DoD's Navy awards $48.5M engineering services contract to Science Applications International Corp

Contract Overview

Contract Amount: $48,493,957 ($48.5M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2008-09-04

End Date: 2013-09-03

Contract Duration: 1,825 days

Daily Burn Rate: $26.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Engineering Services

Official Description: JXNS PROFESSIONAL ENGINEERING, TECHNICAL AND MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: CRANE, MARTIN County, INDIANA, 47522

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $48.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: JXNS PROFESSIONAL ENGINEERING, TECHNICAL AND MANAGEMENT SUPPORT SERVICES Key points: 1. Contract awarded to a large, established firm, indicating potential for significant project scope. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract spans five years, allowing for sustained support but also long-term cost exposure. 4. Engineering services sector is critical for defense infrastructure and technological advancement.

Value Assessment

Rating: good

The contract value of $48.5M over five years appears reasonable for complex engineering services. Benchmarking against similar large-scale engineering support contracts would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting multiple bidders participated. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition award.

Public Impact

Supports critical naval engineering and technical requirements. Ensures continuity of essential services for the Department of the Navy. Potential for job creation within the engineering and technical support fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize cost overruns if not closely monitored.
  • Long contract duration (5 years) may not adapt well to rapidly changing technological needs.
  • Lack of small business participation noted, potentially limiting broader economic impact.

Positive Signals

  • Awarded through full and open competition, indicating a robust bidding process.
  • Contract supports essential defense functions for the Department of the Navy.
  • Experienced contractor selected, suggesting a high likelihood of successful performance.

Sector Analysis

This contract falls within the Engineering Services sector, which is vital for national defense, infrastructure development, and technological innovation. Spending in this sector is often substantial due to the complexity and criticality of projects.

Small Business Impact

The data indicates no specific set-aside for small businesses in this contract. While large firms like SAIC are crucial, opportunities for small businesses in subcontracting roles should be explored to foster broader economic participation.

Oversight & Accountability

The Department of the Navy's oversight mechanisms are crucial for managing the Cost Plus Fixed Fee structure and ensuring the contractor meets performance expectations within the awarded budget.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed properly.
  • Long contract duration may not be agile enough for rapidly evolving technological needs.
  • Lack of explicit small business participation could limit broader economic benefits.
  • Potential for scope creep if task orders are not tightly defined and managed.

Tags

engineering-services, department-of-defense, in, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $48.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. JXNS PROFESSIONAL ENGINEERING, TECHNICAL AND MANAGEMENT SUPPORT SERVICES

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 Navy).

What is the total obligated amount?

The obligated amount is $48.5 million.

What is the period of performance?

Start: 2008-09-04. End: 2013-09-03.

What specific engineering services are covered under this contract and how do they align with current naval priorities?

The contract covers professional engineering, technical, and management support services. These likely encompass a range of activities such as design, analysis, testing, and program management critical for naval operations, modernization efforts, and platform sustainment. Alignment with priorities would depend on specific task orders issued under the contract.

How effectively was price competition leveraged given the Cost Plus Fixed Fee (CPFF) contract type?

While the contract was awarded under full and open competition, the CPFF structure inherently shifts some cost risk to the government. Effective price discovery relies on robust negotiation of the fixed fee and stringent oversight of allowable costs to prevent overruns and ensure value.

What is the potential long-term impact of this contract on technological advancement within the Navy?

This contract could significantly impact technological advancement by providing specialized expertise for developing and integrating new systems. However, the CPFF structure and the five-year duration might not inherently incentivize rapid innovation unless specific performance metrics and reward mechanisms are tied to technological breakthroughs.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002408R3213

Offers Received: 2

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: $48,861,493

Exercised Options: $48,861,493

Current Obligation: $48,493,957

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4119

IDV Type: IDC

Timeline

Start Date: 2008-09-04

Current End Date: 2013-09-03

Potential End Date: 2013-09-03 00:00:00

Last Modified: 2021-12-07

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