DoD awards $720K R&D contract to AI Signal Research Inc. for unspecified labor and materials
Contract Overview
Contract Amount: $29,097,739 ($29.1M)
Contractor: AI Signal Research Inc
Awarding Agency: Department of Defense
Start Date: 2013-04-03
End Date: 2017-09-30
Contract Duration: 1,641 days
Daily Burn Rate: $17.7K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: IGF::CT::IGF TASK ORDER 0005 TO FUND LABOR ($519,997.66) AND MATERIAL ($200,000.00) IN THE AMOUNT OF $719,997.66.
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35898
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $29.1 million to AI SIGNAL RESEARCH INC for work described as: IGF::CT::IGF TASK ORDER 0005 TO FUND LABOR ($519,997.66) AND MATERIAL ($200,000.00) IN THE AMOUNT OF $719,997.66. Key points: 1. Contract awarded for Research and Development in Physical, Engineering, and Life Sciences. 2. AI Signal Research Inc. is the sole contractor for this task order. 3. The contract duration spans over 4 years. 4. The total value is $719,997.66.
Value Assessment
Rating: questionable
The contract value of $719,997.66 for a 4-year R&D effort is difficult to assess without specific deliverables or benchmarks. Pricing for labor and materials is not detailed, making direct comparison challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. Without competition, there's a reduced incentive for the contractor to offer the most competitive pricing, potentially leading to higher costs for the government.
Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for the R&D services provided.
Public Impact
Taxpayers may be overpaying due to the absence of competitive bidding. The specific R&D outcomes and their benefit to the public are unclear. The long contract duration without clear milestones raises questions about efficient use of funds.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Unspecified deliverables
- Cost-plus contract type
Positive Signals
- Supports R&D sector
- Long-term engagement
Sector Analysis
This contract falls under the Research and Development sector, specifically NAICS code 541712. Spending in this sector is crucial for innovation but requires careful oversight to ensure value for money, especially in cost-plus arrangements.
Small Business Impact
The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The 'NOT COMPETED' status and cost-plus contract type warrant close oversight to ensure the contractor is delivering value and managing costs effectively. Transparency on deliverables and performance is key.
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
- Lack of competition
- Cost-plus contract type
- Unspecified deliverables
- Long contract duration without clear milestones
- Potential for cost overruns
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 $29.1 million to AI SIGNAL RESEARCH INC. IGF::CT::IGF TASK ORDER 0005 TO FUND LABOR ($519,997.66) AND MATERIAL ($200,000.00) IN THE AMOUNT OF $719,997.66.
Who is the contractor on this award?
The obligated recipient is AI SIGNAL RESEARCH 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 $29.1 million.
What is the period of performance?
Start: 2013-04-03. End: 2017-09-30.
What specific research and development objectives were achieved with the $719,997.66 awarded?
The provided data lacks specific details on the research and development objectives or deliverables associated with this task order. Without this information, it's impossible to assess the value or effectiveness of the funds expended. Further investigation into contract performance reports and final outcomes would be necessary to determine what was achieved.
How does the cost-plus fixed fee structure impact the risk of cost overruns for this R&D contract?
Cost-plus fixed fee contracts can shift some cost risk to the government, as the contractor is reimbursed for allowable costs plus a fixed fee. While the fixed fee provides some incentive for efficiency, the government bears the risk of cost overruns if the initial cost estimates are inaccurate or if unforeseen issues arise during the R&D process.
What is the strategic importance of this R&D effort to the Department of the Army, justifying a sole-source award?
The provided data does not explain the strategic importance or the justification for a sole-source award. Typically, sole-source awards are made when only one responsible source can provide the required supplies or services. Understanding the specific technological need or unique capability of AI Signal Research Inc. would be crucial to evaluating this decision.
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: RESEARCH AND DEVELOPMENT › General Science and Technology R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 2001 NICHOLS DR STE 300, HUNTSVILLE, AL, 35802
Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $29,097,739
Exercised Options: $29,097,739
Current Obligation: $29,097,739
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W31P4Q12D0021
IDV Type: IDC
Timeline
Start Date: 2013-04-03
Current End Date: 2017-09-30
Potential End Date: 2017-09-30 12:09:00
Last Modified: 2020-04-07
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