JHU Applied Physics Lab awarded $13.3M for system engineering and analysis, with no competition
Contract Overview
Contract Amount: $13,362,735 ($13.4M)
Contractor: THE Johns Hopkins University Applied Physics Laboratory LLC
Awarding Agency: Department of Defense
Start Date: 2023-02-17
End Date: 2028-02-23
Contract Duration: 1,832 days
Daily Burn Rate: $7.3K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: SYSTEM ENGINEERING AND ANALYSIS STUDIES
Place of Performance
Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $13.4 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC for work described as: SYSTEM ENGINEERING AND ANALYSIS STUDIES Key points: 1. Contract awarded to a single entity suggests potential for higher costs due to lack of competitive pressure. 2. The 'NOT COMPETED' status raises questions about the justification for foregoing a competitive bidding process. 3. Analysis of system engineering and technical services is critical for complex defense programs. 4. The contract duration of over 5 years indicates a long-term need for these specialized services. 5. The cost-plus-fixed-fee contract type may incentivize cost overruns if not closely monitored. 6. The specific services provided under 'All Other Professional, Scientific, and Technical Services' require further clarification to assess value.
Value Assessment
Rating: questionable
Benchmarking the value of this contract is challenging without more specific details on the services rendered and comparable contracts. The 'NOT COMPETED' award mechanism, coupled with a cost-plus-fixed-fee structure, presents a risk of less than optimal pricing. While the contractor, JHU Applied Physics Laboratory, is a reputable institution, the absence of competition means there's no market-driven validation of the pricing. Further analysis into the specific tasks and deliverables would be needed to provide a more definitive value assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning no other vendors were solicited or considered. The justification for this approach is not provided in the data. Sole-source awards can be appropriate in specific circumstances, such as when only one vendor possesses the required unique capabilities or when urgency precludes a competitive process. However, they typically result in higher prices and reduced innovation compared to full and open competition.
Taxpayer Impact: Taxpayers may be paying a premium for these services due to the lack of competitive bidding. Without a competitive process, there is less assurance that the government secured the best possible price and value for the services rendered.
Public Impact
The primary beneficiary is the Department of Defense, which receives critical system engineering and analysis support. Services delivered include specialized technical and scientific expertise essential for complex defense systems. The geographic impact is primarily within the agency's operational areas, likely supporting national security initiatives. The contract supports highly skilled technical and scientific professionals within the contractor's organization.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may lead to inflated costs.
- Cost-plus-fixed-fee structure can incentivize higher spending.
- Limited transparency on specific deliverables and performance metrics.
- Potential for vendor lock-in due to sole-source award.
Positive Signals
- Contract awarded to a highly reputable research institution (JHU APL).
- Long contract duration suggests a sustained and critical need for the services.
- Services are in a specialized technical domain vital for national security.
Sector Analysis
The contract falls under the 'All Other Professional, Scientific, and Technical Services' category, which is broad and encompasses a wide range of specialized expertise. This sector is crucial for government agencies, particularly in defense, R&D, and technology, providing essential analytical and engineering support. The market for such services is competitive, but specialized niches, like those potentially served by JHU APL, can command premium pricing. Comparable spending in this broad category can vary significantly based on the specific nature of the services.
Small Business Impact
This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. There is also no information provided regarding subcontracting plans. Therefore, the direct impact on the small business ecosystem is likely minimal, and there are no explicit mechanisms in place to ensure small business participation through this specific award.
Oversight & Accountability
Oversight mechanisms for this contract would typically be managed by the contracting officer and the relevant program office within the Department of Defense. Accountability measures would be defined in the contract's statement of work and performance standards. Transparency is limited by the 'NOT COMPETED' status and the broad service category; detailed performance reports and cost breakdowns are not publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Defense Research and Development
- Systems Engineering Support Services
- Technical Consulting Services
- Scientific Research Services
Risk Flags
- Sole-source award lacks competitive justification.
- Cost-plus-fixed-fee structure may incentivize cost growth.
- Broad service category limits transparency on specific deliverables.
- Long contract duration without competition poses value risk.
