PHMSA Awards $2.19M R&D Grant Management Tool to Techanax LLC for Pipeline Safety

Contract Overview

Contract Amount: $2,186,514 ($2.2M)

Contractor: Techanax LLC

Awarding Agency: Department of Transportation

Start Date: 2024-09-30

End Date: 2026-06-30

Contract Duration: 638 days

Daily Burn Rate: $3.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PURPOSE OF THIS TASK/DELIVERY ORDER IS TO FUND THE NEW PIPELINE & HAZARDOUS MATERIALS SAFETY ADMINISTRATION (PHMSA) PIPELINE RISK MANAGEMENT INFORMATION SYSTEM (PRIMIS) - RESEARCH & DEVELOPMENT (R&D) GRANT/PROJECT MANAGEMENT TOOL

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $2.2 million to TECHANAX LLC for work described as: THE PURPOSE OF THIS TASK/DELIVERY ORDER IS TO FUND THE NEW PIPELINE & HAZARDOUS MATERIALS SAFETY ADMINISTRATION (PHMSA) PIPELINE RISK MANAGEMENT INFORMATION SYSTEM (PRIMIS) - RESEARCH & DEVELOPMENT (R&D) GRANT/PROJECT MANAGEMENT TOOL Key points: 1. The contract focuses on R&D for PHMSA's PRIMIS system, aiming to improve pipeline risk management. 2. Techanax LLC is the sole awardee, indicating a specific capability or existing relationship. 3. The project duration is over 1.5 years, suggesting a substantial development or implementation effort. 4. The fixed-price contract type helps control costs for this R&D initiative.

Value Assessment

Rating: fair

The award amount of $2.19M for R&D grant management software over 20 months appears reasonable for a specialized system. Benchmarking against similar government R&D IT projects would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded via a BPA Call under full and open competition, suggesting multiple vendors could have bid. The specific selection process for this BPA Call is not detailed, but the initial competition for the BPA itself likely drove price discovery.

Taxpayer Impact: Taxpayer funds are being used for a critical safety initiative, aiming to enhance pipeline safety through improved data management and R&D oversight.

Public Impact

Enhances critical infrastructure safety by improving management of pipeline safety research. Supports the Department of Transportation's mission to ensure safe and efficient transportation. Provides a specialized tool for managing R&D grants, potentially leading to better safety outcomes. The project's success could influence future investments in pipeline safety technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics for the R&D tool.
Potential for scope creep in R&D projects.
Dependence on Techanax LLC for specialized knowledge.

Positive Signals

Focus on a critical safety area (pipeline risk management).
Use of a firm-fixed-price contract to manage costs.
Awarded under a competitive BPA, suggesting initial price vetting.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on custom software development and R&D support for a government agency. Spending benchmarks for similar federal IT R&D projects would be relevant for comparison.

Small Business Impact

The awardee, Techanax LLC, is not indicated as a small business. The contract was awarded under full and open competition, which does not preclude small business participation but does not specifically target it.

Oversight & Accountability

The award is managed by the Pipeline and Hazardous Materials Safety Administration (PHMSA) within the Department of Transportation. Oversight will likely involve regular progress reports, milestone reviews, and final acceptance testing of the grant management tool.

Related Government Programs

Other Computer Related Services
Department of Transportation Contracting
Pipeline and Hazardous Materials Safety Administration Programs

Risk Flags

Potential for vendor lock-in if Techanax LLC holds unique knowledge.
R&D projects can have uncertain outcomes and timelines.
Dependence on the effectiveness of the BPA Call process for competition.
Need for clear performance metrics to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.2 million to TECHANAX LLC. THE PURPOSE OF THIS TASK/DELIVERY ORDER IS TO FUND THE NEW PIPELINE & HAZARDOUS MATERIALS SAFETY ADMINISTRATION (PHMSA) PIPELINE RISK MANAGEMENT INFORMATION SYSTEM (PRIMIS) - RESEARCH & DEVELOPMENT (R&D) GRANT/PROJECT MANAGEMENT TOOL

Who is the contractor on this award?

The obligated recipient is TECHANAX LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Pipeline and Hazardous Materials Safety Administration).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-06-30.

What specific R&D outcomes are expected from the PRIMIS grant management tool, and how will their success be measured?

The expected R&D outcomes likely involve improved data analysis capabilities for pipeline risks, streamlined grant application and tracking processes, and enhanced collaboration among researchers and PHMSA. Success will be measured through metrics such as reduced grant processing times, increased data accuracy, improved identification of high-risk areas, and the successful implementation of new safety recommendations derived from R&D funded through the system.

What are the primary risks associated with developing a custom R&D grant management tool, and how are they being mitigated?

Key risks include technical challenges in integrating with existing systems, potential scope creep due to the evolving nature of R&D, and user adoption issues. Mitigation strategies likely involve phased development, clear requirements definition, robust testing protocols, and ongoing stakeholder engagement to ensure the tool meets user needs and adapts to project changes.

How will the effectiveness of the PRIMIS R&D grant management tool be evaluated post-deployment to ensure it contributes to improved pipeline safety?

Effectiveness will be evaluated through post-deployment reviews focusing on key performance indicators such as the timeliness and quality of R&D project outputs, the tool's ability to facilitate data-driven decision-making for safety initiatives, and user satisfaction surveys. Feedback loops will be established to identify areas for improvement and ensure the tool continuously supports PHMSA's safety mission.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14000 CROWN CT, WOODBRIDGE, VA, 22193

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $2,186,514

Exercised Options: $2,186,514

Current Obligation: $2,186,514

Actual Outlays: $1,943,568

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 693JJ319A000021

IDV Type: BPA

Timeline