DoD's $42.5M O&M Contract with Teledyne Brown Engineering: Research & Development Focus

Contract Overview

Contract Amount: $42,484,791 ($42.5M)

Contractor: Teledyne Brown Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-07-31

End Date: 2017-06-30

Contract Duration: 3,256 days

Daily Burn Rate: $13.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE

Sector: R&D

Official Description: OPERATIONS AND MAINTENANCE (O&M)

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $42.5 million to TELEDYNE BROWN ENGINEERING, INC. for work described as: OPERATIONS AND MAINTENANCE (O&M) Key points: 1. Significant investment in R&D services, primarily in physical, engineering, and life sciences. 2. Contract awarded to Teledyne Brown Engineering, a single entity for the duration. 3. Long contract duration (2008-2017) suggests ongoing, potentially complex R&D needs. 4. No small business participation noted, indicating potential missed opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of $42.5M over 9 years for O&M in R&D is substantial. Benchmarking is difficult without specific deliverables, but the cost-plus incentive fee structure suggests an attempt to control costs while incentivizing performance.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, indicating a sole-source award. This limits price discovery and competitive pressure, potentially leading to higher costs than a competed contract.

Taxpayer Impact: The lack of competition means taxpayers may not have received the best possible price for these R&D services.

Public Impact

Supports critical research and development within the Department of Defense. Long-term engagement with a single contractor may foster specialized expertise but limits broader market engagement. O&M spending in R&D can indicate sustained investment in technological advancement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is crucial for technological advancement but requires careful oversight to ensure value and innovation.

Small Business Impact

The contract explicitly states no small business participation. This is a missed opportunity to leverage the innovation and agility of small businesses in the R&D sector.

Oversight & Accountability

The sole-source nature of this contract warrants close oversight to ensure the contractor is meeting performance objectives and that costs are reasonable and justified.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, al, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $42.5 million to TELEDYNE BROWN ENGINEERING, INC.. OPERATIONS AND MAINTENANCE (O&M)

Who is the contractor on this award?

The obligated recipient is TELEDYNE BROWN ENGINEERING, 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 $42.5 million.

What is the period of performance?

Start: 2008-07-31. End: 2017-06-30.

What specific R&D advancements or outcomes resulted from this $42.5M investment over nine years?

Without detailed reporting on deliverables and outcomes, it's challenging to assess the specific advancements. The contract's focus on O&M suggests support for existing research infrastructure and ongoing projects rather than discrete new developments. Further analysis would require access to project reports and performance metrics to determine the tangible return on investment.

Could alternative, more competitive contracting vehicles have achieved similar R&D support at a lower cost?

Given the sole-source nature, it's highly probable that competitive bidding could have yielded cost savings. Exploring options like Broad Agency Announcements (BAAs) or other R&D-focused contract vehicles might have attracted a wider pool of talent and fostered price competition, potentially reducing the overall expenditure for taxpayers.

How effectively did the Cost Plus Incentive Fee (CPIF) structure incentivize Teledyne Brown Engineering to achieve optimal R&D outcomes within budget?

The CPIF structure aims to align contractor and government interests by providing incentives for meeting cost and performance targets. However, its effectiveness depends heavily on the clarity of those targets and the rigor of performance monitoring. Without insight into the specific incentive metrics and achieved results, it's difficult to definitively assess how well this mechanism drove value and efficiency in the R&D process.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Parent Company: Teledyne Technologies Incorporated

Address: 300 SPARKMAN DR NW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $55,533,084

Exercised Options: $55,533,084

Current Obligation: $42,484,791

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2008-07-31

Current End Date: 2017-06-30

Potential End Date: 2017-06-30 00:00:00

Last Modified: 2022-08-03

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