DoD Awards $2.98M Physical Sciences Inc. Contract for R&D in Physical Sciences

Contract Overview

Contract Amount: $2,977,480 ($3.0M)

Contractor: Physical Sciences Inc.

Awarding Agency: Department of Defense

Start Date: 2020-05-29

End Date: 2025-01-31

Contract Duration: 1,708 days

Daily Burn Rate: $1.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: RESEARCH AND DEVELOPMENT

Place of Performance

Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $3.0 million to PHYSICAL SCIENCES INC. for work described as: RESEARCH AND DEVELOPMENT Key points: 1. Contract awarded to Physical Sciences Inc. for research and development. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. Contract type is Cost Plus Fixed Fee. 4. The contract duration is 1708 days. 5. The agency is the Department of Defense.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type can lead to cost overruns if not managed carefully. Benchmarking against similar R&D contracts is difficult without more specific details on the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The competition was 'Full and Open Competition After Exclusion of Sources', suggesting some initial limitations but ultimately open competition. This method can impact price discovery by potentially excluding some capable vendors from the outset.

Taxpayer Impact: Taxpayer funds are being used for advanced research and development, with the potential for significant technological advancements or potential for cost overruns.

Public Impact

Supports advancements in physical sciences, potentially leading to new technologies. Funding allocated for research and development by the Department of Defense. Contract duration extends over several years, indicating a long-term project.

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, engineering, and life sciences. Spending in this sector is crucial for innovation and maintaining technological superiority, but often involves higher risk and less predictable outcomes compared to procurement of established goods or services.

Small Business Impact

There is no indication that small businesses were involved in this specific contract award. Further analysis would be needed to determine if subcontracting opportunities exist or if the prime contractor has a history of engaging small businesses.

Oversight & Accountability

The contract is managed by the Defense Contract Management Agency. Oversight will focus on ensuring the contractor meets research objectives and manages costs effectively under the Cost Plus Fixed Fee structure.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, ma, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $3.0 million to PHYSICAL SCIENCES INC.. RESEARCH AND DEVELOPMENT

Who is the contractor on this award?

The obligated recipient is PHYSICAL SCIENCES INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $3.0 million.

What is the period of performance?

Start: 2020-05-29. End: 2025-01-31.

What specific research outcomes are expected from this contract, and how will their value be measured?

The expected outcomes are not detailed in the provided data. Measuring the value of R&D is inherently challenging and often assessed through milestones, technological advancements, or eventual application of the research. The Department of Defense likely has internal metrics for evaluating the success of this research, focusing on its contribution to national security objectives and scientific progress.

What are the primary risks associated with a Cost Plus Fixed Fee contract for R&D, and how are they mitigated?

The primary risk is that the contractor may not be sufficiently incentivized to control costs, potentially leading to expenditures exceeding initial estimates. Mitigation strategies typically involve robust oversight, clear definition of research objectives and milestones, and negotiation of a reasonable fixed fee that reflects the risk and effort involved. The agency's monitoring of progress and expenditures is crucial.

How does the 'Full and Open Competition After Exclusion of Sources' method impact the overall effectiveness and cost-efficiency of this R&D award?

This method suggests that while the competition was ultimately open, certain sources were initially excluded, possibly due to specific technical requirements or prior relationships. This could limit the pool of potential bidders, potentially impacting cost-efficiency if fewer vendors compete. However, if the excluded sources were genuinely not capable, the effectiveness might be maintained by focusing on highly qualified entities.

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 DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 20 NEW ENGLAND BUSINESS CTR DR, ANDOVER, MA, 01810

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,979,330

Exercised Options: $2,979,330

Current Obligation: $2,977,480

Actual Outlays: $278,111

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2020-05-29

Current End Date: 2025-01-31

Potential End Date: 2025-01-31 00:00:00

Last Modified: 2026-01-12

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