DoD's $43.6M R&D Contract for Aviation EW Systems Awarded to KBR Wyle Services Under Full and Open Competition
Contract Overview
Contract Amount: $43,647,759 ($43.6M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: Department of Defense
Start Date: 2021-06-01
End Date: 2026-05-31
Contract Duration: 1,825 days
Daily Burn Rate: $23.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: RELIABILITY ANALYSIS LOGISTICS AND ENGINEERING RESEARCH AND DEVELOPMENT OF AVIATION ELECTRONIC WARFARE FOR NAVAL AIR SYSTEMS COMMAND NAVAL AVIATION ENTERPRISE ADVANCED TACTICAL AIRCRAFT PROTECTION SYSTEMS PO AND FLEET READINESS CENTER SOUTHEAST
Place of Performance
Location: JACKSONVILLE, DUVAL County, FLORIDA, 32221
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $43.6 million to KBR WYLE SERVICES, LLC for work described as: RELIABILITY ANALYSIS LOGISTICS AND ENGINEERING RESEARCH AND DEVELOPMENT OF AVIATION ELECTRONIC WARFARE FOR NAVAL AIR SYSTEMS COMMAND NAVAL AVIATION ENTERPRISE ADVANCED TACTICAL AIRCRAFT PROTECTION SYSTEMS PO AND FLEET READINESS CENTER SOUTHEAST Key points: 1. Significant investment in advanced tactical aircraft protection systems for naval aviation. 2. KBR Wyle Services, a key contractor, will perform R&D in electronic warfare. 3. The contract is structured as Cost Plus Fixed Fee, which can pose cost control challenges. 4. Competition was full and open, suggesting a robust market for these specialized services.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee (CPFF) contract type allows for cost overruns, potentially increasing the final price. Benchmarking against similar R&D contracts for advanced defense systems is difficult due to unique specifications, but CPFF generally carries higher risk than fixed-price contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple capable vendors were considered. This method generally promotes competitive pricing and ensures the government receives best value, though the CPFF structure still introduces cost uncertainty.
Taxpayer Impact: Taxpayer funds are allocated for critical defense R&D. While competition aims for value, the CPFF structure requires diligent oversight to manage costs effectively and prevent unnecessary expenditure.
Public Impact
Enhances naval aviation's electronic warfare capabilities, crucial for modern combat effectiveness. Supports technological advancement in a highly specialized and critical defense sector. Potential for follow-on contracts or broader application of developed technologies. Impacts the readiness and survivability of naval air assets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can lead to cost overruns.
- Long duration (5 years) increases exposure to changing technological needs and economic conditions.
- Specific R&D outcomes are uncertain, impacting guaranteed value.
- No small business participation noted.
Positive Signals
- Awarded under full and open competition, ensuring broad market engagement.
- Addresses a critical need for advanced aviation electronic warfare.
- Contractor has experience in related defense R&D areas.
- Potential for significant technological advancements.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is vital for maintaining technological superiority in defense, with significant government investment annually.
Small Business Impact
The data indicates no specific set-aside for small businesses, and the prime contractor, KBR Wyle Services, is likely a large business. This suggests limited direct opportunities for small businesses on this specific contract, though they may participate as subcontractors.
Oversight & Accountability
The Cost Plus Fixed Fee structure necessitates robust oversight from the Naval Air Systems Command to monitor costs, ensure progress aligns with objectives, and prevent scope creep. Regular performance reviews and audits will be critical for accountability.
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 Plus Fixed Fee contract type.
- Long contract duration.
- Uncertainty inherent in R&D outcomes.
- No small business participation noted.
- Potential for technological obsolescence over the contract period.
Tags
research-and-development-in-the-physical, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $43.6 million to KBR WYLE SERVICES, LLC. RELIABILITY ANALYSIS LOGISTICS AND ENGINEERING RESEARCH AND DEVELOPMENT OF AVIATION ELECTRONIC WARFARE FOR NAVAL AIR SYSTEMS COMMAND NAVAL AVIATION ENTERPRISE ADVANCED TACTICAL AIRCRAFT PROTECTION SYSTEMS PO AND FLEET READINESS CENTER SOUTHEAST
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 $43.6 million.
