DoD's $33M R&D contract for integrated tech solutions awarded to HII Mission Technologies Corp

Contract Overview

Contract Amount: $32,975,192 ($33.0M)

Contractor: HII Mission Technologies Corp

Awarding Agency: Department of Defense

Start Date: 2017-03-30

End Date: 2021-03-30

Contract Duration: 1,461 days

Daily Burn Rate: $22.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CT::IGF CT 16-1344 EVALUATION OF INTEGRATED TECHNOLOGY SOLUTIONS IN A CONTESTED, DEGRADED, AND OPERATIONALLY-LIMITED SPACE ENVIRONMENT

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $33.0 million to HII MISSION TECHNOLOGIES CORP for work described as: IGF::CT::IGF CT 16-1344 EVALUATION OF INTEGRATED TECHNOLOGY SOLUTIONS IN A CONTESTED, DEGRADED, AND OPERATIONALLY-LIMITED SPACE ENVIRONMENT Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. Research and Development focus indicates investment in future capabilities. 3. Contract duration of approximately 4 years. 4. Awarded as a delivery order under a larger contract vehicle. 5. Contract type is Cost Plus Fixed Fee, which can incentivize cost control. 6. Small business set-aside was not utilized. 7. The contract is managed by the Defense Contract Management Agency.

Value Assessment

Rating: fair

Benchmarking the value of this R&D contract is challenging without specific deliverables and performance metrics. The Cost Plus Fixed Fee (CPFF) structure means the government pays the contractor's actual costs plus a fixed fee, which can lead to cost overruns if not managed carefully. Comparing this to similar R&D efforts in advanced technological environments is difficult due to the specialized nature of the work. However, the fixed fee component provides some predictability in contractor profit.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but this approach generally fosters price discovery and allows the government to select the best value offer. The open competition suggests a healthy market for these specialized R&D services.

Taxpayer Impact: A full and open competition is generally favorable for taxpayers as it is expected to drive down costs through competitive pressure and allow for the selection of the most capable and cost-effective solution.

Public Impact

The primary beneficiaries are likely the Department of Defense, which gains access to advanced integrated technology solutions. The services delivered are in research and development, aiming to enhance capabilities in contested, degraded, and operationally-limited environments. The geographic impact is primarily within the United States, where the contractor operates and where the R&D may be applied. Workforce implications include employment for researchers, engineers, and technical staff at HII Mission Technologies Corp.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require diligent oversight to ensure costs remain reasonable and the fixed fee is justified.
The specialized nature of R&D can make it difficult to define clear performance metrics upfront, potentially leading to scope creep or unmet expectations.
Reliance on a single delivery order under a larger contract vehicle might limit visibility into the overall program's cost-effectiveness.

Positive Signals

Awarded through full and open competition, which typically leads to better pricing and selection of the most capable vendor.
The fixed fee component of the CPFF contract provides a degree of cost certainty regarding contractor profit.
The contract addresses critical R&D needs for the Department of Defense in challenging operational environments.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences (excluding biotechnology). The market for advanced technological solutions in defense is substantial, driven by continuous innovation and the need for superior capabilities in complex operational theaters. Comparable spending benchmarks are difficult to establish due to the unique nature of R&D, but significant government investment is consistently directed towards developing next-generation technologies for national security.

Small Business Impact

This contract was not awarded as a small business set-aside, nor is there an indication of specific subcontracting goals for small businesses within the provided data. This suggests that the primary award went to a large business, and opportunities for small businesses would likely be through subcontracting if HII Mission Technologies Corp. chooses to engage them. The impact on the small business ecosystem is therefore indirect and dependent on the prime contractor's sourcing strategies.

Oversight & Accountability

Oversight for this contract is provided by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. Accountability measures are inherent in the Cost Plus Fixed Fee structure, requiring the contractor to justify costs and deliver on the agreed-upon scope. Transparency is facilitated through contract reporting mechanisms, though specific details of R&D progress may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development Programs
Advanced Technology Development Contracts
Integrated Systems Research
Operational Environment Technology Solutions

Risk Flags

Cost Overrun Risk (CPFF)
Scope Creep Potential (R&D)
Performance Measurement Difficulty (R&D)

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $33.0 million to HII MISSION TECHNOLOGIES CORP. IGF::CT::IGF CT 16-1344 EVALUATION OF INTEGRATED TECHNOLOGY SOLUTIONS IN A CONTESTED, DEGRADED, AND OPERATIONALLY-LIMITED SPACE ENVIRONMENT

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $33.0 million.

What is the period of performance?

Start: 2017-03-30. End: 2021-03-30.

What is the specific nature of the 'integrated technology solutions' being researched and developed under this contract?

The provided data indicates the contract is for 'EVALUATION OF INTEGRATED TECHNOLOGY SOLUTIONS IN A CONTESTED, DEGRADED, AND OPERATIONALLY-LIMITED SPACE ENVIRONMENT.' While the exact technologies are not detailed, the context suggests solutions related to command and control, communications, intelligence, surveillance, reconnaissance, or other critical systems designed to function reliably under severe operational constraints. This could encompass hardware, software, or a combination thereof, aimed at enhancing warfighter effectiveness in challenging scenarios. Further details would likely be found in the contract's statement of work or technical exhibits.

How does the Cost Plus Fixed Fee (CPFF) structure compare to other contract types for R&D, and what are its implications for cost control?

The Cost Plus Fixed Fee (CPFF) contract type is common for research and development efforts where the scope is not fully defined at the outset. It reimburses the contractor for allowable costs incurred plus a predetermined fixed fee representing profit. Compared to fixed-price contracts, CPFF offers greater flexibility for evolving R&D projects but can incentivize cost overruns if not rigorously managed, as the contractor's profit is fixed regardless of the final cost. Conversely, it provides more cost certainty for the government regarding contractor profit than cost-plus-award-fee or cost-plus-incentive-fee contracts. Effective oversight by the contracting officer and DCMA is crucial to control costs and ensure the fixed fee remains appropriate for the effort.

What is the historical spending pattern for similar R&D contracts within the Department of Defense, and how does this contract's value compare?

The Department of Defense consistently allocates significant funding towards Research and Development, often in the tens of billions of dollars annually, across various scientific and engineering disciplines. Specific spending patterns for 'integrated technology solutions' in 'contested, degraded, and operationally-limited environments' are highly specialized. A $33 million contract over approximately four years represents a moderate investment for a specific R&D initiative within the broader DoD R&D portfolio. Without detailed comparisons of scope, technical complexity, and performance metrics for other similar contracts, a precise value comparison is difficult. However, this amount is typical for targeted R&D projects aimed at developing and evaluating advanced capabilities.

What are the key performance indicators (KPIs) or metrics used to evaluate the success of this R&D contract?

The provided data does not specify the key performance indicators (KPIs) or metrics for this particular contract. For R&D contracts, especially those involving 'evaluation,' success is typically measured against technical objectives outlined in the Statement of Work (SOW). This could include factors like the successful demonstration of technology prototypes, achievement of specific performance thresholds (e.g., speed, accuracy, reliability under simulated conditions), the quality and comprehensiveness of evaluation reports, and the identification of actionable insights for future development or procurement. The fixed fee in a CPFF contract is often tied to the successful completion of defined milestones or the overall objective.

What is the track record of HII Mission Technologies Corp. in performing similar R&D contracts for the Department of Defense?

Huntington Ingalls Industries (HII), the parent company of HII Mission Technologies Corp., has a substantial track record of performing complex R&D, engineering, and technical services for the Department of Defense and other government agencies. HII Mission Technologies specifically focuses on providing advanced solutions across various domains, including cyber, electronic warfare, and mission systems. While specific performance details for this exact contract are not in the provided data, HII's overall history suggests a strong capability in delivering sophisticated technological solutions and supporting critical defense missions. Government contract databases and past performance reviews would offer more granular insights into their specific R&D performance.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA807515R0001

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 4021 EXECUTIVE DR, BEAVERCREEK, OH, 45430

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

Financial Breakdown

Contract Ceiling: $33,785,616

Exercised Options: $33,785,616

Current Obligation: $32,975,192

Subaward Activity

Number of Subawards: 12

Total Subaward Amount: $19,904,400

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807516D0001

IDV Type: IDC

Timeline