DoD awards $65.7M for aviation and missile systems technical support to Intuitive Research and Technology Corporation

Contract Overview

Contract Amount: $65,733,456 ($65.7M)

Contractor: Intuitive Research and Technology Corporation

Awarding Agency: Department of Defense

Start Date: 2023-02-17

End Date: 2026-12-15

Contract Duration: 1,397 days

Daily Burn Rate: $47.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: TECHNICAL SUPPORT IN PRODUCTION AND SUSTAINMENT ENGINEERING TASKS FOR AVIATION AND MISSILE SYSTEMS

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $65.7 million to INTUITIVE RESEARCH AND TECHNOLOGY CORPORATION for work described as: TECHNICAL SUPPORT IN PRODUCTION AND SUSTAINMENT ENGINEERING TASKS FOR AVIATION AND MISSILE SYSTEMS Key points: 1. Contract focuses on critical technical support for aviation and missile systems, indicating a need for specialized engineering expertise. 2. The award to Intuitive Research and Technology Corporation suggests a competitive process that identified a capable provider for complex R&D services. 3. Performance period extends over three years, implying a sustained requirement for these technical services. 4. The contract type (Time and Materials) allows for flexibility but requires careful monitoring to manage costs effectively. 5. The geographic location of performance in Alabama may indicate a concentration of related defense activities or facilities in the region. 6. This award falls under the R&D sector, specifically focusing on physical, engineering, and life sciences.

Value Assessment

Rating: good

The contract value of $65.7 million over approximately 3.7 years (February 2023 to December 2026) suggests a moderate annual spend for specialized R&D technical support. Benchmarking against similar contracts for aviation and missile systems engineering support is difficult without more specific service details. However, the award to a single contractor implies a thorough evaluation of proposals. The Time and Materials pricing structure, while flexible, necessitates diligent oversight to ensure costs remain aligned with the value delivered and market rates for specialized engineering talent.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation suggests a robust competitive environment. This approach is generally expected to yield fair market pricing and identify the most capable contractor for the required services.

Taxpayer Impact: A full and open competition process is favorable for taxpayers as it promotes a competitive environment, which typically drives down prices and ensures the government receives the best value for its investment.

Public Impact

The primary beneficiaries are the Department of the Army and potentially other Department of Defense entities requiring advanced technical support for aviation and missile systems. Services delivered include production and sustainment engineering tasks, crucial for maintaining and improving complex defense technologies. The contract's performance is located in Alabama, potentially impacting the local economy through job creation and business opportunities. This contract supports highly skilled engineers and technical professionals, contributing to the specialized defense workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Time and Materials (T&M) contract type can lead to cost overruns if not closely managed, as it reimburses actual labor and material costs plus a fee.
Lack of specific details on the number of bidders or the evaluation criteria makes it difficult to fully assess the competitive intensity and potential for price optimization.
The duration of the contract (over three years) requires ongoing vigilance to ensure continued alignment with evolving technological needs and market conditions.

Positive Signals

Awarded under full and open competition, suggesting a fair and transparent procurement process.
The contractor, Intuitive Research and Technology Corporation, is likely selected based on demonstrated expertise in aviation and missile systems R&D.
The contract supports critical defense capabilities, ensuring the sustainment and advancement of vital military technologies.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically NAICS code 541715, which covers R&D in the physical, engineering, and life sciences. This sector is characterized by innovation, specialized expertise, and often long development cycles. The market for defense R&D is substantial, with significant government investment aimed at maintaining technological superiority. Comparable spending benchmarks would typically involve analyzing other contracts for similar engineering and technical support services within the defense industrial base, focusing on the scope of work and contractor capabilities.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a result, large businesses or those capable of competing on a large-scale R&D contract were the primary participants. There is no explicit information regarding subcontracting plans for small businesses, which could be a missed opportunity to engage the small business ecosystem in supporting these critical defense needs. Further investigation into subcontracting goals would be necessary to assess the impact on small businesses.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army's contracting and program management offices. Accountability measures are typically embedded in the contract terms, including performance standards, delivery schedules, and reporting requirements. Transparency is facilitated through contract award announcements and public databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected or reported.

Related Government Programs

Aviation Systems Engineering Support
Missile Systems Development
Defense Research and Development Contracts
Technical Support Services for DoD
Sustainment Engineering Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Need for robust oversight to ensure efficient use of funds.
Dependence on contractor's sustained technical expertise over contract duration.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $65.7 million to INTUITIVE RESEARCH AND TECHNOLOGY CORPORATION. TECHNICAL SUPPORT IN PRODUCTION AND SUSTAINMENT ENGINEERING TASKS FOR AVIATION AND MISSILE SYSTEMS

Who is the contractor on this award?

