Dod Awards $38.8M Contract to the Charles Stark Draper Laboratory, Inc. for Engineering Services

Contract Overview

Contract Amount: $38,833,942 ($38.8M)

Contractor: THE Charles Stark Draper Laboratory, Inc.

Awarding Agency: Department of Defense

Start Date: 2003-12-16

End Date: 2007-05-31

Contract Duration: 1,262 days

Daily Burn Rate: $30.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02139

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $38.8 million to THE CHARLES STARK DRAPER LABORATORY, INC. for work described as: Key points: 1. Contract awarded to a single, established entity. 2. Significant value suggests critical or specialized services. 3. Lack of competition raises questions about price discovery. 4. Engineering services are vital for defense capabilities.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can incentivize cost overruns. Without competitive bidding, it's difficult to assess if the $38.8M award represents fair value compared to market rates for similar engineering services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was sole-sourced, meaning it was not competed. This limits price discovery and may result in higher costs for taxpayers as there was no market pressure to offer the best price.

Taxpayer Impact: The sole-source nature of this award means taxpayers may have paid a premium due to the absence of competitive bidding.

Public Impact

Defense capabilities may rely on specialized expertise from this contractor. Taxpayer funds are allocated to critical engineering support for the Department of Defense. The lack of competition could set a precedent for future sole-source awards in this area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Cost Plus Fixed Fee contract type
Lack of transparency in pricing

Positive Signals

Contract supports critical defense engineering services
Established contractor with relevant experience

Sector Analysis

This contract falls under Engineering Services, a sector crucial for the Department of Defense's technological advancement and operational readiness. Benchmarks for such specialized services are often difficult to establish due to unique requirements and limited providers.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the contractor is a large, established entity. There is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

Oversight would focus on ensuring the fixed fee is reasonable and that costs incurred are allowable and allocable under the Cost Plus Fixed Fee structure. The lack of competition necessitates robust monitoring to ensure value for money.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Sole-source award limits competition.
Cost Plus Fixed Fee contract type can lead to cost overruns.
Lack of detailed service description hinders value assessment.
No clear indication of price benchmarks or justification for the award amount.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.8 million to THE CHARLES STARK DRAPER LABORATORY, INC.. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is THE CHARLES STARK DRAPER LABORATORY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $38.8 million.

What is the period of performance?

Start: 2003-12-16. End: 2007-05-31.

What specific engineering services were provided under this contract?

The contract specifies 'Engineering Services' (NAICS 541330). While the exact nature of these services isn't detailed in the provided data, they likely encompass design, analysis, testing, and integration support for complex defense systems or technologies, requiring specialized expertise.

What is the justification for the sole-source award, and what risks does it pose?

The justification for a sole-source award is not provided. Risks include potential overpayment due to lack of competition, reduced innovation from market alternatives, and the possibility that the contractor may not be the most cost-effective provider.

How does the Cost Plus Fixed Fee structure impact cost control and value for taxpayers?

Cost Plus Fixed Fee contracts provide the contractor with reimbursement for allowable costs plus a predetermined fixed fee. While it incentivizes completion, it can lead to cost overruns if not tightly managed, potentially increasing the total cost to taxpayers beyond initial estimates.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Address: 555 TECHNOLOGY SQUARE, CAMBRIDGE, MA, 90

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Cost or Pricing Data: YES

Timeline