Transportation Research Center Inc. awarded $8.6M contract for biomechanics research, a sole-source delivery order

Contract Overview

Contract Amount: $8,594,776 ($8.6M)

Contractor: Transportation Research Center Inc

Awarding Agency: Department of Transportation

Start Date: 2024-07-01

End Date: 2029-06-30

Contract Duration: 1,825 days

Daily Burn Rate: $4.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: NEW TO AGAINST TRC IDIQ CONTRACT: 693JJ923D000057 BIOMECHANICS RESEARCH

Place of Performance

Location: EAST LIBERTY, LOGAN County, OHIO, 43319

State: Ohio Government Spending

Plain-Language Summary

Department of Transportation obligated $8.6 million to TRANSPORTATION RESEARCH CENTER INC for work described as: NEW TO AGAINST TRC IDIQ CONTRACT: 693JJ923D000057 BIOMECHANICS RESEARCH Key points: 1. Contract awarded on a sole-source basis, raising questions about competitive pricing. 2. The contract duration of five years suggests a long-term need for these services. 3. Performance is located in Ohio, potentially impacting local workforce and economy. 4. The cost-plus-fixed-fee structure requires careful monitoring to ensure cost control. 5. This contract falls under testing laboratories and services, a niche but critical sector.

Value Assessment

Rating: fair

The contract value of $8.6 million over five years averages to approximately $1.7 million annually. Without comparable sole-source contracts for biomechanics research, a direct value-for-money assessment is challenging. The cost-plus-fixed-fee (CPFF) pricing structure, while allowing flexibility, can lead to higher costs if not managed diligently. Benchmarking against competitively awarded contracts for similar research services would be necessary for a more robust evaluation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a sole-source delivery order, meaning it was not competed among multiple vendors. This approach is typically used when a specific contractor possesses unique capabilities or when circumstances preclude full and open competition. The lack of competition means that price discovery through market forces was not utilized, potentially leading to a higher price than if multiple bids were solicited.

Taxpayer Impact: Taxpayers may not have received the best possible price due to the absence of a competitive bidding process. The government did not leverage market competition to drive down costs for this essential research.

Public Impact

The National Highway Traffic Safety Administration (NHTSA) is the primary beneficiary, utilizing the research for its safety initiatives. Services delivered include specialized biomechanics testing and research, crucial for understanding human factors in transportation safety. The geographic impact is concentrated in Ohio, where the Transportation Research Center Inc. is located. The contract supports specialized scientific and technical roles within the biomechanics research field.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potentially increases cost to taxpayers.
Cost-plus-fixed-fee contract type requires robust oversight to prevent cost overruns.
Lack of publicly available performance metrics makes it difficult to assess contractor efficiency.
Limited transparency in the procurement process due to sole-source nature.

Positive Signals

Contract supports critical research for the National Highway Traffic Safety Administration's safety mission.
Long-term contract (5 years) indicates a stable and ongoing need for specialized expertise.
Contractor is located in Ohio, potentially supporting regional economic activity.

Sector Analysis

The contract falls within the 'Testing Laboratories and Services' industry (NAICS code 541380). This sector is vital for product development, quality assurance, and regulatory compliance across various industries, including automotive and transportation. The market for specialized biomechanics research is relatively niche, often requiring significant investment in specialized equipment and expertise. Comparable spending benchmarks are difficult to establish without more specific details on the research scope, but federal agencies frequently contract for such services to inform policy and product standards.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of biomechanics research and the sole-source award, it is unlikely that subcontracting opportunities for small businesses will be a significant component unless specifically mandated or initiated by the prime contractor. The absence of a set-aside means that small businesses were not specifically targeted for this particular procurement.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Transportation and the National Highway Traffic Safety Administration. As a delivery order under an IDIQ contract, the existing oversight mechanisms for the parent contract would apply. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to the contract.

Related Government Programs

Federal Motor Vehicle Safety Standards Research
Human Factors Research
Automotive Safety Research
Transportation Safety Research

Risk Flags

Sole-source award
Cost-plus-fixed-fee contract type
Lack of competitive bidding

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $8.6 million to TRANSPORTATION RESEARCH CENTER INC. NEW TO AGAINST TRC IDIQ CONTRACT: 693JJ923D000057 BIOMECHANICS RESEARCH

Who is the contractor on this award?

