DoD Awards $6M Milsatcom Support Contract to XSITE LLC for 3 Years
Contract Overview
Contract Amount: $6,045,193 ($6.0M)
Contractor: Xsite LLC
Awarding Agency: Department of Defense
Start Date: 2024-08-01
End Date: 2026-12-31
Contract Duration: 882 days
Daily Burn Rate: $6.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Engineering Services
Official Description: OPERATIONS AND SUSTAINMENT SUPPORT OF MILSATCOM MODELING AND SIMULATION TOOL TO INCLUDE: MPM/SPLUNK DATA ADAPTATION, EMI AND THREAT IMPACT ANALYSIS, SATELLITE ACCESS REQUEST (SAR) EVALUATION AND APPROVAL AND OPERATIONAL PLANNING ANALYSIS.
Place of Performance
Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80914
State: Colorado Government Spending
Plain-Language Summary
Department of Defense obligated $6.0 million to XSITE LLC for work described as: OPERATIONS AND SUSTAINMENT SUPPORT OF MILSATCOM MODELING AND SIMULATION TOOL TO INCLUDE: MPM/SPLUNK DATA ADAPTATION, EMI AND THREAT IMPACT ANALYSIS, SATELLITE ACCESS REQUEST (SAR) EVALUATION AND APPROVAL AND OPERATIONAL PLANNING ANALYSIS. Key points: 1. Contract focuses on critical Milsatcom modeling and simulation support. 2. XSITE LLC, a single awardee, will provide specialized engineering services. 3. Potential risks include limited competition and reliance on a single vendor. 4. Spending falls within the Engineering Services sector.
Value Assessment
Rating: fair
The contract value of $6.05M over 3 years for specialized Milsatcom support appears reasonable. However, without specific benchmarks for similar modeling and simulation tools, a precise pricing assessment is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, indicating a lack of competition. This limits price discovery and may result in higher costs than a competitively bid contract.
Taxpayer Impact: The sole-source nature of this award means taxpayers may not be receiving the best possible price due to the absence of competitive pressure.
Public Impact
Ensures continued operational readiness for vital military satellite communications. Supports advanced analysis for threat impact and satellite access requests. Provides essential modeling and simulation capabilities for strategic planning.
Waste & Efficiency Indicators
Waste Risk Score: 60 / 10
Warning Flags
- Sole-source award limits competition.
- Potential for cost overruns without competitive pressure.
- Reliance on a single contractor for critical support.
Positive Signals
- Contract supports essential defense capabilities.
- Clear period of performance and defined scope.
- Experienced contractor likely to deliver required services.
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a sector often characterized by specialized expertise. Spending benchmarks for similar Milsatcom modeling and simulation support are not readily available, making direct comparison challenging.
Small Business Impact
This contract was awarded to XSITE LLC and does not indicate any subcontracting opportunities for small businesses. Further analysis would be needed to determine if small business participation is mandated or feasible.
Oversight & Accountability
The Department of the Air Force is the awarding agency. Oversight will be crucial to ensure the contractor meets performance requirements and that costs remain justified, especially given the sole-source nature of the award.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award limits competition.
- Potential for cost creep without competitive pressure.
- Dependency on a single vendor for critical services.
- Lack of transparency in pricing due to no-bid nature.
Tags
engineering-services, department-of-defense, co, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.0 million to XSITE LLC. OPERATIONS AND SUSTAINMENT SUPPORT OF MILSATCOM MODELING AND SIMULATION TOOL TO INCLUDE: MPM/SPLUNK DATA ADAPTATION, EMI AND THREAT IMPACT ANALYSIS, SATELLITE ACCESS REQUEST (SAR) EVALUATION AND APPROVAL AND OPERATIONAL PLANNING ANALYSIS.
Who is the contractor on this award?
The obligated recipient is XSITE LLC.
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 $6.0 million.
What is the period of performance?
Start: 2024-08-01. End: 2026-12-31.
What is the justification for the sole-source award, and were alternative competitive strategies considered?
The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one contractor can fulfill the requirement. Agencies must document thorough market research to confirm no other sources can meet the need. Alternative competitive strategies are usually explored, but may be deemed impractical or detrimental to mission success in specific sole-source scenarios.
How will the government ensure cost-effectiveness and prevent potential overruns with a sole-source contract?
Cost-effectiveness in sole-source contracts is managed through rigorous negotiation, detailed cost analysis, and robust contract surveillance. The government will likely employ techniques such as cost realism analysis, should-cost reviews, and performance-based metrics. Regular audits and progress reviews are essential to monitor expenditures and ensure the contractor is delivering value within the agreed-upon terms.
What are the key performance indicators (KPIs) for this contract, and how will contractor performance be measured?
Key performance indicators will likely focus on the accuracy and timeliness of Milsatcom modeling and simulation outputs, the effectiveness of EMI and threat impact analyses, and the efficiency of SAR evaluations. Contractor performance will be measured against these KPIs through regular reporting, technical reviews, and potentially through a Contractor Performance Assessment Reporting System (CPARS) evaluation.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: FA882324RB001
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 4250 PACIFIC HWY, SAN DIEGO, CA, 92110
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $23,658,059
Exercised Options: $11,793,701
Current Obligation: $6,045,193
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2024-08-01
Current End Date: 2026-12-31
Potential End Date: 2029-06-30 00:00:00
Last Modified: 2026-01-14
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