State Department awards $7.2M contract for scientific and technical consulting, with limited competition

Contract Overview

Contract Amount: $7,215,000 ($7.2M)

Contractor: THE Johns Hopkins University Applied Physics Laboratory LLC

Awarding Agency: Department of State

Start Date: 2020-09-07

End Date: 2026-03-06

Contract Duration: 2,006 days

Daily Burn Rate: $3.6K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: CREW

Place of Performance

Location: LAUREL, HOWARD County, MARYLAND, 20723

State: Maryland Government Spending

Plain-Language Summary

Department of State obligated $7.2 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC for work described as: CREW Key points: 1. Contract value of $7.2M over six years suggests a moderate annual spend. 2. The 'Other Scientific and Technical Consulting Services' category is broad, encompassing diverse potential activities. 3. A sole-source award raises questions about potential cost efficiencies and market-driven pricing. 4. The contract duration of over six years indicates a long-term need for these services. 5. The awardee, Johns Hopkins University Applied Physics Laboratory, has a strong track record in research and development. 6. Geographic concentration in Maryland may indicate a focus on specific research facilities or personnel.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables. The $7.2M total award over approximately six years averages around $1.2M annually. This figure is moderate for specialized scientific consulting. However, without knowing the specific services rendered, it's difficult to compare against similar contracts or assess if the pricing is competitive. The Cost Plus Fixed Fee (CPFF) contract type can sometimes lead to higher costs if not carefully managed, but it is appropriate for research and development where costs are uncertain.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor was solicited. This approach is typically used when a unique capability or specialized expertise is required that cannot be met by multiple sources. The lack of competition means there was no opportunity for price discovery through a bidding process, potentially leading to higher costs for the government compared to a competed contract.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, as the government did not explore offers from multiple vendors. This could result in a higher overall expenditure for the services provided.

Public Impact

The primary beneficiary is the Department of State, which receives specialized scientific and technical consulting services. These services likely support critical research, analysis, or development initiatives for national security or foreign policy objectives. The geographic impact is concentrated in Maryland, suggesting the work is performed at or near the awardee's facilities. The contract supports highly skilled personnel in scientific and technical fields, contributing to the specialized workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The 'Other Scientific and Technical Consulting Services' sector is vast and encompasses a wide range of specialized expertise. This contract likely falls within the government's broader R&D and professional services spending. Comparable spending benchmarks are difficult to establish without knowing the specific nature of the consulting. However, the federal government consistently spends billions annually on scientific and technical services across various agencies, supporting everything from basic research to advanced technological development.

Small Business Impact

This contract does not appear to have a small business set-aside. The awardee, Johns Hopkins University Applied Physics Laboratory, is a large research institution. There is no indication of subcontracting requirements for small businesses within the provided data. This means the direct economic impact on the small business ecosystem from this specific contract is likely minimal.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of State's contracting officers and program managers. As a Cost Plus Fixed Fee contract, rigorous monitoring of costs and performance is essential. Transparency regarding the justification for the sole-source award and the specific deliverables would be key to assessing accountability. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Risk Flags

Tags

scientific-and-technical-consulting, department-of-state, maryland, sole-source, cost-plus-fixed-fee, research-and-development, professional-services, federal-contract, non-competitive

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $7.2 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC. CREW

Who is the contractor on this award?

The obligated recipient is THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $7.2 million.

What is the period of performance?

Start: 2020-09-07. End: 2026-03-06.

What specific scientific and technical consulting services are being provided under this contract?

The provided data classifies this contract under NAICS code 541690, 'Other Scientific and Technical Consulting Services.' This is a broad category that can include a wide range of activities such as research and development consulting, engineering consulting, environmental consulting, and management consulting related to scientific and technical fields. Without further details from the contract award notice or associated documentation, the precise nature of the services remains unspecified. However, given the awardee is the Johns Hopkins University Applied Physics Laboratory (JHU APL), it is highly probable that the services relate to advanced research, technology development, systems engineering, or scientific analysis supporting national security or foreign policy objectives for the Department of State.

How does the $7.2 million award amount compare to similar sole-source contracts for scientific consulting services?

Comparing the $7.2 million award amount for this sole-source contract requires context regarding the specific services and duration. The contract spans from September 7, 2020, to March 6, 2026, a period of approximately 6.5 years. This averages to roughly $1.1 million per year. Sole-source contracts, by their nature, lack direct price competition, making direct value comparisons difficult. However, for specialized scientific and technical consulting, especially involving R&D or unique expertise like that offered by JHU APL, this annual figure can be considered moderate. Larger, multi-year sole-source contracts for complex R&D projects can easily reach tens or hundreds of millions of dollars. The key determinant of value here lies in the criticality and uniqueness of the services provided relative to the cost.

What are the primary risks associated with a sole-source award for scientific and technical consulting?

The primary risk associated with a sole-source award is the potential for inflated pricing due to the absence of competitive bidding. Without competing offers, the government may not achieve the most favorable price. Another risk is a lack of innovation or urgency, as the contractor may face less pressure to deliver exceptional value or explore novel solutions compared to a competitive environment. Furthermore, sole-source awards can raise concerns about fairness and transparency in the procurement process. For scientific and technical consulting, there's also a risk that the government might overlook alternative, potentially more cost-effective solutions or providers if a thorough market research was not conducted prior to determining the sole-source justification.

What is the track record of The Johns Hopkins University Applied Physics Laboratory LLC with federal contracts?

The Johns Hopkins University Applied Physics Laboratory LLC (JHU APL) has a long and distinguished track record of performing complex research, development, and engineering work for the U.S. government, particularly for agencies like the Department of Defense and NASA. They are renowned for their expertise in areas such as national security, space exploration, and advanced technology development. JHU APL consistently receives significant federal funding, often through large, sole-source, or competitively awarded contracts, reflecting their specialized capabilities and trusted status as a research institution. Their history indicates a strong performance record in delivering sophisticated scientific and technical solutions.

How does the contract type (Cost Plus Fixed Fee) influence the government's risk and potential for cost overruns?

The Cost Plus Fixed Fee (CPFF) contract type is often used when the scope of work is well-defined, but the exact costs are uncertain, particularly in research and development. Under CPFF, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. The government bears the risk of cost overruns if actual costs exceed estimates. However, the fixed fee provides the contractor with an incentive to control costs, as their profit is capped. Effective government oversight is crucial to manage this risk, ensuring that all costs are reasonable, allocable, and allowable, and that the contractor is diligently working towards the fixed fee objectives without unnecessary expenditures.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesOther Scientific and Technical Consulting Services

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 11100 JOHNS HOPKINS RD, LAUREL, MD, 20723

Business Categories: Category Business, Educational Institution, Higher Education, Limited Liability Corporation, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private), Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,014,090

Exercised Options: $9,487,584

Current Obligation: $7,215,000

Actual Outlays: $2,679,142

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 19AQMM20D0064

IDV Type: IDC

Timeline

Start Date: 2020-09-07

Current End Date: 2026-03-06

Potential End Date: 2026-03-06 00:00:00

Last Modified: 2025-12-23

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