DoD Awards $17.2M for BLQ-10 Installation Support to Science Applications International Corporation

Contract Overview

Contract Amount: $17,218,598 ($17.2M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2006-07-11

End Date: 2024-01-25

Contract Duration: 6,407 days

Daily Burn Rate: $2.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: Defense

Official Description: BLQ-10 INSTALLATION SUPPORT

Place of Performance

Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $17.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: BLQ-10 INSTALLATION SUPPORT Key points: 1. Significant contract value of $17.2 million over its lifecycle. 2. Science Applications International Corporation (SAIC) is the sole awardee. 3. Contract spans a considerable duration of 6407 days. 4. Engineering services sector, with a focus on installation support.

Value Assessment

Rating: fair

The contract type is Cost Plus Award Fee (CPAF), which can lead to higher costs if not managed carefully. The total award value is substantial, and without specific performance metrics or benchmarks, assessing its value for money is challenging.

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, it is a delivery order under a larger contract, and the specific competition for this order is not detailed.

Taxpayer Impact: The use of CPAF and the long duration warrant scrutiny to ensure taxpayer funds are used efficiently and effectively.

Public Impact

Supports Department of Defense operations, impacting national security. Long-term contract indicates ongoing need for these engineering services. Potential for follow-on work or similar contracts in the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Award Fee contract type can incentivize cost overruns.
  • Long contract duration (over 17 years) may not reflect current needs or technological advancements.
  • Lack of specific performance data makes value assessment difficult.

Positive Signals

  • Awarded under full and open competition, suggesting competitive pricing.
  • SAIC is a large, established defense contractor with relevant experience.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to installation support for defense systems. Spending in this sector is substantial within the DoD, driven by complex technological requirements and long-term program needs.

Small Business Impact

The data indicates the awardee is Science Applications International Corporation, a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

The contract is managed by the Defense Contract Management Agency (DCMA), which is responsible for overseeing contract performance and ensuring compliance. The CPAF structure requires careful monitoring of award criteria.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Cost Plus Award Fee (CPAF) contract type.
  • Long contract duration (over 17 years).
  • Awardee is a large business, potential lack of small business subcontracting.
  • Limited detail on specific performance metrics driving award fees.
  • Potential for technology obsolescence over the contract term.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.2 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. BLQ-10 INSTALLATION SUPPORT

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 (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $17.2 million.

What is the period of performance?

Start: 2006-07-11. End: 2024-01-25.

How does the Cost Plus Award Fee structure ensure cost efficiency for the BLQ-10 installation support?

The CPAF structure aims to incentivize contractor performance by providing award fees based on achieving specific performance objectives. However, it also allows for costs to exceed initial estimates, with the government paying a base fee plus potential award fees. Effective oversight is crucial to ensure that award criteria are met without unnecessary cost escalation, making the overall value proposition dependent on rigorous performance management and clear, achievable objectives.

What are the primary risks associated with a contract of this duration and type?

The primary risks include potential cost overruns due to the CPAF structure and the long duration potentially leading to outdated technology or shifting requirements. Scope creep is also a risk over such an extended period. Furthermore, if performance metrics are not well-defined or adaptable, the award fee mechanism may not effectively drive desired outcomes, leading to suboptimal value for the government.

How effectively does this contract leverage competition to ensure optimal pricing for installation support?

While the initial award was under full and open competition, the specific delivery order's competitive landscape isn't detailed. The CPAF structure, while allowing for performance incentives, can sometimes obscure true cost efficiency compared to fixed-price contracts. Continuous monitoring and comparison against market rates for similar services are essential to ensure ongoing price reasonableness throughout the contract's extensive lifecycle.

Industry Classification

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

Product/Service Code: INSTALLATION OF EQUIPMENTINSTALLATION OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002405R3116

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

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: $20,455,850

Exercised Options: $20,301,693

Current Obligation: $17,218,598

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4143

IDV Type: IDC

Timeline

Start Date: 2006-07-11

Current End Date: 2024-01-25

Potential End Date: 2024-01-25 00:00:00

Last Modified: 2024-01-25

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