DoD's $63.4M Technical Reachback Services Contract Awarded to Applied Research Associates, Inc

Contract Overview

Contract Amount: $63,427,562 ($63.4M)

Contractor: Applied Research Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-09-07

End Date: 2024-12-07

Contract Duration: 1,918 days

Daily Burn Rate: $33.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: TECHNICAL REACHBACK SERVICES, ALL PHASES OF MILITARY AND CIVILIAN EMERGENCY MANAGEMENT FOR DELIBERATE, CRISIS, IMMEDIATE PLANNING AND OPERATIONS.

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $63.4 million to APPLIED RESEARCH ASSOCIATES, INC. for work described as: TECHNICAL REACHBACK SERVICES, ALL PHASES OF MILITARY AND CIVILIAN EMERGENCY MANAGEMENT FOR DELIBERATE, CRISIS, IMMEDIATE PLANNING AND OPERATIONS. Key points: 1. The contract supports military and civilian emergency management across all phases. 2. Applied Research Associates, Inc. secured the award. 3. The contract value is substantial at $63.4 million. 4. This falls under 'All Other Professional, Scientific, and Technical Services' (NAICS 541990).

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar contracts for emergency management technical services is difficult due to the specialized nature of 'reachback' capabilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific nature of 'technical reachback' might limit the number of truly capable bidders, potentially impacting price discovery.

Taxpayer Impact: The full and open competition aims to ensure taxpayer funds are used efficiently, but the specialized services may command premium pricing.

Public Impact

Ensures readiness for military and civilian emergency response. Supports critical planning and operational phases for crisis management. Provides specialized technical expertise to the Defense Threat Reduction Agency. The contract duration extends through December 2024.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize contractor to increase costs.
  • Specialized nature of 'reachback' services may limit competition.
  • Contract duration is long (over 4 years).

Positive Signals

  • Awarded under full and open competition.
  • Supports critical national security functions.
  • Long contract duration ensures continuity of essential services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on emergency management and technical support. Spending in this sector is often driven by national security needs and complex operational requirements.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting goals for small businesses within the provided data.

Oversight & Accountability

The contract is managed by the Defense Threat Reduction Agency, a component of the Department of Defense, implying established oversight mechanisms. However, the specific oversight details and accountability measures for this particular contract are not detailed.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Defense Threat Reduction Agency Programs

Risk Flags

  • Potential for cost overruns due to CPFF structure.
  • Limited competition due to specialized services.
  • Long contract duration may reduce flexibility.
  • Lack of small business participation.

Tags

all-other-professional-scientific-and-te, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $63.4 million to APPLIED RESEARCH ASSOCIATES, INC.. TECHNICAL REACHBACK SERVICES, ALL PHASES OF MILITARY AND CIVILIAN EMERGENCY MANAGEMENT FOR DELIBERATE, CRISIS, IMMEDIATE PLANNING AND OPERATIONS.

Who is the contractor on this award?

The obligated recipient is APPLIED RESEARCH ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Threat Reduction Agency).

What is the total obligated amount?

The obligated amount is $63.4 million.

What is the period of performance?

Start: 2019-09-07. End: 2024-12-07.

What specific technical capabilities does 'reachback' encompass in this context, and how are they measured for effectiveness?

Technical reachback services likely involve providing specialized expertise, data analysis, and decision support remotely to support military and civilian emergency management operations. Effectiveness would be measured through performance metrics related to response times, accuracy of analysis, and successful integration with operational command structures during simulated or actual events.

Given the Cost Plus Fixed Fee structure, what are the primary cost drivers, and how is the 'fixed fee' component determined?

The primary cost drivers are likely direct labor, specialized equipment, travel, and overhead associated with providing expert technical support. The 'fixed fee' is negotiated upfront and represents the contractor's profit margin, intended to be earned upon successful completion of the contract's objectives, independent of the actual cost incurred.

How does this contract align with broader DoD strategies for emergency preparedness and response, and what is the long-term outlook?

This contract directly supports DoD's commitment to readiness and response capabilities for various emergencies. The long-term outlook likely depends on evolving threat landscapes and technological advancements in emergency management, potentially leading to contract renewals or modifications to incorporate new requirements.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HDTRA118R0025

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4300 SAN MATEO BLVD NE STE A-220, ALBUQUERQUE, NM, 87110

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $63,804,255

Exercised Options: $63,573,303

Current Obligation: $63,427,562

Actual Outlays: $5,336,304

Subaward Activity

Number of Subawards: 18

Total Subaward Amount: $20,273,736

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HDTRA119D0007

IDV Type: IDC

Timeline

Start Date: 2019-09-07

Current End Date: 2024-12-07

Potential End Date: 2024-12-07 00:00:00

Last Modified: 2025-09-23

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