DoD awards $31.6M for Joint Force Development Research and Analysis to HII Mission Technologies Corp

Contract Overview

Contract Amount: $31,627,763 ($31.6M)

Contractor: HII Mission Technologies Corp

Awarding Agency: Department of Defense

Start Date: 2024-06-06

End Date: 2029-06-05

Contract Duration: 1,825 days

Daily Burn Rate: $17.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: JOINT FORCE DEVELOPMENT RESEARCH AND ANALYSIS FOR JOINT STAFF J7 DEPUTY DIRECTOR, JOINT WARFIGHTING DEVELOPMENT SEE SECTION J, ATTACHMENT 1, P1 22-2398 PERFORMANCE WORK STATEMENT

Place of Performance

Location: SUFFOLK, SUFFOLK CITY County, VIRGINIA, 23435

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $31.6 million to HII MISSION TECHNOLOGIES CORP for work described as: JOINT FORCE DEVELOPMENT RESEARCH AND ANALYSIS FOR JOINT STAFF J7 DEPUTY DIRECTOR, JOINT WARFIGHTING DEVELOPMENT SEE SECTION J, ATTACHMENT 1, P1 22-2398 PERFORMANCE WORK STATEMENT Key points: 1. Contract focuses on critical research and analysis for joint warfighting development. 2. HII Mission Technologies Corp. is the sole awardee for this specific delivery order. 3. The contract duration is 5 years, indicating a long-term need for these services. 4. The contract type is Cost Plus Fixed Fee, which allows for cost reimbursement plus a fixed fee. 5. This award falls under the Research and Development in Physical, Engineering, and Life Sciences NAICS code. 6. The contract was awarded under full and open competition. 7. The performance location is Virginia.

Value Assessment

Rating: good

Benchmarking the value of this specific contract is challenging without detailed cost breakdowns. However, the $31.6 million award over five years suggests an average annual spend of approximately $6.3 million for specialized research and development services. This figure appears reasonable for complex analytical and developmental work supporting high-level military strategy, especially when considering the expertise required. Further analysis would require comparing specific labor categories and overhead rates against industry benchmarks for similar R&D contracts within the Department of Defense.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit offers. The data shows two bids were received, suggesting a moderate level of competition for this specialized service. While two bidders is not extensive, it does provide a basis for price comparison and ensures that the government is not solely reliant on a single provider. The specific details of the bidding process and evaluation criteria would offer further insight into the effectiveness of the competition.

Taxpayer Impact: Full and open competition, even with two bidders, generally benefits taxpayers by fostering a more competitive environment that can lead to better pricing and service quality compared to sole-source or limited competition scenarios.

Public Impact

The primary beneficiary is the Joint Staff J7, which will receive critical research and analysis to enhance joint warfighting capabilities. Services delivered will support the development of strategies and doctrines for future military operations. The geographic impact is primarily within Virginia, where the performance is expected to occur. This contract will likely support a specialized workforce of researchers, analysts, and subject matter experts in defense strategy and operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can sometimes lead to higher costs if not managed diligently, as the contractor is reimbursed for all allowable costs plus a fee.
Limited competition (2 bidders) may not always yield the most competitive pricing.
The specific deliverables and performance metrics are not detailed in the provided summary, making it difficult to assess performance risks.
The long-term nature of the contract (5 years) requires ongoing monitoring to ensure continued value and alignment with evolving defense needs.

Positive Signals

Awarded through full and open competition, maximizing potential sources.
The contractor, HII Mission Technologies Corp., is a known entity in the defense sector, suggesting potential for reliable performance.
The contract duration allows for sustained focus on complex research and development objectives.
The focus on joint force development addresses a critical national security requirement.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on defense-related physical, engineering, and life sciences. The market for defense R&D is substantial, driven by the need for technological superiority and strategic advantage. Comparable spending benchmarks would involve analyzing other DoD contracts for similar analytical and developmental services, particularly those supporting strategic planning and warfighting concepts. The size of this contract is moderate within the broader defense R&D landscape.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a set-aside provision. The prime contractor, HII Mission Technologies Corp., may engage small businesses as subcontractors, but this is not mandated by the contract's award structure.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the relevant program office within the Department of Defense. Accountability measures would be tied to the performance work statement and the Cost Plus Fixed Fee structure, requiring detailed reporting and justification of costs. Transparency is generally facilitated through contract award databases, though specific performance details may be sensitive. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Joint Staff J7 Operations
Department of Defense Research and Development Programs
Military Strategy and Doctrine Development
Warfighting Capability Analysis
Defense Advanced Research Projects Agency (DARPA) Contracts

Risk Flags

Cost Overrun Risk (CPFF)
Limited Competition Effectiveness
Performance Monitoring Complexity
Long-Term Contract Management

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.6 million to HII MISSION TECHNOLOGIES CORP. JOINT FORCE DEVELOPMENT RESEARCH AND ANALYSIS FOR JOINT STAFF J7 DEPUTY DIRECTOR, JOINT WARFIGHTING DEVELOPMENT SEE SECTION J, ATTACHMENT 1, P1 22-2398 PERFORMANCE WORK STATEMENT

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

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 $31.6 million.

What is the period of performance?

Start: 2024-06-06. End: 2029-06-05.

What is the track record of HII Mission Technologies Corp. in performing similar research and analysis contracts for the Department of Defense?

HII Mission Technologies Corp. has a significant track record in supporting the Department of Defense across various domains, including research, development, and advanced technologies. While specific details for this exact type of joint force development analysis require deeper investigation into their past performance reports and contract history, the company is known for its capabilities in systems engineering, simulation, training, and information technology solutions for defense clients. Their experience likely includes complex analytical tasks, strategic planning support, and the development of operational concepts. A thorough review of their past performance on similar contracts, including client satisfaction, adherence to schedule and budget, and technical execution, would be necessary for a comprehensive assessment.

How does the $31.6 million contract value compare to similar joint force development research contracts awarded by the DoD in recent years?

Comparing the $31.6 million value requires identifying contracts with highly similar scopes of work, such as strategic analysis, warfighting concept development, and joint operational planning support. The annual value of approximately $6.3 million for this contract appears to be within a reasonable range for specialized R&D services supporting high-level military objectives. However, without access to a comprehensive database of comparable contracts, including their specific deliverables, duration, and competition levels, a precise benchmark is difficult. Factors like the complexity of the research, the level of security clearance required, and the specific expertise of the contractor significantly influence pricing. Generally, contracts of this nature supporting strategic functions can range from a few million to tens of millions annually, depending on the breadth and depth of the required analysis.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for research and development services?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract, like this one, is the potential for cost overruns. While the 'fixed fee' component provides the contractor with a defined profit margin, the 'cost plus' element means the government reimburses the contractor for all allowable costs incurred. If the contractor's costs exceed initial estimates, the government bears that burden. This can lead to the contract costing more than initially anticipated if cost controls are not robust. For the government, effective oversight is crucial to ensure that all costs are reasonable, allocable, and allowable. For the contractor, managing resources efficiently is key to maximizing their profit within the fixed fee.

How effective is the current competition level (2 bidders) likely to be in ensuring optimal value for taxpayers?

A competition level of two bidders represents a moderate level of competition. While it is better than a sole-source award, it may not be as robust as ideal scenarios involving multiple, highly competitive bids. With only two bidders, there is a risk that the pricing may not be as aggressively competitive as it could be with more participants driving down costs. However, for highly specialized R&D services like joint force development, the pool of qualified contractors may naturally be limited. The effectiveness for taxpayers will depend on the government's negotiation strategy, the thoroughness of the evaluation process, and whether the two bidders were genuinely competitive in their proposals. If the bidders were closely matched in capability and price, the outcome could still be favorable.

What are the potential implications of this contract on the development of future US military doctrine and operational capabilities?

This contract is directly aimed at enhancing joint force development, which is fundamental to shaping future US military doctrine and operational capabilities. The research and analysis provided by HII Mission Technologies Corp. will likely inform strategic decision-making, identify emerging threats, and explore innovative approaches to warfare. The insights gained could lead to revised training methodologies, new equipment requirements, and updated joint operational plans. Essentially, this contract serves as an investment in the intellectual capital that underpins the military's ability to adapt and maintain a strategic advantage in a complex global security environment. The quality and relevance of the research will directly influence the effectiveness of future military actions.

What is the historical spending pattern for joint force development research and analysis within the Department of Defense?

Historical spending on joint force development research and analysis within the Department of Defense is substantial and ongoing, reflecting the continuous need to adapt military strategies and capabilities to evolving geopolitical landscapes. While specific figures for 'joint force development research and analysis' as a distinct category can fluctuate and may be aggregated under broader R&D or strategic planning budgets, the overall investment in these areas is consistently high. Agencies like the Joint Staff, Combatant Commands, and various service-specific research arms allocate significant resources to understanding future threats, developing new operational concepts, and ensuring interoperability across different military branches. This contract represents a portion of that larger, sustained investment in maintaining military readiness and strategic foresight.

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: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 4021 EXECUTIVE DR, BEAVERCREEK, OH, 45430

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

Financial Breakdown

Contract Ceiling: $64,993,044

Exercised Options: $64,993,044

Current Obligation: $31,627,763

Actual Outlays: $1,127,010

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $3,668,228

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807518D0002

IDV Type: IDC

Timeline