DoD's $82M GVSC M&S Contract Awarded to SAIC Amidst R&D Spending

Contract Overview

Contract Amount: $82,203,412 ($82.2M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2021-03-23

End Date: 2026-09-28

Contract Duration: 2,015 days

Daily Burn Rate: $40.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: GROUND VEHICLE SYSTEMS CENTER (GVSC) MODELING AND SIMULATION (M&S) UNITED STATES ARMY COMBAT CAPABILITIES DEVELOPMENT COMMAND / GROUND VEHICLE SYSTEMS CENTER

Place of Performance

Location: WARREN, MACOMB County, MICHIGAN, 48088

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $82.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: GROUND VEHICLE SYSTEMS CENTER (GVSC) MODELING AND SIMULATION (M&S) UNITED STATES ARMY COMBAT CAPABILITIES DEVELOPMENT COMMAND / GROUND VEHICLE SYSTEMS CENTER Key points: 1. The contract supports modeling and simulation for the Ground Vehicle Systems Center. 2. Science Applications International Corporation (SAIC) is the primary contractor. 3. This falls under R&D in Physical, Engineering, and Life Sciences. 4. The award is a delivery order under a larger contract, indicating ongoing needs.

Value Assessment

Rating: good

The contract value of $82.2M over its period of performance appears reasonable for specialized R&D services. Benchmarking against similar large-scale modeling and simulation contracts within the DoD would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. The delivery order structure implies this is part of a broader, previously competed effort.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering competitive pricing.

Public Impact

Enhances military vehicle development through advanced simulation capabilities. Supports technological advancement in defense research and development. Contributes to the modernization of the U.S. Army's ground vehicle fleet. Potential for spin-off technologies benefiting civilian engineering sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in complex R&D projects.
  • Reliance on a single contractor for critical M&S capabilities.

Positive Signals

  • Awarded through full and open competition.
  • Supports critical Army modernization efforts.
  • Long-term contract duration allows for sustained development.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences. Spending in this area is crucial for maintaining technological superiority but can be subject to long development cycles and evolving requirements.

Small Business Impact

The data does not indicate specific subcontracting opportunities for small businesses. Further analysis would be needed to determine if small businesses are involved in supporting SAIC's efforts.

Oversight & Accountability

As a delivery order under a larger contract, oversight likely resides within the Department of Defense's contracting and program management structures. Accountability for performance and cost rests with the contracting officer and program executive office.

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

  • Cost Overruns
  • Scope Creep
  • Technical Challenges
  • Contractor Performance Risk

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 $82.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. GROUND VEHICLE SYSTEMS CENTER (GVSC) MODELING AND SIMULATION (M&S) UNITED STATES ARMY COMBAT CAPABILITIES DEVELOPMENT COMMAND / GROUND VEHICLE SYSTEMS CENTER

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.

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 $82.2 million.

What is the period of performance?

Start: 2021-03-23. End: 2026-09-28.

What specific modeling and simulation capabilities does this contract aim to develop or enhance for GVSC?

This contract likely focuses on advanced simulation environments for testing and validating new ground vehicle designs, subsystems, and operational concepts. It could encompass areas like virtual prototyping, performance analysis under various conditions, and human-machine interface simulations, ultimately aiming to reduce physical testing costs and accelerate development timelines for the Army.

What are the primary risks associated with the 'COST PLUS FIXED FEE' contract type for this R&D effort?

Cost Plus Fixed Fee (CPFF) contracts carry inherent risks for the government in R&D. While the contractor is incentivized to control costs to maximize their fixed fee, there's a risk of scope creep or unforeseen technical challenges leading to cost overruns that the government must absorb. The fixed fee itself might not adequately compensate for significant, unanticipated R&D breakthroughs or setbacks.

How effectively does this contract align with the Army's long-term modernization goals for ground vehicle systems?

This contract appears well-aligned with modernization goals by investing in advanced M&S capabilities. These tools are essential for rapidly iterating designs, testing new technologies (like autonomous systems or advanced armor), and ensuring future vehicles meet evolving battlefield requirements efficiently. The long duration suggests a strategic commitment to these capabilities.

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: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $125,678,504

Exercised Options: $125,678,504

Current Obligation: $82,203,412

Actual Outlays: $11,384,361

Subaward Activity

Number of Subawards: 41

Total Subaward Amount: $59,077,277

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807518D0007

IDV Type: IDC

Timeline

Start Date: 2021-03-23

Current End Date: 2026-09-28

Potential End Date: 2026-09-28 00:00:00

Last Modified: 2026-01-15

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