Booz Allen Hamilton awarded $31.9M for Maritime Mission Systems Support by the Navy

Contract Overview

Contract Amount: $31,941,224 ($31.9M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Defense

Start Date: 2021-07-16

End Date: 2026-07-15

Contract Duration: 1,825 days

Daily Burn Rate: $17.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST NO FEE

Sector: Defense

Official Description: MARITIME MISSION SYSTEMS SUPPORT

Place of Performance

Location: PANAMA CITY BEACH, BAY County, FLORIDA, 32407

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $31.9 million to BOOZ ALLEN HAMILTON INC for work described as: MARITIME MISSION SYSTEMS SUPPORT Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 5 years indicates a long-term need for these services. 3. Engineering services are critical for maintaining and upgrading complex maritime systems. 4. The contract type is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 5. The contractor, Booz Allen Hamilton, is a large, established firm with significant government contracting experience. 6. The contract is for engineering services, a sector with consistent government demand. 7. The award value of over $31 million signifies a substantial investment in maritime capabilities.

Value Assessment

Rating: good

Benchmarking the value of this specific delivery order against similar contracts is challenging without knowing the scope of the underlying IDIQ. However, the $31.9 million award over five years suggests an average annual value of approximately $6.4 million. This figure appears reasonable for specialized engineering services supporting complex maritime systems, especially considering the contractor's expertise. Further analysis would require comparing the specific deliverables and labor rates to industry benchmarks for similar engineering support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of multiple bidders (implied by 'full and open') typically fosters price discovery and can lead to more competitive pricing. The specific number of bidders is not provided, but the competition type suggests a robust process was intended.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in maritime mission systems support.

Public Impact

The U.S. Navy benefits from enhanced support for its maritime mission systems, crucial for national security. Services delivered likely include technical analysis, design, integration, and sustainment of complex naval systems. The geographic impact is primarily Florida, where the contractor is located, suggesting potential local economic benefits. Workforce implications include employment opportunities for engineers and technical specialists within Booz Allen Hamilton and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the effectiveness of the services provided.
The duration of the contract could lead to vendor lock-in if not managed carefully.
Reliance on a single delivery order under a potentially larger IDIQ requires monitoring to ensure continued competition for future orders.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent process.
The contractor, Booz Allen Hamilton, has a strong track record in government contracting, suggesting reliability.
The contract addresses a critical need for maritime mission systems support, aligning with defense priorities.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a significant segment of the federal contracting market. The Department of Defense is a major consumer of engineering services, particularly for complex platforms like naval vessels and systems. Spending in this sector is driven by the need for modernization, maintenance, and technological advancement of defense assets. Comparable spending benchmarks would involve analyzing other large engineering support contracts awarded to defense contractors for similar maritime or aerospace systems.

Small Business Impact

This contract does not appear to have a small business set-aside (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses mandated by this specific award. However, as a large prime contractor, Booz Allen Hamilton may engage small businesses as subcontractors for specialized support, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Navy's contracting and program management offices. Accountability measures are embedded within the contract terms and conditions, including performance standards and payment schedules. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Naval Sea Systems Command (NAVSEA) Contracts
Department of Defense Engineering Services
Maritime Systems Modernization Programs
Defense Logistics Agency Support Contracts

Risk Flags

Potential for cost overruns
Performance delivery risk
Vendor lock-in
Cybersecurity vulnerabilities

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.9 million to BOOZ ALLEN HAMILTON INC. MARITIME MISSION SYSTEMS SUPPORT

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON 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 $31.9 million.

What is the period of performance?

Start: 2021-07-16. End: 2026-07-15.

What is Booz Allen Hamilton's track record with the Department of the Navy for similar engineering services?

Booz Allen Hamilton has a long and extensive history of contracting with the Department of the Navy, providing a wide array of services including engineering, technical support, and program management. Their track record demonstrates a capacity to handle complex, large-scale projects critical to naval operations. The company consistently ranks among the top federal contractors, indicating a strong performance history and established relationships within the DoD. Specific to maritime mission systems, Booz Allen has been involved in various naval modernization and sustainment efforts, leveraging their expertise in areas such as systems integration, cybersecurity, and operational analysis. Their ability to secure significant contracts like this one suggests a continued confidence from the Navy in their capabilities and past performance.

How does the $31.9 million award compare to other maritime mission systems support contracts?

The $31.9 million award for Maritime Mission Systems Support is a substantial but not unprecedented figure for a five-year contract of this nature within the Department of the Navy. Large-scale engineering and technical support contracts for naval systems often range from tens to hundreds of millions of dollars over their lifecycles. This specific award, averaging approximately $6.4 million annually, falls within a common range for specialized support services. To provide a more precise comparison, one would need to analyze contracts with identical or highly similar scopes of work, focusing on the specific systems being supported, the level of engineering effort required (e.g., R&D, sustainment, modernization), and the duration. However, given the contractor's profile and the sector, the value appears aligned with market rates for complex defense engineering services.

What are the primary risks associated with this contract for the government?

Key risks for the government include potential cost overruns if the scope of work expands beyond initial estimates or if unforeseen technical challenges arise. Performance risk is also present; failure to deliver critical engineering support could impact the readiness and effectiveness of naval assets. There's a risk of vendor lock-in, where the contractor becomes indispensable, potentially reducing future negotiating leverage. Additionally, if the underlying IDIQ contract lacks robust performance metrics or oversight, ensuring value for money could become challenging. Cybersecurity risks are inherent in supporting complex mission systems, requiring diligent protection of sensitive data and operational integrity.

How effective is 'full and open competition' in ensuring value for taxpayer money in this context?

Full and open competition is generally considered the most effective method for ensuring value for taxpayer money in federal contracting. By allowing all responsible sources to bid, it fosters a competitive environment that drives down prices and encourages innovation. For a contract like Maritime Mission Systems Support, this process allows the Navy to solicit proposals from multiple engineering firms, compare their technical approaches and costs, and select the offer that provides the best overall value. While the specific number of bidders isn't detailed here, the 'full and open' designation implies a structured process designed to maximize competition and transparency, thereby increasing the likelihood of a cost-effective outcome for the government and taxpayers.

What is the historical spending trend for Maritime Mission Systems Support by the Department of the Navy?

Historical spending on Maritime Mission Systems Support by the Department of the Navy has generally been significant and consistent, reflecting the ongoing need to maintain, upgrade, and modernize complex naval platforms. While specific figures for this exact category can fluctuate based on defense priorities, technological advancements, and shipbuilding/modernization cycles, the Navy consistently invests billions annually in systems engineering, technical services, and sustainment for its vast fleet. Spending trends are influenced by geopolitical factors, the introduction of new technologies (e.g., AI, unmanned systems), and the lifecycle management of existing platforms. This $31.9 million award represents a portion of that broader, sustained investment in naval capability.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6133121R3002

Offers Received: 3

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $59,158,205

Exercised Options: $59,158,205

Current Obligation: $31,941,224

Actual Outlays: $2,401,507

Subaward Activity

Number of Subawards: 32

Total Subaward Amount: $16,445,137

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7264

IDV Type: IDC

Timeline