DoD Awards $24M R&D Contract to Michigan Tech for Ground Vehicle Survivability

Contract Overview

Contract Amount: $24,005,714 ($24.0M)

Contractor: Michigan Technological University

Awarding Agency: Department of Defense

Start Date: 2024-09-24

End Date: 2027-09-22

Contract Duration: 1,093 days

Daily Burn Rate: $22.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: R&D

Official Description: TECHNICAL AND ENGINEERING SERVICES SUPPORT FOR ASSURED MOBILITY, SURVIVABILITY, AND MANEUVER SUPPORT MATERIAL SOLUTIONS FOR THE GROUND VEHICLE SYSTEMS CENTER GROUND VEHICLE SURVIVABILITY AND PROTECTION DIRECTORATE

Place of Performance

Location: HOUGHTON, HOUGHTON County, MICHIGAN, 49931

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $24.0 million to MICHIGAN TECHNOLOGICAL UNIVERSITY for work described as: TECHNICAL AND ENGINEERING SERVICES SUPPORT FOR ASSURED MOBILITY, SURVIVABILITY, AND MANEUVER SUPPORT MATERIAL SOLUTIONS FOR THE GROUND VEHICLE SYSTEMS CENTER GROUND VEHICLE SURVIVABILITY AND PROTECTION DIRECTORATE Key points: 1. Focuses on critical R&D for ground vehicle protection and maneuverability. 2. Michigan Technological University is the sole awardee, raising competition questions. 3. Potential risks include limited vendor pool and reliance on a single entity. 4. The R&D sector is vital for defense modernization and technological advancement.

Value Assessment

Rating: fair

The contract value of $24M over approximately three years appears reasonable for specialized R&D. However, without specific benchmarks for similar survivability research, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was sole-sourced, indicating a lack of competitive bidding. This approach may limit price discovery and potentially lead to higher costs than a competed contract.

Taxpayer Impact: Taxpayer funds are directed to a single entity without exploring potentially more cost-effective options through competition.

Public Impact

Enhances the survivability and effectiveness of ground vehicles, directly impacting soldier safety. Supports advancements in military technology, potentially providing a strategic advantage. Invests in research that could lead to broader applications in engineering and material science.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition.
Potential for cost overruns due to lack of competitive pressure.
Reliance on a single contractor for critical R&D.

Positive Signals

Addresses a critical defense need for vehicle survivability.
Partnership with a known research institution.
Long-term contract duration allows for sustained research.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences. Spending in this area is crucial for maintaining a technological edge, with benchmarks varying widely based on the specific research domain and complexity.

Small Business Impact

The contract was awarded to Michigan Technological University, an educational institution, not a small business. There is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The Department of the Army awarded this contract. Oversight will be crucial to ensure the R&D objectives are met efficiently and effectively, especially given the sole-source nature of the award.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Sole-source award limits competition and price discovery.
Potential for cost overruns due to lack of competitive pressure.
Reliance on a single entity for critical research.
Lack of transparency regarding the justification for sole-sourcing.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.0 million to MICHIGAN TECHNOLOGICAL UNIVERSITY. TECHNICAL AND ENGINEERING SERVICES SUPPORT FOR ASSURED MOBILITY, SURVIVABILITY, AND MANEUVER SUPPORT MATERIAL SOLUTIONS FOR THE GROUND VEHICLE SYSTEMS CENTER GROUND VEHICLE SURVIVABILITY AND PROTECTION DIRECTORATE

Who is the contractor on this award?

The obligated recipient is MICHIGAN TECHNOLOGICAL UNIVERSITY.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $24.0 million.

What is the period of performance?

Start: 2024-09-24. End: 2027-09-22.

What is the justification for the sole-source award, and were alternative competitive strategies considered?

The justification for a sole-source award typically involves unique capabilities, specialized knowledge, or urgent needs that only a specific entity can fulfill. Without further documentation, it's unclear if alternative competitive strategies were explored or deemed unfeasible for this particular research requirement. A thorough review would be needed to confirm the necessity of this approach.

How will the government ensure cost-effectiveness and prevent potential overruns in this sole-source R&D contract?

Ensuring cost-effectiveness in sole-source R&D contracts requires robust government oversight, clear performance metrics, and potentially independent cost analysis. The government should closely monitor expenditures against milestones, conduct regular reviews of the contractor's progress and financial reporting, and be prepared to negotiate adjustments if costs deviate significantly from projections without corresponding value.

What are the key performance indicators (KPIs) for this contract, and how will success in enhancing mobility, survivability, and maneuverability be measured?

Key performance indicators for this contract would likely focus on the successful development and testing of new materials, designs, or technologies that demonstrably improve ground vehicle survivability and maneuverability. Success would be measured through objective testing results, validation of technical performance against defined requirements, and the potential for successful integration into future vehicle platforms.

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: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W912CH24R0010

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 1400 TOWNSEND DR, HOUGHTON, MI, 49931

Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. National Government, Not Designated a Small Business, Higher Education (Public), U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $24,005,714

Exercised Options: $24,005,714

Current Obligation: $24,005,714

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $363,955

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline