GSA Awards $521.7M Task Order to HII Mission Technologies for Technical Services

Contract Overview

Contract Amount: $521,713,671 ($521.7M)

Contractor: HII Mission Technologies Corp

Awarding Agency: General Services Administration

Start Date: 2023-03-01

End Date: 2027-02-28

Contract Duration: 1,460 days

Daily Burn Rate: $357.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: BASIC TASK ORDER AWARD

Plain-Language Summary

General Services Administration obligated $521.7 million to HII MISSION TECHNOLOGIES CORP for work described as: BASIC TASK ORDER AWARD Key points: 1. Significant award value indicates a substantial need for specialized technical services. 2. HII Mission Technologies Corp is a major player in the defense and aerospace sector. 3. The contract type (Cost Plus Award Fee) can incentivize performance but requires careful oversight. 4. The 'All Other Professional, Scientific, and Technical Services' NAICS code is broad, suggesting diverse support.

Value Assessment

Rating: good

The Cost Plus Award Fee structure allows for performance incentives. Benchmarking against similar large-scale technical services contracts is recommended to ensure the award fee structure is competitive and drives optimal value.

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 by allowing all eligible vendors to bid.

Taxpayer Impact: Full and open competition generally leads to better value for taxpayers by fostering a competitive environment.

Public Impact

Supports critical government functions through specialized technical services. Potential for innovation and efficiency gains driven by award fee incentives. Ensures continuity of essential services through a multi-year award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee requires diligent monitoring of costs and performance.
Broad NAICS code may obscure specific service costs.
Long contract duration (4 years) necessitates ongoing performance evaluation.

Positive Signals

Awarded under full and open competition.
Experienced contractor (HII Mission Technologies Corp).
Incentive-based contract structure.

Sector Analysis

This award falls under professional, scientific, and technical services, a broad category often supporting defense and intelligence agencies. Spending in this sector is substantial, with many large contractors competing for significant contracts.

Small Business Impact

The data indicates this was not set aside for small businesses, and the prime contractor is a large corporation. Subcontracting opportunities for small businesses may exist but are not explicitly detailed in this award notice.

Oversight & Accountability

The Cost Plus Award Fee structure necessitates robust oversight from the General Services Administration (GSA) to ensure performance targets are met and costs are reasonable. Regular performance reviews and audits are crucial.

Related Government Programs

All Other Professional, Scientific, and Technical Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Cost Plus Award Fee (CPAF) requires significant oversight.
Broad NAICS code lacks specificity.
Long-term contract duration.
No small business set-aside indicated.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $521.7 million to HII MISSION TECHNOLOGIES CORP. BASIC TASK ORDER AWARD

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $521.7 million.

What is the period of performance?

Start: 2023-03-01. End: 2027-02-28.

How does the performance of HII Mission Technologies Corp on this contract compare to industry benchmarks for similar services, particularly concerning the award fee component?

Assessing HII's performance against industry benchmarks requires access to detailed performance metrics and award fee payouts. Comparing their success rates, efficiency gains, and cost management against peers performing similar technical services would reveal if the award fee structure is effectively driving superior outcomes and providing good value for the government.

What specific technical services are encompassed by the broad 'All Other Professional, Scientific, and Technical Services' NAICS code in this contract, and how are costs allocated?

The broad NAICS code necessitates a detailed review of the contract's statement of work to understand the specific services provided. Understanding cost allocation is critical, especially with a Cost Plus Award Fee structure, to ensure that direct and indirect costs are appropriately categorized and that the award fee is tied to measurable, value-added outcomes rather than just effort.

What mechanisms are in place to ensure the long-term effectiveness and adaptability of the services provided under this four-year contract, given the evolving nature of technology?

Mechanisms for ensuring long-term effectiveness could include contract clauses for technical refresh, regular reviews of technological advancements, and performance metrics that reward innovation and adaptability. The GSA's oversight should focus on ensuring the contractor remains at the forefront of relevant technologies and can pivot services as government needs evolve over the contract's duration.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical 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

Solicitation ID: 47QFCA22R0049

Offers Received: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 8350 BROAD ST STE 1400, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,321,682,207

Exercised Options: $789,801,402

Current Obligation: $521,713,671

Subaward Activity

Number of Subawards: 27

Total Subaward Amount: $7,674,773

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QFCA22D0064

IDV Type: IDC

Timeline