Army's $121.8M Ground System R&D Contract Awarded to Booz Allen Hamilton Under Full and Open Competition
Contract Overview
Contract Amount: $121,787,551 ($121.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2021-02-26
End Date: 2026-02-28
Contract Duration: 1,828 days
Daily Burn Rate: $66.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: GROUND SYSTEM TECHNOLOGY AND LABORATORY DEVELOPMENT RESEARCH, DEVELOPMENT AND ENGINEERING COMMAND, UNITED STATES ARMY GROUND VEHICLE SYSTEMS CENTER
Place of Performance
Location: WARREN, MACOMB County, MICHIGAN, 48093
State: Michigan Government Spending
Plain-Language Summary
Department of Defense obligated $121.8 million to BOOZ ALLEN HAMILTON INC for work described as: GROUND SYSTEM TECHNOLOGY AND LABORATORY DEVELOPMENT RESEARCH, DEVELOPMENT AND ENGINEERING COMMAND, UNITED STATES ARMY GROUND VEHICLE SYSTEMS CENTER Key points: 1. The contract focuses on crucial research and development for Army ground vehicle systems. 2. Booz Allen Hamilton, a major defense contractor, secured this award. 3. Full and open competition suggests a robust price discovery process. 4. The sector is critical for military modernization and technological advancement.
Value Assessment
Rating: good
The contract value of $121.8 million over approximately 5 years appears reasonable for specialized R&D. Benchmarking against similar complex engineering and R&D contracts is necessary for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: Competitive bidding in R&D contracts aims to optimize taxpayer investment by securing innovative solutions at fair prices.
Public Impact
Enhances U.S. Army's ground vehicle capabilities through advanced research. Supports technological innovation in defense engineering. Potential for spin-off technologies benefiting civilian sectors. Ensures U.S. military maintains a technological edge.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in provided data.
- Potential for cost overruns in R&D projects.
- Dependency on a single contractor for critical R&D.
Positive Signals
- Awarded through full and open competition.
- Long-term contract provides stability for R&D efforts.
- Focus on critical defense technology.
Sector Analysis
This contract falls within the R&D sector, specifically for engineering and physical sciences, supporting the U.S. Army's ground vehicle systems. Spending in this area is vital for maintaining technological superiority and modernizing military assets.
Small Business Impact
The data indicates the prime contractor is Booz Allen Hamilton, a large business. There is no explicit information on small business subcontracting participation in this award.
Oversight & Accountability
Oversight will be crucial to monitor the progress and cost-effectiveness of this R&D effort, ensuring alignment with Army objectives and taxpayer value. The Department of Defense typically has robust oversight mechanisms for such contracts.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for R&D cost overruns.
- Long-term reliance on a single prime contractor.
- Lack of specific performance metrics in the provided data.
- Uncertainty in achieving specific R&D breakthroughs within budget and timeline.
Tags
research-and-development-in-the-physical, department-of-defense, mi, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $121.8 million to BOOZ ALLEN HAMILTON INC. GROUND SYSTEM TECHNOLOGY AND LABORATORY DEVELOPMENT RESEARCH, DEVELOPMENT AND ENGINEERING COMMAND, UNITED STATES ARMY GROUND VEHICLE SYSTEMS CENTER
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
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 $121.8 million.
What is the period of performance?
Start: 2021-02-26. End: 2026-02-28.
What specific technological advancements are expected from this R&D contract, and how will they translate into tangible improvements for Army ground vehicles?
The contract aims to advance technologies for Army ground vehicles, likely focusing on areas such as enhanced mobility, survivability, power systems, and C4ISR integration. Tangible improvements could include lighter, more fuel-efficient platforms, increased protection against threats, and better battlefield awareness through advanced sensor and communication systems.
How will the government ensure cost control and prevent scope creep in this Cost Plus Fixed Fee R&D contract, given the inherent uncertainties in research?
Effective oversight, clear milestone definitions, and regular performance reviews are key. The government will likely employ Earned Value Management (EVM) to track cost and schedule performance against the plan. Fixed-fee elements will incentivize the contractor to manage costs within the agreed-upon parameters, while the cost-plus aspect allows for flexibility in addressing unforeseen R&D challenges.
What is the potential long-term impact of this investment on the U.S. Army's technological readiness and its competitive advantage against potential adversaries?
This investment is critical for maintaining the U.S. Army's technological edge. Advancements in ground vehicle systems can significantly enhance operational effectiveness, reduce soldier risk, and improve mission success rates. Sustained R&D in this domain ensures the Army can adapt to evolving threats and maintain a decisive advantage on the modern battlefield.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $122,127,836
Exercised Options: $122,127,836
Current Obligation: $121,787,551
Actual Outlays: $20,724,773
Subaward Activity
Number of Subawards: 111
Total Subaward Amount: $48,889,713
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA807518D0004
IDV Type: IDC
Timeline
Start Date: 2021-02-26
Current End Date: 2026-02-28
Potential End Date: 2026-02-28 00:00:00
Last Modified: 2025-08-26
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