Department of Defense awards $16.2M engineering services contract to Noblis, Inc. for Naval operations

Contract Overview

Contract Amount: $16,220,144 ($16.2M)

Contractor: Noblis, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-09-11

End Date: 2026-03-10

Contract Duration: 1,641 days

Daily Burn Rate: $9.9K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: ADSSS

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20191

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $16.2 million to NOBLIS, INC. for work described as: ADSSS Key points: 1. Contract value appears reasonable given the duration and scope of engineering services. 2. Sole-source award limits price discovery and potential for competitive savings. 3. Long contract duration (over 5 years) may introduce performance and cost risks. 4. Services are critical for ongoing Naval operations, indicating essential need. 5. Contract falls within the broad engineering services sector, a common area for federal procurement. 6. No small business set-aside was applied, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of $16.2 million over approximately 5.5 years averages to about $2.95 million annually. Without specific benchmarks for comparable Naval engineering services, it's difficult to definitively assess value for money. However, the cost-plus-fixed-fee (CPFF) contract type can sometimes lead to higher costs if not closely managed, as it shifts some cost risk to the government. Further analysis would require comparing specific task orders and deliverables against industry standards and similar government contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor, Noblis, Inc., was considered. This approach bypasses the competitive bidding process, which typically allows multiple companies to propose solutions and prices. While sole-source awards are sometimes justified for specialized capabilities or urgent needs, they generally result in less price competition and potentially higher costs for the government compared to fully competed contracts.

Taxpayer Impact: Sole-source awards mean taxpayers do not benefit from the price reductions typically achieved through competitive bidding, potentially leading to a less efficient use of federal funds.

Public Impact

Naval operations and readiness are directly supported by the engineering services provided. Personnel within the Department of the Navy, specifically the Navy, will benefit from enhanced engineering support. The primary geographic impact is likely within areas of Naval operation and maintenance, potentially global. The contract supports specialized engineering roles, contributing to the federal workforce in technical fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competitive pressure on pricing.
  • Cost-plus-fixed-fee structure may incentivize higher costs if not rigorously managed.
  • Long contract duration increases exposure to potential scope creep or evolving requirements.
  • Lack of small business participation could limit innovation and broader economic impact.

Positive Signals

  • Noblis, Inc. is a known entity in government contracting, suggesting potential for reliable service delivery.
  • Engineering services are critical for maintaining complex military assets and operations.
  • The contract is for essential support, indicating a clear government need.

Sector Analysis

The engineering services sector is a significant component of federal procurement, encompassing a wide range of technical support for government operations. This contract falls under NAICS code 541330 (Engineering Services). Federal spending in this category is substantial, supporting everything from infrastructure design to complex system development and maintenance. Comparable spending benchmarks would involve analyzing other large engineering service contracts awarded by the Department of Defense and other agencies for similar types of support.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it appear to have specific subcontracting requirements for small businesses mentioned in the provided data. This means that opportunities for small businesses to directly participate in this specific contract are limited. The absence of set-asides or mandated subcontracting could reduce the flow of federal dollars into the small business ecosystem for this particular award.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Navy's contracting and program management offices. The cost-plus-fixed-fee structure necessitates diligent oversight to ensure costs are reasonable and allocable to the contract. Transparency is dependent on the agency's reporting practices and the availability of contract data. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

  • Naval Sea Systems Command (NAVSEA) Contracts
  • Department of Defense Engineering Services
  • Cost-Plus-Fixed-Fee Contracts
  • Sole-Source Defense Procurements

Risk Flags

  • Sole-source award limits competition.
  • Potential for cost overruns due to CPFF structure.
  • Long contract duration increases risk.
  • Lack of small business participation.

Tags

engineering-services, department-of-defense, department-of-the-navy, sole-source, cost-plus-fixed-fee, professional-services, defense-contracting, virginia, noblis-inc, long-term-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.2 million to NOBLIS, INC.. ADSSS

Who is the contractor on this award?

The obligated recipient is NOBLIS, 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 $16.2 million.

What is the period of performance?

Start: 2021-09-11. End: 2026-03-10.

