DoD's $13.9M JSF Engineering Services Contract Awarded to Leidos Under Full and Open Competition

Contract Overview

Contract Amount: $13,925,762 ($13.9M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-11-01

End Date: 2011-07-31

Contract Duration: 1,002 days

Daily Burn Rate: $13.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: ENGINEERING AND TECHNICAL SERVICES -JSF

Place of Performance

Location: KIRTLAND AFB, BERNALILLO County, NEW MEXICO, 87117

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $13.9 million to LEIDOS, INC. for work described as: ENGINEERING AND TECHNICAL SERVICES -JSF Key points: 1. Contract awarded to Leidos for engineering and technical services related to the Joint Strike Fighter (JSF) program. 2. The contract was awarded under full and open competition, indicating a competitive bidding process. 3. The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. 4. The award value is $13,925,762, with a duration of 1002 days.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) contract type carries inherent risk for cost overruns. Without detailed cost breakdowns and robust oversight, it's difficult to assess if the fixed fee is reasonable compared to similar R&D service contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically yields competitive pricing, but the CPFF structure still requires careful monitoring of actual costs.

Taxpayer Impact: Taxpayer funds are utilized for this contract. While competition is positive, the CPFF structure necessitates diligent oversight to ensure cost efficiency and prevent unnecessary expenditure.

Public Impact

Supports the critical Joint Strike Fighter (JSF) program, impacting national defense capabilities. The contract involves research and development, potentially leading to technological advancements. Awarded to a single contractor, Leidos, Inc., highlighting their role in this specific defense initiative.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences sector. Spending in this area is crucial for technological advancement but requires careful management due to its often complex and evolving nature.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The contract was awarded to Leidos, Inc., a large business. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Cost Plus Fixed Fee structure requires diligent oversight from the Department of the Air Force to ensure costs are reasonable and the fixed fee is justified. Regular audits and performance reviews are essential for accountability.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, nm, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.9 million to LEIDOS, INC.. ENGINEERING AND TECHNICAL SERVICES -JSF

Who is the contractor on this award?

The obligated recipient is LEIDOS, 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 $13.9 million.

What is the period of performance?

Start: 2008-11-01. End: 2011-07-31.

What specific engineering and technical services are encompassed by this contract, and how do they directly contribute to the JSF program's objectives?

The contract details are limited, but 'Engineering and Technical Services - JSF' suggests support for the design, development, testing, and integration of the Joint Strike Fighter aircraft. These services are crucial for ensuring the aircraft meets its performance specifications, operational requirements, and maintains technological superiority throughout its lifecycle.

Given the CPFF structure, what mechanisms are in place to mitigate the risk of cost overruns and ensure efficient use of taxpayer funds?

While the data doesn't specify, effective mitigation for CPFF contracts typically involves detailed cost accounting standards, regular audits, performance-based milestones, and clear limitations on allowable costs. The contracting officer must actively monitor expenditures against the fixed fee and the overall contract ceiling.

How does the performance of Leidos on this contract compare to industry benchmarks for similar R&D services, and what is the long-term value proposition?

Without performance data or specific deliverables, a direct comparison is challenging. However, the fact that the contract was awarded under full and open competition suggests Leidos offered a competitive proposal. The long-term value depends on the successful advancement of JSF capabilities and Leidos's ability to deliver within the negotiated parameters.

Industry Classification

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

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

Solicitation ID: FA704604R0005

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

Address: 11951 FREEDOM DR, RESTON, VA, 11

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

Financial Breakdown

Contract Ceiling: $15,649,912

Exercised Options: $15,649,912

Current Obligation: $13,925,762

Contract Characteristics

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA704605D0010

IDV Type: IDC

Timeline

Start Date: 2008-11-01

Current End Date: 2011-07-31

Potential End Date: 2011-07-31 00:00:00

Last Modified: 2014-05-29

More Contracts from Leidos, Inc.

View all Leidos, Inc. federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending