DoD's $60.3M R&D contract with Analex Corporation awarded under full and open competition

Contract Overview

Contract Amount: $60,352,810 ($60.4M)

Contractor: Analex Corporation

Awarding Agency: Department of Defense

Start Date: 2020-09-29

End Date: 2026-06-01

Contract Duration: 2,071 days

Daily Burn Rate: $29.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: LABOR

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20375

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $60.4 million to ANALEX CORPORATION for work described as: LABOR Key points: 1. Contract value of $60.3M for R&D services indicates significant investment in specialized research. 2. Full and open competition suggests a robust market for these services, potentially driving competitive pricing. 3. The contract's duration of over 5 years points to a long-term need for the research services. 4. Research and Development in Physical, Engineering, and Life Sciences is a critical area for technological advancement. 5. Awarded by the Department of the Navy, this contract aligns with defense-focused research objectives. 6. The Cost Plus Fixed Fee (CPFF) contract type allows for flexibility in research scope while managing costs.

Value Assessment

Rating: good

The contract value of $60.3 million for R&D services appears reasonable given the multi-year duration and the specialized nature of research and development. Benchmarking against similar contracts for advanced scientific research and engineering support would provide a more precise value-for-money assessment. The CPFF structure, while common for R&D, requires careful oversight to ensure costs remain within reasonable bounds relative to the fixed fee.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. This competitive process is generally expected to yield fair market prices and encourage innovation. The number of bidders is not specified, but the 'full and open' designation suggests a healthy level of interest and capability in the market for these R&D services.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in research and development, potentially leading to lower overall costs and higher quality outcomes.

Public Impact

The primary beneficiaries are the Department of the Navy and potentially broader defense initiatives requiring advanced research. Services delivered include research and development in physical, engineering, and life sciences, excluding biotechnology. The geographic impact is primarily centered in the District of Columbia, where the contractor is located. Workforce implications include employment for scientists, engineers, and support staff involved in R&D activities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in Cost Plus Fixed Fee contracts if not managed diligently.
  • Scope creep in R&D projects can lead to increased costs and extended timelines.
  • Dependence on a single contractor for a significant period may limit future competitive opportunities if performance is not exceptional.

Positive Signals

  • Awarded through full and open competition, suggesting a competitive market and potential for good value.
  • Long contract duration (over 5 years) indicates a stable, long-term need and potential for sustained expertise development.
  • Contractor Analex Corporation has secured a significant award, suggesting a level of trust and capability in R&D.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. This sector is crucial for technological advancement and national security. Spending in this area often involves significant investment due to the inherent uncertainties and specialized expertise required. Comparable spending benchmarks would typically be found within defense R&D budgets for similar scientific and engineering support services.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside. However, the prime contractor, Analex Corporation, may engage small businesses as subcontractors if it aligns with their project needs and procurement strategy, contributing indirectly to the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily be managed by the Department of the Navy, with specific contracting officers and program managers responsible for monitoring performance, costs, and adherence to contract terms. Transparency is facilitated through contract award databases. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

  • Department of Defense Research and Development
  • Navy Science and Technology Programs
  • Advanced Engineering Services
  • Physical Sciences Research Contracts
  • Life Sciences Research Contracts

Risk Flags

  • Cost Plus Fixed Fee contract type requires diligent cost oversight.
  • Long-term R&D projects carry inherent uncertainty in outcomes and timelines.
  • Contract performance history of Analex Corporation should be reviewed for potential risks.

Tags

research-and-development, department-of-defense, department-of-the-navy, cost-plus-fixed-fee, full-and-open-competition, analex-corporation, district-of-columbia, physical-sciences, engineering, life-sciences, multi-year-contract, federal-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $60.4 million to ANALEX CORPORATION. LABOR

Who is the contractor on this award?

The obligated recipient is ANALEX CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $60.4 million.

What is the period of performance?

Start: 2020-09-29. End: 2026-06-01.

