DoD awards $21.3M R&D contract to ENLOGIX JV LLC for physical, engineering, and life sciences research

Contract Overview

Contract Amount: $21,290,576 ($21.3M)

Contractor: Enlogix JV LLC

Awarding Agency: Department of Defense

Start Date: 2022-08-30

End Date: 2027-08-30

Contract Duration: 1,826 days

Daily Burn Rate: $11.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 7

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: MATERIAL - BASE PERIOD

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $21.3 million to ENLOGIX JV LLC for work described as: MATERIAL - BASE PERIOD Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but also carries inherent risk. 3. Research and Development in Physical, Engineering, and Life Sciences is a critical sector for national security and innovation. 4. The contract duration of five years indicates a long-term investment in research capabilities. 5. Awarded to a joint venture, potentially indicating a specialized capability or a strategy to leverage diverse expertise. 6. The contract is not set aside for small businesses, suggesting it was open to a broad range of contractors.

Value Assessment

Rating: fair

Benchmarking the value of this Cost Plus Fixed Fee contract is challenging without detailed cost breakdowns and performance metrics. The fixed fee component provides some cost certainty, but the cost-reimbursement nature means the government bears the risk of actual expenses. Comparing this to similar R&D contracts in the physical, engineering, and life sciences sector would require access to proprietary cost data and detailed statements of work. However, the total award value of $21.3 million over five years suggests a moderate investment for research and development activities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that the solicitation was broadly advertised, and all responsible sources were permitted to submit offers. The presence of 7 bidders (no) suggests a healthy level of competition for this research and development requirement. A competitive process generally leads to better price discovery and potentially more innovative solutions as contractors vie for the award.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely resulted in a more favorable price and better value compared to a sole-source or limited competition scenario. The multiple bids indicate that government funds are being used efficiently by selecting from a range of qualified offerors.

Public Impact

The primary beneficiaries are the Department of Defense and potentially broader national security interests through advancements in physical, engineering, and life sciences. The contract supports research and development activities, the specific outcomes of which are not detailed but are expected to yield technological or scientific advancements. The geographic impact is primarily associated with the contractor's location in Alabama (AL), though the research outcomes could have national or global implications. The contract implies a need for skilled researchers, scientists, and engineers, potentially impacting the workforce in specialized R&D fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to cost overruns if not closely monitored.
The specific R&D focus is broad, making it difficult to assess the direct impact or potential for immediate application without further detail.
Reliance on a joint venture may introduce complexities in management and accountability if not structured effectively.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
The contract duration suggests a commitment to a specific research area, fostering potential for significant breakthroughs.
The fixed fee component provides a degree of cost predictability for the government.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences (NAICS 541715). This is a critical area for defense innovation, encompassing advancements in materials science, engineering methodologies, and biological applications. The market for defense R&D is characterized by high specialization, significant government investment, and a focus on long-term technological superiority. Comparable spending benchmarks would typically be found within the broader DoD R&D budget, with specific figures varying widely based on the research domain and project scope.

Small Business Impact

This contract was not set aside for small businesses (sb: false). The award to ENLOGIX JV LLC, a joint venture, suggests a focus on specialized capabilities rather than small business participation. There is no explicit mention of subcontracting requirements for small businesses within the provided data. This means that opportunities for small businesses to participate in this specific contract may be limited unless the prime contractor voluntarily includes them in their subcontracting plan.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army contracting and program management offices. Accountability measures will be tied to the Cost Plus Fixed Fee structure, requiring detailed reporting on costs incurred and progress towards research objectives. Transparency is generally facilitated through contract award databases, but specific R&D project details and cost breakdowns are often sensitive and not publicly disclosed. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development Programs
Army Research Laboratory Contracts
Advanced Technology Development Contracts
Physical Sciences Research
Engineering Sciences Research
Life Sciences Research

Risk Flags

Cost Plus Fixed Fee contract type carries inherent cost risk for the government.
Long contract duration (5 years) may be subject to changing research priorities or technological obsolescence.
Specific research objectives are not detailed, making it difficult to assess alignment with strategic goals.
Performance of the joint venture contractor is not detailed in the provided data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.3 million to ENLOGIX JV LLC. MATERIAL - BASE PERIOD

Who is the contractor on this award?

