DoD Awards $45.4M Contract to SAIC for OCONUS FMS Support, Engineering Services

Contract Overview

Contract Amount: $45,409,765 ($45.4M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2020-10-30

End Date: 2026-04-18

Contract Duration: 1,996 days

Daily Burn Rate: $22.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: INKSA SUPPORT SERVICES OCONUS- FMS REQUIREMENT

Plain-Language Summary

Department of Defense obligated $45.4 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: INKSA SUPPORT SERVICES OCONUS- FMS REQUIREMENT Key points: 1. SAIC secured a significant contract for OCONUS FMS support, highlighting their role in defense logistics. 2. The contract value of $45.4M indicates substantial investment in engineering services for the Department of Defense. 3. Full and open competition suggests a robust procurement process, aiming for competitive pricing. 4. The extended duration (1996 days) points to a long-term need for these specialized engineering services.

Value Assessment

Rating: good

The contract is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. However, the benchmark of $22.75M per year suggests a reasonable rate for specialized engineering services.

Cost Per Unit: $22,750,000 (annualized)

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, minimizing unnecessary taxpayer expenditure for these critical engineering services.

Public Impact

Ensures continued support for Foreign Military Sales (FMS) operations abroad. Provides essential engineering services to the Department of the Navy. Supports U.S. national security interests through robust defense logistics. Contributes to the operational readiness of allied nations through FMS.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can incentivize contractor to increase costs.
  • Long contract duration may not adapt to evolving technological needs.
  • Limited information on specific performance metrics and oversight.

Positive Signals

  • Awarded under full and open competition.
  • Significant contract value indicates critical need and potential for high-quality service.
  • Experienced contractor (SAIC) likely to deliver reliable support.

Sector Analysis

This contract falls within the Engineering Services sector, a critical component of the defense industry. Spending in this area is often driven by complex international relations and the need for specialized technical expertise to support military operations and equipment.

Small Business Impact

The data indicates that this contract was not awarded to small businesses, as SAIC is a large corporation. There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract is a Delivery Order under a larger award, suggesting it is part of an existing framework with established oversight mechanisms. However, specific details on performance monitoring and accountability for this particular order are not provided.

Related Government Programs

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

Risk Flags

  • Cost Plus Fixed Fee contract type.
  • Long contract duration.
  • Potential for cost overruns.
  • Limited visibility into specific performance metrics.
  • No indication of small business subcontracting.

Tags

engineering-services, department-of-defense, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.4 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. INKSA SUPPORT SERVICES OCONUS- FMS REQUIREMENT

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL 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 $45.4 million.

What is the period of performance?

Start: 2020-10-30. End: 2026-04-18.

What specific engineering services are included in this contract, and how do they directly support OCONUS FMS requirements?

The contract likely encompasses a range of engineering disciplines such as systems engineering, technical support, logistics engineering, and potentially training development. These services are crucial for ensuring that military equipment and systems provided through FMS are properly integrated, maintained, and operated by partner nations in their respective overseas locations, thereby fulfilling the objectives of the FMS program.

What are the potential risks associated with a Cost Plus Fixed Fee contract for long-term engineering support in potentially austere OCONUS environments?

CPFF contracts carry inherent risks of cost overruns if contractor's actual costs exceed estimates, especially in complex or unpredictable OCONUS environments. Scope creep, unforeseen logistical challenges, and inflation can further inflate costs. Effective government oversight is critical to manage these risks, ensuring that costs remain reasonable and that the fixed fee aligns with the effort and risk undertaken by the contractor.

How will the effectiveness of SAIC's engineering support be measured to ensure successful FMS outcomes for recipient nations?

Effectiveness is typically measured through Key Performance Indicators (KPIs) outlined in the contract. These could include timely delivery of technical documentation, successful system integration, reduction in equipment downtime, positive feedback from end-users in recipient nations, and adherence to project milestones. Regular performance reviews and site visits would also contribute to assessing the contractor's impact on FMS program success.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0003919R3508

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190

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

Financial Breakdown

Contract Ceiling: $49,445,272

Exercised Options: $49,445,272

Current Obligation: $45,409,765

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $21,557,931

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8470

IDV Type: IDC

Timeline

Start Date: 2020-10-30

Current End Date: 2026-04-18

Potential End Date: 2026-04-18 00:00:00

Last Modified: 2026-02-12

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