Air Force's $48.4M R&D Contract for Patriot Technical Support Awarded to KBR Wyle Services

Contract Overview

Contract Amount: $48,361,871 ($48.4M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: Department of Defense

Start Date: 2017-05-17

End Date: 2020-05-16

Contract Duration: 1,095 days

Daily Burn Rate: $44.2K/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 PATRIOT TECHNICAL SUPPORT, PEO MS, LOWER TIER PROJECT OFFICE (LPTO), SYSTEM ENGINEERING DIRECTORATE

Place of Performance

Location: LEXINGTON PARK, SAINT MARYS County, MARYLAND, 20653

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $48.4 million to KBR WYLE SERVICES, LLC for work described as: IGF::CT::IGF PATRIOT TECHNICAL SUPPORT, PEO MS, LOWER TIER PROJECT OFFICE (LPTO), SYSTEM ENGINEERING DIRECTORATE Key points: 1. The contract focuses on research and development in physical, engineering, and life sciences. 2. KBR Wyle Services, LLC secured the award through full and open competition. 3. The contract duration is 3 years, with a total value of $48.4 million. 4. This falls under the R&D sector, specifically NAICS code 541712.

Value Assessment

Rating: good

The contract's cost-plus-fixed-fee structure allows for flexibility but requires careful monitoring to ensure cost efficiency. Benchmarking against similar R&D contracts is recommended.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, suggesting a robust price discovery process. This method generally leads to more competitive pricing.

Taxpayer Impact: Taxpayer funds are being utilized for critical research and development, with competition aiming to ensure value for money.

Public Impact

Supports the PEO MS Lower Tier Project Office (LPTO) and System Engineering Directorate. Contributes to advancements in physical, engineering, and life sciences research. Ensures continued technical support for key defense systems. The contract's R&D focus may lead to future technological innovations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost-plus-fixed-fee contracts can sometimes lead to cost overruns if not managed tightly.
  • Lack of specific performance metrics in the provided data makes assessing effectiveness challenging.

Positive Signals

  • Awarded through full and open competition, indicating a competitive bidding process.
  • Supports critical defense systems and R&D efforts.
  • Long-term contract provides stability for technical support.

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS 541712. Spending in this sector is crucial for technological advancement but can be subject to cost overruns if not managed effectively.

Small Business Impact

The data indicates that KBR Wyle Services, LLC, the awardee, is not a small business. There is no information provided on subcontracting opportunities for small businesses under this contract.

Oversight & Accountability

Oversight will be critical for the Department of the Air Force to ensure that the cost-plus-fixed-fee structure is managed effectively and that the R&D objectives are met within budget.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Cost-plus-fixed-fee contract type.
  • R&D spending can be inherently unpredictable.
  • No explicit mention of small business subcontracting goals.
  • Performance metrics not detailed in the provided data.

Tags

research-and-development-in-the-physical, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $48.4 million to KBR WYLE SERVICES, LLC. IGF::CT::IGF PATRIOT TECHNICAL SUPPORT, PEO MS, LOWER TIER PROJECT OFFICE (LPTO), SYSTEM ENGINEERING DIRECTORATE

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $48.4 million.

What is the period of performance?

Start: 2017-05-17. End: 2020-05-16.

What specific R&D objectives are being pursued under this contract, and how will their achievement be measured to ensure value for money?

The contract supports the PEO MS Lower Tier Project Office (LPTO) and System Engineering Directorate, focusing on Research and Development in Physical, Engineering, and Life Sciences. Specific objectives and their measurement criteria are not detailed in the provided data. Effective oversight would require clear performance metrics tied to R&D milestones and deliverables to ensure taxpayer funds are used efficiently and that the intended technological advancements are realized.

What are the potential risks associated with a cost-plus-fixed-fee contract for R&D, and how can they be mitigated?

Risks include potential cost overruns if R&D efforts prove more complex or expensive than anticipated, and contractor incentives to maximize costs to increase profit. Mitigation strategies involve robust government oversight, detailed cost tracking, clearly defined scope and milestones, and strong negotiation of the fixed fee to ensure it reflects reasonable profit for the effort and risk involved.

How does this contract contribute to the overall effectiveness of the Patriot missile system or related defense capabilities?

This contract provides essential technical support and R&D for the PEO MS Lower Tier Project Office (LPTO) and System Engineering Directorate, likely contributing to the enhancement, maintenance, or development of capabilities related to the Patriot system. The R&D aspect suggests efforts to improve performance, adapt to new threats, or integrate new technologies, thereby bolstering the overall effectiveness and relevance of defense systems.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTOTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FA807513R0001

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Brown & Root Industrial Services Holdings, LLC

Address: 22309 EXPLORATION DR, LEXINGTON PARK, MD, 20653

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

Financial Breakdown

Contract Ceiling: $49,267,081

Exercised Options: $49,267,081

Current Obligation: $48,361,871

Subaward Activity

Number of Subawards: 8

Total Subaward Amount: $5,519,004

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807514D0025

IDV Type: IDC

Timeline

Start Date: 2017-05-17

Current End Date: 2020-05-16

Potential End Date: 2020-05-16 00:00:00

Last Modified: 2025-09-19

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