DoD's DARPA Awards $42.2M for Optics, Maritime, and PNT SETA Support

Contract Overview

Contract Amount: $42,198,257 ($42.2M)

Contractor: Schafer Government Services, LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-01

End Date: 2026-08-31

Contract Duration: 1,460 days

Daily Burn Rate: $28.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: STRATEGIC TECHNOLOGY OFFICE (STO3) TECHNICAL (OPTICS, MARITIME, AND POSITIONING NAVIGATION & TIMING (PNT)) - SCIENTIFIC, ENGINEERING AND TECHNICAL ASSISTANCE & ANALYTICAL (SETA) SUPPORT SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $42.2 million to SCHAFER GOVERNMENT SERVICES, LLC for work described as: STRATEGIC TECHNOLOGY OFFICE (STO3) TECHNICAL (OPTICS, MARITIME, AND POSITIONING NAVIGATION & TIMING (PNT)) - SCIENTIFIC, ENGINEERING AND TECHNICAL ASSISTANCE & ANALYTICAL (SETA) SUPPORT SERVICES Key points: 1. The contract focuses on specialized scientific, engineering, and technical assistance. 2. Competition was full and open, suggesting a robust market for these services. 3. The primary risk lies in ensuring the quality and relevance of analytical support. 4. The sector is highly specialized, supporting advanced defense research.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) contract type allows for cost reimbursement plus a fixed fee. This can lead to cost overruns if not managed tightly, especially for R&D-heavy services. Benchmarking CPFF contracts for similar SETA support is difficult without detailed scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and allows the government to select the best value offer.

Taxpayer Impact: The competitive award process aims to secure services at a reasonable price, maximizing taxpayer value for specialized technical support.

Public Impact

Supports critical defense research in optics, maritime, and PNT technologies. Ensures advanced technological capabilities for national security. Funds specialized expertise for complex scientific and engineering challenges. Impacts the development of future defense systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost creep under CPFF contract type.
  • Reliance on contractor expertise for critical analysis.
  • Scope definition for SETA services can be challenging.

Positive Signals

  • Full and open competition ensures market engagement.
  • Supports advanced, high-priority defense research areas.
  • Long-term contract duration allows for sustained support.

Sector Analysis

This contract falls within the 'All Other Professional, Scientific, and Technical Services' NAICS code. Spending in this category is broad, but SETA support for defense agencies is a significant segment, often characterized by high technical requirements and specialized expertise.

Small Business Impact

The contract was not awarded to small businesses, as indicated by 'sb': false. This suggests that the prime contractor is likely a large business, and opportunities for small business subcontracting would depend on the prime's own sourcing strategy.

Oversight & Accountability

Oversight will be crucial to manage the CPFF contract effectively, ensuring the fixed fee remains appropriate and costs are controlled. The Defense Advanced Research Projects Agency (DARPA) typically has robust program management to oversee such critical support contracts.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Defense Advanced Research Projects Agency Programs

Risk Flags

  • Cost control challenges with CPFF.
  • Dependency on contractor's specialized knowledge.
  • Ensuring objective and unbiased analysis.
  • Potential for scope creep without strict management.
  • Long-term contract duration requires sustained oversight.

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 $42.2 million to SCHAFER GOVERNMENT SERVICES, LLC. STRATEGIC TECHNOLOGY OFFICE (STO3) TECHNICAL (OPTICS, MARITIME, AND POSITIONING NAVIGATION & TIMING (PNT)) - SCIENTIFIC, ENGINEERING AND TECHNICAL ASSISTANCE & ANALYTICAL (SETA) SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SCHAFER GOVERNMENT SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Advanced Research Projects Agency).

What is the total obligated amount?

The obligated amount is $42.2 million.

What is the period of performance?

Start: 2022-09-01. End: 2026-08-31.

How will the fixed fee be assessed and adjusted over the contract's life to ensure it remains fair and reflects the evolving scope of work?

The fixed fee is typically negotiated at the outset and may be subject to adjustments based on contract modifications or changes in the scope of work. Robust oversight by DARPA program managers is essential to monitor contractor performance and ensure the fee remains commensurate with the services provided and the contractor's achieved efficiencies. Regular performance reviews and cost analysis will inform any necessary fee adjustments.

What are the key performance indicators (KPIs) used to measure the effectiveness and value of the SETA support provided?

Effectiveness KPIs likely focus on the quality and timeliness of analytical reports, technical recommendations, and scientific insights delivered by the contractor. Value is assessed by how well the contractor's support contributes to DARPA's program objectives, accelerates research, and informs critical decision-making. Metrics might include the impact of contractor analysis on project milestones or the identification of innovative solutions.

Given the specialized nature of the support, what mechanisms are in place to mitigate the risk of contractor lock-in or over-reliance on their specific expertise?

Mitigation strategies include fostering knowledge transfer from the contractor to government personnel, encouraging the development of internal government expertise, and potentially bringing in other technical support contractors for independent reviews or to introduce diverse perspectives. Clear contract language defining deliverables and ensuring government retains intellectual property rights also helps prevent undue reliance.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HR001118R0001

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3811 FAIRFAX DR, ARLINGTON, VA, 22203

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

Financial Breakdown

Contract Ceiling: $61,572,897

Exercised Options: $48,513,682

Current Obligation: $42,198,257

Subaward Activity

Number of Subawards: 19

Total Subaward Amount: $50,883,503

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HR001118D0005

IDV Type: IDC

Timeline

Start Date: 2022-09-01

Current End Date: 2026-08-31

Potential End Date: 2027-08-31 00:00:00

Last Modified: 2025-12-18

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