DoD's $47.7M Mission Planning Software Contract Awarded to Northrop Grumman Under Full and Open Competition

Contract Overview

Contract Amount: $47,749,853 ($47.7M)

Contractor: Northrop Grumman Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2017-10-11

End Date: 2021-04-14

Contract Duration: 1,281 days

Daily Burn Rate: $37.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: FRAMEWORK 1.6 MISSION PLANNING SOFTWARE DEVELOPMENT AND MAINTENANCE

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32826

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $47.7 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: FRAMEWORK 1.6 MISSION PLANNING SOFTWARE DEVELOPMENT AND MAINTENANCE Key points: 1. Significant investment in R&D for critical mission planning software. 2. Northrop Grumman, a major defense contractor, secured the award. 3. Full and open competition suggests a potentially competitive pricing environment. 4. The contract spans over three years, indicating a long-term need.

Value Assessment

Rating: good

The contract's Cost Plus Fixed Fee (CPFF) structure allows for cost reimbursement plus a fixed fee, which can incentivize efficiency. Benchmarking against similar R&D contracts for software development is challenging without more granular cost data.

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 price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: Taxpayer funds are being used for the development and maintenance of essential mission planning software, supporting national defense capabilities.

Public Impact

Enhances Air Force's operational capabilities through advanced software. Supports technological advancement in defense research and development. Potential for follow-on contracts based on performance and evolving needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • CPFF contracts can sometimes lead to cost overruns if not closely managed.
  • Reliance on a single large contractor for critical software.

Positive Signals

  • Awarded through full and open competition.
  • Supports critical national defense functions.
  • Long-term contract indicates sustained need and potential for stable development.

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology) sector, specifically for mission planning software. Defense R&D spending is a significant portion of the federal budget, with software development being a key area.

Small Business Impact

The contract was awarded to Northrop Grumman Systems Corporation, a large prime contractor. There is no explicit indication of small business subcontracting in the provided data, suggesting limited direct small business participation in this specific award.

Oversight & Accountability

The Department of the Air Force is the contracting activity. Oversight would typically involve contract management teams monitoring performance, costs, and adherence to contract terms, especially given the CPFF structure.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) contract type.
  • Long contract duration (1281 days).
  • No explicit small business subcontracting noted.
  • Reliance on a single large prime contractor.

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 $47.7 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. FRAMEWORK 1.6 MISSION PLANNING SOFTWARE DEVELOPMENT AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS 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 $47.7 million.

What is the period of performance?

Start: 2017-10-11. End: 2021-04-14.

What is the projected total cost of the contract over its full duration, considering potential modifications and option periods?

The provided data shows an award amount of $47,749,852.74 for the initial period. However, the contract duration is 1281 days, and the contract type is Cost Plus Fixed Fee. Without details on the fixed fee percentage or potential for cost overruns, estimating the final total cost is difficult. Further analysis of contract modifications and performance history would be needed.

How does the per-unit cost of this software development compare to industry benchmarks for similar R&D projects?

A direct per-unit cost benchmark is not feasible with the provided data. The contract covers software development and maintenance, which are complex R&D activities. Benchmarking would require detailed cost breakdowns, labor rates, and scope of work comparisons against other government or commercial R&D contracts for analogous systems.

What is the government's strategy for ensuring the software remains current and effective against evolving threats throughout the contract period?

The contract includes a maintenance component, suggesting a plan for ongoing updates and support. The CPFF structure, combined with performance metrics and regular reviews by the Air Force, should facilitate adaptation. However, the specific mechanisms for threat evolution tracking and proactive software modernization would need to be detailed within the contract's statement of work.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except 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: Northrop Grumman Corporation

Address: 2340 DULLES CORNER BOULEVARD, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $62,650,369

Exercised Options: $48,389,819

Current Obligation: $47,749,853

Actual Outlays: $2,211,436

Subaward Activity

Number of Subawards: 87

Total Subaward Amount: $38,492,818

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA872010D0001

IDV Type: IDC

Timeline

Start Date: 2017-10-11

Current End Date: 2021-04-14

Potential End Date: 2021-04-14 00:00:00

Last Modified: 2026-02-24

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