DoD Awards $18.1M for AN/ALQ-184 Engineering Services to Southwest Research Institute

Contract Overview

Contract Amount: $18,121,506 ($18.1M)

Contractor: Southwest Research Institute

Awarding Agency: Department of Defense

Start Date: 2022-09-01

End Date: 2025-08-31

Contract Duration: 1,095 days

Daily Burn Rate: $16.5K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: AN/ALQ-184 ENGINEERING SERVICES

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78238

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $18.1 million to SOUTHWEST RESEARCH INSTITUTE for work described as: AN/ALQ-184 ENGINEERING SERVICES Key points: 1. Contract awarded for critical engineering services related to the AN/ALQ-184 electronic warfare system. 2. Southwest Research Institute, a non-profit research organization, is the sole awardee. 3. The contract spans three years, indicating a need for sustained support. 4. Engineering services (NAICS 541330) are essential for maintaining and upgrading complex defense systems.

Value Assessment

Rating: fair

The contract is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The awarded amount is a ceiling, and actual spending will depend on the work performed. Benchmarking against similar engineering service contracts is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, suggesting a sole-source award. Sole-source awards can limit price discovery and potentially lead to higher costs for taxpayers compared to competitive procurements.

Taxpayer Impact: The lack of competition may result in a higher cost to taxpayers than if the contract had been awarded through a competitive process.

Public Impact

Ensures continued operational readiness of the AN/ALQ-184 system for the Air Force. Supports specialized engineering expertise required for advanced electronic warfare capabilities. Potential for cost inefficiencies due to sole-source award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the Engineering Services sector, which is crucial for the defense industry's ability to maintain and modernize complex weapon systems. Spending in this sector is often characterized by specialized expertise and long-term support requirements.

Small Business Impact

This contract was not awarded to small businesses, as indicated by the 'sb' field being false. There is no indication of subcontracting opportunities for small businesses within the provided data.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure fair pricing and efficient use of funds. The Department of the Air Force should monitor the Cost Plus Fixed Fee elements closely to prevent unnecessary expenditures.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, tx, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.1 million to SOUTHWEST RESEARCH INSTITUTE. AN/ALQ-184 ENGINEERING SERVICES

Who is the contractor on this award?

The obligated recipient is SOUTHWEST RESEARCH INSTITUTE.

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 $18.1 million.

What is the period of performance?

Start: 2022-09-01. End: 2025-08-31.

What is the justification for the sole-source award, and what steps are being taken to ensure fair and reasonable pricing?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. To ensure fair pricing, the contracting officer should have conducted a thorough price analysis, potentially using historical data or independent government cost estimates. Regular review of the contractor's performance and costs against the fixed fee is crucial for accountability.

How will the Cost Plus Fixed Fee structure be managed to mitigate the risk of cost overruns?

Managing a Cost Plus Fixed Fee contract requires stringent oversight. The government should establish clear performance metrics and milestones. Regular audits of the contractor's costs are essential to verify allowable expenses. Any deviations from the planned scope or cost estimates should be promptly addressed and negotiated to protect taxpayer interests.

What is the long-term strategy for ensuring competitive sourcing for future engineering services related to the AN/ALQ-184 system?

To foster future competition, the Air Force should explore market research to identify potential new sources or capabilities. If the current awardee's expertise is truly unique, efforts should be made to develop or incentivize other firms to build similar capabilities. Breaking down future requirements into smaller, more competitive lots could also encourage broader participation.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 6220 CULEBRA RD, SAN ANTONIO, TX, 78238

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: $18,207,989

Exercised Options: $18,207,989

Current Obligation: $18,121,506

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $2,497,182

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA852321D0007

IDV Type: IDC

Timeline

Start Date: 2022-09-01

Current End Date: 2025-08-31

Potential End Date: 2025-08-31 00:00:00

Last Modified: 2025-08-04

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