DoD awards $24.7M R&D contract to BAE Systems for Engineering Services

Contract Overview

Contract Amount: $24,680,319 ($24.7M)

Contractor: BAE Systems Technology Solutions & Services Inc.

Awarding Agency: Department of Defense

Start Date: 2008-08-01

End Date: 2009-11-30

Contract Duration: 486 days

Daily Burn Rate: $50.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: AMDR (R&D)

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $24.7 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC. for work described as: AMDR (R&D) Key points: 1. Contract awarded to BAE Systems for R&D in Engineering Services. 2. Full and open competition was utilized. 3. The contract duration is 486 days. 4. The award amount is $24,680,319. 5. This falls under the Engineering Services sector.

Value Assessment

Rating: fair

The award amount of $24.7M for R&D engineering services is within a reasonable range for similar contracts. However, without specific deliverables or scope, a precise comparison is difficult. The benchmark of $5.08M (BR) suggests this contract is significantly larger than typical individual awards in this category.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a broad solicitation process. This method generally promotes competitive pricing and allows for a wide range of potential contractors to bid, leading to potentially better price discovery.

Taxpayer Impact: Taxpayer funds were used in a competitive process, aiming for value. The final price reflects the outcome of this competition for specialized R&D services.

Public Impact

Supports research and development efforts within the Department of Defense. Engages a major defense contractor, BAE Systems, in a critical service area. The contract's outcome is tied to the advancement of engineering solutions for naval applications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration is relatively short for R&D, potentially limiting long-term development.
No specific small business participation noted.

Positive Signals

Awarded through full and open competition.
Utilizes a firm fixed price contract type, providing cost certainty.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is crucial for defense R&D. Spending in this sector can vary widely based on project complexity and duration, but this award represents a significant investment in specialized technical expertise.

Small Business Impact

The data indicates that this contract was not awarded to a small business (SS=false, SB=false). There is no specific mention of small business subcontracting goals or participation in the provided details.

Oversight & Accountability

The contract was awarded under full and open competition, suggesting a structured procurement process. Further oversight would involve monitoring contract performance, adherence to the firm fixed price, and the successful completion of R&D objectives.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Potential for cost overruns if scope expands beyond initial R&D objectives.
Risk of R&D not yielding desired technological advancements within the timeframe.
Lack of small business participation may limit broader economic impact.
Dependence on a single contractor for critical R&D services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.7 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC.. AMDR (R&D)

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 $24.7 million.

What is the period of performance?

Start: 2008-08-01. End: 2009-11-30.

What specific R&D objectives does this contract aim to achieve, and how will success be measured?

The provided data does not detail the specific research and development objectives or the metrics for success. Understanding the scope of 'Engineering Services' and the intended outcomes is crucial for assessing the true value and effectiveness of this $24.7M award. Further documentation would be needed to evaluate the technical goals and deliverables.

How does the $24.7M award compare to the typical cost of similar R&D engineering services contracts within the Department of the Navy?

While the benchmark (BR) of $5.08M suggests this contract is substantially larger than average individual awards, a direct comparison is challenging without knowing the specific scope and complexity. The 'full and open competition' method implies a competitive pricing environment, but the final price reflects the unique requirements of this particular R&D effort.

What is the potential long-term impact of this R&D contract on future naval capabilities or technological advancements?

The long-term impact hinges on the success of the R&D conducted by BAE Systems. If the engineering services lead to significant technological breakthroughs or improved system designs, it could enhance future naval capabilities. However, the relatively short contract duration (486 days) might limit the scope of groundbreaking advancements achievable within this timeframe.

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: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: BAE Systems PLC (UEI: 217304393)

Address: 1601 RESEARCH BLVD, ROCKVILLE, MD, 08

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $29,714,371

Exercised Options: $28,018,205

Current Obligation: $24,680,319

Parent Contract

Parent Award PIID: GS23F0005K

IDV Type: FSS

Timeline