NAWCAD awards $109M contract for telecom system support, BAE Systems wins
Contract Overview
Contract Amount: $109,285,282 ($109.3M)
Contractor: BAE Systems Technology Solutions & Services Inc.
Awarding Agency: Department of Defense
Start Date: 2011-07-13
End Date: 2016-01-29
Contract Duration: 1,661 days
Daily Burn Rate: $65.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: THE NAVAL AIR WARFARE CENTER AIRCRAFT DIVISION (NAWCAD) SPECIAL COMMUNICATIONS REQUIREMENTS (SCR) DIVISION, CODE 4.5.11, ST. INIGOES HAS A REQUIREMENT TO PERFORM LIFE CYCLE SUPPORT (LCS) SERVICES TO SUPPORT VARIOUS NAVY, ARMY, AIR FORCE, SPECIAL OPERATIONS FORCES, AND OTHER AGENCIES TELECOMMUNICATION AND RELATED COMMUNICATION-ELECTRONIC (C-E) SYSTEMS.
Place of Performance
Location: SAINT INIGOES, SAINT MARYS County, MARYLAND, 20684
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $109.3 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC. for work described as: THE NAVAL AIR WARFARE CENTER AIRCRAFT DIVISION (NAWCAD) SPECIAL COMMUNICATIONS REQUIREMENTS (SCR) DIVISION, CODE 4.5.11, ST. INIGOES HAS A REQUIREMENT TO PERFORM LIFE CYCLE SUPPORT (LCS) SERVICES TO SUPPORT VARIOUS NAVY, ARMY, AIR FORCE, SPECIAL OPERATIONS FORCES, AND OTHER AGENC… Key points: 1. Contract value: $109.3 million over 4.6 years. 2. Incumbent: BAE Systems Technology Solutions & Services Inc. 3. Risk: Potential for cost overruns with Cost Plus Fixed Fee contract type. 4. Sector: Engineering Services supporting defense telecommunications.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type can lead to higher costs if not managed closely. Benchmarking against similar telecom support contracts is difficult without more detailed cost breakdowns.
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 pricing discovery mechanisms used are not detailed.
Taxpayer Impact: Taxpayer funds are used for essential defense communication system support, with competition aiming for best value.
Public Impact
Ensures critical communication systems for multiple military branches remain operational. Supports advanced telecommunication technologies vital for national security. Provides employment opportunities within the engineering and technical services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type
- Long contract duration
Positive Signals
- Full and open competition
- Support for multiple agencies
Sector Analysis
This contract falls within the Engineering Services sector, specifically supporting telecommunications and communication-electronic systems for defense agencies. Spending benchmarks for this niche are highly variable based on system complexity and support level.
Small Business Impact
The data indicates this contract was not awarded to small businesses. Further analysis would be needed to determine if small business subcontracting opportunities were pursued.
Oversight & Accountability
Awarded by the Naval Air Warfare Center Aircraft Division, oversight would typically involve program managers and contracting officers ensuring performance and adherence to contract terms.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for cost overruns due to CPFF structure
- Long-term dependency on a single contractor for critical systems
- Lack of detailed cost transparency
- Limited visibility into small business participation
Tags
engineering-services, department-of-defense, md, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $109.3 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC.. THE NAVAL AIR WARFARE CENTER AIRCRAFT DIVISION (NAWCAD) SPECIAL COMMUNICATIONS REQUIREMENTS (SCR) DIVISION, CODE 4.5.11, ST. INIGOES HAS A REQUIREMENT TO PERFORM LIFE CYCLE SUPPORT (LCS) SERVICES TO SUPPORT VARIOUS NAVY, ARMY, AIR FORCE, SPECIAL OPERATIONS FORCES, AND OTHER AGENCIES TELECOMMUNICATION AND RELATED COMMUNICATION-ELECTRONIC (C-E) SYSTEMS.
Who is the contractor on this award?
The obligated recipient is BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $109.3 million.
What is the period of performance?
Start: 2011-07-13. End: 2016-01-29.
What is the specific breakdown of costs within the Cost Plus Fixed Fee structure?
A detailed breakdown of costs within the Cost Plus Fixed Fee structure is not provided in the available data. This would typically include direct labor, indirect costs, materials, and the fixed fee. Understanding this breakdown is crucial for assessing the contractor's efficiency and the government's value for money.
How effectively does the contractor manage cost and schedule given the contract type?
Effectiveness in managing cost and schedule under a Cost Plus Fixed Fee contract relies heavily on robust government oversight and contractor performance metrics. Without specific performance reports or earned value management data, it's difficult to definitively assess effectiveness. Regular reviews and audits are key to ensuring accountability.
What is the long-term strategic value of this life cycle support contract?
The long-term strategic value lies in maintaining the operational readiness and technological relevance of critical communication-electronic systems for multiple defense agencies. This ensures seamless communication capabilities for national security operations, reducing the risk of system obsolescence or failure.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002410R3493
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: BAE Systems PLC
Address: 520 GAITHER ROAD, ROCKVILLE, MD, 20850
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $123,238,677
Exercised Options: $111,172,585
Current Obligation: $109,285,282
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017804D4018
IDV Type: IDC
Timeline
Start Date: 2011-07-13
Current End Date: 2016-01-29
Potential End Date: 2016-01-29 00:00:00
Last Modified: 2023-05-19
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