What is the period of performance?
Start: 2021-06-01. End: 2026-05-31.
How will the government ensure cost efficiency and prevent overruns with a Cost Plus Fixed Fee contract for this R&D effort?
The Naval Air Systems Command will implement stringent oversight mechanisms, including detailed cost tracking, regular performance reviews, and potentially independent cost audits. Establishing clear milestones and deliverables tied to fee realization, alongside robust negotiation of indirect cost rates, will be crucial. Proactive engagement with the contractor to identify and mitigate potential cost drivers early in the R&D process is also key.
What are the primary risks associated with the long duration of this R&D contract, and how can they be mitigated?
The primary risks include technological obsolescence, shifts in strategic priorities, and contractor performance degradation over time. Mitigation strategies involve incorporating flexibility clauses for scope adjustments, conducting periodic technical reviews to ensure alignment with evolving needs, and maintaining strong contract management to monitor performance and address issues promptly. Building in options for phased development can also allow for re-evaluation at key junctures.
Given the specialized nature of aviation electronic warfare, how effective is full and open competition in securing the best value for this type of R&D?
Full and open competition is generally effective in identifying the most capable and cost-competitive vendors for specialized R&D. It ensures a broad pool of talent is considered, driving innovation and potentially lowering prices. However, the effectiveness is contingent on the clarity of the solicitation, the government's ability to accurately assess technical proposals, and the chosen contract type's ability to manage R&D uncertainties.
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: 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: $55,346,507
Exercised Options: $55,346,507
Current Obligation: $43,647,759
Actual Outlays: $192,029
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $10,221,754
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA807518D0015
IDV Type: IDC
Timeline
Start Date: 2021-06-01
Current End Date: 2026-05-31
Potential End Date: 2026-05-31 00:00:00
Last Modified: 2025-12-23
More Contracts from KBR Wyle Services, LLC
- Bioastronautics Contract-Activities for the Health &productivity of Crews Working and Living in Space — $1.5B (National Aeronautics and Space Administration)
- Fpds-Ng Mission Systems Operations Contract (msoc) — $1.0B (National Aeronautics and Space Administration)
- THE Purpose of This Contract IS to Acquire Engineering Services and Related Services to MSD and Related Organizations Throughout Gsfc, AS Required, for the Formulation, Design, Development, Fabrication, Integration, Testing, Verification, and Operations of Space Flight and Ground System Hardware and Software, Including Development and Validation of NEW Technologies to Enable Future Space and Science Missions. the Engineering Areas of Emphasis ARE Multidisciplinary With Concentration in the Mechanical Engineering Areas of Materials, Structural Analysis and Loads, Mechanical Design, Electromechanical Design, Thermal, Contamination and Coatings, Manufacturing and Integration and Test — $728.5M (National Aeronautics and Space Administration)
- 200106!000121!1700!F7004 !marine Corps Logistics Base !M6700499C0002 !a!n!*!n!p00015 !20010228!20080930!041014242!041014242!139691877!n!honeywell Technology Solutions!7000 Columbia Gateway Driv!columbia !md!21046!35000!031!12!jacksonville !duval !florida !+000004292865!n!n!000000000000!j049!maint & Repair of Eq/Maintenance & Repair Shop EQ !a4a!combat Vehicles !2000!NOT Discernable or Classified !811310!*!*!3! ! !C!*!*!*!B!*!*!A! !A !N!J!2!006!B! !C!Y!Z! ! !N!C!N! ! ! !a!a!a!a!000!a!d!n! ! ! ! ! ! !0001! — $670.1M (Department of Defense)
- Mission Operations Management Services (moms) — $623.8M (National Aeronautics and Space Administration)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)