CACI, INC. - FEDERAL awarded $37.4M for engineering services to support NSWC Corona, CA

Contract Overview

Contract Amount: $37,393,848 ($37.4M)

Contractor: CACI, Inc. - Federal

Awarding Agency: Department of Defense

Start Date: 2012-09-07

End Date: 2016-03-06

Contract Duration: 1,276 days

Daily Burn Rate: $29.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE

Sector: Defense

Official Description: ASSESSMENT SUPPORT FOLLOW-ON SERVICES FOR THE RA, QA AND PA DEPARTMENTS AT NSWC CORONA, CA.

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $37.4 million to CACI, INC. - FEDERAL for work described as: ASSESSMENT SUPPORT FOLLOW-ON SERVICES FOR THE RA, QA AND PA DEPARTMENTS AT NSWC CORONA, CA. Key points: 1. Contract value represents a significant investment in specialized engineering support. 2. Full and open competition suggests a robust market for these services. 3. Contract duration of over three years indicates a long-term need. 4. The cost-plus incentive fee structure aims to align contractor performance with government objectives. 5. This award falls within the broader category of engineering services for defense agencies. 6. The specific support for RA, QA, and PA departments highlights a focus on quality assurance and program analysis.

Value Assessment

Rating: good

The contract value of $37.4 million over approximately 3.5 years for engineering services appears reasonable given the scope of support for critical departments at NSWC Corona. Benchmarking against similar contracts for specialized engineering and technical support within the Department of Defense would provide a more precise value-for-money assessment. The cost-plus incentive fee (CPIF) pricing structure is designed to incentivize performance and cost control, which can be beneficial for complex projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple capable vendors had the opportunity to bid. The presence of a single award delivery order suggests that while the initial solicitation was broadly competed, CACI, Inc. - Federal was selected as the most advantageous offer. The level of competition for the initial contract is not detailed here, but the 'full and open' designation generally promotes price discovery and allows the government to select from a wide range of qualified contractors.

Taxpayer Impact: Full and open competition typically leads to more competitive pricing for taxpayers by encouraging a wider pool of bidders and fostering a more dynamic market for these essential engineering services.

Public Impact

Naval Surface Warfare Center (NSWC) Corona divisions (RA, QA, PA) benefit from enhanced assessment, quality assurance, and program analysis support. The contract supports critical functions related to weapons systems testing, evaluation, and lifecycle management. Geographic impact is concentrated at NSWC Corona, California, a key naval facility. Workforce implications include the potential for direct and indirect employment opportunities within the defense contracting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in Cost Plus Incentive Fee contracts if not managed diligently.
Reliance on a single contractor for specialized support could create a dependency.
The specific performance metrics and incentive triggers within the CPIF structure require careful monitoring to ensure optimal value.

Positive Signals

Full and open competition suggests a healthy market and potential for competitive pricing.
The CPIF structure incentivizes contractor performance and cost efficiency.
The contract supports critical functions for naval readiness and weapons system integrity.

Sector Analysis

This contract falls within the Engineering Services sector, a vital component of the defense industrial base. The market for specialized engineering and technical support services for government agencies, particularly the Department of Defense, is substantial. This award to CACI, Inc. - Federal for support at NSWC Corona aligns with broader trends of outsourcing specialized technical functions to private sector experts to enhance program effectiveness and manage complex systems.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. However, the prime contractor, CACI, Inc. - Federal, may engage small businesses as subcontractors, contributing to the broader small business ecosystem, though this is not explicitly detailed in the award information.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of the Navy and the Naval Surface Warfare Center (NSWC) Corona contracting and program management offices. Accountability measures are embedded within the Cost Plus Incentive Fee (CPIF) structure, which links contractor payment to performance and cost targets. Transparency is facilitated through contract award databases and reporting requirements, though specific internal oversight mechanisms are not detailed.

Related Government Programs

Naval Sea Systems Command (NAVSEA) Contracts
Defense Engineering Services Contracts
Naval Weapons Systems Support
Quality Assurance Services Contracts
Program Management Support Services

Risk Flags

Cost Overrun Risk
Performance Incentive Alignment
Contractor Dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.4 million to CACI, INC. - FEDERAL. ASSESSMENT SUPPORT FOLLOW-ON SERVICES FOR THE RA, QA AND PA DEPARTMENTS AT NSWC CORONA, CA.

Who is the contractor on this award?

The obligated recipient is CACI, INC. - FEDERAL.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $37.4 million.

What is the period of performance?

Start: 2012-09-07. End: 2016-03-06.

What is CACI, Inc. - Federal's track record with the Department of Defense, particularly in providing engineering and technical support services?

CACI, Inc. - Federal has a long-standing and extensive track record of providing a wide array of services to the Department of Defense (DoD) and other federal agencies, including IT, intelligence, and engineering support. Their history includes numerous prime contracts for complex programs across various military branches. For engineering and technical support, CACI has been involved in areas such as systems engineering, test and evaluation, logistics, and program management. Their performance on past contracts, including those with similar scope and complexity to this NSWC Corona award, would be a key factor in their selection. A review of past performance evaluations and contract awards would offer deeper insight into their capabilities and reliability in delivering on similar requirements for the DoD.

How does the $37.4 million contract value compare to similar engineering support contracts awarded by the Department of the Navy?

The $37.4 million contract value for approximately 3.5 years of engineering support services at NSWC Corona is within a typical range for specialized technical support contracts within the Department of the Navy (DoN). The DoN frequently awards contracts in the tens of millions of dollars for services that require deep technical expertise, program management, and quality assurance functions, especially for naval platforms and systems. Benchmarking this against other contracts for similar services, such as systems engineering, test and evaluation support, or program analysis at other naval facilities or for comparable weapon systems, would reveal if this represents a particularly high or low cost. Factors like the specific technical requirements, duration, and the competitive landscape influence pricing.

What are the primary risks associated with a Cost Plus Incentive Fee (CPIF) contract structure for this type of service?

The primary risks associated with a Cost Plus Incentive Fee (CPIF) contract structure for engineering services revolve around cost control and the alignment of incentives. For the government, there's a risk that the final cost could exceed initial estimates if the contractor is unable to meet performance targets efficiently, leading to higher-than-anticipated expenditures. Conversely, the contractor bears risk if they exceed cost targets or fail to meet performance incentives. Effective management by the government is crucial to monitor costs, track progress against performance metrics, and ensure that the incentive structure truly drives the desired outcomes without encouraging unnecessary scope creep or compromising quality. Clear definition of the target cost, target profit, incentive fee formula, and ceiling price is paramount to mitigate these risks.

How effective is the 'full and open competition' process in ensuring value for taxpayers on contracts of this nature?

The 'full and open competition' process is generally considered the most effective method for ensuring value for taxpayers on contracts of this nature. By allowing all responsible sources to submit bids, it fosters a competitive environment that drives down prices and encourages innovation. This broad participation increases the likelihood that the government will receive the best possible technical solution at the most competitive price. While the initial competition might lead to a single award, the process itself ensures that the chosen contractor's offer was rigorously evaluated against others, providing a strong basis for believing that taxpayer funds are being used efficiently. The transparency inherent in this process also enhances accountability.

What is the historical spending pattern for engineering services at NSWC Corona or similar naval warfare centers?

Historical spending patterns for engineering services at Naval Surface Warfare Centers (NSWC) like Corona typically show consistent investment in technical support to maintain and advance naval capabilities. These centers often require specialized expertise for testing, evaluation, systems engineering, and program management related to complex weapons systems. Spending can fluctuate based on defense budgets, modernization priorities, and the lifecycle of specific naval programs. Contracts for such services are often awarded through competitive processes, with values ranging from a few million to tens of millions of dollars, depending on the scope and duration. Analyzing past awards to CACI, Inc. - Federal and other contractors at NSWC Corona and comparable facilities would reveal trends in contract types, service areas, and overall investment levels in engineering support.

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: N0002412R3078

Offers Received: 1

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Parent Company: CACI International Inc (UEI: 045534641)

Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151

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

Financial Breakdown

Contract Ceiling: $42,603,795

Exercised Options: $42,603,795

Current Obligation: $37,393,848

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $10,708,128

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4030

IDV Type: IDC

Timeline