DoD awards $156.8M for engineering services, with a significant portion for R&D, to ManTech

Contract Overview

Contract Amount: $15,675,662 ($15.7M)

Contractor: Mantech Advanced Systems International, Inc.

Awarding Agency: Department of Defense

Start Date: 2004-02-26

End Date: 2010-09-30

Contract Duration: 2,408 days

Daily Burn Rate: $6.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: 200408!000152!1700!A8102 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042104C0043 !A!N! !N! ! !20040226!20050228!174245993!174245993!053518312!N!MANTECH SYSTEMS ENGINEERING CO!12015 LEE JACKSON HIGHWAY !FAIRFAX !VA!22033!69525!037!24!ST. INIGOES !ST. MARY S !MARYLAND !+000000132959!N!N!000012886984!AC65!RDTE/ELECTRONICS & COMMUNICATION EQ-ENG/MANUF DEV !S1 !SERVICES !000 !* !541330!E! !3! ! ! ! ! !99990909!B! ! !A! !A!U!U!2!002!B! !C!N!Z! ! !N!C!N! ! ! !A!D!A!A!000!A!B!N! ! ! !Y! ! !0001! !

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $15.7 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC. for work described as: 200408!000152!1700!A8102 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042104C0043 !A!N! !N! ! !20040226!20050228!174245993!174245993!053518312!N!MANTECH SYSTEMS ENGINEERING CO!12015 LEE JACKSON HIGHWAY !FAIRFAX !VA!22033!69525!037!24!ST. INIGOES !ST. … Key points: 1. Contract awarded for engineering and manufacturing development, with a strong emphasis on research and development. 2. The contract value of $156.8M represents a substantial investment in advanced electronics and communication equipment. 3. Competition was full and open, suggesting a competitive bidding process that could lead to better pricing. 4. The contract duration is extensive, spanning over 2000 days, indicating a long-term need for these services. 5. The contractor, ManTech, has a track record in defense contracting, but performance context is needed. 6. The primary place of performance is in St. Mary's, Maryland, indicating a localized economic impact.

Value Assessment

Rating: fair

The total award amount is $156.8 million over a period of approximately 2008 days. Benchmarking this against similar engineering and R&D contracts within the Department of Defense is challenging without more specific service details. However, the cost-plus-fixed-fee structure suggests that while the contractor is reimbursed for costs, there is a defined profit margin. The value for money will depend heavily on the successful delivery of complex R&D outcomes and the efficiency of ManTech's cost management.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely considered. The presence of two bids suggests a moderately competitive environment. While full and open competition is generally favorable, the specific number of bidders (two) might limit the extent of price discovery compared to a scenario with numerous proposals. The agency's decision to proceed with two bids implies they met the requirements adequately.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it encourages multiple companies to bid, potentially driving down costs through competitive pressure. However, with only two bids, the cost savings may not be as significant as in a more crowded field.

Public Impact

The Department of Defense benefits from advanced engineering and manufacturing development services. Services delivered are related to electronics and communication equipment, crucial for military operations. The primary geographic impact is in St. Mary's County, Maryland, where the work will be performed. The contract supports specialized technical and engineering roles within the defense sector workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee contracts can sometimes lead to cost overruns if not closely monitored.
The long duration of the contract (over 2000 days) increases the risk of scope creep or evolving requirements.
Limited competition (two bidders) may have resulted in a higher price than a more robustly competed contract.

Positive Signals

Awarded under full and open competition, indicating a structured procurement process.
The contractor, ManTech, is an established entity in the defense sector, suggesting some level of expertise.
The contract specifies a clear place of performance, allowing for focused oversight.

Sector Analysis

This contract falls within the Engineering Services sector, specifically focusing on research, development, electronics, and communication equipment manufacturing. The Department of Defense is a major consumer of such services, investing heavily in technological advancements to maintain military superiority. Comparable spending benchmarks would typically involve other large-scale R&D and systems integration contracts within the defense industrial base, often running into hundreds of millions of dollars.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. There is no explicit mention of subcontracting goals for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem is likely minimal unless ManTech voluntarily includes small businesses in its subcontracting efforts.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. The cost-plus-fixed-fee structure necessitates rigorous financial oversight to manage costs and prevent overruns. Transparency is generally maintained through contract reporting mechanisms, though detailed performance metrics are not provided here. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Research and Development
Electronics and Communication Equipment Manufacturing
Engineering Services
Naval Air Warfare Center Contracts
Cost Plus Fixed Fee Contracts

Risk Flags

Long contract duration may increase risk of requirement changes.
Cost-plus-fixed-fee structure requires diligent cost oversight.
Limited number of bidders (2) may impact price competitiveness.
Need for detailed performance metrics to assess value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.7 million to MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC.. 200408!000152!1700!A8102 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042104C0043 !A!N! !N! ! !20040226!20050228!174245993!174245993!053518312!N!MANTECH SYSTEMS ENGINEERING CO!12015 LEE JACKSON HIGHWAY !FAIRFAX !VA!22033!69525!037!24!ST. INIGOES !ST. MARY S !MARYLAND !+000000132959!N!N!000012886984!AC65!RDTE/ELECTRONICS & COMMUNICATION EQ-ENG/MANUF DEV !S1 !SERVICES !000 !* !541330!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is MANTECH ADVANCED SYSTEMS INTERNATIONAL, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $15.7 million.

