DoD's $13M engineering services contract awarded to LOGICON R & D ASSOCIATES (INC) for a 449-day duration

Contract Overview

Contract Amount: $13,013,353 ($13.0M)

Contractor: Logicon R & D Associates (INC)

Awarding Agency: Department of Defense

Start Date: 2002-10-08

End Date: 2003-12-31

Contract Duration: 449 days

Daily Burn Rate: $29.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Defense

Place of Performance

Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $13.0 million to LOGICON R & D ASSOCIATES (INC) for work described as: Key points: 1. Contract awarded for engineering services, indicating a need for specialized technical expertise. 2. The contract type is Cost Plus Award Fee, which incentivizes performance but requires careful monitoring. 3. Awarded by the Department of the Air Force, suggesting a focus on aerospace or defense-related engineering. 4. The duration of 449 days indicates a medium-term project requiring sustained effort. 5. The contract was awarded under full and open competition, suggesting a robust bidding process. 6. The contractor, LOGICON R & D ASSOCIATES (INC), has secured this significant award.

Value Assessment

Rating: fair

Benchmarking the value of this $13 million contract is challenging without specific deliverables or performance metrics. The Cost Plus Award Fee (CPAF) structure allows for costs plus a base fee, with potential for award fees based on performance. This can sometimes lead to higher overall costs compared to fixed-price contracts if not managed tightly. Without comparable contracts for similar engineering services with defined scopes, a precise value-for-money assessment is difficult. However, the competitive award process may have helped to establish a reasonable baseline price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit bids. This process typically involves a solicitation released to the public, followed by a review of proposals based on predefined criteria. The number of bidders is not specified, but full and open competition generally fosters a competitive environment, which can lead to better pricing and innovation. The Department of the Air Force likely sought the best technical solution and value through this method.

Taxpayer Impact: Taxpayers benefit from full and open competition as it generally drives down costs through market forces and encourages a wider pool of contractors to offer their services, leading to potentially more efficient use of public funds.

Public Impact

The primary beneficiaries are likely the Department of the Air Force, receiving essential engineering services. The services delivered are engineering-related, supporting defense or aerospace initiatives. The geographic impact is primarily within the United States, supporting federal defense operations. Workforce implications include employment for engineers and technical staff at LOGICON R & D ASSOCIATES (INC).

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The Cost Plus Award Fee (CPAF) contract type can lead to cost overruns if performance metrics and award fee criteria are not rigorously defined and monitored.
Lack of specific performance details makes it difficult to assess the true value and effectiveness of the engineering services provided.
The duration of the contract (449 days) suggests a significant undertaking, and potential for scope creep needs to be managed.

Positive Signals

Awarded through full and open competition, suggesting a fair and transparent procurement process.
The contract is for engineering services, indicating a need for specialized technical capabilities that the government requires.
The contractor, LOGICON R & D ASSOCIATES (INC), has been selected, implying they met the technical and capability requirements.

Sector Analysis

The engineering services sector is a critical component of the federal procurement landscape, supporting a wide array of government functions from defense and aerospace to infrastructure and research. This contract falls within the broader professional, scientific, and technical services industry. Federal spending in this area is substantial, with agencies like the Department of Defense frequently requiring specialized engineering expertise for complex projects. Benchmarking this $13 million award against overall federal spending on engineering services would place it as a mid-sized contract, but its significance is tied to the specific mission requirements it fulfills for the Air Force.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss': false and 'sb': false. The award to LOGICON R & D ASSOCIATES (INC) suggests a prime contractor capable of handling the full scope of work. There is no explicit information regarding subcontracting plans for small businesses. Without specific subcontracting goals or reporting, the direct impact on the small business ecosystem is unclear, though larger prime contractors often engage small businesses for specialized support.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of the Air Force. The Cost Plus Award Fee (CPAF) structure necessitates robust oversight to ensure that costs are reasonable and that performance meets or exceeds the defined award fee criteria. Transparency is generally maintained through contract reporting mechanisms, though specific details of performance and cost may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Engineering Services
Aerospace Engineering Support
Department of Defense Research and Development
Air Force Logistics and Maintenance Support

Risk Flags

Potential for cost overruns due to CPAF structure.
Need for rigorous performance monitoring to ensure value for award fee.
Scope creep risk given the contract duration and service type.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.0 million to LOGICON R & D ASSOCIATES (INC). See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is LOGICON R & D ASSOCIATES (INC).

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $13.0 million.

What is the period of performance?

Start: 2002-10-08. End: 2003-12-31.

What specific engineering services were provided under this contract?

The provided data indicates the contract was for 'Engineering Services' (NAICS code 541330) awarded to LOGICON R & D ASSOCIATES (INC) by the Department of the Air Force. However, the specific nature of these services is not detailed in the provided data. Typically, engineering services for the Air Force could encompass a wide range of activities, including but not limited to, systems engineering, design, analysis, testing, integration, and lifecycle support for aircraft, weapons systems, or related infrastructure. Without access to the contract's statement of work (SOW) or performance reports, a precise description of the services rendered cannot be determined from this summary data.

How does the $13 million award compare to typical spending on similar engineering services by the Air Force?

The $13 million award for engineering services is a moderate-sized contract within the Department of the Air Force's extensive procurement portfolio. The Air Force regularly awards contracts for engineering support, ranging from small, specialized task orders to multi-billion dollar programs. For instance, major platform development or sustainment contracts often involve hundreds of millions or billions in engineering support over their lifecycle. This $13 million contract, with a duration of 449 days, likely represents a specific project or a defined phase of a larger effort. Benchmarking requires comparing it to contracts with similar scopes of work, technical complexity, and duration, which are not fully detailed here. However, it is not an exceptionally large or small award in the context of overall Air Force engineering service expenditures.

What are the potential risks associated with a Cost Plus Award Fee (CPAF) contract of this nature?

Cost Plus Award Fee (CPAF) contracts, like the one awarded to LOGICON R & D ASSOCIATES (INC), carry inherent risks. The primary risk is that the government may end up paying more than necessary because the contractor is reimbursed for all allowable costs plus a fee, which can be adjusted based on performance. If the award fee criteria are not sufficiently stringent or if performance is poorly monitored, the contractor may receive a high award fee even if performance is only marginally satisfactory, leading to reduced value for money. There's also a risk of cost overruns if the initial cost estimates are inaccurate or if the scope of work expands without adequate controls. Effective oversight and clearly defined, measurable performance metrics are crucial to mitigate these risks.

What does the 'FULL AND OPEN COMPETITION' designation imply for the procurement process and taxpayer value?

The 'FULL AND OPEN COMPETITION' designation signifies that the Department of the Air Force utilized a procurement process designed to maximize competition. This means that all responsible sources were permitted to submit proposals, and the contract was awarded based on the best value to the government, considering factors like price, technical merit, and past performance. This approach is generally favored by the government as it is presumed to foster a more competitive environment, leading to potentially lower prices, higher quality services, and greater innovation. For taxpayers, this designation suggests that the government sought to leverage market forces to obtain the best possible outcome, thereby promoting efficient use of public funds and reducing the risk of non-competitive pricing.

Can the contractor's track record with the Department of Defense be assessed from this data?

The provided data confirms that LOGICON R & D ASSOCIATES (INC) was awarded this specific contract by the Department of the Air Force. However, it does not offer any information regarding the contractor's past performance, track record, or previous awards with the Department of Defense or any other federal agency. To assess their track record, one would need to consult additional resources such as the Federal Procurement Data System (FPDS), contractor performance assessment reports (CPARS), or other publicly available databases that track federal contract awards and performance history.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 6053 W CENTURY BLVD, LOS ANGELES, CA, 90

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: YES

Timeline