DoD's Air Force awards $10M+ R&D contract for space acquisition support to Tecolote Research

Contract Overview

Contract Amount: $10,065,659 ($10.1M)

Contractor: Tecolote Research, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-10-01

End Date: 2026-09-30

Contract Duration: 729 days

Daily Burn Rate: $13.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: THIS AWARD IS TO PROVIDE AAS SUPPORT FOR SSC/COMSO WITH A BROAD RANGE OF ACQUISITION SUPPORT CAPABILITIES TO EXECUTE RESPONSIVE INTEGRATED PROGRAM MANAGEMENT OF SPACE-RELATED RESEARCH, DEVELOPMENT, PRODUCTION, AND LIFECYCLE ACQUISITION ACTIVITIES.

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $10.1 million to TECOLOTE RESEARCH, INC. for work described as: THIS AWARD IS TO PROVIDE AAS SUPPORT FOR SSC/COMSO WITH A BROAD RANGE OF ACQUISITION SUPPORT CAPABILITIES TO EXECUTE RESPONSIVE INTEGRATED PROGRAM MANAGEMENT OF SPACE-RELATED RESEARCH, DEVELOPMENT, PRODUCTION, AND LIFECYCLE ACQUISITION ACTIVITIES. Key points: 1. Contract focuses on critical acquisition support for space-related research, development, and lifecycle management. 2. Tecolote Research, Inc. selected for this significant research and development effort. 3. Awarded as a Delivery Order under a larger contract vehicle. 4. Performance period spans two years, from October 2024 to September 2026. 5. The contract type is Cost Plus Fixed Fee, indicating shared risk and incentive. 6. This award falls under the R&D in Physical, Engineering, and Life Sciences NAICS code.

Value Assessment

Rating: good

The total award amount is over $10 million, which is substantial for specialized acquisition support. Benchmarking against similar R&D support contracts for major defense programs would provide further context on value for money. The Cost Plus Fixed Fee structure allows for flexibility in research but requires careful monitoring of costs against the fixed fee to ensure efficiency. Without direct cost comparisons to similar services, a precise value-for-money assessment is challenging, but the selection of a single contractor suggests a strategic choice for specific expertise.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the initial solicitation was broad, specific exclusions were made, potentially limiting the pool of bidders. The exact reasons for these exclusions are not detailed but could relate to specific technical requirements or existing contract vehicles. The limited competition may impact price negotiation, as fewer entities were considered.

Taxpayer Impact: While the competition was not fully open, the exclusion of sources was justified, suggesting a need for specialized capabilities. Taxpayers benefit from ensuring the most qualified contractor is selected for complex space acquisition tasks, even if it means a slightly narrower bidding pool.

Public Impact

The primary beneficiaries are the Department of Defense and the U.S. Air Force, receiving essential support for managing complex space acquisition programs. Services delivered include integrated program management, research, development, production, and lifecycle acquisition support for space-related activities. The geographic impact is primarily within the Department of Defense's operational and research facilities, with potential ripple effects on the aerospace and defense industry workforce. Workforce implications include the potential for highly skilled jobs in program management, engineering, and acquisition support, particularly within Tecolote Research, Inc. and its potential subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract operates within the broader aerospace and defense sector, specifically focusing on research, development, and acquisition support for space systems. The market for such specialized services is highly concentrated, with a few key players possessing the requisite expertise. The total addressable market for space-related R&D and acquisition support is significant, driven by national security priorities and technological advancements. This award represents a portion of the government's investment in maintaining a technological edge in space.

Small Business Impact

This contract was not set aside for small businesses, and there is no explicit indication of subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem appears minimal for this specific award. However, the prime contractor, Tecolote Research, Inc., may engage small businesses as subcontractors depending on their internal capabilities and project needs.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and program management office within the Department of the Air Force. Accountability measures are embedded in the Cost Plus Fixed Fee structure, requiring detailed reporting and justification of costs. Transparency is facilitated through contract award databases, though specific performance metrics and detailed cost breakdowns may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, air-force, space-acquisition, research-and-development, cost-plus-fixed-fee, delivery-order, limited-competition, tecote-research-inc, virginia, naics-541712

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.1 million to TECOLOTE RESEARCH, INC.. THIS AWARD IS TO PROVIDE AAS SUPPORT FOR SSC/COMSO WITH A BROAD RANGE OF ACQUISITION SUPPORT CAPABILITIES TO EXECUTE RESPONSIVE INTEGRATED PROGRAM MANAGEMENT OF SPACE-RELATED RESEARCH, DEVELOPMENT, PRODUCTION, AND LIFECYCLE ACQUISITION ACTIVITIES.

