DoD's $6.7M R&D Contract for Space Domain Awareness Systems Awarded to SAIC
Contract Overview
Contract Amount: $6,712,146 ($6.7M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Defense
Start Date: 2024-05-29
End Date: 2026-02-02
Contract Duration: 614 days
Daily Burn Rate: $10.9K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: PROVIDES DEVELOPMENT AND SUSTAINMENT OF THE EC2-S GROUND SYSTEM LOCATED AT SSFB, AND TWO OPERATIONAL QZSS-HP PAYLOADS WILL DEMONSTRATE SPACE DOMAIN AWARENESS (SDA) OBSERVATIONS OF THE GEO BELT WHILE HOSTED ON TWO SEPARATE JAPANESE SPACE CRAFT.
Place of Performance
Location: RESTON, FAIRFAX County, VIRGINIA, 20190
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $6.7 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: PROVIDES DEVELOPMENT AND SUSTAINMENT OF THE EC2-S GROUND SYSTEM LOCATED AT SSFB, AND TWO OPERATIONAL QZSS-HP PAYLOADS WILL DEMONSTRATE SPACE DOMAIN AWARENESS (SDA) OBSERVATIONS OF THE GEO BELT WHILE HOSTED ON TWO SEPARATE JAPANESE SPACE CRAFT. Key points: 1. Contract focuses on critical space domain awareness capabilities. 2. SAIC, a large defense contractor, is the awardee. 3. The contract involves development and sustainment of ground systems and payloads. 4. Performance period spans over 1.5 years. 5. This award falls under Research and Development in Physical, Engineering, and Life Sciences. 6. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 7. No small business set-aside was applied.
Value Assessment
Rating: fair
The contract value of $6.7 million for R&D in space domain awareness appears moderate for the scope. Benchmarking against similar contracts for satellite ground systems and payload development is challenging without more detailed technical specifications. The Cost Plus Fixed Fee (CPFF) contract type suggests that the government is bearing the cost risk, and the final price could exceed the initial estimate. However, CPFF can be appropriate for R&D where costs are uncertain.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but full and open competition generally fosters a competitive environment that can lead to better pricing and innovation. This approach allows the government to select the most capable and cost-effective solution from the widest possible pool of offerors.
Taxpayer Impact: Full and open competition is beneficial for taxpayers as it increases the likelihood of receiving competitive pricing and ensures that the government is not limited to a single provider, potentially driving down costs through market forces.
Public Impact
The Department of Defense will benefit from enhanced space domain awareness capabilities. Services delivered include development and sustainment of ground systems and operational payloads. The contract supports advancements in understanding the space environment, particularly the geostationary belt. This contract contributes to the national security infrastructure by improving monitoring of space assets.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type carries inherent risk of cost escalation.
- Limited public information on the specific technical challenges and associated risks.
- Dependence on a single large contractor for critical space system development.
Positive Signals
- Awarded through full and open competition, suggesting a robust selection process.
- Focus on a critical national security area: space domain awareness.
- Contract duration allows for focused development and sustainment efforts.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences related to space technology. The market for space domain awareness (SDA) systems is growing rapidly due to increasing satellite constellations and potential threats in orbit. Spending in this area is driven by national security imperatives and the need for persistent monitoring of the space environment. Comparable spending benchmarks would typically involve other government contracts for satellite operations, ground segment development, and sensor technology.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The awardee, Science Applications International Corporation (SAIC), is a large business. This means that the direct economic benefit to the small business ecosystem from this specific contract is likely minimal, unless SAIC voluntarily engages small businesses as subcontractors for specialized services.
Oversight & Accountability
Oversight for this contract will be managed by the Department of the Air Force, a component of the Department of Defense. Accountability measures are typically embedded within the Cost Plus Fixed Fee contract structure, requiring detailed cost reporting and performance metrics. Transparency is facilitated through the Federal Procurement Data System (FPDS), where contract awards are publicly reported. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- Space Domain Awareness Programs
- Satellite Ground Systems Development
- National Security Space Initiatives
- Research and Development Contracts
- Department of Defense Space Acquisitions
Risk Flags
- Cost Plus Fixed Fee contract type may lead to cost overruns.
- Limited information on specific technical risks and mitigation strategies.
- Dependence on a single large contractor for critical space technology.
