NOAA awards $16.8M for scientific support, with 3 bidders competing for this delivery order

Contract Overview

Contract Amount: $16,837,953 ($16.8M)

Contractor: Earth Resources Technology, LLC

Awarding Agency: Department of Commerce

Start Date: 2021-07-01

End Date: 2026-09-30

Contract Duration: 1,917 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: SCIENTIFIC SUPPORT SERVICES

Place of Performance

Location: COLLEGE PARK, PRINCE GEORGES County, MARYLAND, 20740

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $16.8 million to EARTH RESOURCES TECHNOLOGY, LLC for work described as: SCIENTIFIC SUPPORT SERVICES Key points: 1. Value for money appears reasonable given the 3-bidder competition for this time and materials contract. 2. Competition dynamics show a healthy level of interest for this type of scientific support. 3. Risk indicators are moderate, with a long performance period and time-and-materials pricing. 4. Performance context is within the R&D sector, specifically physical, engineering, and life sciences. 5. Sector positioning is focused on Earth Resources Technology's expertise in scientific support services.

Value Assessment

Rating: good

This contract's value of $16.8 million for scientific support services over approximately five years seems competitive, especially considering it was awarded under full and open competition with three bidders. The time and materials (T&M) pricing structure, while common for R&D, warrants careful monitoring to ensure costs remain aligned with project milestones and deliverables. Benchmarking against similar scientific support contracts would provide further insight into the overall value proposition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of three bidders suggests a reasonable level of competition for these scientific support services. This level of competition is generally favorable for price discovery and can lead to more competitive pricing for the government.

Taxpayer Impact: The full and open competition with multiple bidders is beneficial for taxpayers, as it increases the likelihood of securing services at a fair market price and reduces the risk of overpayment.

Public Impact

This contract directly benefits the National Oceanic and Atmospheric Administration (NOAA) by providing essential scientific support. The services delivered are crucial for research and development in physical, engineering, and life sciences, contributing to NOAA's mission. The geographic impact is primarily within Maryland, where the contractor is located. Workforce implications include the creation or maintenance of jobs for scientists and technical personnel involved in research support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and materials pricing can lead to cost overruns if not closely managed.
The long duration of the contract (over 5 years) increases the risk of scope creep or evolving requirements.
Reliance on a single contractor for critical scientific support could pose a risk if performance issues arise.

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Multiple bidders (3) suggest a competitive environment that can drive better performance and pricing.
Contractor's specialization in scientific support aligns with the service requirements.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically NAICS code 541712 (Research and Development in the Physical, Engineering, and Life Sciences except Biotechnology). This sector is characterized by innovation and specialized expertise. Comparable spending in this area often involves significant investment in scientific personnel, equipment, and facilities. The market size for scientific support services is substantial, driven by government agencies and private sector research initiatives.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). As a result, small businesses may have participated as subcontractors, but there is no explicit indication of a small business subcontracting plan being a requirement for this specific award. The focus appears to be on securing the best value through open competition.

Oversight & Accountability

Oversight for this contract would typically be managed by the National Oceanic and Atmospheric Administration (NOAA) contracting officers and program managers. Accountability measures would be embedded in the contract's performance standards and delivery schedules. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Scientific Research Services
Engineering and Technical Support
National Oceanic and Atmospheric Administration Contracts
Research and Development Contracts
Federal Scientific Support

Risk Flags

Potential for cost overruns due to T&M pricing.
Long contract duration increases risk of scope creep.
Performance monitoring is critical for T&M contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $16.8 million to EARTH RESOURCES TECHNOLOGY, LLC. SCIENTIFIC SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is EARTH RESOURCES TECHNOLOGY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).

What is the total obligated amount?

The obligated amount is $16.8 million.

What is the period of performance?

Start: 2021-07-01. End: 2026-09-30.

What is the track record of Earth Resources Technology, LLC in performing similar scientific support contracts for the federal government?

