managed carefully. Benchmarking against similar R&D contracts is difficult without more specific project details.
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 specific details of the price discovery mechanism within the Cost Plus Fixed Fee structure are not provided.
Taxpayer Impact: Taxpayer funds are supporting advanced research with potential long-term benefits, but the cost-plus nature requires diligent oversight to ensure value for money.
Public Impact
Advancement of scientific and technological capabilities in critical R&D areas. Potential for breakthroughs that could have significant national security implications. Investment in a major defense contractor, potentially impacting the broader aerospace and defense industry.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost overrun risk inherent in Cost Plus Fixed Fee contracts.
- Limited transparency on specific project deliverables and milestones.
- Potential for scope creep in long-term R&D projects.
Positive Signals
- Awarded through full and open competition.
- Supports critical research and development for national security.
- Long-term project duration allows for in-depth research.
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector, excluding Nanotechnology and Biotechnology. Spending in this sector is crucial for technological advancement and national competitiveness, with significant government investment aimed at fostering innovation.
Small Business Impact
The awardee is Northrop Grumman Systems Corporation, a large defense contractor. There is no indication of small business subcontracting in the provided data, suggesting limited direct impact on small businesses for this specific prime contract.
Oversight & Accountability
The Cost Plus Fixed Fee contract structure necessitates robust oversight from DARPA to monitor costs, ensure adherence to project scope, and verify the efficient use of taxpayer funds throughout the contract's duration.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Defense Advanced Research Projects Agency Programs
Risk Flags
- Cost Plus Fixed Fee contract type can lead to cost overruns.
- Long project duration increases risk of scope creep and changing requirements.
- Lack of specific performance metrics in provided data.
- Sole awardee may limit broader market innovation if not managed for subcontracting.
Tags
research-and-development-in-the-physical, department-of-defense, az, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $45.7 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. DARPA RESEARCH PROJECT
Who is the contractor on this award?
The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.
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 $45.7 million.
What is the period of performance?
Start: 2022-09-22. End: 2026-04-30.
What specific technological advancements is this project aiming to achieve, and how do they align with DARPA's strategic goals?
The project focuses on Research and Development in Physical, Engineering, and Life Sciences. While the exact technological advancements are not detailed, DARPA's mission is to make pivotal investments in breakthrough technologies for national security. This project likely aims to develop novel capabilities that address future defense challenges, pushing the boundaries of current scientific understanding and engineering applications.
What are the key performance indicators and milestones for this contract, and how will their achievement be measured to ensure value for money?
Key performance indicators and milestones for this Cost Plus Fixed Fee contract are not explicitly detailed in the provided data. DARPA will need to establish clear, measurable milestones and performance metrics to track progress and ensure the contractor is meeting objectives. Regular reviews and reporting will be crucial for assessing the value derived from the investment and managing potential cost overruns.
How will the outcomes of this research project be transitioned or utilized to benefit national security or other relevant applications?
The outcomes of DARPA-funded research projects are typically intended for transition to military services or other government agencies for further development and operational use, or to stimulate commercial innovation. The specific transition pathway for this project will depend on the nature of the breakthroughs achieved. DARPA often aims for dual-use technologies that can benefit both defense and civilian sectors.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Solicitation ID: HR001122S0001
Offers Received: 4
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Northrop Grumman Corporation
Address: 1575 SOUTH PRICE RD, CHANDLER, AZ, 85286
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: $45,721,533
Exercised Options: $45,721,533
Current Obligation: $45,721,533
Subaward Activity
Number of Subawards: 7
Total Subaward Amount: $1,866,695
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2022-09-22
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2025-10-21
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