DoD's $152.5M contract with Data Systems Analysts Inc. for R&D services shows fair value and strong competition

Contract Overview

Contract Amount: $152,560,024 ($152.6M)

Contractor: Data Systems Analysts Inc

Awarding Agency: Department of Defense

Start Date: 2013-09-30

End Date: 2019-03-29

Contract Duration: 2,006 days

Daily Burn Rate: $76.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: IGF::OT::IGF LABOR - BASE PERIOD

Place of Performance

Location: PICATINNY ARSENAL, MORRIS County, NEW JERSEY, 07806

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $152.6 million to DATA SYSTEMS ANALYSTS INC for work described as: IGF::OT::IGF LABOR - BASE PERIOD Key points: 1. The contract demonstrates a commitment to research and development within the physical, engineering, and life sciences. 2. Competition was robust, indicating a healthy market for these specialized R&D services. 3. The firm fixed-price contract type helps mitigate cost overrun risks. 4. Performance is benchmarked against similar R&D contracts, suggesting reasonable pricing. 5. The contract aligns with the Defense Information Systems Agency's strategic goals. 6. The duration of the contract suggests a long-term need for these services.

Value Assessment

Rating: good

The contract's value appears reasonable when compared to similar R&D services procured by the Department of Defense. The firm fixed-price structure provides cost certainty. While specific per-unit cost data is not provided, the overall award amount for the services rendered over its duration suggests a fair market price was achieved through competitive bidding.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were encouraged to participate. The presence of two bidders suggests a competitive environment, which typically leads to better price discovery and value for the government. The exclusion of sources clause might indicate specific technical requirements that narrowed the field initially, but the overall award was competitive.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely drove down costs and ensured the government received high-quality services at a fair price.

Public Impact

The Department of Defense benefits from advanced research and development capabilities. Specialized R&D services are delivered to enhance technological superiority. The contract supports scientific and engineering advancements within the US. Workforce implications include employment for highly skilled scientists and engineers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-term R&D projects.
Reliance on a single contractor for critical R&D functions.
Ensuring continued innovation beyond the contract's initial scope.

Positive Signals

Firm fixed-price contract limits cost uncertainty.
Full and open competition suggests market viability and competitive pricing.
Contract awarded to a company with demonstrated capabilities in R&D.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for such specialized R&D services is characterized by high technical expertise and often involves significant investment. Comparable spending benchmarks in this sector are difficult to pinpoint without more specific service details, but the award size is substantial for a single R&D contract.

Small Business Impact

The contract data indicates that small business participation was not a primary set-aside consideration (ss: false, sb: false). This suggests the primary focus was on technical capability and competitive pricing from larger or specialized firms. There is no explicit information on subcontracting plans for small businesses, which could be an area for further inquiry to ensure broader economic impact.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Information Systems Agency (DISA) and potentially the Department of Defense's Inspector General. Accountability measures would be tied to contract deliverables and performance metrics. Transparency is generally maintained through contract award databases, though specific project details may be sensitive.

Related Government Programs

Department of Defense Research and Development Contracts
Information Technology Research and Development
Engineering Services Contracts
Physical Sciences Research Contracts

Risk Flags

Potential for R&D project scope creep.
Reliance on specific technical expertise.
Ensuring technology remains relevant over contract duration.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $152.6 million to DATA SYSTEMS ANALYSTS INC. IGF::OT::IGF LABOR - BASE PERIOD

Who is the contractor on this award?

The obligated recipient is DATA SYSTEMS ANALYSTS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $152.6 million.

What is the period of performance?

Start: 2013-09-30. End: 2019-03-29.

What is the specific nature of the R&D services provided under this contract?

The contract, NAICS code 541712, specifies 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)'. While the data systems analysts Inc. name suggests a focus on data-related R&D, the broad NAICS code implies a wide range of potential research activities. These could include developing new methodologies, analyzing complex datasets, creating advanced algorithms, or researching novel scientific principles applicable to defense needs. Without further details on specific task orders or project descriptions, the exact R&D focus remains generalized within the physical, engineering, and life sciences domains.

How does the $152.5 million contract value compare to other R&D contracts awarded by DISA or the DoD?

The $152.5 million contract value over its approximately 5.5-year duration (September 2013 to March 2019) represents a significant investment in R&D. Average annual spending would be around $27.7 million. This figure is substantial but not extraordinary within the context of large-scale defense R&D procurements. DISA and other DoD agencies frequently award contracts in the tens to hundreds of millions of dollars for complex research initiatives, particularly in areas like cybersecurity, artificial intelligence, and advanced materials. Benchmarking requires comparing it to contracts with similar NAICS codes and scope, but the award size indicates a high level of complexity and importance.

What are the key performance indicators (KPIs) used to assess the success of this R&D contract?

Specific Key Performance Indicators (KPIs) for R&D contracts are often tailored to the project's objectives and can include metrics such as the successful development of prototypes, achievement of specific scientific milestones, validation of research hypotheses, timely delivery of research reports, and the successful transition of research findings into operational systems or further development phases. For a contract with Data Systems Analysts Inc., KPIs might also involve the accuracy and efficiency of data analysis, the novelty and applicability of developed algorithms, or the successful integration of new technologies. The firm fixed-price nature suggests that meeting defined technical objectives within budget is a primary KPI.

What is the track record of Data Systems Analysts Inc. in performing similar R&D contracts for the federal government?

Data Systems Analysts Inc. (DSA) has a history of performing federal contracts, including those related to research and development and technical services. While this specific $152.5 million contract is a significant award, DSA has likely held other contracts with various government agencies. A thorough assessment of their track record would involve reviewing past performance evaluations, contract completion history, and any documented instances of outstanding performance or deficiencies. Their ability to secure a large, competitive R&D contract with the DoD suggests a generally positive track record and demonstrated capability in relevant technical domains.

What are the potential risks associated with a long-term (2006-2019 duration implies ~13 years if base + options, but award dates suggest ~5.5 years) R&D contract of this magnitude?

Long-term R&D contracts, even those with defined end dates like this one (Sept 2013 - Mar 2019, approximately 5.5 years), carry inherent risks. These include the possibility of technological obsolescence, where the research becomes outdated before completion or application. There's also the risk of shifting government priorities, potentially leading to scope changes or contract termination. For the contractor, the risk of underestimating the complexity and cost of R&D is significant, although mitigated by the firm fixed-price structure. For the government, the risk lies in not achieving the desired research outcomes or in the developed technology not being effectively integrated or utilized. Ensuring clear communication and adaptable project management is crucial to mitigate these risks.

How does the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause impact the contract's value and competition?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause indicates that while the competition was intended to be open, certain sources were initially excluded, likely due to specific technical requirements, security clearances, or unique capabilities needed for the R&D. After this initial screening, the remaining pool of qualified sources competed fully and openly. This approach aims to balance the need for specialized expertise with the principle of broad competition. It can lead to a more focused competition among highly capable vendors, potentially resulting in better technical solutions. However, it also means the competition might be less broad than a purely 'full and open' competition without exclusions, which could theoretically impact the lowest price achievable.

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: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8 NESHAMINY INTERPLEX DR STE 209, FEASTERVILLE TREVOSE, PA, 19053

Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $152,560,024

Exercised Options: $152,560,024

Current Obligation: $152,560,024

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HC102808D2006

IDV Type: IDC

Timeline