DoD awards Northrop Grumman $22.3M for Missile and Space Systems R&D, ending Jan 2024
Contract Overview
Contract Amount: $22,338,676 ($22.3M)
Contractor: Northrop Grumman Information Technology Inc
Awarding Agency: Department of Defense
Start Date: 2005-12-20
End Date: 2024-01-25
Contract Duration: 6,610 days
Daily Burn Rate: $3.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS AWARD FEE
Sector: Defense
Official Description: 200604!000036!5700!FA8632!ASC/TMK !FA863205D2453 !A!N! !N!0002 ! !20051220!20100129!064677243!016435559!016435559!N!NORTHROP GRUMMAN INFORMATION T!7575 COLSHIRE DRIVE !MC LEAN !VA!22102!48376!059!51!MCLEAN !FAIRFAX !VIRGINIA !+000000677400!N!N!000000000000!AC22!RDTE/MISSILE AND SPACE SYSTEMS-APPLIED RESEARCH !A5 !WEAPONS !362 !BMDS !541710!E! !3!B!S! ! !D!20100131!B! ! !A! !A!N!R!2!001!B! !Z!Y!Z! ! !N!C!N! ! ! !A!C!A!A!000!A!C!N! ! ! !Y! ! !0001! !
Place of Performance
Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810
Plain-Language Summary
Department of Defense obligated $22.3 million to NORTHROP GRUMMAN INFORMATION TECHNOLOGY INC for work described as: 200604!000036!5700!FA8632!ASC/TMK !FA863205D2453 !A!N! !N!0002 ! !20051220!20100129!064677243!016435559!016435559!N!NORTHROP GRUMMAN INFORMATION T!7575 COLSHIRE DRIVE !MC LEAN !VA!22102!48376!059!51!MCLEAN !FAIRFAX !VIRGINIA !+000000677400!N!N!000000000000!AC22!RDTE/MISSILE AND S… Key points: 1. Contract value of $22.3M for applied research in missile and space systems. 2. Competition was full and open, suggesting a competitive bidding process. 3. Risk appears moderate given the R&D nature and contract type. 4. Sector focus is Defense, specifically missile and space systems R&D.
Value Assessment
Rating: fair
The contract value of $22.3M for applied research in missile and space systems is difficult to benchmark without more specific data on similar R&D efforts. The Cost Plus Award Fee structure allows for flexibility but can lead to higher costs if not managed tightly.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes price discovery and competitive pricing, though the specific impact on this contract's final price is not detailed.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary defense research and development.
Public Impact
Advancement in missile and space systems technology could have significant national security implications. Investment in R&D supports technological superiority for the Department of Defense. The contract duration extends over several years, indicating a long-term research objective.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee structure can incentivize cost overruns.
- Long contract duration may present evolving technical and programmatic risks.
Positive Signals
- Full and open competition suggests potential for cost savings.
- Focus on applied research aligns with strategic defense needs.
Sector Analysis
This contract falls within the Defense sector, specifically focusing on Research and Development for missile and space systems. Spending in this area is critical for maintaining technological advantage but can be subject to cost fluctuations due to the inherent uncertainties of R&D.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. The prime contractor, Northrop Grumman Information Technology Inc., is a large entity, suggesting limited direct opportunities for small businesses unless they are subcontractors.
Oversight & Accountability
The Department of Defense and the Defense Contract Management Agency are responsible for oversight. The Cost Plus Award Fee contract type requires diligent monitoring to ensure performance and cost control, with award fees tied to meeting objectives.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Award Fee structure
- Long contract duration (approx. 19 years from award to end date)
- Applied research nature carries inherent uncertainty
- Prime contractor is a large business, potentially limiting small business prime opportunities
Tags
research-and-development-in-the-physical, department-of-defense, ma, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.3 million to NORTHROP GRUMMAN INFORMATION TECHNOLOGY INC. 200604!000036!5700!FA8632!ASC/TMK !FA863205D2453 !A!N! !N!0002 ! !20051220!20100129!064677243!016435559!016435559!N!NORTHROP GRUMMAN INFORMATION T!7575 COLSHIRE DRIVE !MC LEAN !VA!22102!48376!059!51!MCLEAN !FAIRFAX !VIRGINIA !+000000677400!N!N!000000000000!AC22!RDTE/MISSILE AND SPACE SYSTEMS-APPLIED RESEARCH !A5 !WEAPONS !362 !BMDS !541710!E! !3!B!S! ! !D!20100131!B! ! !A! !A!N!R!2!001!B! !Z!Y!Z! ! !N!C!N! ! ! !A!C!A!A!000!A!C!N! ! ! !Y! ! !0001! !
Who is the contractor on this award?
The obligated recipient is NORTHROP GRUMMAN INFORMATION TECHNOLOGY INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $22.3 million.
What is the period of performance?
Start: 2005-12-20. End: 2024-01-25.
What specific technological advancements are expected from this $22.3M R&D contract, and how do they align with current defense priorities?
The contract focuses on 'Research and Development in the Physical, Engineering, and Life Sciences' specifically for 'RDTE/MISSILE AND SPACE SYSTEMS-APPLIED RESEARCH'. While the exact technological advancements are proprietary, they likely aim to enhance capabilities in areas such as missile defense, space-based surveillance, or advanced propulsion systems, directly supporting the Department of Defense's strategic objectives for maintaining technological superiority and national security in these critical domains.
What are the primary risks associated with a Cost Plus Award Fee contract for applied research in missile and space systems?
The primary risks include potential cost overruns, as the contractor is reimbursed for costs plus a fee that can be adjusted based on performance. For applied research, the inherent uncertainty in achieving desired outcomes means that costs may escalate without guaranteed success. Additionally, defining and measuring performance metrics for award fees in complex R&D can be challenging, potentially leading to disputes or suboptimal outcomes if not clearly established and monitored.
How does the 'full and open competition' method impact the overall effectiveness and value for money in this specific contract?
Full and open competition is intended to maximize the pool of potential offerors, fostering a competitive environment that drives down prices and encourages innovation, thereby enhancing value for money. For this contract, it suggests that multiple qualified contractors had the opportunity to bid, potentially leading to a more favorable price and a solution that best meets the government's technical requirements. The effectiveness is further supported by the applied research focus, aiming for advanced capabilities.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
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
Offers Received: 1
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Northrop Grumman Corporation
Address: 7575 COLSHIRE DRIVE, MCLEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA863205D2453
IDV Type: IDC
Timeline
Start Date: 2005-12-20
Current End Date: 2024-01-25
Potential End Date: 2024-01-25 00:00:00
Last Modified: 2024-01-25
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