Who is the contractor on this award?

The obligated recipient is TECOLOTE RESEARCH, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $10.1 million.

What is the period of performance?

Start: 2024-10-01. End: 2026-09-30.

What is Tecolote Research, Inc.'s track record with similar DoD contracts?

Tecolote Research, Inc. has a history of supporting government agencies, particularly in aerospace and defense, with research, development, and engineering services. Their portfolio often includes complex projects requiring specialized technical expertise. While specific details on past performance for similar space acquisition support contracts are not provided here, their selection suggests a positive assessment of their capabilities by the Air Force. A deeper dive into their contract history, including past performance reviews and any reported issues, would offer a more comprehensive understanding of their reliability and effectiveness in executing such critical programs.

How does the Cost Plus Fixed Fee (CPFF) structure compare to other contract types for R&D?

The Cost Plus Fixed Fee (CPFF) contract type is common for research and development efforts where the scope of work is not precisely defined at the outset, or where innovation is a key objective. Under CPFF, the contractor is reimbursed for all allowable costs plus a predetermined fixed fee representing profit. This structure shares risk: the government bears the cost risk, while the contractor is incentivized to manage costs efficiently to protect their fixed fee. Compared to Firm-Fixed-Price (FFP) contracts, CPFF offers more flexibility but can be more expensive if costs escalate. Compared to Cost Plus Incentive Fee (CPIF), the profit is fixed rather than variable based on performance targets, potentially offering less incentive for exceeding expectations but greater predictability in contractor profit.

What are the key performance indicators (KPIs) likely used to assess this contract's success?

Key performance indicators for this contract would likely focus on the successful execution of acquisition support tasks for space-related programs. This could include metrics such as adherence to schedule milestones for program management activities, quality of deliverables (e.g., reports, analyses, acquisition strategies), cost control within the approved budget parameters, and responsiveness to Air Force requirements. Technical performance, such as the effectiveness of the support provided in enabling program managers to make informed decisions, would also be crucial. Ultimately, the success will be measured by how well Tecolote Research, Inc. contributes to the efficient and effective acquisition of critical space capabilities for the DoD.

What is the historical spending trend for similar acquisition support services within the Department of the Air Force?

Historical spending trends for acquisition support services within the Department of the Air Force, particularly for space-related programs, have generally shown a consistent and significant investment. The increasing complexity and strategic importance of space assets necessitate substantial funding for program management, R&D, and lifecycle support. While specific figures fluctuate year-to-year based on program needs and budget allocations, the overall trend indicates sustained or increasing expenditure in this domain. This particular award of over $10 million aligns with the typical scale of contracts awarded for specialized support in high-priority areas like space acquisition, reflecting the ongoing commitment to bolstering these capabilities.

Are there any known risks associated with Tecolote Research, Inc. or the nature of space acquisition support?

Risks associated with Tecolote Research, Inc. would typically be assessed through their past performance record, financial stability, and technical capabilities. Without specific data, general risks for contractors in this field include challenges in retaining specialized talent, adapting to rapidly evolving technologies, and navigating complex regulatory environments. For space acquisition support specifically, risks include the inherent long lead times, high costs, and technological uncertainties associated with developing and fielding advanced space systems. Programmatic risks can also arise from shifting geopolitical landscapes, budget uncertainties, and the potential for technical failures in space-based assets. The CPFF contract type itself introduces a risk of cost escalation if not rigorously managed.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch 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: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 420 S FAIRVIEW AVE STE 201, GOLETA, CA, 93117

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

Financial Breakdown

Contract Ceiling: $30,628,962

Exercised Options: $11,344,093

Current Obligation: $10,065,659

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $4,702,751

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS619

IDV Type: IDC

Timeline

Start Date: 2024-10-01

Current End Date: 2026-09-30

Potential End Date: 2029-09-30 00:00:00

Last Modified: 2025-12-11

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