DoD's $23.7M GPS Antenna Contract: Research & Development Spending Raises Questions on Value and Competition

Contract Overview

Contract Amount: $23,758,143 ($23.8M)

Contractor: Mayflower Communications Company, Inc.

Awarding Agency: Department of Defense

Start Date: 2017-09-30

End Date: 2022-06-30

Contract Duration: 1,734 days

Daily Burn Rate: $13.7K/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: MULTI-PLATFORM ANTI-JAM GPS NAV ANTENNA IGF::OT::IGF

Place of Performance

Location: BEDFORD, MIDDLESEX County, MASSACHUSETTS, 01730

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $23.8 million to MAYFLOWER COMMUNICATIONS COMPANY, INC. for work described as: MULTI-PLATFORM ANTI-JAM GPS NAV ANTENNA IGF::OT::IGF Key points: 1. Significant R&D investment in a critical navigation component. 2. Competition was limited after excluding sources, potentially impacting price discovery. 3. Contract duration of 1734 days suggests a long-term need. 4. No small business participation noted.

Value Assessment

Rating: questionable

The contract's Cost Plus Fixed Fee structure for R&D can lead to cost overruns. Benchmarking is difficult without specific unit cost data, but the total award of $23.7M over nearly five years warrants scrutiny for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' indicates a non-standard procurement. This method limits the pool of potential offerors and may not have resulted in the most competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for advanced R&D. The limited competition raises concerns about whether the government secured the best possible price for this technology.

Public Impact

Ensures advanced GPS capabilities for military operations. Supports technological advancement in navigation systems. Potential for dual-use technology benefiting civilian sectors. Funding for specialized R&D in Massachusetts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Cost-plus contract type
  • No small business involvement

Positive Signals

  • Supports critical defense technology
  • Long-term contract indicates sustained need

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. Spending in this sector is crucial for innovation but requires careful oversight due to inherent uncertainties and potential for cost growth.

Small Business Impact

The contract explicitly states no small business participation. This misses an opportunity to support small businesses in the defense technology sector and may indicate a focus on larger, established contractors.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' requires justification. Oversight should focus on ensuring this exclusion was necessary and that the fixed fee adequately incentivized cost control.

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

  • Limited competition raises value concerns.
  • Cost-plus contract type increases government cost risk.
  • Lack of small business participation.
  • R&D spending requires strong justification for value.
  • Potential for cost overruns due to contract type and R&D nature.

Tags

research-and-development-in-the-physical, department-of-defense, ma, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $23.8 million to MAYFLOWER COMMUNICATIONS COMPANY, INC.. MULTI-PLATFORM ANTI-JAM GPS NAV ANTENNA IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is MAYFLOWER COMMUNICATIONS COMPANY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $23.8 million.

What is the period of performance?

Start: 2017-09-30. End: 2022-06-30.

What was the justification for excluding other sources in the competition for this GPS antenna contract?

The justification for excluding other sources is critical. Typically, such exclusions are based on factors like unique capabilities, proprietary technology, or urgent needs that only a specific vendor can meet. Without this justification, the limited competition appears to be a missed opportunity for broader market engagement and potentially better pricing.

How does the Cost Plus Fixed Fee structure impact the risk of cost overruns for this R&D contract?

Cost Plus Fixed Fee (CPFF) contracts share cost risk between the government and the contractor. While the contractor is incentivized to control costs to maximize their fixed fee, the government bears the majority of the cost risk. For R&D, where outcomes are uncertain, CPFF can lead to significant cost growth if not managed diligently through robust oversight and clear performance metrics.

What is the long-term strategic value of investing $23.7M in this specific GPS antenna R&D?

The long-term strategic value hinges on the technological advancements achieved. If this R&D leads to significantly improved anti-jamming capabilities or enhanced GPS accuracy, it provides a critical advantage for defense operations. However, without clear performance outcomes and a roadmap for integration, the value proposition remains uncertain, especially given the limited competition and cost-plus structure.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W911W617R0020

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mayflower Communications Company Inc.

Address: 11 OAK PARK DR STE 200, BEDFORD, MA, 01730

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

Financial Breakdown

Contract Ceiling: $23,775,542

Exercised Options: $23,758,143

Current Obligation: $23,758,143

Actual Outlays: $2,318,082

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2017-09-30

Current End Date: 2022-06-30

Potential End Date: 2022-06-30 00:00:00

Last Modified: 2025-12-31

More Contracts from Mayflower Communications Company, Inc.

View all Mayflower Communications Company, Inc. federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending