DOT awards $33.4M for ADS-B systems engineering to Science Applications International Corporation
Contract Overview
Contract Amount: $33,411,126 ($33.4M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Transportation
Start Date: 2008-12-15
End Date: 2012-12-14
Contract Duration: 1,460 days
Daily Burn Rate: $22.9K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 4
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: AUTOMATIC DEPENDENT SURVEILLANCE BROADCAST (ADS-B) SYSTEMS ENGINEERING
Place of Performance
Location: BILLERICA, MIDDLESEX County, MASSACHUSETTS, 01821
Plain-Language Summary
Department of Transportation obligated $33.4 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: AUTOMATIC DEPENDENT SURVEILLANCE BROADCAST (ADS-B) SYSTEMS ENGINEERING Key points: 1. Contract value represents a significant investment in critical aviation infrastructure. 2. Competition dynamics for this contract are not fully detailed but suggest a competitive process. 3. Performance risk indicators are moderate given the technical complexity and duration. 4. This contract supports the modernization of the National Airspace System. 5. The sector positioning is within aerospace and defense technology consulting services.
Value Assessment
Rating: good
The contract value of $33.4 million over four years for ADS-B systems engineering appears reasonable when benchmarked against similar complex engineering and technical services contracts. While specific per-unit cost data is not available, the fixed-fee structure suggests a degree of cost control. The breadth of services required for systems engineering in a critical domain like aviation infrastructure typically commands substantial investment, making this price point appear within an expected range for a project of this scope and importance.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded as a competitive delivery order, indicating that multiple vendors likely had the opportunity to bid. The presence of 'full-and-open' competition suggests a robust bidding process. The number of bidders (4) is a healthy indicator of market interest and provides a basis for price discovery, likely leading to a more favorable outcome for the government compared to sole-source or limited competition scenarios.
Taxpayer Impact: A competitive award process ensures that taxpayer funds are utilized efficiently by fostering price reductions and encouraging innovation among potential contractors.
Public Impact
The primary beneficiaries are the Federal Aviation Administration (FAA) and the flying public, through improved aviation safety and efficiency. Services delivered include critical systems engineering for the Automatic Dependent Surveillance Broadcast (ADS-B) system. The geographic impact is national, as ADS-B is a key component of the Next Generation Air Transportation System (NextGen). Workforce implications include the need for highly skilled systems engineers and technical specialists.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in complex systems engineering projects.
- Reliance on a single contractor for critical systems engineering could pose long-term dependency risks.
- Ensuring continued innovation and adaptation to evolving aviation technologies.
Positive Signals
- Competitive award process likely secured favorable pricing.
- Contractor's established presence in defense and aerospace suggests technical capability.
- Fixed-fee structure provides some cost predictability.
Sector Analysis
This contract falls within the aerospace and defense technology consulting sector, specifically focusing on aviation systems. The market for such specialized engineering services is driven by government investment in modernizing air traffic control and surveillance systems. Comparable spending benchmarks would include other large-scale federal IT and engineering contracts related to infrastructure modernization, such as those for air traffic management systems or defense communication networks.
Small Business Impact
There is no indication of a small business set-aside for this contract. Given the specialized nature of ADS-B systems engineering and the prime contractor's size, it is likely that any subcontracting opportunities would be with other large or specialized technology firms. The impact on the small business ecosystem is likely minimal unless specific small business technology providers are engaged as subcontractors.
Oversight & Accountability
Oversight is typically managed by the contracting officer's representative (COR) within the Department of Transportation, ensuring adherence to contract terms and performance standards. Accountability measures are built into the fixed-fee structure and delivery schedules. Transparency is facilitated through contract databases and reporting requirements, though detailed technical oversight specifics are internal.
Related Government Programs
- Next Generation Air Transportation System (NextGen)
- Federal Aviation Administration (FAA) IT Modernization
- Air Traffic Control Systems
- Aviation Safety and Security Programs
Risk Flags
- Technical Complexity
- Project Duration
- Reliance on Key Personnel
- Integration with Existing Systems
Tags
transportation, department-of-transportation, faa, aviation, systems-engineering, consulting-services, competitive-delivery-order, cost-plus-fixed-fee, large-contract, technology, national-airspace-system, nextgen
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $33.4 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. AUTOMATIC DEPENDENT SURVEILLANCE BROADCAST (ADS-B) SYSTEMS ENGINEERING
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).
