DoD's $21M R&D Contract Awarded to IIT Research Institute Under Full and Open Competition

Contract Overview

Contract Amount: $21,095,899 ($21.1M)

Contractor: IIT Research Institute

Awarding Agency: Department of Defense

Start Date: 2009-09-30

End Date: 2012-09-29

Contract Duration: 1,095 days

Daily Burn Rate: $19.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: TECHNICAL AREA TASKS

Place of Performance

Location: CHICAGO, COOK County, ILLINOIS, 60616

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $21.1 million to IIT RESEARCH INSTITUTE for work described as: TECHNICAL AREA TASKS Key points: 1. The contract value is $21.1 million, focused on Research and Development. 2. IIT Research Institute secured the award through full and open competition. 3. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 4. The sector is R&D, a critical area for technological advancement.

Value Assessment

Rating: fair

The contract value of $21.1 million for a 3-year period appears reasonable for specialized R&D tasks. Benchmarking against similar R&D contracts is difficult without more specific task details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for critical R&D, with the competitive award aiming for efficient use of resources.

Public Impact

Supports advanced research and development efforts for the Department of Defense. Potential for technological advancements that could benefit national security. The use of Cost Plus Fixed Fee contracts requires careful monitoring to ensure cost control.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS code 541710. Spending in this sector is crucial for innovation but can be subject to cost volatility and long development cycles.

Small Business Impact

The data does not indicate any specific set-aside for small businesses, suggesting larger, established firms were likely the primary competitors.

Oversight & Accountability

Oversight will be critical for the Department of the Air Force to manage the Cost Plus Fixed Fee structure effectively and ensure deliverables meet R&D objectives.

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 $21.1 million to IIT RESEARCH INSTITUTE. TECHNICAL AREA TASKS

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 Air Force).

What is the total obligated amount?

The obligated amount is $21.1 million.

What is the period of performance?

Start: 2009-09-30. End: 2012-09-29.

What specific R&D areas are covered by this contract, and how do they align with current Air Force priorities?

The contract details are limited to 'TECHNICAL AREA TASKS' under NAICS 541710. A deeper dive into the specific technical areas would be necessary to assess alignment with Air Force priorities and the potential for groundbreaking advancements. Without this, it's difficult to gauge the strategic value beyond general R&D.

What are the key performance indicators (KPIs) for this contract, and how will success be measured?

The provided data lacks specific KPIs. For a Cost Plus Fixed Fee R&D contract, success measurement is often tied to milestones, technical reports, prototypes, or successful demonstrations. The absence of defined KPIs in this summary raises a risk regarding objective performance evaluation and accountability for the $21.1 million investment.

How does the fixed fee component of this contract compare to industry standards for similar R&D efforts?

The 'fixed fee' portion of a Cost Plus Fixed Fee contract is negotiated upfront. Without knowing the total contract value breakdown between cost reimbursement and fixed fee, a direct comparison is impossible. Industry standards vary widely based on project complexity, risk, and duration. A review of the fixed fee percentage relative to the estimated costs would be needed for a proper assessment.

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 DEVELOPMENTOTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

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

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

Financial Breakdown

Contract Ceiling: $21,095,899

Exercised Options: $21,095,899

Current Obligation: $21,095,899

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: 2009-09-30

Current End Date: 2012-09-29

Potential End Date: 2012-09-29 00:00:00

Last Modified: 2021-04-01

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