DoD's $8.6M Engineering Services Contract Awarded to Analex Corporation Under Limited Competition

Contract Overview

Contract Amount: $8,631,985 ($8.6M)

Contractor: Analex Corporation

Awarding Agency: Department of Defense

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $23.7K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: SYSTEM ASSESSMENT AND VULERABILITY

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80901

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $8.6 million to ANALEX CORPORATION for work described as: SYSTEM ASSESSMENT AND VULERABILITY Key points: 1. Contract awarded for Engineering Services (NAICS 541330) to Analex Corporation. 2. Significant spending of $8.6 million over 364 days. 3. Limited competition raises questions about price discovery and value. 4. Sector context: Engineering services are critical for defense readiness.

Value Assessment

Rating: questionable

The contract's cost-plus-fixed-fee structure, combined with limited competition, makes a direct pricing assessment difficult. Benchmarking against similar engineering services contracts awarded competitively would be necessary to determine if the fixed fee is reasonable.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed, indicating a limited competition approach. This lack of broad competition may have resulted in a higher price than could have been achieved through a full and open solicitation, potentially impacting overall value for taxpayer dollars.

Taxpayer Impact: The limited competition may lead to suboptimal pricing, impacting the efficient use of taxpayer funds for essential engineering services.

Public Impact

Taxpayers may be paying a premium due to the lack of competitive bidding. The Department of the Navy is procuring critical engineering services, essential for its operations. Analex Corporation, the sole awardee, will receive substantial funding for this contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Cost-plus-fixed-fee pricing
  • Lack of clear justification for limited competition

Positive Signals

  • Contract supports critical Department of Defense needs
  • Defined contract period and award type

Sector Analysis

Engineering services are a vital component of the defense sector, encompassing design, analysis, and technical support for military systems and infrastructure. Spending benchmarks vary widely based on project scope and complexity.

Small Business Impact

There is no indication in the provided data whether small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The limited competition approach warrants scrutiny to ensure that the Department of Defense obtained the best possible value and that appropriate oversight is in place to manage costs and performance.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for inflated costs due to limited competition.
  • Lack of transparency regarding the justification for limited competition.
  • Cost-plus-fixed-fee can lead to cost overruns if not managed tightly.
  • No clear indication of small business participation.

Tags

engineering-services, department-of-defense, co, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.6 million to ANALEX CORPORATION. SYSTEM ASSESSMENT AND VULERABILITY

Who is the contractor on this award?

The obligated recipient is ANALEX CORPORATION.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $8.6 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the justification for limiting competition on this $8.6M engineering services contract?

The provided data does not specify the justification for limiting competition. Typically, justifications include factors like urgent and compelling needs, specialized capabilities, or sole-source provider status. A thorough review of the contract file would be required to ascertain the specific rationale and assess its validity.

How does the cost-plus-fixed-fee structure impact risk and value in this limited competition scenario?

The cost-plus-fixed-fee structure shifts some cost risk to the government while incentivizing the contractor to control costs to achieve the fixed fee. In a limited competition, the government has less leverage to negotiate favorable fee structures, potentially increasing overall cost and reducing value compared to a competitively bid contract.

What is the potential impact on effectiveness if Analex Corporation's capabilities are not truly unique?

If Analex's capabilities are not unique, limiting competition could mean the Department of the Navy misses out on potentially more innovative solutions or better-performing services from other qualified contractors. This could indirectly impact the effectiveness of the systems or projects these engineering services support.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0003026R2000

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 14295 PARK MEADOW DR STE 500, 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: $117,373,795

Exercised Options: $24,902,945

Current Obligation: $8,631,985

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

Potential End Date: 2028-09-30 00:00:00

Last Modified: 2026-04-08

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