What is Analex Corporation's track record with the Department of Defense, particularly in R&D contracts?

A comprehensive review of Analex Corporation's track record with the Department of Defense would involve examining past contract awards, performance evaluations, and any history of disputes or contract modifications. While this specific award of $60.3 million indicates a significant engagement, understanding their broader history, including the types of R&D projects undertaken, their success rates, and their ability to deliver within budget and schedule, is crucial. Information from sources like the Federal Procurement Data System (FPDS) or contract performance databases could reveal patterns of performance, areas of expertise, and overall reliability as a government contractor. A positive track record would suggest a lower risk for this current contract, while a history of issues might warrant closer scrutiny of their performance metrics and management approach.

How does the $60.3 million value compare to similar R&D contracts awarded by the Navy or other DoD components?

The $60.3 million contract value for R&D services needs to be benchmarked against similar procurements to assess its relative size and potential value for money. Comparing this award to other contracts for 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)' awarded by the Department of the Navy or other Department of Defense agencies over the past few years would provide context. Factors such as contract duration, scope of work, and the specific scientific disciplines involved are critical for a meaningful comparison. If this contract is significantly larger or smaller than typical awards for comparable services, it could indicate unique project requirements, a highly specialized niche, or potentially an outlier in terms of pricing or scope. This comparison helps determine if the government is likely receiving competitive pricing and appropriate scope for the investment.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D, and how are they mitigated?

Cost Plus Fixed Fee (CPFF) contracts, while common for R&D where scope can be uncertain, carry inherent risks. The primary risk for the government is that the contractor may not be incentivized to control costs as rigorously as in a fixed-price contract, as costs are reimbursed. This can lead to cost overruns if not managed effectively. For the contractor, the risk lies in accurately estimating costs to ensure the fixed fee is sufficient to cover their efforts and provide a reasonable profit. Mitigation strategies employed by the government typically include robust oversight by contracting officers and technical representatives, detailed cost monitoring and auditing, clear definition of contract deliverables and milestones, and strong negotiation of the fixed fee based on realistic cost projections. The contractor must maintain meticulous cost accounting and project management practices to manage their own risks.

What is the expected impact of this R&D contract on technological advancement within the defense sector?

This contract, focused on 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology),' is directly aimed at advancing technological capabilities relevant to the defense sector. The specific outcomes will depend on the precise research objectives defined by the Department of the Navy. Potential impacts could range from developing new materials, improving sensor technologies, enhancing communication systems, or creating novel analytical tools for intelligence and operations. Successful R&D outcomes can lead to improved military effectiveness, enhanced national security, and potentially spin-off technologies with civilian applications. The multi-year duration suggests a commitment to exploring complex challenges that require sustained research effort, increasing the likelihood of significant technological breakthroughs.

How has federal spending in the 'Research and Development in the Physical, Engineering, and Life Sciences' category evolved over the past five years?

Analyzing federal spending trends in the 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)' category over the past five years would reveal overall investment patterns. This typically involves examining data from agencies like the National Science Foundation (NSF), Department of Defense (DoD), and others that fund R&D. Trends might show increases or decreases driven by national priorities, technological shifts, or budget allocations. For instance, increased focus on areas like artificial intelligence, quantum computing, or advanced materials could lead to higher spending in specific sub-categories. Understanding these broader trends provides context for the $60.3 million award to Analex Corporation, indicating whether this represents a typical level of investment or a significant shift in funding priorities within this R&D domain.

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 DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0017320RKR02

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Veritas Capital Fund Management, L.L.C.

Address: 14295 PARK MEADOW DR STE 500, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $69,495,858

Exercised Options: $69,495,858

Current Obligation: $60,352,810

Subaward Activity

Number of Subawards: 12

Total Subaward Amount: $4,301,632

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017316D2009

IDV Type: IDC

Timeline

Start Date: 2020-09-29

Current End Date: 2026-06-01

Potential End Date: 2026-06-01 00:00:00

Last Modified: 2025-12-09

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