Air Force awards $16.4M R&D contract to KBR Wyle for life cycle management and safety improvements

Contract Overview

Contract Amount: $16,365,574 ($16.4M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: Department of Defense

Start Date: 2018-04-01

End Date: 2022-09-21

Contract Duration: 1,634 days

Daily Burn Rate: $10.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: TECHNICAL AREA TASK (TAT) PERFORMANCE WORK STATEMENT (PWS)DEFENSE SYSTEMS LIFE CYCLE MANAGEMENT CENTER SYSTEMS ENGINEERING PROCESS OPERATIONAL SAFETY, SUITABILITY, AND EFFECTIVENESS IMPROVEMENT (LCMC-SEP-OSS&E) PROGRAM (DLP)US AIR FORCE 414TH SUPPLY CHAIN MANAGEMENT SQUADRON (414 SCMS)

Place of Performance

Location: HILL AFB, DAVIS County, UTAH, 84056

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $16.4 million to KBR WYLE SERVICES, LLC for work described as: TECHNICAL AREA TASK (TAT) PERFORMANCE WORK STATEMENT (PWS)DEFENSE SYSTEMS LIFE CYCLE MANAGEMENT CENTER SYSTEMS ENGINEERING PROCESS OPERATIONAL SAFETY, SUITABILITY, AND EFFECTIVENESS IMPROVEMENT (LCMC-SEP-OSS&E) PROGRAM (DLP)US AIR FORCE 414TH SUPPLY CHAIN MANAGEMENT SQUADRON (414… Key points: 1. Contract focuses on R&D for physical, engineering, and life sciences, specifically in defense systems. 2. KBR Wyle Services, LLC is the sole awardee under full and open competition. 3. The contract spans nearly 4.5 years, indicating a significant, long-term project. 4. The 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code suggests a focus on innovation and technical expertise.

Value Assessment

Rating: good

The contract's Cost Plus Fixed Fee (CPFF) structure allows for flexibility in R&D while managing costs. The total award of $16.4M over 1634 days suggests a reasonable allocation for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes fair pricing and allows the government to select the best value offer.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical defense systems R&D.

Public Impact

Enhances safety and effectiveness of critical Air Force defense systems. Supports technological advancement in life cycle management and engineering processes. Invests in specialized R&D capabilities within the defense sector. Potential for follow-on work based on performance and evolving defense needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee (CPFF) can lead to cost overruns if not closely monitored.
  • Lack of specific performance metrics in provided data makes assessing value difficult.
  • Potential for scope creep in R&D contracts.

Positive Signals

  • Awarded under full and open competition, suggesting competitive pricing.
  • Long contract duration indicates sustained need and potential for stable support.
  • Focus on safety and effectiveness is a positive indicator for mission readiness.

Sector Analysis

This contract falls within the Research and Development sector, specifically for defense systems. Spending benchmarks for similar R&D contracts can vary widely based on technological complexity and project scope.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). Therefore, small businesses were likely not primary awardees, though they may participate as subcontractors.

Oversight & Accountability

The Department of the Air Force, through the 414th Supply Chain Management Squadron, is responsible for oversight. The contract type (CPFF) requires diligent monitoring of costs and performance to ensure accountability.

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 (CPFF) contract type.
  • R&D contracts inherently carry risk of unforeseen technical challenges.
  • Long duration may increase exposure to changing technological landscapes.
  • No specific small business participation noted.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.4 million to KBR WYLE SERVICES, LLC. TECHNICAL AREA TASK (TAT) PERFORMANCE WORK STATEMENT (PWS)DEFENSE SYSTEMS LIFE CYCLE MANAGEMENT CENTER SYSTEMS ENGINEERING PROCESS OPERATIONAL SAFETY, SUITABILITY, AND EFFECTIVENESS IMPROVEMENT (LCMC-SEP-OSS&E) PROGRAM (DLP)US AIR FORCE 414TH SUPPLY CHAIN MANAGEMENT SQUADRON (414 SCMS)

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 $16.4 million.

What is the period of performance?

Start: 2018-04-01. End: 2022-09-21.

What specific performance metrics are used to evaluate KBR Wyle's success in improving operational safety, suitability, and effectiveness?

The provided data does not detail specific performance metrics. A thorough review of the Performance Work Statement (PWS) and contract deliverables would be necessary to identify key performance indicators (KPIs) and assess how KBR Wyle's success is measured against objectives for safety, suitability, and effectiveness improvements.

How does the Cost Plus Fixed Fee (CPFF) structure mitigate risks associated with R&D cost overruns for this specific contract?

The CPFF structure aims to provide a fixed profit margin for the contractor while allowing for actual costs to be reimbursed. Effective risk mitigation relies on robust government oversight, detailed cost tracking, and clear definition of work scope to prevent uncontrolled cost escalation beyond the fixed fee.

What is the anticipated long-term impact of this R&D investment on the Air Force's overall defense systems capabilities?

This investment is expected to enhance the safety, suitability, and effectiveness of existing defense systems through improved life cycle management and engineering processes. The long-term impact could include increased system reliability, reduced maintenance costs, and improved operational readiness, contributing to the Air Force's technological edge.

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: 3

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: $36,489,061

Exercised Options: $36,489,061

Current Obligation: $16,365,574

Actual Outlays: $1,104,222

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $6,948,251

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: 2018-04-01

Current End Date: 2022-09-21

Potential End Date: 2022-09-21 00:00:00

Last Modified: 2025-09-24

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