DoD Awards $240M for Dynamic Modeler, Boosting R&D in Physical Sciences
Contract Overview
Contract Amount: $2,403,781 ($2.4M)
Contractor: Deumbra, LLC
Awarding Agency: Department of Defense
Start Date: 2023-07-06
End Date: 2027-01-01
Contract Duration: 1,275 days
Daily Burn Rate: $1.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 99
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: DYNAMIC MODELER: AUTONOMOUSLY AND DYNAMICALLY BUILDING MODELS OF THE ENVIRONMENT
Place of Performance
Location: AUSTIN, TRAVIS County, TEXAS, 78701
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $2.4 million to DEUMBRA, LLC for work described as: DYNAMIC MODELER: AUTONOMOUSLY AND DYNAMICALLY BUILDING MODELS OF THE ENVIRONMENT Key points: 1. Significant investment in advanced modeling capabilities for the environment. 2. Competition method is 'Full and Open', suggesting broad market engagement. 3. Contract type 'Cost Plus Fixed Fee' may present cost control challenges. 4. Sector focus on R&D aligns with strategic technological advancement goals.
Value Assessment
Rating: fair
The contract value of $240.4M over approximately 3.5 years is substantial for R&D. Benchmarking is difficult without specific deliverables, but the 'Cost Plus Fixed Fee' structure warrants close monitoring for cost efficiency compared to fixed-price R&D contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The 'Full and Open Competition' method is positive for price discovery and potentially achieving better value. This approach allows any qualified vendor to bid, fostering a competitive environment.
Taxpayer Impact: Taxpayer funds are being directed towards critical research and development, aiming for technological superiority. The effectiveness of this investment will depend on the successful development and application of the dynamic modeling system.
Public Impact
Enhances national security through advanced environmental modeling capabilities. Supports technological innovation within the Department of Defense. Potential for dual-use applications benefiting civilian sectors. Creates high-skilled jobs in research and development.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost overruns due to 'Cost Plus Fixed Fee' structure.
- Potential for scope creep in R&D projects.
- Ensuring effective technology transfer and utilization.
Positive Signals
- Leverages full and open competition for best value.
- Invests in critical, forward-looking R&D.
- Supports a key defense modernization objective.
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences category (NAICS 541715). Spending in this sector is crucial for maintaining technological advantage, with significant government investment typically focused on innovation and future capabilities.
Small Business Impact
The contract does not explicitly mention small business participation. Given the large value and specialized R&D nature, it's important to assess if subcontracting opportunities exist for small businesses to participate in this advanced technology development.
Oversight & Accountability
The 'Cost Plus Fixed Fee' contract type necessitates robust oversight to manage costs and ensure the contractor remains within budget while achieving project milestones. Regular performance reviews and audits will be critical.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost control challenges with CPFF contract type.
- Potential for R&D project scope creep.
- Ensuring contractor possesses highly specialized expertise.
- Measuring the long-term effectiveness and utility of the model.
- Lack of explicit small business participation noted.
Tags
research-and-development-in-the-physical, department-of-defense, tx, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $2.4 million to DEUMBRA, LLC. DYNAMIC MODELER: AUTONOMOUSLY AND DYNAMICALLY BUILDING MODELS OF THE ENVIRONMENT
Who is the contractor on this award?
The obligated recipient is DEUMBRA, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $2.4 million.
What is the period of performance?
Start: 2023-07-06. End: 2027-01-01.
How will the effectiveness of the 'Dynamic Modeler' be measured to ensure it meets the Department of Defense's evolving environmental modeling needs?
Effectiveness will likely be measured through a combination of technical performance metrics, successful integration into existing DoD systems, and demonstrated accuracy and utility in simulating complex environmental scenarios. Key performance parameters (KPPs) should be clearly defined in the contract, with regular testing and validation phases to ensure the model's capabilities align with operational requirements and future technological advancements.
What are the primary risks associated with the 'Cost Plus Fixed Fee' structure for this R&D contract, and how are they being mitigated?
The primary risk is potential cost overruns if the contractor's actual costs exceed estimates, even with a fixed fee. Mitigation strategies include stringent cost tracking, detailed reporting requirements, defined ceilings, and potentially performance incentives tied to cost efficiency. The government's oversight team must actively monitor expenditures and contractor performance to identify and address deviations early.
Given the 'Full and Open Competition' approach, how will the DoD ensure the selected contractor possesses the highly specialized expertise required for advanced environmental modeling?
The solicitation process will include detailed technical requirements and evaluation criteria. The DoD will assess bidders' past performance, technical proposals, key personnel qualifications, and innovative approaches to environmental modeling. A thorough review of proposed methodologies and demonstrated capabilities in similar complex R&D projects will be crucial to selecting the most qualified vendor.
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: N0001422SB001
Offers Received: 99
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 201 W 5TH ST, AUSTIN, TX, 78701
Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $3,773,509
Exercised Options: $2,992,915
Current Obligation: $2,403,781
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-07-06
Current End Date: 2027-01-01
Potential End Date: 2027-01-01 00:00:00
Last Modified: 2026-01-02
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