DoD's $12.5M R&D Contract with P E SYSTEMS, INC. Awarded via Full and Open Competition
Contract Overview
Contract Amount: $12,516,749 ($12.5M)
Contractor: P E Systems, Inc.
Awarding Agency: Department of Defense
Start Date: 2008-02-21
End Date: 2013-04-17
Contract Duration: 1,882 days
Daily Burn Rate: $6.7K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: LABOR HOURS
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 $12.5 million to P E SYSTEMS, INC. for work described as: PASS BASIC IDIQ Key points: 1. Contract value of $12.5M for R&D services. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. Contractor is P E SYSTEMS, INC., based in Virginia. 4. Services fall under NAICS code 541710 (Research and Development in Physical, Engineering, and Life Sciences).
Value Assessment
Rating: fair
The contract value of $12.5M is moderate for R&D services. Benchmarking against similar contracts is difficult without more specific service details, but the duration and labor hour pricing suggest a potentially fair market price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using 'Full and Open Competition After Exclusion of Sources'. This method aims for broad competition while allowing for specific exclusions, which can impact price discovery if exclusions are not well-justified.
Taxpayer Impact: The competitive award process is intended to ensure taxpayer funds are used efficiently, though the specific impact depends on the rigor of the evaluation and negotiation.
Public Impact
Supports critical research and development efforts for the Department of the Air Force. Potential for technological advancements stemming from the R&D activities. Contractor performance could influence future DoD technological capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 66 / 10
Warning Flags
- Ambiguity in 'Exclusion of Sources' justification.
- Limited transparency on specific R&D outcomes.
- Potential for cost overruns in long-term R&D projects.
Positive Signals
- Awarded through a competitive process.
- Contractor has a base in the US.
- Clear NAICS code for R&D services.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this sector is crucial for innovation but can be subject to cost variability and long development cycles.
Small Business Impact
The data indicates the primary contractor is P E SYSTEMS, INC., and it is not flagged as a small business. There is no information provided on subcontracting opportunities for small businesses.
Oversight & Accountability
The contract was awarded by the Department of the Air Force, part of the Department of Defense. Oversight would typically involve program managers and contracting officers ensuring adherence to contract terms and R&D milestones.
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
- Potential lack of transparency regarding excluded sources.
- R&D outcomes can be inherently uncertain and may not yield desired results.
- Labor hour contracts can be susceptible to scope creep and cost overruns if not managed tightly.
- Limited information on small business participation.
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 $12.5 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 $12.5 million.
What is the period of performance?
Start: 2008-02-21. End: 2013-04-17.
What specific R&D advancements were achieved under this contract, and did they meet the initial objectives?
Assessing the specific R&D advancements requires access to project reports and performance evaluations. Without these, it's difficult to determine if the contract met its objectives. The 'Research and Development in the Physical, Engineering, and Life Sciences' category suggests potential for innovation, but the ultimate value is realized through successful application or further development of the research outcomes.
How did the 'Exclusion of Sources' in the competition process impact the final price and overall value for taxpayers?
The 'Full and Open Competition After Exclusion of Sources' method implies that while the competition was generally open, certain potential sources were deliberately excluded. The impact on price and value depends heavily on the justification for these exclusions. If valid technical or specialized reasons existed, the impact might be minimal. However, poorly justified exclusions could limit competition, potentially leading to higher prices or reduced value.
What is the long-term strategic impact of this R&D investment on the Department of the Air Force's capabilities?
The long-term strategic impact hinges on the nature of the R&D conducted and its successful integration into Air Force systems or doctrine. Investments in R&D are intended to foster future capabilities, enhance operational effectiveness, and maintain technological superiority. The $12.5M investment, spread over approximately 5 years, suggests a focused effort that could yield significant, albeit potentially specialized, strategic advantages if the research proves fruitful and applicable.
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: 8
Pricing Type: LABOR HOURS (Z)
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: $24,236,015
Exercised Options: $12,853,652
Current Obligation: $12,516,749
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: 2008-02-21
Current End Date: 2013-04-17
Potential End Date: 2013-04-17 00:00:00
Last Modified: 2017-08-18
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