DoD Awards $121.9M Engineering Services Contract to SAIC via Full and Open Competition

Contract Overview

Contract Amount: $121,902,966 ($121.9M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2008-01-16

End Date: 2013-07-15

Contract Duration: 2,007 days

Daily Burn Rate: $60.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: TECHNICAL, ENGINEERING AND MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $121.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: TECHNICAL, ENGINEERING AND MANAGEMENT SUPPORT SERVICES Key points: 1. Significant contract value of $121.9 million for technical, engineering, and management support. 2. Awarded to Science Applications International Corporation (SAIC) by the Department of Defense. 3. Utilized full and open competition, suggesting a competitive bidding process. 4. Contract duration spans from January 2008 to July 2013.

Value Assessment

Rating: good

The contract's pricing structure is Cost Plus Fixed Fee (CPFF), which allows for cost reimbursement plus a fixed fee. This can be effective for complex projects where costs are uncertain, but requires robust oversight to manage costs effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, as multiple companies vied for the contract, driving down potential costs.

Public Impact

Supports critical Department of Defense technical and engineering needs. SAIC, a major government contractor, benefits from this significant award. The contract's duration indicates a long-term need for these specialized services. Transparency through full and open competition benefits taxpayers.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

  • CPFF contracts can lead to cost overruns if not managed carefully.
  • Long contract duration may not reflect current market needs or technological advancements.

Positive Signals

  • Full and open competition ensures a competitive environment.
  • Award to a reputable contractor like SAIC suggests capability.
  • Contract supports essential defense functions.

Sector Analysis

This contract falls within the Engineering Services sector, a critical area for government operations, particularly in defense. Spending benchmarks for similar services vary widely based on scope and complexity, but $121.9 million over five years is substantial.

Small Business Impact

The data indicates the prime contractor is Science Applications International Corporation (SAIC), a large business. There is no explicit information on subcontracting to small businesses within this data snippet.

Oversight & Accountability

The Department of Defense, through its agencies like the Defense Contract Management Agency, is responsible for overseeing this contract. The CPFF structure necessitates diligent oversight to ensure costs are reasonable and fixed fees are justified.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Potential for cost overruns inherent in CPFF contracts.
  • Lack of specific service details limits full understanding of value.
  • Contract duration may not align with evolving defense needs.
  • No explicit mention of small business participation.

Tags

engineering-services, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $121.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. TECHNICAL, ENGINEERING 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 (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $121.9 million.

What is the period of performance?

Start: 2008-01-16. End: 2013-07-15.

What specific engineering and management support services were provided under this contract?

The contract broadly covers technical, engineering, and management support services. Without further details, it's difficult to ascertain the exact nature of the work. This could range from systems engineering and integration to program management, technical analysis, and logistical support for defense programs.

How did the Cost Plus Fixed Fee structure impact the final cost compared to other contract types?

The CPFF structure aims to provide cost control by fixing the contractor's profit margin, while allowing for reimbursement of actual costs. However, it places a significant burden on the government to audit and verify costs. If costs were higher than anticipated, the total expenditure could exceed what might have been achieved with a fixed-price contract, assuming similar scope.

What was the competitive landscape like for this specific engineering service requirement?

The contract was awarded under 'full and open competition,' suggesting that multiple companies were eligible and likely competed. This implies a reasonably robust market for these services. The specific number of bidders and their proposals would provide a clearer picture of the competitive intensity and whether the government truly secured the best possible price.

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: N0002407R3080

Offers Received: 1

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: $122,827,226

Exercised Options: $122,827,226

Current Obligation: $121,902,966

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4143

IDV Type: IDC

Timeline

Start Date: 2008-01-16

Current End Date: 2013-07-15

Potential End Date: 2013-07-15 00:00:00

Last Modified: 2024-12-20

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