What is the total obligated amount?
The obligated amount is $33.4 million.
What is the period of performance?
Start: 2008-12-15. End: 2012-12-14.
What is the track record of Science Applications International Corporation (SAIC) in delivering complex aviation systems engineering projects for the federal government?
Science Applications International Corporation (SAIC) has a long and extensive track record of supporting federal agencies, including the Department of Defense and the Department of Transportation, with complex systems engineering, integration, and technical services. They have been involved in numerous large-scale technology modernization programs. For aviation, SAIC has previously supported the FAA in areas related to air traffic management, surveillance systems, and communication infrastructure. Their experience in delivering solutions for critical national infrastructure projects suggests a strong capability to handle the technical demands and project management requirements of the ADS-B systems engineering contract. Past performance reviews and contract awards would provide more granular detail on their specific successes and challenges in similar aviation-related endeavors.
How does the $33.4 million contract value compare to other federal spending on ADS-B system development and implementation?
The $33.4 million awarded to SAIC for ADS-B systems engineering represents a significant but not necessarily outlier figure within the broader context of the FAA's NextGen initiatives. The total investment in NextGen, which includes ADS-B implementation, has been in the billions of dollars over many years. This specific contract appears to focus on the engineering and technical consulting aspects rather than the full-scale deployment of hardware or infrastructure. When compared to contracts for major system procurements, software development, or large-scale infrastructure upgrades, $33.4 million for specialized systems engineering over four years is within a reasonable range. It reflects the high cost associated with expert technical services required for complex, safety-critical systems.
What are the primary risks associated with this contract, and how are they being mitigated?
The primary risks associated with this ADS-B systems engineering contract include technical complexity, potential for schedule delays, cost overruns (despite the fixed-fee structure, scope creep is a risk), and the contractor's ability to maintain performance over the contract duration. Mitigation strategies likely involve robust project management by SAIC, close oversight from the FAA's COR, clearly defined performance metrics and milestones, and regular technical reviews. The competitive nature of the award also implies that SAIC was selected based on a demonstrated ability to manage these risks. Furthermore, the fixed-fee component incentivizes SAIC to control costs, while the delivery order structure allows for phased execution and potential adjustments if unforeseen issues arise.
How effective is the ADS-B system in enhancing aviation safety and efficiency, and what is the government's long-term strategy for its utilization?
The Automatic Dependent Surveillance Broadcast (ADS-B) system is a cornerstone of the FAA's Next Generation Air Transportation System (NextGen) and is considered highly effective in enhancing aviation safety and efficiency. ADS-B provides air traffic controllers and pilots with more accurate, real-time position information compared to traditional radar. This leads to improved situational awareness, reduced separation between aircraft, optimized flight paths, and enhanced safety, particularly in challenging weather conditions or areas with limited radar coverage. The government's long-term strategy is to achieve nationwide surveillance coverage, enabling benefits such as more direct routing, reduced delays, and increased airspace capacity. Continued investment in systems engineering, like this contract, is crucial for the ongoing development, integration, and optimization of the ADS-B system.
What has been the historical spending trend for ADS-B related systems engineering and consulting services by the Department of Transportation?
Historical spending on ADS-B related systems engineering and consulting services by the Department of Transportation (primarily through the FAA) has been substantial and ongoing, reflecting the multi-year nature of the NextGen modernization program. While specific figures for 'systems engineering and consulting' for ADS-B alone can be difficult to isolate from broader NextGen investments, the FAA has consistently allocated significant portions of its budget towards technology upgrades and related professional services. Spending has likely peaked during critical development and implementation phases. This $33.4 million contract is indicative of continued investment in the technical expertise required to refine and manage such a complex system, suggesting that similar, albeit potentially varying in scale, expenditures have occurred in prior years and are expected to continue as the system matures and evolves.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Scientific and Technical Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 4
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: $40,000,000
Exercised Options: $40,000,000
Current Obligation: $33,411,126
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: DTRT5708D30012
IDV Type: IDC
Timeline
Start Date: 2008-12-15
Current End Date: 2012-12-14
Potential End Date: 2012-12-14 00:00:00
Last Modified: 2023-07-21
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