DoD's $22.5M SHARP R&D Contract with AMTEC Corporation: A Decade of Research and Development
Contract Overview
Contract Amount: $22,567,116 ($22.6M)
Contractor: Amtec Corporation
Awarding Agency: Department of Defense
Start Date: 2007-10-05
End Date: 2015-08-17
Contract Duration: 2,873 days
Daily Burn Rate: $7.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: SHARP
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35816
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $22.6 million to AMTEC CORPORATION for work described as: SHARP Key points: 1. The contract, valued at $22.57 million, supported Research and Development in Physical, Engineering, and Life Sciences. 2. Awarded under full and open competition, it suggests a competitive bidding process. 3. The contract spanned nearly 8 years, indicating a long-term project. 4. The use of a Cost Plus Fixed Fee (CPFF) pricing structure warrants scrutiny for potential cost overruns.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee structure, while common for R&D, can lead to higher costs if not managed tightly. Benchmarking against similar R&D contracts is difficult without more specific cost breakdowns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting multiple bidders participated. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The competitive award process likely ensured a reasonable price for the R&D services, minimizing unnecessary taxpayer expenditure.
Public Impact
Taxpayers funded nearly $22.6 million in research and development over an eight-year period. The contract supported technological advancements within the Department of Defense. The long duration suggests a sustained effort in a specific R&D area.
Waste & Efficiency Indicators
Waste Risk Score: 78 / 10
Warning Flags
- CPFF pricing structure can incentivize cost overruns.
- Long contract duration may indicate potential for scope creep or evolving requirements.
- Lack of specific performance metrics makes it hard to assess R&D effectiveness.
Positive Signals
- Awarded under full and open competition.
- Long-term commitment to R&D can foster innovation.
- Contract supported critical defense research.
Sector Analysis
This contract falls under the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for technological advancement but can be prone to cost overruns due to the inherent uncertainties in R&D.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further investigation would be needed to determine small business participation.
Oversight & Accountability
The long duration and CPFF structure suggest a need for robust oversight to ensure cost control and effective execution of R&D objectives.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost Plus Fixed Fee (CPFF) pricing structure.
- Long contract duration (nearly 8 years).
- Lack of specific performance metrics in the provided data.
- Potential for cost overruns inherent in R&D contracts.
- Limited insight into specific R&D deliverables and their impact.
Tags
research-and-development-in-the-physical, department-of-defense, al, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.6 million to AMTEC CORPORATION. SHARP
Who is the contractor on this award?
The obligated recipient is AMTEC 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 $22.6 million.
What is the period of performance?
Start: 2007-10-05. End: 2015-08-17.
What specific R&D outcomes were achieved under the SHARP contract, and did they meet the Department of the Army's objectives?
The provided data does not detail the specific research outcomes or their alignment with the Department of the Army's objectives. Assessing the value requires examining project reports, technical milestones, and final deliverables to determine if the $22.57 million investment yielded the intended technological advancements or solutions.
How effectively was the Cost Plus Fixed Fee structure managed to control costs and prevent potential overruns during the contract's eight-year duration?
Managing a CPFF contract over eight years requires stringent oversight. Without detailed financial reports and audit trails, it's difficult to assess cost control effectiveness. Key indicators would include adherence to budget, justification for cost increases, and the contractor's efficiency in managing resources to achieve the fixed fee.
Given the full and open competition, were there alternative solutions or contractors that could have provided similar R&D services at a lower cost or with greater efficiency?
While full and open competition suggests a competitive process, it doesn't guarantee the lowest cost or highest efficiency. A post-award analysis comparing the winning bid's pricing and proposed approach against other bids received, and potentially against market rates for similar R&D, would be necessary to fully answer this.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9113M07R0007
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 500 WYNN DR NW STE 314, HUNTSVILLE, AL, 35816
Business Categories: Category Business, Small Business
Financial Breakdown
Contract Ceiling: $79,321,004
Exercised Options: $58,694,738
Current Obligation: $22,567,116
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2007-10-05
Current End Date: 2015-08-17
Potential End Date: 2015-08-17 00:00:00
Last Modified: 2025-12-31
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