DoD's Redstone Directorate Support Services II contract awarded to Tatitlek Federal Services LLC for $8.8M

Contract Overview

Contract Amount: $8,800,000 ($8.8M)

Contractor: Tatitlek Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2025-08-11

End Date: 2026-08-10

Contract Duration: 364 days

Daily Burn Rate: $24.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: REDSTONE DIRECTORATE SUPPORT SERVICES II

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35898

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $8.8 million to TATITLEK FEDERAL SERVICES LLC for work described as: REDSTONE DIRECTORATE SUPPORT SERVICES II Key points: 1. Contract focuses on R&D in physical, engineering, and life sciences. 2. Awarded via full and open competition after exclusion of sources, indicating a competitive process. 3. The contract duration is one year, suggesting a defined scope of work. 4. The contract type is Cost Plus Fixed Fee, which can incentivize cost control. 5. The base year value is $8.8 million, with potential for future task orders. 6. The contract is managed by the Department of the Army. 7. The North American Industry Classification System (NAICS) code is 541715, aligning with research and development services.

Value Assessment

Rating: fair

The contract value of $8.8 million for a one-year R&D support services contract appears within a reasonable range for specialized research support. However, without specific details on the scope of work and deliverables, a precise value-for-money assessment is challenging. Benchmarking against similar R&D support contracts within the Department of Defense would provide a clearer picture of its competitiveness. The Cost Plus Fixed Fee (CPFF) structure allows for cost reimbursement plus a fixed fee, which can be appropriate for R&D where costs are uncertain, but it requires robust oversight to ensure efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, specific sources may have been excluded based on predefined criteria. The exact number of bidders is not provided, but the 'full and open' designation suggests a competitive solicitation process. The exclusion of certain sources warrants further investigation to understand the rationale and its potential impact on the breadth of competition.

Taxpayer Impact: The 'full and open' competition, even with exclusions, generally aims to achieve competitive pricing for taxpayers. However, the specific exclusions could potentially limit the number of viable bidders, which might affect the ultimate price achieved.

Public Impact

The primary beneficiaries are the research and development initiatives within the Redstone Directorate of the Department of the Army. The contract supports critical research in physical, engineering, and life sciences, potentially leading to technological advancements. The geographic impact is primarily centered in Alabama, where Redstone Arsenal is located. The contract likely supports a specialized workforce of scientists, engineers, and technical personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'after exclusion of sources' clause in the competition type requires scrutiny to ensure it did not unduly limit competition.
The Cost Plus Fixed Fee (CPFF) contract type necessitates strong oversight to prevent cost overruns and ensure efficient use of funds.
Lack of detailed performance metrics makes it difficult to assess the effectiveness and value delivered by the contractor.

Positive Signals

Awarded through a full and open competition process, suggesting a structured and potentially competitive selection.
The contract is for a defined period of one year, allowing for periodic review and re-evaluation of needs.
The contractor, Tatitlek Federal Services LLC, is likely experienced in providing R&D support services to the government.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically NAICS code 541715. This sector is characterized by innovation and the pursuit of new knowledge and applications. The market for R&D support services is competitive, with numerous firms offering specialized expertise. Government contracts in this area are crucial for driving technological advancement across various fields, including defense, healthcare, and energy. Comparable spending benchmarks would typically involve analyzing the average cost of similar R&D support contracts awarded by agencies like the Department of Defense.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. However, the prime contractor may choose to subcontract portions of the work to small businesses as part of their overall business strategy, which could indirectly benefit the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Army contracting officers and program managers. Accountability measures are typically embedded within the contract terms, including performance standards and reporting requirements. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development Programs
Army R&D Support Services
Scientific and Technical Services Contracts
Redstone Arsenal Contracts

Risk Flags

Potential for limited competition due to source exclusions.
Cost control risks inherent in CPFF contracts.
Need for robust oversight to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.8 million to TATITLEK FEDERAL SERVICES LLC. REDSTONE DIRECTORATE SUPPORT SERVICES II

Who is the contractor on this award?

The obligated recipient is TATITLEK FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $8.8 million.

What is the period of performance?

Start: 2025-08-11. End: 2026-08-10.

What is the track record of Tatitlek Federal Services LLC in performing similar R&D support contracts for the Department of Defense?

Assessing the track record of Tatitlek Federal Services LLC requires a review of their past performance on similar contracts. This would involve examining contract databases for awards to the company in the R&D support domain, particularly within the Department of Defense. Key indicators to look for include successful completion of contract objectives, adherence to schedules and budgets, and positive past performance reviews. Understanding their experience with Cost Plus Fixed Fee (CPFF) contracts and their ability to manage complex research projects is also crucial. A history of strong performance on comparable contracts would increase confidence in their ability to successfully execute the Redstone Directorate Support Services II contract.

How does the $8.8 million base year value compare to similar R&D support contracts awarded by the Department of the Army?

Benchmarking the $8.8 million base year value against similar R&D support contracts awarded by the Department of the Army requires access to detailed contract data. Factors such as the specific scientific disciplines, the level of expertise required, the duration of the contract, and the scope of deliverables significantly influence pricing. Contracts for basic research may differ in cost from those involving applied research or advanced development. A comparative analysis would involve identifying contracts with similar NAICS codes (e.g., 541715), contract types (CPFF), and durations. Without this granular data, it is difficult to definitively state whether $8.8 million represents a high, low, or average value. However, for a one-year R&D support effort, it suggests a substantial but not necessarily exorbitant investment.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D services?

The primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D services revolve around cost control and contractor efficiency. While CPFF is suitable for R&D where costs are inherently uncertain, it can incentivize contractors to incur higher costs to increase the absolute dollar amount of the fixed fee, which is often a percentage of the total costs. This necessitates robust government oversight to scrutinize allowable costs and ensure that the contractor is operating efficiently. Another risk is scope creep, where the research objectives may evolve, potentially leading to cost increases if not managed carefully through contract modifications. Ensuring clear definition of objectives and performance metrics is critical to mitigate these risks.

What are the potential implications of 'Full and Open Competition After Exclusion of Sources' on the overall cost-effectiveness for taxpayers?

The 'Full and Open Competition After Exclusion of Sources' clause presents a nuanced picture for cost-effectiveness. On one hand, 'full and open' competition is designed to maximize the pool of potential bidders, thereby fostering price competition and potentially leading to lower costs for taxpayers. However, the 'exclusion of sources' element introduces a caveat. If the exclusions are based on legitimate, well-defined criteria related to capability or security, the competition might still be robust among the remaining qualified sources. Conversely, if the exclusions are arbitrary or overly restrictive, they could limit the number of bidders, reduce competitive pressure, and potentially lead to higher prices than would have been achieved in a truly unrestricted competition. The specific rationale for the exclusions is key to assessing the impact on taxpayer value.

How does the geographic location (Alabama) influence the cost and availability of specialized R&D talent for this contract?

The geographic location in Alabama, specifically near Redstone Arsenal, can influence the cost and availability of specialized R&D talent. While Alabama has a growing technology sector, particularly in aerospace and defense, the concentration of highly specialized R&D expertise might be less dense compared to major R&D hubs like Silicon Valley or Boston. This could potentially lead to higher labor costs if specialized talent needs to be relocated or if competition for local talent is high. Conversely, a strong existing base of defense contractors and research institutions in the Huntsville area might provide a readily available pool of qualified personnel, potentially moderating costs. The specific niche of R&D (physical, engineering, life sciences) will also determine the local talent market dynamics.

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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 561 E 36TH AVE, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Government, Native American Tribal Government, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,758,613

Exercised Options: $25,758,613

Current Obligation: $8,800,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W91CRB23D0022

IDV Type: IDC

Timeline