Over $35.7M Awarded to I. M. Systems Group, Inc. for R&D Services by Noaa

Contract Overview

Contract Amount: $35,754,884 ($35.8M)

Contractor: I. M. Systems Group, Inc.

Awarding Agency: Department of Commerce

Start Date: 2012-09-18

End Date: 2018-06-20

Contract Duration: 2,101 days

Daily Burn Rate: $17.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: R&D

Official Description: SCI TECH

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20910

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $35.8 million to I. M. SYSTEMS GROUP, INC. for work described as: SCI TECH Key points: 1. Contract awarded for research and development services, indicating investment in scientific advancement. 2. The contract was competed under full and open competition, suggesting a robust selection process. 3. A significant duration of 2101 days points to a long-term project or service requirement. 4. The award type is a delivery order, often used for specific taskings within a larger contract vehicle. 5. The North American Industry Classification System (NAICS) code 541712 categorizes the work under physical, engineering, and life sciences R&D. 6. The contractor, I. M. SYSTEMS GROUP, INC., has secured a substantial award, reflecting their capabilities in the specified R&D domain.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables or performance metrics. The total award amount of over $35.7 million over approximately five years suggests a significant investment in research and development. However, without comparable contracts for similar R&D services or detailed cost breakdowns, it's difficult to definitively assess value for money. The time and materials pricing structure can sometimes lead to cost overruns if not closely managed, which warrants careful oversight.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while the competition was initially broad, certain sources were excluded at some stage. The presence of 5 bidders suggests a moderate level of competition. The exclusion of sources, if not clearly justified, could potentially limit price discovery and innovation, although the fact that multiple bids were received is a positive sign.

Taxpayer Impact: A fully and openly competed contract generally offers better value to taxpayers by encouraging competitive pricing. However, the exclusion of sources warrants scrutiny to ensure it did not unduly restrict competition and inflate costs.

Public Impact

The primary beneficiaries are likely the scientific and research communities that will utilize the outcomes of the R&D services. Services delivered fall under research and development in physical, engineering, and life sciences, contributing to technological and scientific progress. The geographic impact is primarily tied to the contractor's location in Maryland and the agency's operations, but the R&D outcomes could have broader national or global implications. Workforce implications include employment opportunities for researchers, scientists, and support staff within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost escalation due to the time and materials pricing structure if not rigorously managed.
The 'exclusion of sources' in the competition process requires further investigation to ensure fairness and optimal value.
Lack of specific performance metrics makes it difficult to assess the true impact and success of the R&D investment.

Positive Signals

Awarded through a full and open competition process, indicating a structured procurement.
Multiple bidders (5) participated, suggesting a degree of market interest and potential for competitive pricing.
The contract duration of over 2000 days indicates a sustained need for the R&D services provided.

Sector Analysis

The contract falls within the Research and Development (R&D) sector, specifically NAICS code 541712. This sector is characterized by innovation and scientific advancement, often involving significant government investment to drive progress in areas like physical sciences, engineering, and life sciences. The market for R&D services is competitive, with numerous firms vying for government contracts. Comparable spending benchmarks would typically involve analyzing other R&D contracts awarded by agencies like NOAA or other scientific bodies for similar research areas.

Small Business Impact

This contract does not appear to have a small business set-aside (ss=false, sb=false). There is no explicit information regarding subcontracting plans for small businesses. This suggests that the primary focus was on large business capabilities for this specific R&D requirement, and the impact on the small business ecosystem for this particular award is likely minimal unless the prime contractor voluntarily engages small business subcontractors.

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 tied to the delivery of R&D services as outlined in the contract. Transparency is facilitated through contract databases like FPDS, which provide basic award information. Specific Inspector General jurisdiction would depend on the nature of any potential fraud, waste, or abuse identified within the contract's execution.

Related Government Programs

National Oceanic and Atmospheric Administration Research Contracts
Federal Scientific and Technical Services
Department of Commerce R&D Spending
Physical Sciences Research Grants
Engineering Services Contracts

Risk Flags

Potential for limited competition due to source exclusion.
Time and Materials pricing structure may pose cost control risks.
Lack of specific performance metrics hinders outcome assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $35.8 million to I. M. SYSTEMS GROUP, INC.. SCI TECH

Who is the contractor on this award?

The obligated recipient is I. M. SYSTEMS GROUP, INC..

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 $35.8 million.

What is the period of performance?

Start: 2012-09-18. End: 2018-06-20.

What specific research and development projects were undertaken under this contract?

The provided data does not detail the specific research and development projects undertaken. The contract falls under NAICS code 541712, 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology).' This broad category suggests a wide range of potential R&D activities. To understand the specific projects, one would need to access the contract's statement of work (SOW) or task orders, which are not included in the provided summary data. These documents would outline the objectives, methodologies, deliverables, and timelines for the R&D efforts funded by this award.

How does the cost of this contract compare to similar R&D contracts awarded by NOAA or other agencies?

Direct cost comparison is difficult without knowing the specific R&D focus and deliverables. However, the total award of over $35.7 million over approximately five years ($7.14M/year average) for R&D services is substantial. To benchmark, one would need to identify comparable contracts for similar scientific disciplines (e.g., atmospheric research, oceanography, engineering) awarded by NOAA or agencies like NSF, NASA, or DOD. Factors like contract duration, number of bidders, and the specific technical requirements would be crucial for a meaningful comparison. The time and materials (T&M) pricing structure also introduces variability compared to fixed-price contracts.

What are the key performance indicators (KPIs) used to measure the success of this R&D contract?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. R&D contracts often measure success through milestones achieved, successful experimentation, data analysis, prototype development, publications, patents, or the successful transition of research findings into practical applications. The specific KPIs would be detailed in the contract's Statement of Work (SOW) and any associated Task Orders. Without access to these documents, assessing performance against defined metrics is not possible.

What is the track record of I. M. SYSTEMS GROUP, INC. in performing similar R&D contracts for the federal government?

I. M. SYSTEMS GROUP, INC. has been awarded this significant contract by the Department of Commerce's National Oceanic and Atmospheric Administration (NOAA) for R&D services. To assess their track record, a deeper dive into their contract history would be necessary. This would involve reviewing past performance evaluations, any awards or penalties received, and the types and scale of previous R&D contracts they have successfully executed for federal agencies. The current award suggests they possess the capabilities and competitiveness to secure substantial government R&D work.

What is the significance of the 'exclusion of sources' clause in the competition process?

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' designation implies that while the procurement was intended to be broadly competitive, certain potential sources were deliberately excluded at some point in the process. This exclusion must be justified by the agency, often due to specific technical requirements, security concerns, or prior relationships that make certain sources unsuitable or unnecessary. While it can streamline the process, it raises questions about whether the exclusion limited the pool of qualified bidders and potentially impacted price competition. A thorough review of the justification for exclusion is needed to ensure fairness and optimal value for taxpayers.

How has federal spending in the R&D sector (NAICS 541712) trended in recent years, and how does this contract fit within that trend?

Federal spending in the R&D sector, particularly under NAICS code 541712, generally reflects national priorities in scientific and technological advancement. Trends can fluctuate based on budget allocations, administration priorities, and national needs (e.g., pandemic response, climate change research). This $35.7 million contract represents a significant, multi-year investment by NOAA in physical, engineering, and life sciences R&D. Its place within the broader trend depends on the specific sub-fields it addresses and the overall federal R&D budget for those areas. Analyzing historical spending data for NOAA and similar agencies would provide context on whether this award is consistent with, or an expansion of, previous investment levels in this R&D category.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 3206 TOWER OAKS BLVD STE 300, ROCKVILLE, MD, 20852

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $48,735,650

Exercised Options: $48,735,650

Current Obligation: $35,754,884

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DOCDG133E12CQ0021

IDV Type: IDC

Timeline