HII Mission Technologies Corp awarded $45.6M for Air Force C3I infrastructure support

Contract Overview

Contract Amount: $45,566,029 ($45.6M)

Contractor: HII Mission Technologies Corp

Awarding Agency: Department of Defense

Start Date: 2018-03-30

End Date: 2023-03-27

Contract Duration: 1,823 days

Daily Burn Rate: $25.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SUPPORT OF AIR FORCE LIFE CYCLE MANAGEMENT CENTER, COMMAND, CONTROL, COMMUNICATIONS AND INTELLIGENCE INFRASTRUCTURE DIVISION

Place of Performance

Location: HANSCOM AFB, MIDDLESEX County, MASSACHUSETTS, 01731

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $45.6 million to HII MISSION TECHNOLOGIES CORP for work described as: SUPPORT OF AIR FORCE LIFE CYCLE MANAGEMENT CENTER, COMMAND, CONTROL, COMMUNICATIONS AND INTELLIGENCE INFRASTRUCTURE DIVISION Key points: 1. Contract supports critical Command, Control, Communications, and Intelligence (C3I) infrastructure. 2. Awarded via full and open competition, suggesting a competitive bidding process. 3. Cost Plus Fixed Fee contract type may present cost control challenges. 4. Performance period spans over 5 years, indicating a long-term need. 5. Contractor, HII Mission Technologies Corp, has a significant presence in defense contracting. 6. The NAICS code 541712 points to R&D in physical, engineering, and life sciences.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables or performance metrics. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility, can sometimes lead to higher costs compared to fixed-price contracts if not managed tightly. Comparing this to similar C3I infrastructure support contracts would require detailed scope of work analysis. The total award amount of $45.6 million over approximately five years suggests a moderate investment in this area.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of two bids suggests a moderate level of competition for this specific requirement. While two bidders is better than one, a higher number of bidders typically leads to more robust price discovery and potentially better value for the government.

Taxpayer Impact: A competitive award process generally benefits taxpayers by encouraging lower pricing and better service offerings from contractors vying for the award.

Public Impact

The primary beneficiary is the U.S. Air Force, specifically the Life Cycle Management Center's C3I Infrastructure Division. Services delivered likely involve research, development, and support for critical communication and intelligence systems. Geographic impact is likely concentrated around Air Force installations where C3I infrastructure is managed and operated. Workforce implications may include specialized technical and engineering roles within HII Mission Technologies Corp and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize contractor to increase costs to maximize fee.
Lack of specific performance metrics makes it difficult to assess value for money.
Limited number of bidders (2) may indicate potential barriers to entry or limited market interest.

Positive Signals

Awarded through full and open competition, ensuring a broad range of potential contractors could bid.
Contract duration of over 5 years suggests a stable, long-term need for these services.
Contractor has experience in defense and technology sectors, implying capability.

Sector Analysis

This contract falls within the Research and Development in the Physical, Engineering, and Life Sciences sector, specifically related to defense IT and intelligence infrastructure. The market for C3I support is specialized, often dominated by large defense contractors with deep technical expertise. Comparable spending benchmarks would depend on the specific nature of the R&D and infrastructure support, but investments in defense IT and intelligence systems are substantial across the federal government.

Small Business Impact

The data indicates that small business participation (sb: false) was not a specific set-aside for this contract. There is no explicit information on subcontracting plans for small businesses. Without specific set-aside requirements or reporting on subcontracting, the direct impact on the small business ecosystem is unclear, though large prime contractors often utilize small businesses for specialized support.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Air Force's contracting and program management offices. The Inspector General of the Department of Defense would have jurisdiction for audits and investigations into potential fraud, waste, or abuse. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance details may be sensitive.

