DHS awards $36.9M R&D contract to Science Applications International Corp

Contract Overview

Contract Amount: $36,933,595 ($36.9M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Homeland Security

Start Date: 2018-08-01

End Date: 2023-08-31

Contract Duration: 1,856 days

Daily Burn Rate: $19.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::OT::IGF

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $36.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: IGF::OT::IGF Key points: 1. Contract awarded to a large business, indicating potential for significant scale and resources. 2. The R&D sector is critical for innovation but can carry inherent risks in outcome predictability. 3. Full and open competition suggests a robust price discovery process. 4. The Cost Plus Fixed Fee (CPFF) structure requires careful monitoring to manage costs effectively.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed diligently. Benchmarking against similar R&D contracts is challenging due to unique project scopes, but the fixed fee component provides some cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. This method allows all eligible contractors to bid, promoting a fair marketplace.

Taxpayer Impact: Taxpayer funds are utilized for R&D, aiming for long-term technological advancement. The competitive award process is intended to maximize the value derived from these investments.

Public Impact

Supports technological advancement within the Department of Homeland Security. Potential for new capabilities or improved existing systems. Investment in research and development can lead to future economic benefits. Contract duration of over 1800 days suggests a long-term project with significant resource allocation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is crucial for national security and technological progress, often characterized by high innovation potential and variable cost structures.

Small Business Impact

The contract was not awarded to a small business, and there is no indication of small business subcontracting. This suggests the project scope or requirements may have favored larger, established contractors.

Oversight & Accountability

The contract's duration and CPFF structure necessitate robust oversight from the Department of Homeland Security to ensure cost control and adherence to project objectives. Regular performance reviews and audits are essential.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-homeland-security, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $36.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. IGF::OT::IGF

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $36.9 million.

What is the period of performance?

Start: 2018-08-01. End: 2023-08-31.

What specific R&D outcomes are expected from this contract, and how will their achievement be measured?

The specific R&D outcomes are not detailed in the provided data. However, for a CPFF contract in this sector, success is typically measured by the contractor's ability to meet defined research milestones, deliver prototypes or findings, and achieve technical objectives within the agreed-upon fixed fee and estimated cost parameters. The agency's program office would establish key performance indicators (KPIs) and conduct regular reviews.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) structure in this R&D context?

The primary risk with CPFF is that the contractor may have less incentive to control costs compared to fixed-price contracts, as costs exceeding the estimate are borne by the government up to a ceiling. For R&D, this is compounded by the inherent uncertainty of research, where unexpected challenges can significantly increase costs. Effective oversight is crucial to mitigate these risks.

How does the full and open competition method ensure effective price discovery for this R&D contract?

Full and open competition allows multiple qualified vendors to submit proposals, creating a competitive environment that drives down prices and encourages innovative solutions. For R&D, this means the government can solicit diverse approaches and potentially find more cost-effective methods or superior technical solutions than through limited or sole-source procurements. The agency evaluates proposals based on both technical merit and price.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTGeneral Science and Technology R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DHSSTLRBAA1402

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $36,933,595

Exercised Options: $36,933,595

Current Obligation: $36,933,595

Actual Outlays: $8,682,955

Subaward Activity

Number of Subawards: 16

Total Subaward Amount: $5,774,839

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2018-08-01

Current End Date: 2023-08-31

Potential End Date: 2023-08-31 00:00:00

Last Modified: 2024-08-13

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