DoD's $130M SENPAI R&D Contract Awarded to HII Mission Technologies Amidst Full and Open Competition
Contract Overview
Contract Amount: $13,002,324 ($13.0M)
Contractor: HII Mission Technologies Corp
Awarding Agency: Department of Defense
Start Date: 2023-12-20
End Date: 2026-05-30
Contract Duration: 892 days
Daily Burn Rate: $14.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 19
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: STRATEGIC EXPLORATION, NAVIGATION, AND PATCHING OF ABSTRACTED INTEGRATIONS (SENPAI)
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $13.0 million to HII MISSION TECHNOLOGIES CORP for work described as: STRATEGIC EXPLORATION, NAVIGATION, AND PATCHING OF ABSTRACTED INTEGRATIONS (SENPAI) Key points: 1. The contract focuses on research and development in physical, engineering, and life sciences, excluding nanotechnology and biotechnology. 2. HII Mission Technologies Corp secured the award through a full and open competition, indicating a competitive bidding process. 3. The contract's cost-plus-fixed-fee structure suggests potential for cost overruns if not managed effectively. 4. The R&D sector is critical for technological advancement but can carry inherent risks in achieving desired outcomes.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee (CPFF) pricing structure can lead to higher costs if not closely monitored. Benchmarking against similar R&D contracts is difficult due to the specialized nature of the work.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The award was made under full and open competition, suggesting a robust price discovery process. However, the CPFF structure means the final cost is not fixed upfront, potentially impacting the ultimate value for taxpayers.
Taxpayer Impact: Taxpayer funds are being invested in advanced R&D, with the potential for significant technological returns. The CPFF structure necessitates careful oversight to ensure cost efficiency.
Public Impact
Advancement in strategic exploration and navigation technologies could have dual-use applications. Investment in R&D supports national security objectives and technological superiority. The contract duration of over 800 days indicates a long-term commitment to the research objectives.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee structure requires diligent oversight to control expenses.
- R&D projects inherently carry a risk of not achieving desired technological breakthroughs.
- The specific nature of 'abstracted integrations' may lack clear, measurable deliverables.
Positive Signals
- Awarded through full and open competition, suggesting competitive pricing.
- Focus on strategic R&D aligns with long-term technological advancement goals.
- Contract awarded to an established entity, HII Mission Technologies Corp.
Sector Analysis
This contract falls under the Research and Development sector, specifically NAICS code 541715. Spending in this sector is crucial for innovation but often involves higher risk and less predictable outcomes compared to procurement of established goods or services.
Small Business Impact
The data provided does not indicate whether small businesses were involved as subcontractors. Further investigation would be needed to assess small business participation.
Oversight & Accountability
The Department of the Air Force is the contracting agency. Oversight will be critical to manage the CPFF contract effectively, ensuring that the research objectives are met within reasonable cost parameters and that taxpayer funds are used efficiently.
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 (CPFF) pricing model.
- Abstract nature of 'abstracted integrations' may lead to unclear deliverables.
- Long contract duration (892 days) increases exposure to changing technological landscapes.
- R&D projects have inherent uncertainty in achieving desired outcomes.
Tags
research-and-development-in-the-physical, department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.0 million to HII MISSION TECHNOLOGIES CORP. STRATEGIC EXPLORATION, NAVIGATION, AND PATCHING OF ABSTRACTED INTEGRATIONS (SENPAI)
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 $13.0 million.
What is the period of performance?
Start: 2023-12-20. End: 2026-05-30.
What are the specific expected technological advancements from this R&D contract, and how will their success be measured?
The contract details 'STRATEGIC EXPLORATION, NAVIGATION, AND PATCHING OF ABSTRACTED INTEGRATIONS (SENPAI)'. Success measurement will likely involve technical reviews, prototype demonstrations, and achievement of specific performance metrics defined in the contract's Statement of Work. The abstract nature suggests a focus on foundational research, potentially leading to future applications rather than immediate, tangible products.
What is the risk associated with the Cost Plus Fixed Fee (CPFF) structure in this R&D context, and how is it being mitigated?
The CPFF structure carries a risk of cost overruns if the contractor's costs exceed initial estimates, as the government pays the actual costs plus a fixed fee. Mitigation relies heavily on robust government oversight, detailed cost tracking, and clear performance milestones to ensure the contractor remains incentivized to control expenses while achieving research goals.
How does this $130 million investment in R&D align with the Department of the Air Force's broader strategic goals for technological superiority?
This investment likely supports the Air Force's objectives in areas such as advanced command and control, autonomous systems, or resilient communication networks. The R&D focus suggests a commitment to developing next-generation capabilities that could provide a significant advantage in future operational environments, ensuring long-term technological superiority.
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: BASIC RESEARCH
Solicitation ID: HR001123S0025
Offers Received: 19
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Huntington Ingalls Industries, Inc
Address: 8350 BROAD ST STE 1400, MC LEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $24,425,727
Exercised Options: $22,023,342
Current Obligation: $13,002,324
Actual Outlays: $855,561
Subaward Activity
Number of Subawards: 6
Total Subaward Amount: $12,164,265
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-12-20
Current End Date: 2026-05-30
Potential End Date: 2027-03-15 00:00:00
Last Modified: 2026-01-15
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