Dod Awards $5.27M for Lcap/Rfics Product Dev NRE Rdt&e to RDA Inc
Contract Overview
Contract Amount: $5,270,811 ($5.3M)
Contractor: RDA Inc.
Awarding Agency: Department of Defense
Start Date: 2024-07-24
End Date: 2029-07-23
Contract Duration: 1,825 days
Daily Burn Rate: $2.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: LCAP AND RFICS PRODUCT DEV NRE RDT&E
Place of Performance
Location: DOYLESTOWN, BUCKS County, PENNSYLVANIA, 18901
Plain-Language Summary
Department of Defense obligated $5.3 million to RDA INC. for work described as: LCAP AND RFICS PRODUCT DEV NRE RDT&E Key points: 1. Contract awarded to RDA Inc. for product development and RDT&E. 2. Significant funding allocated for engineering services, indicating complex development needs. 3. Sole-source award raises questions about competition and potential cost efficiencies. 4. Long contract duration (5 years) suggests a sustained need for these services.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking against similar NRE RDT&E contracts is difficult without more detailed cost breakdowns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs compared to a competitive process.
Taxpayer Impact: The lack of competition could mean taxpayers are not receiving the best possible price for these critical development services.
Public Impact
Development of LCAP and RFICS products could lead to advancements in defense capabilities. RDA Inc. will be the sole provider for these specific development services over the next five years. Long-term investment in RDT&E signals a commitment to technological superiority by the Department of the Navy.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Long contract duration
Positive Signals
- Supports critical RDT&E for defense systems
- Long-term engagement with a single vendor can foster specialized expertise
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a sector crucial for defense research and development. Spending benchmarks for NRE RDT&E can vary widely based on project complexity and technological innovation required.
Small Business Impact
The contract does not indicate any specific set-asides for small businesses. The award to RDA Inc. suggests a focus on established contractors for specialized RDT&E services.
Oversight & Accountability
As a sole-source award for RDT&E, robust oversight will be critical to ensure cost control and adherence to project milestones. The Department of the Navy's contracting officers will need to monitor performance closely.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for cost overruns due to Cost Plus Fixed Fee structure.
- Lack of competitive bidding may lead to suboptimal pricing.
- Long-term dependency on a single vendor for critical development.
- Risk of scope creep in RDT&E projects.
- Limited transparency into the specific technical advancements being funded.
Tags
engineering-services, department-of-defense, pa, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $5.3 million to RDA INC.. LCAP AND RFICS PRODUCT DEV NRE RDT&E
Who is the contractor on this award?
The obligated recipient is RDA INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $5.3 million.
What is the period of performance?
Start: 2024-07-24. End: 2029-07-23.
What is the justification for the sole-source award, and how was the price determined to be fair and reasonable?
The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. Price reasonableness is usually determined through cost analysis, comparison to historical data, or market research. Without specific details on the justification, it's difficult to assess the fairness of the price.
What are the key performance indicators (KPIs) for this contract, and how will RDA Inc.'s performance be measured?
Key performance indicators for RDT&E contracts often include meeting technical specifications, adhering to development timelines, managing costs within budget, and successful prototype or system integration. The Department of the Navy would typically establish specific, measurable, achievable, relevant, and time-bound (SMART) KPIs outlined in the contract's performance work statement.
What is the potential for technology transfer or intellectual property development from this RDT&E effort?
RDT&E contracts often involve the development of new technologies or improvements to existing ones. The contract terms would specify ownership and usage rights for any intellectual property generated. There is potential for significant technology transfer if the developed products have broader applications or can be integrated into other defense systems.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Sentient Digital, Inc.
Address: 107 N BROAD ST, DOYLESTOWN, PA, 18901
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $15,113,038
Exercised Options: $14,236,932
Current Obligation: $5,270,811
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0001924G0015
IDV Type: BOA
Timeline
Start Date: 2024-07-24
Current End Date: 2029-07-23
Potential End Date: 2029-07-23 00:00:00
Last Modified: 2025-12-11
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