Tags
department-of-defense, system-engineering, analysis-studies, sole-source, cost-plus-fixed-fee, professional-scientific-technical-services, research-institution, long-term-contract, washington-headquarters-services, virginia
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.4 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC. SYSTEM ENGINEERING AND ANALYSIS STUDIES
Who is the contractor on this award?
The obligated recipient is THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Washington Headquarters Services).
What is the total obligated amount?
The obligated amount is $13.4 million.
What is the period of performance?
Start: 2023-02-17. End: 2028-02-23.
What specific system engineering and analysis studies are being performed under this contract?
The provided data offers a high-level description of the contract's purpose as 'SYSTEM ENGINEERING AND ANALYSIS STUDIES' and categorizes it under 'All Other Professional, Scientific, and Technical Services.' However, it does not detail the specific studies, research areas, or analytical methodologies being employed. Understanding the precise nature of these studies, such as whether they involve advanced modeling, simulation, threat assessment, or operational analysis, is crucial for a comprehensive evaluation of the contract's value and impact. Without this granular detail, it is difficult to assess the technical scope and the unique capabilities JHU APL is providing beyond general system engineering expertise.
What is the justification for awarding this contract on a sole-source basis?
The data indicates this contract was 'NOT COMPETED,' signifying a sole-source award. Government contracts are typically awarded through competitive processes to ensure fair pricing and maximize value for taxpayers. A sole-source award implies that the agency determined, for specific reasons, that competition was not feasible or practicable. Common justifications include the unique capabilities of a single provider, urgent and compelling needs that preclude a lengthy competition, or the existence of a strategic partnership. The specific justification for this award to The Johns Hopkins University Applied Physics Laboratory LLC is not detailed in the provided information and would require access to agency procurement records or justifications.
How does the pricing structure (Cost Plus Fixed Fee) compare to industry benchmarks for similar services?
The contract utilizes a Cost Plus Fixed Fee (CPFF) pricing structure. CPFF contracts reimburse the contractor for allowable costs incurred, plus a fixed fee representing profit. While common in research and development or complex service contracts where cost estimation is difficult, CPFF can incentivize cost overruns if not rigorously managed, as the contractor's profit is fixed regardless of the final cost. Benchmarking CPFF rates for specialized system engineering and analysis services is complex, as it depends heavily on the specific technical expertise, labor categories, and overhead rates involved. Without detailed cost breakdowns and service specifics, a direct comparison to industry benchmarks is challenging. However, the absence of competition may exacerbate potential pricing inefficiencies inherent in the CPFF model.
What is the track record of The Johns Hopkins University Applied Physics Laboratory LLC in performing similar system engineering and analysis contracts for the DoD?
The Johns Hopkins University Applied Physics Laboratory LLC (JHU APL) has a long-standing and well-established reputation for providing advanced research, development, and systems engineering support, particularly to the Department of Defense (DoD) and other government agencies. They are known for their expertise in complex, mission-critical areas, including space science, national security, and advanced technology development. While specific contract performance details for this exact type of study are not provided, JHU APL's history suggests a strong capability to execute sophisticated technical and analytical tasks. Their extensive experience in similar domains generally indicates a high level of technical proficiency and reliability.
What are the potential risks associated with a long-term (over 5 years) sole-source contract for system engineering services?
Long-term sole-source contracts for system engineering services carry several potential risks. Firstly, the lack of competition over an extended period can lead to complacency and reduced incentives for innovation or cost efficiency on the part of the contractor. Secondly, pricing may not reflect current market rates, potentially resulting in overpayment. Thirdly, the government risks becoming overly reliant on a single provider, making it difficult to switch or bring services in-house if circumstances change. Finally, without regular competitive re-evaluation, the contract may continue to fund services that are no longer the most effective or necessary solution for evolving agency needs. Robust oversight and performance management are critical to mitigate these risks.
How does this contract's value compare to other system engineering and analysis contracts awarded by the DoD?
The total value of this contract is approximately $13.36 million over its duration. Comparing this to other system engineering and analysis contracts within the DoD requires access to a broader dataset of similar awards. However, $13.36 million for over five years of specialized system engineering and analysis services, especially when awarded on a sole-source basis to a high-caliber institution like JHU APL, appears to be within a reasonable range for complex, mission-critical support. Without knowing the specific scope, deliverables, and the competitive landscape for comparable services, a definitive value comparison is difficult. Contracts for similar services can range from a few million to hundreds of millions of dollars depending on complexity and duration.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: HQ003419R0009
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 11100 JOHNS HOPKINS RD, LAUREL, MD, 20723
Business Categories: Category Business, Limited Liability Corporation, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $15,091,929
Exercised Options: $15,091,929
Current Obligation: $13,362,735
Subaward Activity
Number of Subawards: 8
Total Subaward Amount: $1,401,779
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HQ003419D0006
IDV Type: IDC
Timeline
Start Date: 2023-02-17
Current End Date: 2028-02-23
Potential End Date: 2028-02-23 00:00:00
Last Modified: 2025-09-29
More Contracts from THE Johns Hopkins University Applied Physics Laboratory LLC
- Dragonfly Extended Phase B Mission Under 80msfc20d0004 Aerospace Research, Development and Engineering Support (ardes) II — $1.3B (National Aeronautics and Space Administration)
- Aerospace Research, Design, and Development Tasks for Nasa — $1.1B (National Aeronautics and Space Administration)
- Solar Probe Plus (SPP) Phase a Activities the Contractor Shall Perform the Work That IS Designated in Task Orders Issued by the Contracting Officer. the Overall Scope of Work to BE Performed Will Support ALL of Nasa's Mission Directorates. These Efforts CAN BE Characterized AS Aerospace Research, Development, and Engineering Support (ardes). the General Nature of the Tasks to BE Developed Will BE to Conduct Supporting Research and Advanced Technology Development Designed to Make Contributions to Space Science and Space Exploration and Assist Nasa in the Formulation and Execution of ITS Programs by Providing Nasa With Technical Advice, Studies, and Reports of Investigations. Efforts Undertaken by the Contractor, in the Performance of the Assigned Tasks, Which Include Technology Transfer, Partnering and Commercialization Activities, Shall Seek to Enhance the Value and Contribution of Technology to the Nation S Technological Competitiveness, Prosperity, Quality of Life, and Other National Priorities. Individual Task Orders Will Fall Within ONE of TWO Broad Categories: 1) Essential Research Capability of Space Systems Engineering, and Related Work in the Supporting Essential Research Capabilities of Systems Test and Evaluation, Information Technology, and Simulation, Modeling and Operations Analysis. Task Orders Within the Category of Essential Research Capabilities ARE Intended to Preserve the Nation S Capabilities to Perform Robotic Space Missions Over the Full Mission Life Cycle From Concept Formulation Through Mission Operations and Data Analysis. Nasa IS Contracting for Support in Several KEY Research, Engineering and Development Competencies That ARE Fundamental to the Performance of These Missions. 2) Other Aerospace Research, Development, and Engineering Support. Task Orders Within the Category of Other Aerospace Research, Development and Engineering Support ARE Intended to Include a Broad Base of Scientific and Technical Capabilities Relevant to Nasa Program Responsibilities and Assignments. Regardless of Category, Task Orders MAY BE Issued Related to Autonomous Deep-Space and Earth-Orbiting Spacecraft or Major Subsystems, Experiments, Instruments or Other Devices That MAY BE Carried AS Payloads on the Space Shuttle or on Other Spacecraft. Task Assignments Will Explicitly Describe a Broad Range of Hardware, Software, Systems Engineering, Scientific Analysis, and Management Efforts Including Program and Project Management and Administration — $894.5M (National Aeronautics and Space Administration)
- SUN Earth Connection Living With a Star Program Letter Contract — $522.1M (National Aeronautics and Space Administration)
- Interstellar Mapping and Acceleration Probe (imap) Phase CD — $400.0M (National Aeronautics and Space Administration)
View all THE Johns Hopkins University Applied Physics Laboratory LLC federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)