Booz Allen Hamilton awarded $5.5M contract for Combating Weapons of Mass Destruction R&D

Contract Overview

Contract Amount: $5,538,774 ($5.5M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Defense

Start Date: 2025-08-11

End Date: 2026-11-26

Contract Duration: 472 days

Daily Burn Rate: $11.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: COMBATTING WEAPONS OF MASS DESTRUCTION

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $5.5 million to BOOZ ALLEN HAMILTON INC for work described as: COMBATTING WEAPONS OF MASS DESTRUCTION Key points: 1. Contract focuses on critical research and development in the physical, engineering, and life sciences. 2. High value contract awarded to a single, established prime contractor. 3. Performance period spans over two years, indicating a significant project scope. 4. Contract type is Cost Plus Fixed Fee, which can incentivize cost overruns if not managed closely. 5. Delivery Order under an existing contract suggests a continuation or expansion of services. 6. Geographic location of performance is Virginia, a hub for defense contracting.

Value Assessment

Rating: fair

The contract value of $5.5 million for Combating Weapons of Mass Destruction (CWMD) R&D appears moderate for a project of this nature, especially given the prime contractor's extensive experience. However, without specific benchmarks for similar CWMD R&D efforts or detailed cost breakdowns, a precise value-for-money assessment is challenging. The Cost Plus Fixed Fee (CPFF) contract type carries inherent risks of cost escalation if not rigorously monitored, potentially impacting overall value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The presence of 3 bidders suggests a reasonable level of competition for this specific requirement. This competitive process is generally expected to drive more favorable pricing and innovative solutions compared to sole-source or limited competition scenarios.

Taxpayer Impact: Full and open competition, with multiple bidders, is beneficial for taxpayers as it typically leads to better pricing and a wider range of technical approaches being considered, maximizing the return on investment.

Public Impact

The primary beneficiaries are the Department of Defense and national security interests, through advancements in CWMD capabilities. Services delivered will likely involve scientific research, analysis, and potentially the development of new technologies or strategies. Geographic impact is national, focusing on enhancing U.S. security against WMD threats. Workforce implications include specialized scientific and technical roles within Booz Allen Hamilton and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not closely managed.
Reliance on a single prime contractor for a significant R&D effort may limit alternative perspectives.
The specific nature of WMD R&D can involve long lead times and uncertain outcomes, posing project risk.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
Booz Allen Hamilton is a well-established contractor with significant experience in defense and R&D.
The contract duration of over 470 days indicates a substantial commitment to the project's success.
The project aligns with critical national security objectives, suggesting strong agency support.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for WMD defense and counter-proliferation R&D is specialized, with a limited number of large defense contractors possessing the requisite expertise and security clearances. Spending in this niche is driven by evolving threat landscapes and national security priorities, often involving significant government investment.

Small Business Impact

While this contract is awarded to a large prime contractor, Booz Allen Hamilton, there is potential for small business participation through subcontracting. The extent of small business involvement will depend on the prime contractor's subcontracting plan and the specific technical requirements of the R&D effort. Further analysis would be needed to determine if small business set-asides were considered or if specific subcontracting goals were established.

Oversight & Accountability

Oversight for this contract will likely be managed by the Defense Threat Reduction Agency (DTRA) within the Department of Defense. Mechanisms may include regular progress reports, technical reviews, and financial audits, particularly given the CPFF structure. Transparency will depend on the agency's reporting practices and the public availability of contract performance information. The Inspector General's office would have jurisdiction for investigating fraud, waste, or abuse.

Related Government Programs

Department of Defense Research and Development
Defense Threat Reduction Agency Programs
Combating Weapons of Mass Destruction Initiatives
Scientific and Technical Services Contracts

Risk Flags

Cost Plus Fixed Fee contract type requires close monitoring to prevent cost overruns.
Research and Development projects inherently carry uncertainty regarding outcomes and timelines.
The specific nature of WMD R&D may involve sensitive or classified information, impacting transparency.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.5 million to BOOZ ALLEN HAMILTON INC. COMBATTING WEAPONS OF MASS DESTRUCTION

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON 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 $5.5 million.

What is the period of performance?

Start: 2025-08-11. End: 2026-11-26.

What is Booz Allen Hamilton's track record with similar R&D contracts for the Department of Defense?

Booz Allen Hamilton has a long and extensive history of performing research and development services for the Department of Defense across various domains, including national security, intelligence, and advanced technologies. They frequently secure large, complex contracts that involve scientific analysis, systems engineering, and the development of innovative solutions. Their track record includes significant work in areas related to threat assessment, counter-terrorism, and WMD defense. While specific performance metrics for past contracts are not publicly detailed, their consistent award of high-value contracts suggests a strong performance history and a trusted relationship with DoD agencies like DTRA. This specific contract, awarded under full and open competition, builds upon this established presence.

How does the $5.5 million contract value compare to other WMD R&D contracts?

The $5.5 million contract value for Combating Weapons of Mass Destruction (CWMD) Research and Development is considered moderate within the broader landscape of defense R&D. Large-scale WMD R&D programs, especially those involving advanced technology development, prototyping, or extensive testing, can easily run into tens or hundreds of millions of dollars over their lifecycle. Smaller, more focused research efforts or specific task orders under larger indefinite-delivery/indefinite-quantity (IDIQ) contracts might fall within this range. Given that this is a Delivery Order under an existing contract, it likely represents a specific phase or set of tasks within a larger CWMD initiative, making its value relative to the overall program rather than a standalone project.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract, particularly for research and development, is the potential for cost overruns. In a CPFF structure, the contractor is reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. If the scope of work is not precisely defined, or if unforeseen technical challenges arise (common in R&D), costs can escalate beyond initial estimates. The contractor has less incentive to control costs compared to fixed-price contracts, as their fee remains constant regardless of the final cost. This necessitates robust government oversight, detailed cost tracking, and effective change management to mitigate the risk of the government paying significantly more than initially anticipated.

What is the expected program effectiveness given the contract details?

The expected program effectiveness hinges on several factors. The contract's focus on R&D for Combating Weapons of Mass Destruction (CWMD) addresses a critical national security need, suggesting a high level of strategic importance. The award to Booz Allen Hamilton, a contractor with substantial experience in this domain, provides a degree of confidence in technical execution. However, the effectiveness will be significantly influenced by the clarity of the research objectives, the quality of the scientific execution, and the government's ability to manage the CPFF contract effectively to ensure costs remain controlled and deliverables meet requirements. The success of R&D is inherently uncertain, but the contract structure and contractor selection aim to maximize the probability of achieving desired advancements.

How has federal spending in the 'Research and Development in the Physical, Engineering, and Life Sciences' category evolved?

Federal spending in the 'Research and Development in the Physical, Engineering, and Life Sciences' category (NAICS code 541715) has historically been substantial and generally increasing, driven by national security imperatives, technological advancements, and public health initiatives. Agencies like the Department of Defense, National Science Foundation, Department of Energy, and National Institutes of Health are major contributors. While specific year-over-year figures fluctuate based on budget appropriations and national priorities, there is a consistent trend of significant investment in scientific discovery and technological innovation. This particular contract represents a small fraction of the overall federal R&D spending within this broad category.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HDTRA125R0022

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $99,542,973

Exercised Options: $14,911,489

Current Obligation: $5,538,774

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $276,542

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HDTRA124D0003

IDV Type: IDC

Timeline