Tags
research-and-development, department-of-defense, department-of-the-air-force, space-domain-awareness, satellite-technology, ground-systems, cost-plus-fixed-fee, full-and-open-competition, science-applications-international-corporation, virginia, geostationary-belt, national-security
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.7 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. PROVIDES DEVELOPMENT AND SUSTAINMENT OF THE EC2-S GROUND SYSTEM LOCATED AT SSFB, AND TWO OPERATIONAL QZSS-HP PAYLOADS WILL DEMONSTRATE SPACE DOMAIN AWARENESS (SDA) OBSERVATIONS OF THE GEO BELT WHILE HOSTED ON TWO SEPARATE JAPANESE SPACE CRAFT.
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL 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 $6.7 million.
What is the period of performance?
Start: 2024-05-29. End: 2026-02-02.
What is the historical performance of Science Applications International Corporation (SAIC) on similar Department of Defense R&D contracts?
Science Applications International Corporation (SAIC) has a long and extensive track record with the Department of Defense, including numerous contracts related to research and development, systems engineering, and sustainment across various domains, including space. Analyzing SAIC's past performance on similar R&D contracts for space systems would involve reviewing their delivery history, adherence to schedules, cost performance (especially on CPFF contracts), and the quality of deliverables. Publicly available data from sources like the Federal Procurement Data System (FPDS) and contract award notices can provide insights into the types and scale of previous awards. A deeper dive would require examining past performance evaluations, if accessible, to understand specific strengths and weaknesses in executing complex R&D projects for the DoD. Generally, SAIC is considered a capable large business with significant experience in defense contracting.
How does the $6.7 million value compare to other DoD contracts for developing space domain awareness ground systems?
The $6.7 million value for the development and sustainment of EC2-S ground system and QZSS-HP payloads appears to be on the lower end for significant space system development contracts, especially those involving operational payloads and advanced capabilities like Space Domain Awareness (SDA). Larger SDA programs, particularly those involving satellite constellation development, advanced sensor integration, or global command and control infrastructure, often run into hundreds of millions or even billions of dollars. This contract's value suggests a more focused scope, possibly for a specific subsystem, a demonstration phase, or sustainment of existing capabilities rather than a full-scale system acquisition. Benchmarking requires detailed understanding of the technical scope, number of payloads, and the complexity of the ground system. However, for targeted R&D or specific component development within a larger SDA architecture, $6.7 million can be a reasonable investment.
What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this R&D effort?
The primary risk associated with the Cost Plus Fixed Fee (CPFF) contract type for this R&D effort is the potential for cost overruns, as the government agrees to pay the contractor's actual costs plus a fixed fee. If the contractor's costs exceed initial estimates, the government bears the financial burden. For R&D, where technical challenges and unforeseen issues are common, cost escalation is a significant risk. The fixed fee, while intended to incentivize efficiency, might not fully mitigate this if the contractor prioritizes technical completion over cost control. Effective oversight, rigorous cost tracking, and clear performance metrics are crucial to manage these risks. The government must ensure that the contractor is diligently managing resources and that the fixed fee remains appropriate for the effort and risk involved.
What is the expected impact of this contract on the advancement of Space Domain Awareness (SDA) capabilities?
This contract is expected to contribute to the advancement of Space Domain Awareness (SDA) by focusing on the development and sustainment of the EC2-S ground system and two operational QZSS-HP payloads. These payloads are specifically designed to demonstrate SDA observations of the GEO belt, a critical region for monitoring space assets and potential threats. The development of robust ground systems is essential for processing, analyzing, and disseminating the data collected by SDA sensors. By enhancing these foundational elements, the contract aims to improve the military's ability to track, identify, and understand objects in space, thereby bolstering national security and ensuring the safe operation of space systems. The demonstration aspect suggests a focus on validating new technologies or methodologies for SDA.
Are there any specific performance metrics or milestones outlined in the contract that indicate success criteria?
The provided data summary does not detail specific performance metrics or milestones for this contract. However, for a Cost Plus Fixed Fee (CPFF) contract, particularly one involving R&D and system development, performance is typically measured against a Statement of Work (SOW) that includes technical objectives, delivery schedules, and quality standards. Success criteria would likely be defined by the successful development, testing, and integration of the EC2-S ground system and the QZSS-HP payloads, as well as their ability to demonstrate Space Domain Awareness (SDA) observations of the GEO belt. Milestones might include design reviews, prototype development, integration testing, and final operational capability demonstrations. The government's contracting officer and technical representatives would monitor progress against these defined criteria throughout the contract's duration.
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: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $15,338,663
Exercised Options: $8,358,691
Current Obligation: $6,712,146
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA881820D0009
IDV Type: IDC
Timeline
Start Date: 2024-05-29
Current End Date: 2026-02-02
Potential End Date: 2027-07-30 00:00:00
Last Modified: 2025-12-19
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