Air Force Awards $22.9M for R&D to American Systems Corp via Full and Open Competition
Contract Overview
Contract Amount: $22,951,227 ($23.0M)
Contractor: American Systems Corporation
Awarding Agency: Department of Defense
Start Date: 2011-05-01
End Date: 2016-06-12
Contract Duration: 1,869 days
Daily Burn Rate: $12.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: FA7046-11-D-0001 TO 0001/AWARD TO 0001 CORE PLANNING
Place of Performance
Location: EDWARDS, KERN County, CALIFORNIA, 93524
Plain-Language Summary
Department of Defense obligated $23.0 million to AMERICAN SYSTEMS CORPORATION for work described as: FA7046-11-D-0001 TO 0001/AWARD TO 0001 CORE PLANNING Key points: 1. Significant R&D investment by the Air Force. 2. American Systems Corp secured a large contract. 3. Full and open competition suggests potential for competitive pricing. 4. Contract spans multiple years, indicating ongoing research needs.
Value Assessment
Rating: good
The contract's Cost Plus Fixed Fee (CPFF) structure allows for flexibility in R&D but can lead to higher costs if not managed closely. Benchmarking CPFF contracts in R&D is challenging due to variability.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing compared to sole-source or limited solicitations.
Taxpayer Impact: Taxpayer funds are being used for critical R&D, with the expectation of technological advancements. The competitive award aims to ensure value for money.
Public Impact
Supports advanced research and development efforts for the Air Force. Potential for technological breakthroughs that could benefit national security. Contract provides significant revenue to American Systems Corporation. The duration of the contract suggests a long-term commitment to the research area.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- CPFF contracts can incentivize cost overruns if not closely monitored.
- R&D outcomes are inherently uncertain, with no guarantee of successful results.
- Contract duration may exceed actual needs if project scope changes.
Positive Signals
- Awarded through full and open competition, maximizing potential value.
- Supports critical research and development for a major defense agency.
- Long contract duration indicates sustained investment in a specific capability.
Sector Analysis
This contract falls within the Research and Development sector, specifically physical, engineering, and life sciences. Spending in this area is crucial for innovation and maintaining technological superiority, with typical contract values varying widely based on project scope and complexity.
Small Business Impact
The data indicates this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct benefit to small businesses from this specific award, though subcontractors could potentially be involved.
Oversight & Accountability
The Department of the Air Force is responsible for oversight. The use of a CPFF contract requires diligent monitoring of costs and progress to ensure accountability and prevent waste.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Cost overruns possible with CPFF structure.
- R&D outcomes are inherently uncertain.
- Contract duration may not align with evolving needs.
- Lack of small business participation in prime contract.
Tags
research-and-development-in-the-physical, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $23.0 million to AMERICAN SYSTEMS CORPORATION. FA7046-11-D-0001 TO 0001/AWARD TO 0001 CORE PLANNING
Who is the contractor on this award?
The obligated recipient is AMERICAN SYSTEMS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $23.0 million.
What is the period of performance?
Start: 2011-05-01. End: 2016-06-12.
What specific R&D advancements are expected from this contract, and how will their success be measured?
The specific R&D advancements are not detailed in the provided data. Success measurement would typically involve predefined technical milestones, performance metrics, and deliverables outlined in the contract's statement of work. The Air Force's program office would be responsible for tracking progress against these benchmarks and ensuring the contractor meets the agreed-upon objectives for the research.
Given the CPFF structure, what mechanisms are in place to control costs and prevent potential overruns?
Cost Plus Fixed Fee contracts require robust government oversight. Mechanisms typically include detailed cost tracking, regular audits, negotiation of fee based on performance, and clear limitations on allowable costs. The Air Force contracting officer and technical team would monitor expenditures closely against the estimated cost and the fixed fee, intervening if costs deviate significantly from projections.
How does this contract align with the Air Force's broader R&D strategy and priorities?
Without specific details on the R&D focus, it's difficult to assess alignment. However, significant investments in R&D by the Air Force generally aim to maintain technological superiority, address emerging threats, and develop next-generation capabilities. This contract likely supports a specific strategic objective within the Air Force's research and development roadmap, contributing to long-term modernization efforts.
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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: FA704610R0005
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 14151 PARK MEADOW DR STE 500, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $24,490,673
Exercised Options: $24,490,673
Current Obligation: $22,951,227
Subaward Activity
Number of Subawards: 3
Total Subaward Amount: $1,316,167
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA704611D0001
IDV Type: IDC
Timeline
Start Date: 2011-05-01
Current End Date: 2016-06-12
Potential End Date: 2016-06-12 00:00:00
Last Modified: 2017-09-28
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