DoD Awards $24.6M for Engineering Services to IIT Research Institute, Raising Oversight Concerns

Contract Overview

Contract Amount: $24,609,355 ($24.6M)

Contractor: IIT Research Institute

Awarding Agency: Department of Defense

Start Date: 2003-09-22

End Date: 2007-09-30

Contract Duration: 1,469 days

Daily Burn Rate: $16.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Sector: R&D

Official Description: 200312!000552!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133903D0300 !A!N! !N!0108 !20030922!20050425!005447826!005447826!005447826!N!IIT RESEARCH INSTITUTE !10 WEST 35TH STREET !CHICAGO !IL!60616!14000!031!17!CHICAGO !COOK !ILLINOIS !+000000351500!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !541710!E! !5!A!S! ! ! !99990909!B! ! !A! !A!U!U!2!002!A! !Z!N!Z! ! !N!Z!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: CHICAGO, COOK County, ILLINOIS, 60601

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $24.6 million to IIT RESEARCH INSTITUTE for work described as: 200312!000552!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133903D0300 !A!N! !N!0108 !20030922!20050425!005447826!005447826!005447826!N!IIT RESEARCH INSTITUTE !10 WEST 35TH STREET !CHICAGO !IL!60616!14000!031!17!CHICAGO !COOK … Key points: 1. Contract awarded for engineering technical services to IIT Research Institute. 2. Significant value of $24.6 million over a 5-year period. 3. Full and open competition was utilized, but oversight flags are present. 4. Sector is Research and Development, with a focus on engineering services.

Value Assessment

Rating: questionable

The contract value of $24.6 million for engineering technical services appears high for the period. Benchmarking against similar contracts for R&D services is difficult without more specific task details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the presence of multiple oversight flags warrants further investigation into the price discovery and fairness of the award.

Taxpayer Impact: Taxpayer funds are being utilized for this contract. While competition was sought, the identified oversight issues could potentially lead to less than optimal value for money.

Public Impact

Research and Development funding allocated for critical engineering services. Potential for technological advancements stemming from the contracted services. Ensuring accountability in government spending on specialized technical expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically for engineering technical services. Spending in this area is crucial for innovation but requires careful oversight to ensure value and effectiveness.

Small Business Impact

There is no indication that small businesses were involved in this contract award. Further analysis would be needed to determine if subcontracting opportunities were explored or made available.

Oversight & Accountability

The presence of multiple oversight flags suggests potential areas for improvement in contract management and accountability. Regular reviews and audits are essential to ensure compliance and effective use of funds.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.6 million to IIT RESEARCH INSTITUTE. 200312!000552!1700!A8301 !NAVAL AIR WARFARE CNETER TRAININ!N6133903D0300 !A!N! !N!0108 !20030922!20050425!005447826!005447826!005447826!N!IIT RESEARCH INSTITUTE !10 WEST 35TH STREET !CHICAGO !IL!60616!14000!031!17!CHICAGO !COOK !ILLINOIS !+000000351500!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !S1 !SERVICES !2000!NOT DISCERNABLE OR CLASSIFIED !541710!E! !5!A!S! ! ! !99990909!B

Who is the contractor on this award?

The obligated recipient is IIT RESEARCH INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2003-09-22. End: 2007-09-30.

What specific engineering technical services are being provided under this contract, and how do they align with the stated R&D objectives?

The provided data indicates 'ENGINEERING TECHNICAL SERVICES' under NAICS code 541710 (Research and Development in the Physical, Engineering, and Life Sciences). However, the specific nature of these services, their deliverables, and their direct contribution to R&D objectives are not detailed. Further documentation would be required to understand the precise scope and alignment.

Given the oversight flags, what are the primary risks associated with this contract's execution and financial management?

The primary risks include potential cost overruns due to insufficient detailed scope, lack of transparency in performance metrics, and potential for inefficient resource allocation. The flags suggest a need for enhanced monitoring to ensure the contractor delivers value and adheres to contract terms, mitigating financial waste and ensuring mission accomplishment.

How can the effectiveness of the engineering services be measured to ensure optimal value for the taxpayer?

Effectiveness can be measured through clearly defined performance metrics, key performance indicators (KPIs), and regular progress reviews tied to project milestones. Independent technical assessments of deliverables, comparison of outcomes against contract objectives, and post-award surveys of stakeholder satisfaction can also provide insights into the value achieved.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Contractor Details

Address: 10 WEST 35TH STREET, CHICAGO, IL, 60616

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6133903D0300

IDV Type: IDC

Timeline

Start Date: 2003-09-22

Current End Date: 2007-09-30

Potential End Date: 2007-09-30 00:00:00

Last Modified: 2021-04-01

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