DoD's $11.87M Advanced Manufacturing Contract Awarded to KBR WYLE SERVICES, LLC
Contract Overview
Contract Amount: $11,869,381 ($11.9M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: Department of Defense
Start Date: 2018-09-28
End Date: 2022-06-21
Contract Duration: 1,362 days
Daily Burn Rate: $8.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: EXTERNAL BUSINESS OFFICE (EBO) ADVANCED MANUFACTURING, REVERSE ENGINEERING AND OBSOLESCENCE MANAGEMENT TANK-AUTOMOTIVE RESEARCH, DEVELOPMENT, AND ENGINEERING CENTER/ ARMY RESEARCH, DEVELOPMENT, AND ENGINEERING COMMAND
Place of Performance
Location: STERLING HEIGHTS, MACOMB County, MICHIGAN, 48312
State: Michigan Government Spending
Plain-Language Summary
Department of Defense obligated $11.9 million to KBR WYLE SERVICES, LLC for work described as: EXTERNAL BUSINESS OFFICE (EBO) ADVANCED MANUFACTURING, REVERSE ENGINEERING AND OBSOLESCENCE MANAGEMENT TANK-AUTOMOTIVE RESEARCH, DEVELOPMENT, AND ENGINEERING CENTER/ ARMY RESEARCH, DEVELOPMENT, AND ENGINEERING COMMAND Key points: 1. Contract focuses on advanced manufacturing and obsolescence management for Army RDEC. 2. KBR WYLE SERVICES, LLC is the sole awardee. 3. The contract falls under Research and Development in Physical, Engineering, and Life Sciences. 4. Awarded via full and open competition, indicating a competitive bidding process.
Value Assessment
Rating: good
The contract's Cost Plus Fixed Fee (CPFF) structure allows for flexibility in R&D projects. Pricing will be assessed against similar R&D contracts for advanced manufacturing and obsolescence management.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method allows multiple vendors to bid, potentially driving down costs.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical R&D needs.
Public Impact
Supports advanced manufacturing capabilities for military applications. Addresses obsolescence management, crucial for maintaining aging defense systems. Contributes to the technological advancement of the U.S. Army. Potential for innovation in reverse engineering and material science.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee (CPFF) can lead to cost overruns if not managed carefully.
- Reliance on a single awardee for critical R&D functions.
- Obsolescence management can be complex and require ongoing investment.
Positive Signals
- Full and open competition promotes market responsiveness.
- Focus on advanced manufacturing aligns with modernization efforts.
- Supports critical Army research and development needs.
Sector Analysis
This contract falls within the R&D sector, specifically focusing on advanced manufacturing and engineering services. Spending benchmarks for similar R&D contracts in defense are highly variable based on scope and complexity.
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
Oversight will be crucial to ensure KBR WYLE SERVICES, LLC meets performance objectives and manages costs effectively under the CPFF structure. The Department of Defense's contracting oversight mechanisms should be applied.
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
- Potential for cost overruns due to CPFF structure.
- Dependency on a single contractor for critical R&D.
- Complexity and cost of obsolescence management.
- Ensuring adherence to strict military specifications for reverse-engineered parts.
- Technological maturity risks in advanced manufacturing.
Tags
research-and-development-in-the-physical, department-of-defense, mi, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.9 million to KBR WYLE SERVICES, LLC. EXTERNAL BUSINESS OFFICE (EBO) ADVANCED MANUFACTURING, REVERSE ENGINEERING AND OBSOLESCENCE MANAGEMENT TANK-AUTOMOTIVE RESEARCH, DEVELOPMENT, AND ENGINEERING CENTER/ ARMY RESEARCH, DEVELOPMENT, AND ENGINEERING COMMAND
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 $11.9 million.
What is the period of performance?
Start: 2018-09-28. End: 2022-06-21.
What specific advanced manufacturing technologies are being developed or managed under this contract?
The contract details do not specify the exact advanced manufacturing technologies. However, given the context of reverse engineering and obsolescence management for the Tank-Automotive Research, Development, and Engineering Center, it likely involves areas such as additive manufacturing (3D printing), advanced materials, digital manufacturing, and potentially AI-driven design or production processes to address aging vehicle components.
What are the primary risks associated with the obsolescence management aspect of this contract?
Key risks include the difficulty in sourcing or recreating obsolete parts, the high cost of developing replacements, potential delays in production if new manufacturing processes are immature, and the challenge of ensuring newly manufactured components meet stringent military specifications. There's also a risk that the chosen technologies may not be sustainable long-term.
How will the effectiveness of the reverse engineering efforts be measured?
Effectiveness will likely be measured by the successful replication of obsolete components to meet or exceed original specifications, the cost-effectiveness of the reverse engineering process compared to alternatives, the speed at which replacements can be produced, and the successful integration of these components into existing systems without compromising performance or safety.
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: 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: $18,571,317
Exercised Options: $18,571,317
Current Obligation: $11,869,381
Actual Outlays: $623,304
Subaward Activity
Number of Subawards: 14
Total Subaward Amount: $3,842,387
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: 2018-09-28
Current End Date: 2022-06-21
Potential End Date: 2022-06-21 00:00:00
Last Modified: 2025-09-29
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