DoD's $162.7M R&D Contract with JHU APL for Missile Defense Tech Faces Limited Competition

Contract Overview

Contract Amount: $162,679,847 ($162.7M)

Contractor: THE Johns Hopkins University Applied Physics Laboratory LLC

Awarding Agency: Department of Defense

Start Date: 2018-11-15

End Date: 2026-04-30

Contract Duration: 2,723 days

Daily Burn Rate: $59.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: ENGINEERING AND TECH SUPPORT RDTE FUNDS

Place of Performance

Location: LAUREL, HOWARD County, MARYLAND, 20723

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $162.7 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC for work described as: ENGINEERING AND TECH SUPPORT RDTE FUNDS Key points: 1. Significant R&D investment in missile defense technology. 2. Sole-source award to a highly specialized entity, JHU APL. 3. Long contract duration (2018-2026) suggests ongoing, complex research. 4. High potential for taxpayer impact due to cost-plus contract type.

Value Assessment

Rating: questionable

The Cost Plus Fixed Fee (CPFF) contract type, while common for R&D, can lead to cost overruns if not managed tightly. Benchmarking is difficult without specific task order details, but the scale suggests significant investment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, indicating a belief that only JHU APL could perform the required research and development. This limits price discovery and competition, potentially leading to higher costs than a competitive process.

Taxpayer Impact: The sole-source nature and CPFF contract type raise concerns about optimal taxpayer value. Without competition, there's less pressure to minimize costs.

Public Impact

Advancement of critical missile defense capabilities for national security. Potential for groundbreaking technological innovations stemming from the research. Long-term commitment to a single research institution may limit broader industry innovation. Taxpayer funds are directed towards highly specialized, long-term research.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences. The $162.7 million value is substantial for R&D, particularly within the defense domain, suggesting a high priority and complex project.

Small Business Impact

The data indicates no small business participation in this contract. Given the specialized nature of the work and the sole-source award to a large institution, opportunities for small businesses appear limited.

Oversight & Accountability

The long duration and sole-source nature necessitate robust oversight from the Missile Defense Agency to ensure cost control, adherence to scope, and achievement of research objectives. Regular reviews and performance monitoring are crucial.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, md, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $162.7 million to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC. ENGINEERING AND TECH SUPPORT RDTE FUNDS

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 (Missile Defense Agency).

What is the total obligated amount?

The obligated amount is $162.7 million.

What is the period of performance?

Start: 2018-11-15. End: 2026-04-30.

What specific technological advancements are expected from this R&D funding, and how do they align with current and future missile defense threats?

The contract focuses on Research and Development in Physical, Engineering, and Life Sciences (NAICS 541715), specifically for missile defense. While the exact technological advancements are proprietary, they likely aim to improve detection, tracking, interception, or countermeasures against ballistic and cruise missiles. Alignment with threats involves continuous adaptation to evolving adversary capabilities.

Given the sole-source nature, what mechanisms are in place to ensure the cost-plus fixed fee structure remains efficient and avoids unnecessary expenditures?

The Missile Defense Agency must implement stringent oversight, including detailed cost tracking, regular performance reviews, and milestone validation. Fixed fee components require clear definition of deliverables and performance metrics. Audits and independent cost analyses can help ensure efficiency and prevent contractor overreach within the CPFF framework.

How does the long contract duration (2018-2026) impact the agility of the research to adapt to rapidly changing technological landscapes and threat environments?

A long duration can provide stability for complex, long-term research but may also reduce agility. The contract likely includes mechanisms for scope adjustments or task order modifications to incorporate new findings or adapt to evolving threats. However, significant pivots might be challenging without formal contract renegotiations, potentially lagging behind rapid advancements.

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

Solicitation ID: HQ014717R0041

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: $416,777,140

Exercised Options: $406,586,696

Current Obligation: $162,679,847

Actual Outlays: $3,988,179

Subaward Activity

Number of Subawards: 43

Total Subaward Amount: $20,352,535

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ014718D0004

IDV Type: IDC

Timeline

Start Date: 2018-11-15

Current End Date: 2026-04-30

Potential End Date: 2026-12-31 00:00:00

Last Modified: 2026-01-13

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