What is the period of performance?

Start: 2004-02-26. End: 2010-09-30.

What is ManTech's specific track record with the Naval Air Warfare Center and similar defense R&D contracts?

ManTech Advanced Systems International, Inc. has a history of securing contracts with various branches of the U.S. military, including the Department of Defense. Their work often involves systems engineering, software development, and research and development. For the Naval Air Warfare Center specifically, this contract (N0042104C0043) represents a significant award. Analyzing past performance on similar cost-plus-fixed-fee R&D contracts would reveal their ability to manage complex projects, control costs, and deliver on technical objectives within budget and schedule. A review of past performance evaluations and any contract disputes or awards would provide a clearer picture of their reliability and expertise in this domain.

How does the $156.8 million award compare to typical spending on similar engineering and R&D services by the DoD?

The $156.8 million award for engineering and R&D services is substantial, reflecting the complexity and scope of work typically undertaken by the Department of Defense in areas like electronics and communication equipment. Large-scale R&D contracts within the defense sector frequently range from tens to hundreds of millions of dollars, especially when they involve developing cutting-edge technologies. To provide a precise comparison, one would need to benchmark against contracts with similar Product Service Codes (PSCs) and contract types (Cost Plus Fixed Fee) awarded over comparable timeframes. However, given the nature of defense R&D, this award appears to be within the expected range for significant technological development projects.

What are the primary risks associated with this Cost Plus Fixed Fee (CPFF) contract structure for the government?

The primary risk for the government with a Cost Plus Fixed Fee (CPFF) contract is the potential for cost overruns. While the fee is fixed, the contractor is reimbursed for actual costs incurred. If the contractor is inefficient or faces unforeseen challenges that drive up costs, the government bears that expense. This necessitates robust oversight to ensure costs are reasonable and allocable to the contract. Another risk is that the fixed fee might not adequately incentivize the contractor to control costs if the fee represents a large portion of the total potential profit. Effective management and monitoring of incurred costs are crucial to mitigate these risks.

What does the 'RDTE/ELECTRONICS & COMMUNICATION EQ-ENG/MANUF DEV' classification imply about the program's effectiveness?

The classification 'RDTE/ELECTRONICS & COMMUNICATION EQ-ENG/MANUF DEV' signifies that the contract is focused on Research, Development, Test, and Evaluation related to the engineering and manufacturing development of electronics and communication equipment. The effectiveness of the program hinges on the successful advancement of these technologies to meet specific military requirements. Program effectiveness would be measured by the contractor's ability to deliver prototypes, meet performance specifications, integrate new systems, and ultimately transition these developments into operational capabilities for the warfighter. Metrics would likely include technical milestones achieved, system performance validation, and successful integration testing.

How has historical spending on engineering services by the Naval Air Warfare Center trended over the past decade?

Historical spending trends for engineering services by the Naval Air Warfare Center (NAWC) would require a detailed analysis of past contract awards. Generally, NAWC, as a major component of the Navy's research, development, and acquisition efforts, consistently awards significant contracts for engineering, R&D, and technical support. Spending in this area is often influenced by evolving technological needs, strategic priorities, and budget allocations. A decade-long trend analysis might show fluctuations based on specific platform development cycles or shifts in focus towards areas like cyber, AI, or advanced materials. This particular contract, awarded in 2004, reflects spending patterns from that era.

What is the significance of the contract being a 'DEFINITIVE CONTRACT' with a duration of 2408 days?

A 'Definitive Contract' is a fixed-price contract that clearly specifies the exact quantity of supplies or services, the price, and the delivery schedule. However, the data also indicates 'pt: COST PLUS FIXED FEE', which suggests this might be a definitive contract that outlines the overall scope and period of performance, but uses a CPFF pricing structure within it. The long duration of 2408 days (approximately 6.6 years) indicates a long-term requirement for the services, likely involving complex development or sustainment activities. Such long durations are common for major defense acquisition programs where development cycles are extensive and require sustained contractor support.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Mantech International Corporation (UEI: 053518312)

Address: 2251 CORPORATE PARK DRIVE, HERNDON, VA, 20171

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

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline