DOE Awards $967.8M for Counter Nuclear Smuggling Systems, Supporting Critical National Security Mission

Contract Overview

Contract Amount: $9,678,828 ($9.7M)

Contractor: Seatech Global Security Solutions

Awarding Agency: Department of Energy

Start Date: 2024-09-24

End Date: 2027-09-23

Contract Duration: 1,094 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: TASKS INCLUDE DESIGN, INTEGRATION, CONSTRUCTION, COMMUNICATIONS, LOGISTICS, TRAINING, AND EQUIPMENT PROCUREMENT TO SUPPORT THE DEPLOYMENT OF COUNTER NUCLEAR SMUGGLING SYSTEMS. EXAMPLES OF COUNTER NUCLEAR SMUGGLING SYSTEM COMPONENTS INCLUDE BUT ARE NO

Plain-Language Summary

Department of Energy obligated $9.7 million to SEATECH GLOBAL SECURITY SOLUTIONS for work described as: TASKS INCLUDE DESIGN, INTEGRATION, CONSTRUCTION, COMMUNICATIONS, LOGISTICS, TRAINING, AND EQUIPMENT PROCUREMENT TO SUPPORT THE DEPLOYMENT OF COUNTER NUCLEAR SMUGGLING SYSTEMS. EXAMPLES OF COUNTER NUCLEAR SMUGGLING SYSTEM COMPONENTS INCLUDE BUT ARE NO Key points: 1. Significant investment in advanced technology to combat nuclear smuggling. 2. Broad scope of services including design, integration, and procurement. 3. Potential for high impact on national security and global safety. 4. Sector focus on specialized technical services and equipment.

Value Assessment

Rating: good

The contract type is Cost Plus Fixed Fee, which allows for flexibility but requires careful oversight to manage costs. The award amount of $967.8M over 3 years suggests a substantial project with significant resource allocation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, indicating a robust process to solicit bids from a wide range of qualified contractors. This method generally promotes competitive pricing and innovation.

Taxpayer Impact: The investment aims to enhance national security, potentially saving significant costs associated with nuclear material proliferation and its consequences.

Public Impact

Enhances national security by bolstering defenses against nuclear smuggling. Supports technological advancement in critical threat detection and interdiction. Contributes to global non-proliferation efforts and international safety. Creates specialized jobs in scientific, technical, and engineering fields.

Waste & Efficiency Indicators

Waste Risk Score: 88 / 10

Warning Flags

  • Cost Plus Fixed Fee contracts can lead to cost overruns if not managed diligently.
  • Complexity of integrating diverse systems requires strong project management.
  • Reliance on a single awardee for multiple delivery orders could pose a risk if performance falters.

Positive Signals

  • Full and open competition suggests a competitive bidding process.
  • Clear definition of services supports focused execution.
  • Long-term contract duration allows for sustained development and deployment.

Sector Analysis

This contract falls within the 'All Other Professional, Scientific, and Technical Services' sector, characterized by highly specialized expertise. Spending in this area is often driven by national security, research, and complex project management needs.

Small Business Impact

The data indicates this contract was awarded to Seatech Global Security Solutions and does not specify any small business participation. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of Energy's oversight is crucial for managing the Cost Plus Fixed Fee structure, ensuring adherence to scope, and preventing cost overruns. Regular reporting and performance reviews will be key accountability mechanisms.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Energy Contracting
  • Department of Energy Programs

Risk Flags

  • Potential for cost overruns due to CPFF contract type.
  • Complexity of system integration and interoperability.
  • Cybersecurity risks associated with sensitive technology.
  • Dependence on contractor performance for critical national security function.
  • Long-term sustainment and maintenance costs not detailed.

Tags

all-other-professional-scientific-and-te, department-of-energy, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $9.7 million to SEATECH GLOBAL SECURITY SOLUTIONS. TASKS INCLUDE DESIGN, INTEGRATION, CONSTRUCTION, COMMUNICATIONS, LOGISTICS, TRAINING, AND EQUIPMENT PROCUREMENT TO SUPPORT THE DEPLOYMENT OF COUNTER NUCLEAR SMUGGLING SYSTEMS. EXAMPLES OF COUNTER NUCLEAR SMUGGLING SYSTEM COMPONENTS INCLUDE BUT ARE NO

Who is the contractor on this award?

The obligated recipient is SEATECH GLOBAL SECURITY SOLUTIONS.

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $9.7 million.

What is the period of performance?

Start: 2024-09-24. End: 2027-09-23.

What is the projected return on investment for these counter nuclear smuggling systems in terms of averted threats or costs?

Quantifying the precise ROI is challenging due to the nature of threat prevention. However, the investment is justified by the potentially catastrophic economic and human costs of successful nuclear smuggling. The systems aim to deter or intercept threats, thereby avoiding immense costs related to security breaches, public health crises, and geopolitical instability.

What are the primary risks associated with the integration of diverse technological components for these systems?

Key risks include interoperability issues between different systems, potential cybersecurity vulnerabilities during integration, and delays caused by unforeseen technical challenges. Ensuring seamless communication and data sharing across all components, from sensors to communication platforms, requires rigorous testing and robust security protocols throughout the design and deployment phases.

How effectively will the chosen contract type (Cost Plus Fixed Fee) balance cost control with the need for flexibility in a complex technical project?

The CPFF structure offers flexibility for evolving technical requirements but necessitates stringent oversight to control costs. The Department of Energy must implement robust monitoring of expenditures, performance metrics, and contractor efficiency. Clear baseline cost estimates and regular audits are vital to ensure the fixed fee remains appropriate and taxpayer funds are used efficiently.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll 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

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3200 GEORGE WASHINGTON WAY STE D, RICHLAND, WA, 99354

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,536,293

Exercised Options: $12,771,722

Current Obligation: $9,678,828

Actual Outlays: $927,812

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89233124DNA000056

IDV Type: IDC

Timeline

Start Date: 2024-09-24

Current End Date: 2027-09-23

Potential End Date: 2031-09-23 00:00:00

Last Modified: 2026-03-19

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