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 ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – 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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