DoD's $70.6M SETA Contract for Missile Defense Countermeasures Awarded to Teledyne Brown Engineering

Contract Overview

Contract Amount: $70,568,671 ($70.6M)

Contractor: Teledyne Brown Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-09-24

End Date: 2011-07-31

Contract Duration: 1,040 days

Daily Burn Rate: $67.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: SETA SUPPORT FOR TARGETS AND COUNTERMEASURES (TC)

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $70.6 million to TELEDYNE BROWN ENGINEERING, INC. for work described as: SETA SUPPORT FOR TARGETS AND COUNTERMEASURES (TC) Key points: 1. The contract focuses on research and development for missile defense targets and countermeasures. 2. Competition was limited, with the award being a delivery order under a previous contract. 3. Potential risks include the lack of competitive pricing and the long duration of the contract. 4. The sector is Research and Development, specifically within physical and engineering sciences.

Value Assessment

Rating: fair

The contract's value of $70.6 million over approximately three years suggests a significant investment. Without specific benchmarks for SETA support in missile defense R&D, a direct pricing comparison is difficult. However, the Time and Materials (T&M) pricing structure can sometimes lead to cost overruns if not closely managed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded as a delivery order, indicating it was likely not competed at the task order level. The 'NOT COMPETED' status suggests a sole-source or limited competition scenario, which may have impacted price discovery and potentially led to a higher price than if full and open competition had been pursued.

Taxpayer Impact: The lack of robust competition could mean taxpayers are not receiving the best possible value for the funds expended on this critical missile defense research.

Public Impact

Supports the development of advanced missile defense capabilities. Research may lead to technological advancements in countermeasure strategies. Contract duration spans over three years, indicating a sustained effort. Geographically located in Alabama, potentially impacting local economies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the Research and Development sector, specifically focusing on physical and engineering sciences related to missile defense. Spending in this area is crucial for national security, but often involves high costs due to the specialized nature of the work and the need for cutting-edge innovation.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as indicated by 'sb': false. The prime contractor, Teledyne Brown Engineering, is a large business. There is no information provided on subcontracting opportunities for small businesses.

Oversight & Accountability

The 'NOT COMPETED' status raises questions about the oversight applied to ensure fair pricing and value. Further review of the justification for other than full and open competition would be necessary to assess accountability.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, al, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $70.6 million to TELEDYNE BROWN ENGINEERING, INC.. SETA SUPPORT FOR TARGETS AND COUNTERMEASURES (TC)

Who is the contractor on this award?

The obligated recipient is TELEDYNE BROWN ENGINEERING, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Missile Defense Agency).

What is the total obligated amount?

The obligated amount is $70.6 million.

What is the period of performance?

Start: 2008-09-24. End: 2011-07-31.

What was the specific justification for not competing this delivery order, and how was the price determined to be fair and reasonable?

The justification for not competing this delivery order would typically involve factors such as unique capabilities of the incumbent contractor, urgency of the requirement, or specific program continuity needs. The contracting officer must still perform a price analysis to ensure the price is fair and reasonable, often by comparing it to historical prices, other contract types, or independent government cost estimates.

What are the potential risks associated with using a Time and Materials (T&M) contract for R&D services, especially in a non-competed scenario?

T&M contracts can pose risks of cost overruns because the government pays for the time and materials used, rather than a fixed outcome. In a non-competed scenario, the incentive for the contractor to control costs might be reduced. Effective oversight, detailed work breakdown structures, and clear performance metrics are crucial to mitigate these risks and ensure value.

How does the long duration (1040 days) of this contract impact the agility and relevance of the research being conducted?

A long contract duration can be beneficial for complex R&D projects requiring sustained effort and development. However, it can also pose a risk if the threat landscape or technological requirements evolve rapidly. The agency must ensure mechanisms are in place for periodic reviews and potential adjustments to maintain the research's relevance and effectiveness throughout its lifecycle.

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: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Teledyne Technologies Incorporated (UEI: 112358432)

Address: 300 SPARKMAN DR NW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $75,654,278

Exercised Options: $75,654,278

Current Obligation: $70,568,671

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ014708D0006

IDV Type: IDC

Timeline

Start Date: 2008-09-24

Current End Date: 2011-07-31

Potential End Date: 2011-07-31 00:00:00

Last Modified: 2018-10-17

More Contracts from Teledyne Brown Engineering, Inc.

View all Teledyne Brown Engineering, Inc. federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending