DoD's $16.2M SBIR Phase III R&D Contract Awarded to RDA Inc. for Physical Sciences Research

Contract Overview

Contract Amount: $16,230,691 ($16.2M)

Contractor: RDA Inc.

Awarding Agency: Department of Defense

Start Date: 2024-08-06

End Date: 2029-08-06

Contract Duration: 1,826 days

Daily Burn Rate: $8.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SBIR PHASE III RESEARCH & DEVELOPMENT

Place of Performance

Location: DOYLESTOWN, BUCKS County, PENNSYLVANIA, 18901

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $16.2 million to RDA INC. for work described as: SBIR PHASE III RESEARCH & DEVELOPMENT Key points: 1. The contract focuses on R&D in physical, engineering, and life sciences, excluding specific sub-fields. 2. RDA Inc. is the sole awardee under this specific contract action. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 4. The award is for a significant duration of 1826 days, indicating a long-term project.

Value Assessment

Rating: fair

The contract is for R&D services. Benchmarking R&D costs is complex due to the unique nature of each project. The Cost Plus Fixed Fee structure requires careful monitoring to ensure value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a limited competition approach. This method may not always yield the most competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for research and development, with the ultimate benefit depending on the success and applicability of the research outcomes.

Public Impact

Funding advanced research and development in critical scientific areas. Potential for technological advancements and innovation stemming from the research. Long-term commitment of resources for a specific research project. The success of the research could lead to future defense capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Limited competition may result in suboptimal pricing.
  • Long contract duration increases exposure to potential scope creep or changing requirements.

Positive Signals

  • Supports critical R&D efforts.
  • Awarded to a specific company for specialized research.
  • Clear end date for the contract.

Sector Analysis

This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector. Spending in this sector is crucial for innovation but can be highly variable and difficult to benchmark due to the bespoke nature of R&D projects.

Small Business Impact

The data indicates this is an SBIR Phase III contract, which typically builds upon prior Small Business Innovation Research funding. However, the contract itself does not specify if the awardee is currently a small business or if small business subcontracting is mandated.

Oversight & Accountability

Oversight will be critical for the Department of the Navy to manage the Cost Plus Fixed Fee structure effectively, ensuring the research stays within budget and meets defined objectives. Regular performance reviews and financial audits are essential.

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 Plus Fixed Fee contract type.
  • Limited competition awarded.
  • Long contract duration.
  • Lack of specific R&D objectives in provided data.
  • Unclear small business participation.

Tags

research-and-development-in-the-physical, department-of-defense, pa, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.2 million to RDA INC.. SBIR PHASE III RESEARCH & DEVELOPMENT

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 $16.2 million.

What is the period of performance?

Start: 2024-08-06. End: 2029-08-06.

What specific R&D objectives does this contract aim to achieve, and how will their successful completion be measured to ensure value for taxpayer money?

The specific R&D objectives are not detailed in the provided data. Measuring value for taxpayer money in R&D is challenging and typically relies on achieving defined technical milestones, successful prototype development, or the creation of intellectual property. The Department of the Navy's oversight will be crucial in defining and tracking these metrics throughout the contract's duration to ensure accountability and successful outcomes.

Given the 'limited' competition and 'Cost Plus Fixed Fee' structure, what mechanisms are in place to mitigate the risk of cost overruns and ensure competitive pricing?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests a justification for limited competition, which needs rigorous documentation. For Cost Plus Fixed Fee contracts, robust oversight, detailed cost tracking, and regular performance reviews are essential to control expenditures. The fixed fee component provides some incentive for the contractor to manage costs efficiently, but the government must actively monitor all incurred costs to prevent overruns and ensure fair pricing.

How does this R&D investment align with broader Department of Defense strategic goals, and what is the anticipated long-term impact on national security or technological superiority?

The alignment with strategic goals and long-term impact are not explicitly stated in the data. However, SBIR Phase III contracts are designed to transition technologies developed under earlier SBIR phases into full-scale development and production, implying a strategic intent. The investment likely supports advancements in physical, engineering, or life sciences that are deemed critical for future defense capabilities, potentially enhancing technological superiority or addressing emerging security challenges.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Sentient Digital, Inc.

Address: 107 NORTH BROAD ST STE 205, DOYLESTOWN, PA, 18901

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

Financial Breakdown

Contract Ceiling: $45,677,834

Exercised Options: $45,677,834

Current Obligation: $16,230,691

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6833520G3039

IDV Type: BOA

Timeline

Start Date: 2024-08-06

Current End Date: 2029-08-06

Potential End Date: 2029-08-06 00:00:00

Last Modified: 2025-12-19

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