DoD awards $24.2M Engineering Services contract to SAIC via Full and Open Competition
Contract Overview
Contract Amount: $24,241,024 ($24.2M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Defense
Start Date: 2013-08-15
End Date: 2017-08-14
Contract Duration: 1,460 days
Daily Burn Rate: $16.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS INCENTIVE FEE
Sector: Defense
Official Description: IGF::OT::IGF NON-PERSONAL PROFESSIONAL, ENGINEERING, TECHNICAL, SYSTEMS SAFETY AND INDUSTRIAL SAFETY ANALYSIS, ASSESSMENTS AND SPECIAL STUDIES, LOGISTICS SUPPORT AND MANAGEMENT SUPPORT SERVICES REQUIRED BY THE QUALITY AND SYSTEMS ENGINEERING ASSURANCE DIVISION (GXT), AT NSWC CRANE.
Place of Performance
Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810
Plain-Language Summary
Department of Defense obligated $24.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: IGF::OT::IGF NON-PERSONAL PROFESSIONAL, ENGINEERING, TECHNICAL, SYSTEMS SAFETY AND INDUSTRIAL SAFETY ANALYSIS, ASSESSMENTS AND SPECIAL STUDIES, LOGISTICS SUPPORT AND MANAGEMENT SUPPORT SERVICES REQUIRED BY THE QUALITY AND SYSTEMS ENGINEERING ASSURANCE DIVISION (GXT), AT NSWC CRAN… Key points: 1. Contract awarded to Science Applications International Corporation (SAIC) for specialized engineering and safety analysis. 2. Full and Open Competition was utilized, suggesting a competitive bidding process. 3. The contract spans four years, indicating a medium-term need for these services. 4. The award type is a Delivery Order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.
Value Assessment
Rating: good
The contract's value of $24.2 million over four years for specialized engineering services appears reasonable given the scope. Benchmarking against similar complex engineering support contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of Full and Open Competition indicates that multiple vendors had the opportunity to bid, fostering price discovery and potentially leading to a more competitive price. The award being a Delivery Order suggests it was selected from a pre-competed IDIQ vehicle.
Taxpayer Impact: The competitive bidding process associated with Full and Open Competition aims to ensure taxpayer funds are used efficiently by securing services at a fair market price.
Public Impact
Ensures critical safety and engineering analysis for naval systems at NSWC Crane. Supports advanced technological development and maintenance within the Department of Defense. Provides specialized expertise that may not be readily available in-house. The duration of the contract suggests ongoing, long-term requirements for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns with Cost Plus Incentive Fee (CPIF) contract type.
- Reliance on a single contractor for critical systems safety analysis.
Positive Signals
- Utilized Full and Open Competition.
- Awarded to a well-established contractor (SAIC).
- Supports a critical defense mission.
Sector Analysis
This contract falls under Engineering Services (NAICS 541330), a sector crucial for defense and aerospace. Spending in this area is significant, driven by complex system development and maintenance requirements for agencies like the Department of the Navy.
Small Business Impact
The data indicates the awardee is Science Applications International Corporation, a large business. There is no explicit indication of small business participation in this specific delivery order, though the underlying IDIQ vehicle might include such provisions.
Oversight & Accountability
As a Delivery Order under a larger contract, oversight likely resides with the contracting activity (Department of the Navy) and the requiring activity (NSWC Crane). The CPIF structure necessitates careful monitoring of performance and costs.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost Plus Incentive Fee (CPIF) contract type can lead to cost overruns if not managed tightly.
- Potential for contractor lock-in if specialized knowledge is developed.
- Dependence on a single contractor for critical systems safety analysis.
- Long contract duration may not adapt well to rapidly changing technological needs.
Tags
engineering-services, department-of-defense, ma, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. IGF::OT::IGF NON-PERSONAL PROFESSIONAL, ENGINEERING, TECHNICAL, SYSTEMS SAFETY AND INDUSTRIAL SAFETY ANALYSIS, ASSESSMENTS AND SPECIAL STUDIES, LOGISTICS SUPPORT AND MANAGEMENT SUPPORT SERVICES REQUIRED BY THE QUALITY AND SYSTEMS ENGINEERING ASSURANCE DIVISION (GXT), AT NSWC CRANE.
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 $24.2 million.
What is the period of performance?
Start: 2013-08-15. End: 2017-08-14.
What is the typical profit margin for CPIF contracts in the defense engineering sector, and how does SAIC's performance compare?
CPIF contracts aim to incentivize contractor performance by linking profit to achieving specific cost, schedule, or performance targets. Profit margins can vary significantly based on contract complexity, risk, and negotiated terms, often ranging from 5-15%. Detailed performance metrics and audit reports would be needed to assess SAIC's specific profit realization and compare it against industry benchmarks for similar defense engineering services.
How effectively did the Full and Open Competition process ensure competitive pricing for these specialized engineering services?
Full and Open Competition generally promotes competitive pricing by allowing all responsible sources to submit offers. The effectiveness in this case depends on the number of bids received, the technical capabilities required, and the market landscape for these niche services. A review of the bid proposals and the final negotiated price against independent cost estimates would reveal the extent of price competition achieved.
What are the key performance indicators (KPIs) for this contract, and how is SAIC's adherence to them being measured?
Key performance indicators for such a contract would likely include technical accuracy of analyses, timeliness of deliverables, adherence to safety standards, and cost control. Measurement is typically done through regular progress reports, technical reviews, government acceptance of deliverables, and potentially performance evaluations. The CPIF structure implies specific metrics tied to incentive fees are being tracked.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002413R3116
Offers Received: 1
Pricing Type: COST PLUS INCENTIVE FEE (V)
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: $35,425,646
Exercised Options: $32,317,692
Current Obligation: $24,241,024
Subaward Activity
Number of Subawards: 94
Total Subaward Amount: $14,313,274
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017804D4119
IDV Type: IDC
Timeline
Start Date: 2013-08-15
Current End Date: 2017-08-14
Potential End Date: 2017-08-14 00:00:00
Last Modified: 2025-09-17
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