A thorough review of Earth Resources Technology, LLC's past performance would be necessary to assess their track record. This would involve examining previous federal contracts, particularly those involving scientific support services for agencies like NOAA. Key metrics to analyze would include on-time delivery, quality of work, adherence to budget, and any past performance evaluations or disputes. Understanding their experience with similar R&D projects, especially those in physical, engineering, and life sciences, would provide crucial context for evaluating their capability to successfully execute this current $16.8 million contract. Without specific past performance data, it's difficult to definitively assess their reliability.

How does the awarded price compare to market rates for similar scientific support services?

Determining the precise value for money requires benchmarking this $16.8 million contract against market rates for comparable scientific support services. This involves analyzing the specific tasks, required expertise, and duration of the contract. Factors such as the labor categories, overhead rates, and profit margins used by Earth Resources Technology, LLC would need to be compared with industry standards and pricing data from similar government contracts. Given the time and materials (T&M) nature of the award, a key aspect of value assessment would be ensuring that the total expenditure aligns with the actual effort expended and the outcomes achieved. A detailed cost analysis or comparison with other T&M contracts for similar services would be essential.

What are the primary risks associated with the time and materials (T&M) pricing structure for this contract?

The primary risk associated with the time and materials (T&M) pricing structure for this $16.8 million scientific support contract is the potential for cost overruns and a lack of defined ceiling. Unlike fixed-price contracts, T&M agreements do not have a predetermined total cost, meaning the final price is based on the actual hours worked and materials used. This can lead to increased costs if project scope expands, inefficiencies in labor, or if the contractor's hourly rates are higher than anticipated. Effective oversight, including detailed tracking of labor hours, material costs, and regular progress reviews, is crucial to mitigate these risks and ensure the government receives good value. Establishing a contract ceiling and closely monitoring expenditures against it are vital.

How effective are NOAA's oversight mechanisms in managing this long-term scientific support contract?

The effectiveness of NOAA's oversight mechanisms for this 5-year, $16.8 million scientific support contract is critical. Standard oversight practices would include the appointment of a Contracting Officer's Representative (COR) to monitor performance, ensure compliance with contract terms, and approve invoices. Regular progress meetings, site visits, and performance reviews are also key. Given the T&M nature, rigorous scrutiny of timesheets and material requisitions is paramount. The success of these mechanisms depends on the COR's diligence, the clarity of performance metrics, and the contractor's transparency. Without specific details on NOAA's internal processes for this contract, a definitive assessment of oversight effectiveness cannot be made, but the framework for such oversight typically exists.

What is the historical spending trend for scientific support services by NOAA or similar agencies?

Analyzing historical spending trends for scientific support services by NOAA and comparable agencies provides valuable context for this $16.8 million award. Understanding the typical volume, duration, and average cost of such contracts can help determine if this award is within historical norms or represents an outlier. For instance, if NOAA consistently awards multi-million dollar contracts for scientific support over several years, this award appears consistent. Conversely, a significant deviation from past spending patterns might warrant further investigation into the reasons behind the change. Data on historical competition levels and pricing trends within this service category would also inform the assessment of current value.

What are the implications of awarding this contract under 'full and open competition' with three bidders?

Awarding this $16.8 million scientific support contract under 'full and open competition' with three bidders has several implications. Firstly, it signifies that the government sought the widest possible pool of qualified contractors, promoting fairness and potentially leading to better solutions and prices. Secondly, the presence of three bidders suggests a healthy level of market interest and competition for these services. This competitive environment generally benefits the government by driving down prices and encouraging higher quality performance. It also reduces the risk of contractor lock-in and provides opportunities for new or smaller firms to compete for significant federal work, provided they meet the qualifications.

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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 14401 SWEITZER LN STE 300, LAUREL, MD, 20707

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $19,854,840

Exercised Options: $19,854,840

Current Obligation: $16,837,953

Actual Outlays: $6,901,115

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DOCST133017CQ0049

IDV Type: IDC

Timeline