DoD's $46M R&D Contract with Tecolote Research Faces Scrutiny Over Competition and Value
Contract Overview
Contract Amount: $46,055,060 ($46.1M)
Contractor: Tecolote Research, Inc.
Awarding Agency: Department of Defense
Start Date: 2016-01-28
End Date: 2019-07-31
Contract Duration: 1,280 days
Daily Burn Rate: $36.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: R&D
Official Description: IGF::CL::IGF ACQUISITION AND FINANCIAL SUPPORT
Place of Performance
Location: GOLETA, SANTA BARBARA County, CALIFORNIA, 93117
Plain-Language Summary
Department of Defense obligated $46.1 million to TECOLOTE RESEARCH, INC. for work described as: IGF::CL::IGF ACQUISITION AND FINANCIAL SUPPORT Key points: 1. The contract awarded to Tecolote Research, Inc. for R&D services is for $46.06 million. 2. Competition was 'Full and Open Competition After Exclusion of Sources', raising questions about the extent of market engagement. 3. The contract's duration of 1280 days suggests a significant, long-term engagement. 4. The R&D sector (NAICS 541712) is critical for technological advancement but can be prone to cost overruns and uncertain outcomes.
Value Assessment
Rating: questionable
The contract's value of $46.06 million for R&D services needs further benchmarking against similar contracts for comparable research and development efforts. Without specific deliverables or performance metrics, assessing the value proposition is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition method, 'Full and Open Competition After Exclusion of Sources', implies that while the competition was open, certain sources were excluded, potentially limiting the pool of bidders and impacting price discovery. This method requires strong justification to ensure fair market value.
Taxpayer Impact: The final taxpayer impact depends on the efficiency and effectiveness of the R&D performed and whether the exclusion of sources led to suboptimal pricing.
Public Impact
Taxpayers may be funding research with potentially limited competition, impacting cost-effectiveness. The long duration of the contract raises concerns about ongoing financial commitment and adaptability to evolving research needs. The specific R&D outcomes and their contribution to national security or technological advancement are not detailed, making public impact assessment difficult.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition justification
- Lack of specific R&D outcome metrics
- Potential for cost overruns in R&D
Positive Signals
- Awarded to a single contractor, potentially indicating specialized expertise
- Firm Fixed Price contract type can offer cost certainty if well-defined
Sector Analysis
This contract falls under Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology). Spending in this sector is crucial for innovation but often involves high risk and long development cycles, making robust oversight essential.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract, suggesting it may not have directly benefited small business entities.
Oversight & Accountability
The 'Exclusion of Sources' clause warrants closer examination to ensure proper justification and adherence to procurement regulations. Oversight should focus on performance metrics and cost control throughout the contract's lifecycle.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Limited competition raises concerns about potential overpricing.
- Lack of detailed R&D objectives makes value assessment difficult.
- Long contract duration may not reflect evolving research needs.
- Potential for cost overruns inherent in R&D projects.
- Exclusion of sources requires strong justification.
Tags
research-and-development-in-the-physical, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $46.1 million to TECOLOTE RESEARCH, INC.. IGF::CL::IGF ACQUISITION AND FINANCIAL SUPPORT
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 $46.1 million.
What is the period of performance?
Start: 2016-01-28. End: 2019-07-31.
What specific R&D objectives were pursued under this contract, and how do they align with the Department of the Air Force's strategic goals?
The contract details are limited, but it falls under 'Research and Development in the Physical, Engineering, and Life Sciences'. Without further information on the specific project scope, it's difficult to ascertain the precise objectives. However, such contracts typically aim to advance scientific understanding, develop new technologies, or improve existing systems to meet strategic defense requirements.
How was the 'Full and Open Competition After Exclusion of Sources' justified, and what was the impact on the final contract price?
This procurement method suggests that while the competition was intended to be open, specific sources were excluded. The justification for exclusion is critical and must be based on factors like unique capabilities or national security concerns. The impact on price is uncertain; exclusion could lead to higher prices due to reduced competition, or it might be justified if only a few entities possess the necessary specialized expertise.
What mechanisms are in place to measure the effectiveness and value of the R&D outcomes delivered by Tecolote Research, Inc. under this contract?
Effectiveness and value measurement in R&D contracts are often challenging due to the inherent uncertainty of research. Key mechanisms typically include milestone-based reviews, technical performance assessments, and evaluation of deliverables against predefined objectives. The firm fixed-price nature suggests a focus on achieving specific outcomes within budget, but the true value is realized upon successful application or integration of the research findings.
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
Pricing Type: FIRM FIXED PRICE (J)
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: $67,848,180
Exercised Options: $46,388,625
Current Obligation: $46,055,060
Subaward Activity
Number of Subawards: 99
Total Subaward Amount: $148,239,041
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA880213D0002
IDV Type: IDC
Timeline
Start Date: 2016-01-28
Current End Date: 2019-07-31
Potential End Date: 2019-07-31 00:00:00
Last Modified: 2025-03-13
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