The obligated recipient is INTUITIVE RESEARCH AND TECHNOLOGY CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $65.7 million.

What is the period of performance?

Start: 2023-02-17. End: 2026-12-15.

What is the track record of Intuitive Research and Technology Corporation with the Department of Defense, particularly in aviation and missile systems R&D?

Intuitive Research and Technology Corporation (IRTC) has a history of performing contracts with the Department of Defense, including work related to aviation and missile systems. While specific details of past performance on similar large-scale R&D contracts require deeper analysis of contract databases, IRTC's presence in this award suggests they possess the requisite technical capabilities and past performance credentials valued by the Army. Their website and public contract awards often highlight expertise in areas such as systems engineering, simulation, modeling, and advanced technology development, aligning with the scope of this contract. A comprehensive review would involve examining their award history, past performance evaluations, and any reported issues on previous DoD contracts to fully assess their track record.

How does the awarded value of $65.7 million compare to similar R&D technical support contracts for aviation and missile systems?

The awarded value of $65.7 million for approximately 3.7 years of technical support for aviation and missile systems represents a significant but not extraordinary investment for specialized R&D services within the defense sector. To provide a precise comparison, one would need to analyze a cohort of similar contracts awarded by the DoD over the past few years, focusing on those with comparable scopes of work (e.g., production and sustainment engineering), contract types (e.g., T&M or cost-plus), and performance periods. Factors such as the specific technologies involved, the level of security clearance required, and the geographic location of performance can also influence pricing. Without this detailed benchmarking, it's challenging to definitively state if $65.7 million is high or low, but it falls within a range expected for complex, multi-year defense R&D support.

What are the primary risks associated with a Time and Materials (T&M) contract of this magnitude and duration?

The primary risk with a Time and Materials (T&M) contract of this magnitude ($65.7 million) and duration (nearly four years) is the potential for cost escalation. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual hours worked by labor and the cost of materials, plus a fixed fee or profit margin. This structure places the onus on the government to closely monitor labor hours, material usage, and efficiency. If not managed diligently, the total cost can exceed initial estimates or market benchmarks. Other risks include potential for scope creep if requirements are not clearly defined and managed, and ensuring the contractor maintains adequate staffing levels and expertise throughout the contract period. Robust oversight, detailed reporting, and clear task definitions are crucial to mitigate these risks.

How effective is the 'full and open competition' process in ensuring the best value for taxpayer dollars in specialized R&D procurements like this one?

The 'full and open competition' process is generally considered the most effective method for ensuring the best value for taxpayer dollars in specialized R&D procurements. By allowing all responsible sources to submit bids, it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive pricing and innovative solutions. This broad competition drives contractors to offer their best technical capabilities and most cost-effective approaches to win the contract. While it requires more upfront effort in terms of solicitation and evaluation, the potential for cost savings and superior performance typically outweighs these initial investments. For complex R&D, it ensures that the government selects a contractor with proven expertise and a competitive proposal, rather than relying on a limited or sole-source arrangement.

What are the implications of this contract award for the broader aviation and missile systems R&D market in Alabama?

This $65.7 million contract award to Intuitive Research and Technology Corporation, based in Alabama, has several implications for the state's aviation and missile systems R&D market. Firstly, it signifies a substantial investment in the region's defense industrial base, potentially leading to job creation for highly skilled engineers, technicians, and support staff within IRTC and its local supply chain. Secondly, it reinforces Alabama's position as a hub for aerospace and defense technology development. The contract's duration suggests a stable, long-term demand for these specialized services, which can encourage further investment in local infrastructure and workforce development. It may also foster collaboration with local universities and research institutions, driving innovation and maintaining a competitive edge for the state's defense sector.

Are there any specific performance metrics or Key Performance Indicators (KPIs) associated with this contract that are publicly available?

Publicly available contract award data, such as that from the Federal Procurement Data System (FPDS), typically does not include granular details on specific performance metrics or Key Performance Indicators (KPIs) for individual contracts. These KPIs are usually defined within the contract's Statement of Work (SOW) or Performance Work Statement (PWS) and are part of the internal management and oversight processes between the contracting agency and the contractor. While the contract award notice confirms the scope of work (technical support for aviation and missile systems) and the contractor, the specific measures of success (e.g., system uptime, defect rates, project completion times) are generally considered proprietary or internal government information. To ascertain these, one would typically need to file a Freedom of Information Act (FOIA) request or access more detailed contract documentation if it were made public.

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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 5030 BRADFORD DR NW BLDG 2 STE 205, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $100,087,606

Exercised Options: $66,400,071

Current Obligation: $65,733,456

Actual Outlays: $189,672

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $23,662,841

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAA20D0022

IDV Type: FSS

Timeline