DoD's $94.3M R&D Contract with P E SYSTEMS, INC. Awarded via Full and Open Competition
Contract Overview
Contract Amount: $94,322,767 ($94.3M)
Contractor: P E Systems, Inc.
Awarding Agency: Department of Defense
Start Date: 2008-03-13
End Date: 2013-04-17
Contract Duration: 1,861 days
Daily Burn Rate: $50.7K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 10
Pricing Type: COST NO FEE
Sector: R&D
Official Description: PASS BASIC IDIQ
Place of Performance
Location: FAIRFAX, FAIRFAX CITY County, VIRGINIA, 22030
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $94.3 million to P E SYSTEMS, INC. for work described as: PASS BASIC IDIQ Key points: 1. Significant R&D investment of $94.3M highlights focus on innovation. 2. Full and open competition suggests a competitive bidding process. 3. Contract duration of 1861 days indicates a long-term project. 4. Research and Development sector spending is substantial across government.
Value Assessment
Rating: good
The contract type is Cost No Fee, which is common for R&D where final costs can be uncertain. The award amount of $94.3M is substantial, but without specific benchmarks for this R&D area, a precise value assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a competitive process that allowed for broad participation. This method generally promotes price discovery and potentially better value.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for research and development.
Public Impact
Advancements in physical, engineering, and life sciences could lead to new technologies. The contract supports innovation within the Department of Defense. Long-term R&D projects can have significant future economic and security implications.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics makes it hard to gauge effectiveness.
- Cost-plus contracts can sometimes lead to cost overruns if not managed tightly.
Positive Signals
- Awarded through full and open competition.
- Significant investment in critical R&D sector.
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector (NAICS 541710). Government spending in R&D is crucial for technological advancement and national security, with significant annual outlays.
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 'VA' (Virginia) state code and 'Department of the Air Force' agency provide some geographic and departmental context. Oversight would typically involve program managers and contracting officers ensuring milestones and deliverables are met.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Contract duration is lengthy (1861 days).
- Cost No Fee structure requires careful monitoring.
- Specific R&D deliverables are not detailed.
- Small business participation is unknown.
Tags
research-and-development-in-the-physical, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $94.3 million to P E SYSTEMS, INC.. PASS BASIC IDIQ
Who is the contractor on this award?
The obligated recipient is P E SYSTEMS, INC..
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 $94.3 million.
What is the period of performance?
Start: 2008-03-13. End: 2013-04-17.
What specific R&D outcomes were achieved under this contract?
The provided data does not detail the specific research outcomes or deliverables. Further investigation into contract performance reports and final technical reports would be necessary to assess the tangible results and innovations stemming from this $94.3M investment.
How did the 'Cost No Fee' structure impact the final cost compared to initial estimates?
A 'Cost No Fee' contract means the contractor is reimbursed for allowable costs but receives no fee or profit. This structure is often used when the scope of work is uncertain, aiming to control costs by removing profit incentive, but requires diligent oversight to prevent unnecessary expenditures.
What is the benchmark for R&D contracts of this size and scope in the physical, engineering, and life sciences sector?
Benchmarking R&D contracts is complex due to the variable nature of research. However, a $94.3M award over five years for specialized R&D suggests a significant, potentially high-impact project. Comparing it to similar long-term, high-value research efforts within DoD or other agencies would provide context.
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: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 10
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Address: 10201 FAIRFAX BLVD, FAIRFAX, VA, 22030
Business Categories: Black American Owned Business, Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $195,943,645
Exercised Options: $99,005,246
Current Obligation: $94,322,767
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA872107D0008
IDV Type: IDC
Timeline
Start Date: 2008-03-13
Current End Date: 2013-04-17
Potential End Date: 2013-04-17 00:00:00
Last Modified: 2017-08-18
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