DoD Awards $25.2M for Atomic Clocks and Magnetometers R&D to Utah State University

Contract Overview

Contract Amount: $25,223,410 ($25.2M)

Contractor: Utah State University Space Dynamics Laboratory

Awarding Agency: Department of Defense

Start Date: 2032-09-29

End Date: 2030-09-30

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: PRECISION ATOMIC CLOCKS, MAGNETOMETERS & NAVIGATION FOLLOW-ON (PACMAN-FO) AND COMMUNICATIONS AND PNT CONVERGENCE

Place of Performance

Location: LOGAN, CACHE County, UTAH, 84341

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $25.2 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY for work described as: PRECISION ATOMIC CLOCKS, MAGNETOMETERS & NAVIGATION FOLLOW-ON (PACMAN-FO) AND COMMUNICATIONS AND PNT CONVERGENCE Key points: 1. Focus on advanced physical sciences R&D, a critical but specialized area. 2. Sole-source award to a known entity, Utah State University. 3. Long-term contract (2030-2032) suggests ongoing research needs. 4. High-risk, high-reward research with potential for significant technological advancement.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking is difficult due to the specialized nature of the R&D.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, raising concerns about price discovery and whether the government obtained the best possible value. The sole-source nature limits competitive pressure.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for this specialized research and development.

Public Impact

Advancement in precision timing and navigation technologies for defense applications. Potential for breakthroughs in sensor technology with broader scientific applications. Investment in a specific university's research capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This award falls under Research and Development in Physical Sciences. Spending in this sector is often project-specific and driven by national security or scientific advancement goals, with benchmarks varying widely based on the research's novelty and scope.

Small Business Impact

The awardee is Utah State University, a large research institution. There is no indication that small businesses were involved in this specific sole-source award.

Oversight & Accountability

As a sole-source award, oversight is crucial to ensure the fixed fee is reasonable and costs are controlled. The long duration necessitates continuous monitoring of progress and expenditures.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, ut, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.2 million to UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY. PRECISION ATOMIC CLOCKS, MAGNETOMETERS & NAVIGATION FOLLOW-ON (PACMAN-FO) AND COMMUNICATIONS AND PNT CONVERGENCE

Who is the contractor on this award?

The obligated recipient is UTAH STATE UNIVERSITY SPACE DYNAMICS LABORATORY.

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 $25.2 million.

What is the period of performance?

Start: 2032-09-29. End: 2030-09-30.

What is the justification for the sole-source award, and what steps were taken to ensure fair pricing without competition?

The justification for a sole-source award typically involves unique capabilities or circumstances. For this contract, the specific technical expertise or proprietary technology held by Utah State University might be the reason. However, without a competitive process, ensuring fair pricing requires rigorous negotiation and independent cost analysis by the contracting agency to validate the proposed costs and the fixed fee.

What are the specific risks associated with the Cost Plus Fixed Fee contract type for this R&D project?

Cost Plus Fixed Fee (CPFF) contracts carry inherent risks, especially in R&D where outcomes are uncertain. The government bears the cost risk, meaning the contractor is reimbursed for allowable costs plus a fixed fee representing profit. If costs escalate beyond initial estimates, the government pays more. The fixed fee, however, provides the contractor with a predictable profit margin, potentially reducing their incentive to control costs aggressively.

How will the effectiveness of this R&D investment be measured, given the long-term and specialized nature of the work?

Effectiveness will likely be measured through a series of milestones and deliverables outlined in the contract. These could include successful prototype development, performance testing of atomic clocks and magnetometers, and demonstration of navigation capabilities. Regular technical reviews and progress reports will be essential. Ultimately, the true effectiveness will be judged by the successful transition of the developed technologies into operational defense systems or further scientific applications.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D 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: 416 E INNOVATION AVE, NORTH LOGAN, UT, 84341

Business Categories: Category Business, Corporate Entity Tax Exempt, Foundation, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $162,819,807

Exercised Options: $162,819,807

Current Obligation: $25,223,410

Actual Outlays: $36,625

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA945322D0005

IDV Type: IDC

Timeline

Start Date: 2032-09-29

Current End Date: 2030-09-30

Potential End Date: 2032-09-29 00:00:00

Last Modified: 2025-12-18

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