The obligated recipient is ENLOGIX JV LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $21.3 million.

What is the period of performance?

Start: 2022-08-30. End: 2027-08-30.

What is the specific research focus of this contract within the physical, engineering, and life sciences?

The provided data indicates the contract falls under NAICS code 541715, 'Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology).' However, the specific research focus is not detailed. This broad classification suggests the contract could encompass a wide range of scientific inquiry, from advanced materials and propulsion systems to novel engineering techniques or biomedical research relevant to defense applications. Further details would typically be found in the contract's Statement of Work (SOW) or Performance Work Statement (PWS), which are not publicly available in this dataset. Understanding the precise research objectives is crucial for assessing the contract's alignment with strategic goals and its potential impact.

How does the Cost Plus Fixed Fee (CPFF) structure compare to other contract types for R&D, and what are its implications?

The Cost Plus Fixed Fee (CPFF) contract type is common in research and development where the scope of work may evolve and precise costs are difficult to estimate upfront. In a CPFF contract, the government reimburses the contractor for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure incentivizes the contractor to control costs, as the fee remains constant regardless of the final cost. However, it places the cost risk on the government, as actual expenses can exceed initial estimates. Compared to Firm-Fixed-Price (FFP) contracts, CPFF offers more flexibility for R&D but less cost certainty. Compared to Cost Plus Incentive Fee (CPIF) contracts, the profit is fixed rather than variable based on performance targets, potentially reducing the incentive for exceptional performance beyond meeting basic requirements.

What is the track record of ENLOGIX JV LLC in securing and performing government R&D contracts?

Information regarding the specific track record of ENLOGIX JV LLC is not provided in the dataset. As a joint venture, its operational history might be linked to its parent companies or its own formation date. To assess their track record, one would typically examine past performance evaluations, contract awards history, and any reported issues or successes on previous government contracts. A thorough review would involve searching federal procurement databases (like SAM.gov or FPDS) for prior awards, contract performance reports (CPARS), and any publicly available information about the joint venture's principals and their experience. Without this data, it's difficult to gauge their reliability and expertise in executing similar R&D projects.

How does the $21.3 million award value compare to typical R&D spending in the physical, engineering, and life sciences sector by the DoD?

The $21.3 million award value over five years ($4.26 million annually) represents a moderate investment within the vast landscape of Department of Defense Research and Development. The DoD's total R&D budget is in the tens of billions of dollars annually, funding a wide array of projects from basic research to advanced technology development. This specific contract's value is not exceptionally large in the context of major defense R&D programs but is significant for a focused research effort. Comparable spending can vary greatly depending on the specific scientific domain (e.g., materials science vs. biotechnology), the maturity of the research, and the number of contractors involved. Without knowing the specific research objectives, it's hard to provide a precise benchmark, but it appears to be a substantial, multi-year commitment for a specialized R&D endeavor.

What are the potential risks associated with a 5-year R&D contract awarded under a CPFF structure?

Several risks are associated with a 5-year R&D contract under a CPFF structure. Firstly, the long duration increases the potential for scope creep or shifts in research priorities within the government, which could necessitate contract modifications and potentially impact cost and schedule. Secondly, the CPFF structure inherently places cost risk on the government; if the contractor's expenses escalate unexpectedly due to unforeseen technical challenges or inefficient management, the government will bear these costs, capped only by the total contract value. Thirdly, maintaining effective oversight and performance monitoring over five years requires sustained effort and resources from the government to ensure the research remains on track and funds are used appropriately. Finally, the fixed fee may not adequately incentivize exceptional performance or innovation if not coupled with strong performance metrics and management.

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: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9113M21R0060

Offers Received: 7

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4920 CORPORATE DR NW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $35,978,491

Exercised Options: $29,565,744

Current Obligation: $21,290,576

Actual Outlays: $953,918

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline