DoD's $39M Space Control A&AS contract to Linquest Corp. shows R&D focus

Contract Overview

Contract Amount: $39,257,836 ($39.3M)

Contractor: Linquest Corporation

Awarding Agency: Department of Defense

Start Date: 2008-04-23

End Date: 2013-05-31

Contract Duration: 1,864 days

Daily Burn Rate: $21.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: HQ AFSPC SPACE CONTROL A&AS

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $39.3 million to LINQUEST CORPORATION for work described as: HQ AFSPC SPACE CONTROL A&AS Key points: 1. Contract awarded for Research and Development in Physical, Engineering, and Life Sciences. 2. Linquest Corporation secured this definitive contract under full and open competition. 3. The contract duration was over 5 years, indicating a significant project timeline. 4. Awarded by the Department of Defense, highlighting strategic defense-related R&D. 5. The contract type was Cost Plus Fixed Fee, common for R&D projects. 6. No small business set-aside was utilized for this procurement.

Value Assessment

Rating: fair

The contract's value of approximately $39.2 million over five years suggests a moderate investment in specialized R&D services. Benchmarking this against similar R&D contracts in the defense sector is challenging without more specific service details. However, the Cost Plus Fixed Fee (CPFF) structure implies that costs were reimbursed plus a fixed fee for profit, which can sometimes lead to less price certainty compared to fixed-price contracts. The absence of detailed performance metrics makes a definitive value-for-money assessment difficult.

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,' which is a specific type of full and open competition. While it implies a competitive process, the 'exclusion of sources' aspect warrants further investigation to understand if specific capabilities or technologies were prioritized, potentially limiting the initial pool of bidders. The presence of 6 bidders indicates a degree of competition, but the exact nature of the exclusion could impact price discovery.

Taxpayer Impact: The competitive process, even with source exclusions, aimed to secure the best value for taxpayers. Understanding the rationale behind any source exclusions is key to ensuring fair competition and optimal pricing.

Public Impact

The primary beneficiaries are likely the Department of Defense and its Space Force, receiving advanced research and analysis for space control capabilities. Services delivered include research and development in physical, engineering, and life sciences, specifically tailored for space control applications. The geographic impact is primarily within the United States, with potential implications for national security and space domain awareness. Workforce implications may include specialized engineers, scientists, and analysts contributing to cutting-edge defense technologies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' clause in the full and open competition needs clarification to ensure it did not unduly restrict competition.
Cost Plus Fixed Fee contracts can carry inherent risks of cost overruns if not managed diligently.
Lack of detailed performance metrics makes it difficult to assess the true effectiveness and value delivered.
The specific nature of 'Space Control A&AS' is broad and could encompass a wide range of R&D activities, making direct comparisons difficult.

Positive Signals

Awarded through a full and open competitive process, indicating an effort to solicit broad market interest.
The contract duration of over 5 years suggests a stable, long-term need for the services provided.
The contract falls under R&D, aligning with the DoD's investment in future technological capabilities.
The presence of 6 bidders suggests a healthy level of interest in this specific R&D area.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences, excluding biotechnology. The aerospace and defense R&D market is characterized by significant government investment, driven by national security imperatives. Comparable spending benchmarks would typically involve other large-scale R&D contracts awarded by the Department of Defense or NASA for advanced technology development, often in specialized areas like space systems, cybersecurity, and advanced materials.

Small Business Impact

This contract did not include a small business set-aside, as indicated by 'sb': false. Consequently, small businesses were not specifically targeted for this procurement. Subcontracting opportunities for small businesses may exist at the discretion of the prime contractor, Linquest Corporation, but there is no explicit requirement mandated by the contract terms. This suggests the primary focus was on securing specialized capabilities from the broader market, potentially favoring larger or more specialized firms.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Defense's contracting and program management offices, with support from the Defense Contract Management Agency (DCMA). Accountability measures are embedded within the Cost Plus Fixed Fee structure, requiring detailed cost reporting and justification. Transparency is facilitated through contract award databases, though specific R&D project details may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development Contracts
Space Systems Development Contracts
Aerospace Engineering Services
Advanced Technology Research
National Security Space Programs

Risk Flags

Potential for scope creep in R&D contracts.
Risk of technological obsolescence over the contract duration.
Need for continuous oversight to ensure cost control in CPFF contracts.
Justification for 'exclusion of sources' requires scrutiny.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $39.3 million to LINQUEST CORPORATION. HQ AFSPC SPACE CONTROL A&AS

Who is the contractor on this award?

The obligated recipient is LINQUEST CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $39.3 million.

What is the period of performance?

Start: 2008-04-23. End: 2013-05-31.

What specific R&D activities were encompassed by 'Space Control A&AS'?

The designation 'Space Control A&AS' (Analysis and Assessment Services) within the context of Research and Development (R&D) by the Department of Defense (DoD) likely refers to activities supporting the understanding, monitoring, and protection of U.S. space assets and interests. This could include research into space situational awareness (SSA) technologies, threat assessment methodologies for space-based systems, development of counter-space capabilities, analysis of orbital mechanics and debris, and research into command and control systems for space operations. The specific nature of the R&D would be detailed in the contract's Statement of Work (SOW), which is not publicly available in this data snippet. Given the R&D classification (NAICS 541712), the focus is on innovation and the creation of new knowledge or capabilities rather than routine operations.

How does the Cost Plus Fixed Fee (CPFF) contract type impact value for money compared to other contract types for R&D?

The Cost Plus Fixed Fee (CPFF) contract type is common for R&D where the scope of work is not fully defined at the outset, making fixed-price contracts difficult to establish. In a CPFF contract, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure incentivizes the contractor to control costs, as the fee remains constant regardless of the final cost. However, it can lead to less price certainty for the government compared to fixed-price contracts, as the final cost is variable. For R&D, CPFF can be advantageous because it allows flexibility to adapt to evolving research needs and discoveries. Value for money is assessed by comparing the final cost and the delivered R&D outcomes against the initial objectives and market benchmarks for similar R&D efforts. Effective oversight and negotiation are crucial to ensure costs are reasonable and the fixed fee is appropriate for the risk and effort involved.

What does 'Full and Open Competition After Exclusion of Sources' mean in practice for this contract?

The term 'Full and Open Competition After Exclusion of Sources' (FించిAS) is a specific procurement method used by the U.S. federal government. It signifies that the agency intended to conduct a full and open competition, meaning proposals were solicited from all responsible sources. However, prior to the solicitation, the agency identified specific sources (contractors or types of contractors) that were excluded from the competition. The reasons for exclusion must be justified and documented, often related to national security, proprietary information, or specific technological requirements that only certain entities possess. In practice, this means that while the competition was intended to be broad, it was intentionally narrowed by excluding certain parties. The presence of 6 bidders suggests that even with exclusions, a reasonable number of interested parties remained, but it raises questions about whether the exclusions were necessary and if they potentially limited the best possible price or solution for the government.

What is the typical track record of Linquest Corporation with DoD R&D contracts?

Linquest Corporation has a history of working with the Department of Defense (DoD) on various contracts, often related to space, aerospace, and defense systems engineering and analysis. While specific details on their R&D track record require deeper investigation into past performance evaluations and contract histories, their involvement in this $39 million contract for Space Control Analysis and Assessment Services (A&AS) suggests they possess relevant expertise in this specialized domain. Companies like Linquest often secure contracts through competitive bidding processes, demonstrating their ability to meet technical requirements and pricing expectations. A thorough review of their past performance on similar DoD R&D contracts, including client feedback, on-time delivery rates, and adherence to budget, would provide a more comprehensive understanding of their capabilities and reliability.

How does the $39.2 million contract value compare to other DoD R&D spending in the aerospace sector?

The $39.2 million contract value for Linquest Corporation's Space Control A&AS falls into the mid-range for individual R&D contracts within the vast Department of Defense (DoD) budget. The DoD invests billions annually in research, development, testing, and evaluation (RDT&E), with significant portions allocated to aerospace and defense technologies. While $39.2 million is a substantial sum for a single contract, it represents a small fraction of the overall DoD RDT&E budget. For context, major defense contractors often receive contracts in the hundreds of millions or even billions for large-scale R&D programs, such as developing new aircraft, missile systems, or advanced satellite constellations. This contract likely addresses a specific, focused area within space control R&D, rather than a broad, system-wide development effort.

What are the potential risks associated with a 5-year R&D contract duration?

A 5-year duration for an R&D contract, like the one awarded to Linquest Corporation, presents several potential risks. Firstly, the technological landscape in R&D, particularly in areas like space control, can evolve rapidly. By the end of the contract term, the research outcomes might be outdated or superseded by newer advancements, diminishing their long-term value. Secondly, long-term contracts can pose budget uncertainty for the government if funding priorities shift or economic conditions change. Thirdly, maintaining consistent oversight and performance management over an extended period requires sustained effort and resources. Finally, contractor performance can fluctuate over time; a contractor that starts strong might experience challenges later in the contract due to personnel changes, shifting priorities, or unforeseen technical hurdles. Mitigating these risks involves robust contract management, regular performance reviews, and incorporating flexibility clauses to adapt to technological changes.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA251707R8000

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 5140 W GOLDLEAF CIR, LOS ANGELES, CA, 90056

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

Financial Breakdown

Contract Ceiling: $41,952,985

Exercised Options: $41,951,985

Current Obligation: $39,257,836

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline