DoD awards $7.3M R&D contract for Army ground sensor research to CACI, Inc

Contract Overview

Contract Amount: $7,345,592 ($7.3M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Defense

Start Date: 2025-03-27

End Date: 2030-03-26

Contract Duration: 1,825 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: RESEARCH AND ANALYSIS OF TECHNICAL, LOGISTICS, BUSINESS ACTIVITIES, AND CONTINGENCY OPERATIONS FOR ARMY PRODUCT MANAGER GROUND SENSORS

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $7.3 million to CACI, INC. - FEDERAL for work described as: RESEARCH AND ANALYSIS OF TECHNICAL, LOGISTICS, BUSINESS ACTIVITIES, AND CONTINGENCY OPERATIONS FOR ARMY PRODUCT MANAGER GROUND SENSORS Key points: 1. Contract focuses on technical, logistics, business, and contingency operations for Army ground sensors. 2. Awarded under full and open competition, suggesting a competitive bidding process. 3. The contract duration of 5 years indicates a long-term need for these R&D services. 4. CACI, Inc. - Federal is the prime contractor, with the Department of the Air Force acting as the servicing agency. 5. The North American Industry Classification System (NAICS) code 541715 points to R&D in physical, engineering, and life sciences. 6. This contract is a Delivery Order, implying it's part of a larger Indefinite Delivery/Indefinite Quantity (IDIQ) contract.

Value Assessment

Rating: fair

The contract value of $7.3 million over five years for R&D services appears moderate. Without specific benchmarks for similar Army ground sensor research contracts, a precise value-for-money assessment is challenging. However, the Cost Plus Fixed Fee (CPFF) contract type suggests that costs are reimbursed, plus a fixed fee for profit, which can sometimes lead to higher overall costs if not carefully managed. Further analysis would require comparing the scope of work and deliverables to other R&D contracts in this specialized area.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This typically suggests a robust bidding process where multiple companies had the opportunity to compete. The number of bidders is not specified, but the open competition is generally a positive sign for price discovery and achieving a competitive price.

Taxpayer Impact: Taxpayers benefit from the potential for a more competitive price due to the open bidding process. This approach aims to ensure that the government receives the best value by allowing a wide range of qualified contractors to propose solutions.

Public Impact

The U.S. Army benefits from advanced research and development in ground sensor technology. Services include technical analysis, logistics support, business activities, and contingency operations planning. The research aims to enhance the capabilities and effectiveness of Army ground sensor systems. Potential workforce implications include employment for researchers, engineers, and technical specialists within CACI, Inc. - Federal and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can incentivize cost overruns if not closely monitored.
Lack of specific details on the number of bidders in the 'full and open competition' limits a full assessment of competitive intensity.
The servicing agency is the Department of the Air Force, while the work is for the Army, which could introduce coordination complexities.

Positive Signals

Awarded under 'full and open competition,' suggesting a competitive process.
Long contract duration (5 years) indicates a sustained commitment to critical R&D for the Army.
CACI, Inc. - Federal is an established government contractor with a significant presence in defense and IT services.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for defense-related R&D is substantial, driven by the need for technological superiority. Comparable spending benchmarks would involve looking at other contracts for sensor development, advanced materials, and defense-related research programs within the Department of Defense. The specific focus on ground sensors places it within a niche but critical area of military technology.

Small Business Impact

The data indicates that small business participation (sb) is false, and there is no specific small business set-aside (ss) noted for this contract. This suggests that the primary contract was not specifically targeted towards small businesses. However, CACI, Inc. - Federal, as a large prime contractor, may engage small businesses as subcontractors to fulfill specific aspects of the contract, though this is not explicitly detailed in the provided information. The impact on the small business ecosystem would depend on whether subcontracting opportunities are made available.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Defense, with the Department of the Air Force acting as the servicing agency for the Army. Accountability measures would be embedded within the Cost Plus Fixed Fee contract terms, requiring CACI, Inc. - Federal to justify costs and demonstrate progress towards defined milestones. Transparency would be enhanced through contract reporting requirements and potentially through the Federal Procurement Data System (FPDS). Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Army Ground Sensor Modernization Programs
Department of Defense Research and Development Initiatives
CACI, Inc. - Federal Contract Portfolio
Defense Logistics and Technical Support Contracts

Risk Flags

Potential for cost overruns due to CPFF contract type.
Uncertainty in R&D outcomes impacting project timelines and deliverables.
Coordination challenges between the servicing agency (Air Force) and the requiring agency (Army).
Dependence on contractor's technical expertise and innovation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.3 million to CACI, INC. - FEDERAL. RESEARCH AND ANALYSIS OF TECHNICAL, LOGISTICS, BUSINESS ACTIVITIES, AND CONTINGENCY OPERATIONS FOR ARMY PRODUCT MANAGER GROUND SENSORS

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

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 $7.3 million.

