DoD awards $19.2M aviation ratings delivery order to Integration Innovation Inc. for engineering services

Contract Overview

Contract Amount: $19,206,344 ($19.2M)

Contractor: Integration Innovation Inc

Awarding Agency: Department of Defense

Start Date: 2024-03-07

End Date: 2026-06-19

Contract Duration: 834 days

Daily Burn Rate: $23.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: RRL FY24 CONTENT CONVERSION AVIATION RATINGS DELIVERY ORDER 1

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35808

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $19.2 million to INTEGRATION INNOVATION INC for work described as: RRL FY24 CONTENT CONVERSION AVIATION RATINGS DELIVERY ORDER 1 Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. Firm Fixed Price contract type aims to control costs and provide predictability. 3. Delivery order under a larger contract indicates ongoing program support. 4. Engineering services are critical for maintaining and improving aviation systems. 5. Contract duration of 834 days spans over two fiscal years. 6. Awardee has a track record with federal contracts, requiring further performance review.

Value Assessment

Rating: fair

The contract value of $19.2 million for engineering services over approximately two years appears within a reasonable range for specialized aviation support. However, without specific details on the scope of work, direct comparison to similar contracts is challenging. Benchmarking the per-unit cost of engineering hours against industry standards or historical data for similar services would provide a clearer picture of value for money. The firm fixed-price structure suggests an attempt to manage cost overruns, but the ultimate value will depend on the quality and efficiency of the services delivered.

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 specific number of bidders is not provided, but this method generally fosters a competitive environment, which can lead to better pricing and innovation. The Department of the Navy's use of this procurement approach suggests confidence in the market's ability to provide qualified vendors for these specialized engineering services.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining services at competitive market rates, thereby maximizing the value of federal dollars spent.

Public Impact

The Department of the Navy benefits from specialized engineering expertise to support its aviation ratings. Services delivered are expected to enhance the performance, safety, or maintenance of naval aviation assets. The contract's geographic impact is primarily tied to the locations where naval aviation operations and support facilities are based, with specific work likely occurring in Alabama. This contract supports skilled engineering jobs, contributing to the technical workforce within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the contractor's efficiency and effectiveness.
The broad nature of 'engineering services' requires detailed oversight to ensure alignment with specific aviation rating needs.
Potential for scope creep if the delivery order's requirements are not tightly defined and managed.

Positive Signals

Awarded through full and open competition, suggesting a competitive selection process.
Firm Fixed Price contract type provides cost certainty for the government.
Contract duration allows for sustained support and potential for relationship building with the contractor.

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), a critical component of the broader aerospace and defense industry. The market for specialized engineering services supporting military aviation is substantial, driven by the need for advanced technological solutions, maintenance, and upgrades. Comparable spending benchmarks for similar engineering support contracts within the Department of Defense can vary widely based on complexity and duration, but this award represents a significant investment in maintaining naval aviation capabilities.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). As a result, small businesses are unlikely to be direct prime contractors on this award. However, Integration Innovation Inc. may engage small businesses as subcontractors to fulfill specific aspects of the engineering services, contributing to the broader small business ecosystem within the defense supply chain.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting and program management offices. Accountability measures are typically embedded within the contract terms, including performance standards and reporting requirements. Transparency is facilitated through contract databases like FPDS, though detailed performance reports are often internal. The Inspector General's office may conduct audits or investigations if specific concerns regarding waste, fraud, or abuse arise.

Related Government Programs

Naval Aviation Maintenance Programs
Defense Engineering Services Contracts
Aviation Systems Development
Military Readiness Support

Risk Flags

Potential for cost overruns if scope is not well-defined
Risk of reduced quality if contractor faces unexpected technical challenges
Dependence on contractor's technical expertise and performance history

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.2 million to INTEGRATION INNOVATION INC. RRL FY24 CONTENT CONVERSION AVIATION RATINGS DELIVERY ORDER 1

Who is the contractor on this award?

The obligated recipient is INTEGRATION INNOVATION 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 $19.2 million.

What is the period of performance?

Start: 2024-03-07. End: 2026-06-19.

What is the specific scope of 'aviation ratings' engineering services required under this delivery order?

The provided data does not detail the specific 'aviation ratings' engineering services. 'Aviation ratings' typically refer to qualifications or specializations for pilots, aircrew, or maintenance personnel within naval aviation. The engineering services could encompass a wide range of activities, such as developing training systems, designing modifications to aircraft systems related to specific ratings, improving maintenance procedures for specialized equipment, or providing technical support for rating-specific operational requirements. Further analysis would require access to the contract's statement of work (SOW) to understand the precise technical requirements, deliverables, and performance standards associated with these services.

How does the $19.2 million award compare to historical spending on similar aviation engineering services by the Department of the Navy?

Comparing this $19.2 million award requires access to historical contract data for similar aviation engineering services procured by the Department of the Navy. Without specific details on the scope of work, it's challenging to find directly comparable contracts. However, a review of past solicitations and awards for engineering support related to naval aviation systems, training, or maintenance could provide a benchmark. Factors such as contract duration, complexity of services, and the specific aircraft or systems involved would influence cost. A preliminary assessment suggests this is a substantial but not extraordinary amount for a multi-year engineering support contract within the defense sector.

What are the key performance indicators (KPIs) or metrics used to evaluate Integration Innovation Inc.'s performance on this contract?

The provided summary data does not specify the key performance indicators (KPIs) or metrics for this contract. Typically, firm-fixed-price contracts include performance standards related to schedule adherence, quality of deliverables, technical accuracy, and responsiveness to government requests. For engineering services, KPIs might include the timely completion of design reviews, the successful validation of technical documentation, or the effectiveness of proposed solutions in addressing operational needs. The government's contract administration team would monitor these metrics, and performance feedback would be documented. A thorough review would necessitate examining the contract's SOW and any associated performance management plans.

What is the track record of Integration Innovation Inc. in delivering similar engineering services to the federal government?

Integration Innovation Inc. (i3) has a history of receiving federal contracts, particularly within the defense sector. Publicly available data indicates they have been awarded numerous contracts for various services, including research and development, engineering, and technical support. Their performance history across these contracts would need to be reviewed to assess their reliability, quality of work, and ability to meet deadlines and budget constraints. Past performance evaluations, if available, would provide valuable insights into their capabilities and suitability for this specific aviation engineering task.

What is the potential risk associated with the firm-fixed-price contract type for these engineering services?

The primary risk associated with a firm-fixed-price (FFP) contract for complex engineering services is the potential for the contractor to cut corners on quality or scope to maintain profitability if unforeseen technical challenges arise or costs escalate beyond initial estimates. While FFP provides cost certainty for the government, it places the cost risk on the contractor. If the scope of work is not clearly defined or if significant technical uncertainties exist, the contractor may underbid, leading to potential performance issues or requests for change orders. Robust government oversight and a well-defined SOW are crucial to mitigate these risks.

Industry Classification

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

Product/Service Code: TRAINING AIDS AND DEVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N6134023R0073

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8000 RIDEOUT SW, SUITE 400, HUNTSVILLE, AL, 35808

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

Financial Breakdown

Contract Ceiling: $19,206,344

Exercised Options: $19,206,344

Current Obligation: $19,206,344

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $7,230,335

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6134024D0006

IDV Type: IDC

Timeline