DoD Awards $40.6M for Systems Engineering Services to ARINC Engineering Services, LLC

Contract Overview

Contract Amount: $40,625,967 ($40.6M)

Contractor: Booz Allen Hamilton Engineering Services, LLC

Awarding Agency: Department of Defense

Start Date: 2003-04-09

End Date: 2008-04-01

Contract Duration: 1,819 days

Daily Burn Rate: $22.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 14

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: 200307!003476!2100!AB07 !USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB006 !A!N! !Y!0004 !20030409!20070130!075916762!075916762!101458586!N!ARINC ENGINEERING SERVICES, LL!2551 RIVA ROAD !ANNAPOLIS !MD!21401!01600!003!24!ANNAPOLIS !ANNE ARUNDEL !MARYLAND !+000002278990!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A7 !ELECTRONICS AND COMMUNICATION !1000!NOT DISCERNABLE OR CLASSIFIED !541330!E! !5!B!M! !A! !99990909!B! ! !A! !A!N!Y!2!014!B! !C!N!Z! ! !N!C!N! ! ! !C!Z!A!A!000!A!C!N! ! ! ! ! ! !0001! !

Place of Performance

Location: LINTHICUM HEIGHTS, ANNE ARUNDEL County, MARYLAND, 21090, UNITED STATES OF AMERICA

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $40.6 million to BOOZ ALLEN HAMILTON ENGINEERING SERVICES, LLC for work described as: 200307!003476!2100!AB07 !USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB006 !A!N! !Y!0004 !20030409!20070130!075916762!075916762!101458586!N!ARINC ENGINEERING SERVICES, LL!2551 RIVA ROAD !ANNAPOLIS !MD!21401!01600!003!24!ANNAPOLIS !ANNE … Key points: 1. Contract awarded for critical systems engineering services. 2. Competition was full and open, suggesting market availability. 3. Potential risk in Time and Materials pricing structure. 4. Sector: IT/Defense, with a focus on engineering services.

Value Assessment

Rating: good

The contract value of $40.6M over 5 years for engineering services appears reasonable given the scope. Benchmarking against similar large-scale engineering contracts is necessary for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple vendors could bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely benefiting from a fair price for the engineering services.

Public Impact

Ensures continued support for critical defense systems. Supports technological advancement and maintenance within the DoD. Provides specialized engineering expertise to the Department of the Army.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Time and Materials pricing can lead to cost overruns if not closely managed.
  • Contract duration of 5 years may not align with rapidly evolving technology needs.
  • Specific performance metrics and deliverables are not detailed in the provided data.

Positive Signals

  • Full and open competition ensures a broad range of potential bidders.
  • Award to a known entity (ARINC) suggests established capability.
  • Contract supports essential defense electronics and communication systems.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense electronics and communication systems. Spending benchmarks for similar large-scale engineering services contracts within the Department of Defense are typically in the tens to hundreds of millions of dollars.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The prime contractor is ARINC Engineering Services, LLC, and further analysis would be needed to determine their small business utilization.

Oversight & Accountability

Oversight would typically be managed by the contracting officer and program management office within the Department of the Army to ensure performance and cost control, especially given the Time and Materials structure.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Time and Materials pricing structure.
  • Potential for cost overruns.
  • Lack of specific performance metrics in provided data.
  • Contract duration may be too long for rapidly evolving technology.

Tags

engineering-services, department-of-defense, md, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $40.6 million to BOOZ ALLEN HAMILTON ENGINEERING SERVICES, LLC. 200307!003476!2100!AB07 !USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB006 !A!N! !Y!0004 !20030409!20070130!075916762!075916762!101458586!N!ARINC ENGINEERING SERVICES, LL!2551 RIVA ROAD !ANNAPOLIS !MD!21401!01600!003!24!ANNAPOLIS !ANNE ARUNDEL !MARYLAND !+000002278990!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A7 !ELECTRONICS AND COMMUNICATION !1000!NOT DISCERNABLE OR CLASSIFIED !541330!E! !5!B!M! !A! !99990909!B

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON ENGINEERING 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 $40.6 million.

What is the period of performance?

Start: 2003-04-09. End: 2008-04-01.

What specific systems engineering tasks are included in this contract, and how do they align with current DoD priorities?

The contract specifies 'SYSTEMS ENGINEERING SERVICES' (NAICS 541330) for 'ELECTRONICS AND COMMUNICATION' systems. These tasks likely involve the design, integration, testing, and lifecycle management of complex defense communication and electronic warfare systems. Alignment with DoD priorities would depend on the specific systems supported, such as next-generation communication networks, radar systems, or electronic countermeasures, which are crucial for maintaining technological superiority.

What are the primary risks associated with the 'Time and Materials' (T&M) contract type for this scope of work?

The primary risk with T&M contracts is the potential for cost overruns, as the final price is not fixed and depends on the actual labor hours and material costs incurred. Without strong oversight and defined ceilings, the contractor may lack incentives to control costs efficiently. For complex engineering services, this can lead to unpredictable expenditures for the government, impacting budget certainty.

How effective is 'Full and Open Competition' in ensuring the best value for complex engineering services like these?

Full and open competition is generally effective in ensuring best value by allowing a wide range of qualified contractors to compete, driving down prices and fostering innovation. However, for highly specialized or complex engineering services, the government must ensure evaluation criteria adequately assess technical capability and past performance, not just price. This approach helps secure the most capable provider at a competitive rate, maximizing the return on taxpayer investment.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 14

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation (UEI: 964725688)

Address: 2551 RIVA ROAD, ANNAPOLIS, MD, 21401

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DAAB0703DB006

IDV Type: IDC

Timeline

Start Date: 2003-04-09

Current End Date: 2008-04-01

Potential End Date: 2008-04-01 00:00:00

Last Modified: 2015-03-27

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