Related Government Programs

Air Force Command, Control, Communications, and Intelligence (C3I) Programs
Defense Research and Development Contracts
IT Infrastructure Support Services
Life Cycle Management Center Contracts

Risk Flags

Cost Plus Fixed Fee contract type
Limited number of bidders
Long contract duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.6 million to HII MISSION TECHNOLOGIES CORP. SUPPORT OF AIR FORCE LIFE CYCLE MANAGEMENT CENTER, COMMAND, CONTROL, COMMUNICATIONS AND INTELLIGENCE INFRASTRUCTURE DIVISION

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 (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $45.6 million.

What is the period of performance?

Start: 2018-03-30. End: 2023-03-27.

What specific research and development activities are encompassed by this contract?

The contract data specifies the NAICS code 541712, which covers 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)'. While the contract title mentions 'SUPPORT OF AIR FORCE LIFE CYCLE MANAGEMENT CENTER, COMMAND, CONTROL, COMMUNICATIONS AND INTELLIGENCE INFRASTRUCTURE DIVISION', the precise nature of the R&D is not detailed. It likely pertains to advancing technologies, improving systems, or developing new capabilities related to the Air Force's C3I infrastructure. This could range from cybersecurity research, network optimization, signal processing advancements, to the development of new communication protocols or intelligence analysis tools. Further details would typically be found in the contract's Statement of Work (SOW).

How does the Cost Plus Fixed Fee (CPFF) contract type compare to other contract types in terms of cost efficiency for R&D projects?

Cost Plus Fixed Fee (CPFF) contracts are often used for research and development where the scope of work is not well-defined or is expected to evolve. In a CPFF contract, the contractor is reimbursed for allowable costs plus a fixed fee representing profit. While this provides flexibility for R&D, it can be less cost-efficient for the government compared to fixed-price contracts, as the contractor has less incentive to control costs beyond what is necessary to complete the work. The government bears more risk regarding cost overruns. For R&D, however, it can be advantageous when innovation and exploration are prioritized over strict cost adherence, allowing contractors to pursue novel solutions without being penalized for unforeseen expenses.

What is the track record of HII Mission Technologies Corp in delivering similar C3I infrastructure support?

HII Mission Technologies Corp, a division of Huntington Ingalls Industries, is a major defense contractor with extensive experience in a wide array of defense-related services, including C3I, IT, and intelligence support. They have a history of performing large-scale government contracts. While specific performance details for this exact contract are not provided in the summary data, their general profile suggests they possess the technical capabilities and infrastructure to handle complex C3I projects. Assessing their specific track record would involve reviewing past performance evaluations, contract awards, and any reported issues on similar government contracts.

What are the potential risks associated with a contract of this duration and type?

A contract spanning over five years (1823 days) carries inherent risks related to technological obsolescence, changing mission requirements, and potential shifts in strategic priorities for the Air Force. The Cost Plus Fixed Fee (CPFF) structure introduces risks of cost growth if not diligently managed, as the contractor's profit is fixed regardless of the final cost. There's also a risk that the contractor may not maintain optimal performance throughout the contract's life if incentives for continuous improvement are not robustly built into the contract or managed through oversight. Furthermore, reliance on a single contractor for critical infrastructure support over an extended period can create vendor lock-in.

How does this contract's value compare to overall Air Force spending on C3I infrastructure?

The $45.6 million award represents a specific investment in R&D and support for C3I infrastructure managed by the Air Force Life Cycle Management Center. To compare this to overall Air Force spending on C3I, one would need to analyze the total budget allocated to C3I programs, which includes procurement, sustainment, modernization, and other R&D efforts across various Air Force commands and centers. This single contract is likely a component of a larger C3I strategy. Without access to the broader Air Force budget data for C3I, it's difficult to ascertain if $45.6 million is a significant portion or a relatively small investment within the total context.

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: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 4021 EXECUTIVE DR, DAYTON, 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: $46,590,807

Exercised Options: $46,590,807

Current Obligation: $45,566,029

Actual Outlays: $3,903,675

Subaward Activity

Number of Subawards: 363

Total Subaward Amount: $171,171,406

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807516D0006

IDV Type: IDC

Timeline