The obligated recipient is TRANSPORTATION RESEARCH CENTER INC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (National Highway Traffic Safety Administration).

What is the total obligated amount?

The obligated amount is $8.6 million.

What is the period of performance?

Start: 2024-07-01. End: 2029-06-30.

What is the track record of Transportation Research Center Inc. with federal contracts, particularly with the Department of Transportation?

Transportation Research Center Inc. (TRC) has a history of receiving federal contracts, primarily from agencies like the Department of Transportation (DOT) and the National Highway Traffic Safety Administration (NHTSA). Their specialization in vehicle testing, safety research, and biomechanics aligns with the core missions of these agencies. While specific details on past performance metrics for individual contracts are not readily available in this summary, TRC's continued awards suggest a satisfactory performance history. The current contract, a delivery order under an IDIQ, indicates a pre-existing relationship or qualification under a broader contract vehicle. Further analysis would require examining TRC's contract award history, past performance reviews, and any documented issues or successes on previous DOT/NHTSA projects.

How does the $8.6 million contract value compare to similar biomechanics research contracts awarded by the government?

Directly comparing the $8.6 million value for this specific biomechanics research contract is challenging without knowing the precise scope of work and deliverables. However, federal agencies, particularly NHTSA, do award significant contracts for safety research. For instance, contracts for vehicle crashworthiness testing, advanced driver-assistance systems (ADAS) research, and human factors studies can range from several hundred thousand to tens of millions of dollars over multiple years. The five-year duration of this contract ($1.7 million annually on average) places it in the mid-to-large range for specialized research projects. The sole-source nature, however, prevents a direct comparison to competitively bid contracts, which might have yielded different pricing structures and values.

What are the primary risks associated with a sole-source, cost-plus-fixed-fee contract for biomechanics research?

The primary risks associated with this sole-source, cost-plus-fixed-fee (CPFF) contract are twofold. Firstly, the sole-source award bypasses the competitive bidding process, which inherently limits price discovery and could result in the government paying a premium compared to a competed contract. There's a reduced incentive for the contractor to aggressively control costs if the government bears the majority of the risk. Secondly, the CPFF structure, while providing flexibility for research that may have uncertain cost trajectories, shifts significant cost risk to the government. If the contractor's actual costs exceed the estimated costs, the government is obligated to pay them, plus the fixed fee. Effective oversight, detailed cost tracking, and clear performance metrics are crucial to mitigate these risks and ensure value for taxpayer money.

What is the expected effectiveness of the biomechanics research funded by this contract for improving transportation safety?

The effectiveness of the biomechanics research funded by this contract is expected to be high, given its direct support for the National Highway Traffic Safety Administration's (NHTSA) mission. Biomechanics research is fundamental to understanding how the human body interacts with vehicle structures during crashes, the effectiveness of safety systems (like airbags and seatbelts), and the development of injury criteria. Findings from this research can directly inform the development or revision of Federal Motor Vehicle Safety Standards (FMVSS), lead to improvements in vehicle design, and enhance the efficacy of occupant protection technologies. The five-year duration suggests a commitment to in-depth study, which is necessary for generating robust data that can translate into tangible safety improvements and potentially save lives.

How does this contract fit into the broader historical spending patterns for transportation safety research by the federal government?

This $8.6 million contract for biomechanics research fits within a consistent pattern of federal investment in transportation safety. Agencies like NHTSA have historically allocated substantial budgets towards understanding crash dynamics, human injury, and vehicle safety performance. Spending in this area fluctuates based on research priorities, technological advancements, and legislative mandates. Contracts for biomechanics research, vehicle testing, and safety standards development are recurring expenditures. While the specific amount of this contract is significant for a single award, it represents a portion of the overall federal commitment to reducing traffic fatalities and injuries, a priority that has seen sustained funding over decades, albeit with varying levels of emphasis on different research areas.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Testing Laboratories and Services

Product/Service Code: RESEARCH AND DEVELOPMENT › General Science and Technology R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 693JJ924R000069

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 10820 STATE ROUTE 347, EAST LIBERTY, OH, 43319

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,680,237

Exercised Options: $8,594,776

Current Obligation: $8,594,776

Actual Outlays: $4,889,608

Subaward Activity

Number of Subawards: 12

Total Subaward Amount: $3,492,530

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JJ923D000057

IDV Type: IDC

Timeline