What is the period of performance?

Start: 2025-03-27. End: 2030-03-26.

What is CACI, Inc. - Federal's track record with similar R&D contracts for the Department of Defense?

CACI, Inc. - Federal has a substantial track record of performing research and development services for the Department of Defense across various agencies and branches. They are known for providing a wide range of technical, engineering, and IT support. Analyzing their past performance on contracts with similar scope, such as sensor development, advanced technology research, or logistics analysis for the Army or other services, would provide insight into their capabilities and reliability. Historical data from contract databases like FPDS can reveal their success rates, any past performance issues, and their experience with specific contract types like Cost Plus Fixed Fee. Their extensive experience suggests a strong understanding of DoD requirements and acquisition processes, but specific performance metrics on comparable R&D efforts would be needed for a definitive assessment.

How does the $7.3 million value compare to similar Army ground sensor R&D contracts?

Benchmarking the $7.3 million contract value against similar Army ground sensor R&D contracts requires access to a comprehensive database of historical procurements. Without direct comparative data, it's difficult to definitively state if this represents a high, low, or average investment. Factors influencing contract value include the specific technological advancements sought, the complexity of the research, the duration of the effort, and the number of bidders. If this contract is for foundational research or early-stage development, the value might be considered typical. However, if it involves advanced prototyping or integration of cutting-edge technologies, the value could be on the lower end, potentially indicating a limited scope or a phased approach. Further analysis would involve identifying contracts with similar NAICS codes (541715) and keywords related to 'ground sensors' and 'Army' to establish a more accurate market comparison.

What are the primary risks associated with this Cost Plus Fixed Fee (CPFF) contract type for this specific R&D effort?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract type for this R&D effort is the potential for cost overruns. In a CPFF structure, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing their profit. If the research proves more complex or time-consuming than initially estimated, the total cost to the government could exceed initial projections. This risk is amplified in R&D where the outcomes and required effort can be inherently uncertain. Effective mitigation requires robust government oversight, detailed cost tracking, clear definition of allowable costs, and strong performance metrics to ensure the contractor remains efficient and focused on achieving the research objectives within the spirit of the fixed fee. Without stringent management, the CPFF structure can incentivize less cost-consciousness from the contractor.

How effective are the current oversight mechanisms for ensuring program effectiveness and accountability?

The effectiveness of oversight mechanisms for this contract hinges on the diligence of the Department of the Air Force (servicing agency) and the Army (requiring agency) in monitoring CACI, Inc. - Federal's performance. Standard oversight practices include regular progress reviews, technical evaluations of research milestones, audits of incurred costs, and adherence to reporting requirements outlined in the contract. The CPFF structure necessitates particularly close financial oversight to ensure costs are allowable and reasonable. Program effectiveness will be measured against the defined research objectives and deliverables. Accountability is enforced through contractual remedies, including potential termination for default or non-performance. The presence of an Inspector General within the DoD provides an additional layer of oversight for investigating fraud, waste, and abuse, thereby bolstering overall accountability.

What are the historical spending patterns for Army ground sensor research and development?

Historical spending patterns for Army ground sensor research and development can be analyzed through federal procurement databases, which track contract awards over time. This specific contract's value of $7.3 million over five years suggests an average annual spend of approximately $1.46 million for this particular effort. To understand broader patterns, one would examine total obligated amounts for NAICS code 541715 related to Army R&D, specifically focusing on keywords like 'ground sensors,' 'surveillance,' 'intelligence,' and 'detection systems.' Spending in this area is typically influenced by evolving battlefield needs, technological advancements, and overall defense budgets. Periods of increased geopolitical tension or new operational requirements often correlate with higher R&D investments in sensor technologies. Analyzing trends over the past 5-10 years would reveal whether spending has been consistent, increasing, or decreasing.

What is the significance of the Department of the Air Force serving as the servicing agency for an Army requirement?

The Department of the Air Force serving as the servicing agency for an Army requirement, as seen in this contract award, is a common practice within the Department of Defense (DoD) aimed at leveraging shared resources and expertise. Agencies often have established contracting vehicles, procurement processes, or specialized contracting offices that can efficiently manage certain types of acquisitions. In this case, the Air Force's contracting professionals may have specific expertise in R&D procurements or possess an existing IDIQ contract under which this delivery order was issued. While the Air Force handles the contractual administration, the technical requirements and ultimate use of the research fall under the purview of the Army. This inter-service collaboration can lead to efficiencies and cost savings by avoiding duplication of contracting efforts across different military branches.

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: CACI International Inc

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $53,843,821

Exercised Options: $53,843,821

Current Obligation: $7,345,592

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $8,746,005

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807518D0006

IDV Type: IDC

Timeline