What is Noblis, Inc.'s track record with the Department of Defense, particularly for engineering services?

Noblis, Inc. has a significant history of contracting with the Department of Defense (DoD) and other federal agencies, often providing a range of professional services including engineering, scientific research, and IT support. Their track record typically includes work on complex systems and programs. For engineering services specifically, their past performance would be evaluated based on successful delivery, adherence to schedules and budgets, and technical quality on previous contracts. A review of their contract history within the DoD would reveal the types of projects undertaken, their scale, and client satisfaction, which are crucial for assessing their capability to fulfill this current $16.2 million contract.

How does the $16.2 million contract value compare to similar engineering services contracts awarded by the Navy?

Comparing the $16.2 million value requires context on the specific engineering services being procured. If these services are for broad operational support or maintenance across multiple platforms, the value might be considered moderate. However, if the contract involves highly specialized, niche engineering expertise for a critical system, the value could be justified. Benchmarking against other sole-source or competitively awarded engineering contracts by the Navy for similar durations (over 5 years) and scope would provide a clearer picture. Without access to a database of comparable contracts, a precise comparison is difficult, but the annual average of approximately $2.95 million suggests a substantial, ongoing requirement.

What are the primary risks associated with a sole-source, cost-plus-fixed-fee contract of this duration?

The primary risks associated with this contract structure are multifaceted. A sole-source award eliminates competitive pressure, potentially leading to inflated pricing and reduced incentive for the contractor to optimize costs. The cost-plus-fixed-fee (CPFF) structure shifts a significant portion of cost risk to the government; while the contractor's fee is fixed, their costs are reimbursed, which can sometimes lead to less stringent cost control if not managed diligently. The long duration (over 5 years) increases the risk of scope creep, requirement changes, and potential contractor performance degradation over time. Additionally, there's a risk that the government may not be receiving the best possible value compared to what could have been achieved through a competitive process.

How effective are sole-source awards in meeting urgent or specialized defense needs?

Sole-source awards can be effective in meeting urgent or highly specialized defense needs when competition is genuinely impractical or detrimental to national security. For instance, if a unique technology or capability exists with only one provider, or if there's an immediate, critical operational requirement that cannot wait for a lengthy competitive process, a sole-source award might be the most expedient solution. However, the justification for sole-sourcing must be robust to prevent its misuse. Effectiveness is measured by whether the specialized need was met promptly and adequately, and whether the price paid was fair and reasonable under the circumstances, despite the lack of competition.

What is the historical spending trend for engineering services by the Department of the Navy?

The Department of the Navy consistently spends significant amounts on engineering services, reflecting the complexity and scale of its operations, including shipbuilding, aircraft maintenance, infrastructure, and advanced technology development. Historical spending trends show a substantial and often increasing demand for these services, driven by modernization efforts, fleet readiness requirements, and evolving technological landscapes. Analyzing past fiscal years would reveal fluctuations based on budget allocations, specific program needs, and strategic priorities. This $16.2 million award fits within this broader pattern of substantial investment in engineering expertise to support naval capabilities.

What are the implications of the 'VA' (Virginia) state designation for this contract?

The 'VA' designation likely refers to the state of Virginia, indicating that the contractor, Noblis, Inc., has a significant presence or operational base in Virginia, or that the services are performed within or managed from Virginia. Virginia has a large federal contracting sector, particularly supporting defense and intelligence agencies. This location may imply proximity to key Navy installations or decision-making centers, potentially facilitating communication and oversight. It also suggests that a portion of the contract's economic impact, such as job creation and revenue, may be realized within Virginia's economy.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N6339416R0022

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2002 EDMUND HALLEY DR, RESTON, VA, 20191

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

Financial Breakdown

Contract Ceiling: $20,246,578

Exercised Options: $19,317,892

Current Obligation: $16,220,144

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $202,363

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6339416D0018

IDV Type: IDC

Timeline

Start Date: 2021-09-11

Current End Date: 2026-03-10

Potential End Date: 2026-03-10 00:00:00

Last Modified: 2025-12-17

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