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
- Sole-source award limits competition and price discovery.
- Cost-plus contract type carries inherent risk of cost overruns.
- Long contract duration requires sustained oversight.
- Lack of small business participation noted.
Positive Signals
- Addresses critical national security need for missile defense.
- Leverages expertise of a renowned research institution.
- Potential for significant technological advancements.
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
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Missile Defense Agency Programs
Risk Flags
- Sole-source award limits competition.
- Cost-plus contract type can lead to cost overruns.
- Lack of small business participation.
- Long contract duration requires sustained oversight.
- Potential for scope creep without strict management.
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 Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – 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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