DoD Awards $102.7M Engineering Services Contract to Leidos, Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $102,726,856 ($102.7M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-12-09

End Date: 2025-03-29

Contract Duration: 1,937 days

Daily Burn Rate: $53.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF:OT:IGF

Place of Performance

Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29419

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $102.7 million to LEIDOS, INC. for work described as: IGF:OT:IGF Key points: 1. Contract awarded to Leidos, Inc. for engineering services. 2. Significant value of over $102 million. 3. Procured via full and open competition. 4. Contract duration extends to March 2025.

Value Assessment

Rating: good

The contract value of $102.7M for engineering services appears reasonable given the duration and scope. Benchmarking against similar large-scale engineering support contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating a robust price discovery process. This method generally leads to competitive pricing.

Taxpayer Impact: Full and open competition suggests taxpayers are likely receiving fair value for the services rendered.

Public Impact

Supports critical engineering services for the Department of the Navy. Leidos, Inc., a major defense contractor, will perform the work. Long-term contract (over 4 years) provides stability for services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

  • Full and open competition
  • Established contractor
  • Long contract duration

Sector Analysis

Engineering services are crucial for defense projects, encompassing design, analysis, and technical support. Spending in this sector can vary widely based on project complexity and defense priorities.

Small Business Impact

The data indicates this contract was not awarded to small businesses, which is common for large-scale prime contracts. Subcontracting opportunities for small businesses may exist but are not detailed here.

Oversight & Accountability

Oversight will be managed by the Department of the Navy, ensuring contract performance and adherence to terms. The duration suggests ongoing monitoring will be necessary.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) structure may lead to cost overruns if not managed tightly.
  • Long contract duration increases the risk of scope creep or evolving requirements not being adequately addressed.
  • Lack of detail on specific services and task orders limits a full understanding of value and risk.

Tags

engineering-services, department-of-defense, sc, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $102.7 million to LEIDOS, INC.. IGF:OT:IGF

Who is the contractor on this award?

The obligated recipient is LEIDOS, 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 $102.7 million.

What is the period of performance?

Start: 2019-12-09. End: 2025-03-29.

What specific engineering services are included under this contract, and how do they align with current naval modernization efforts?

The contract specifies engineering services under NAICS code 541330. While the exact services aren't detailed, they likely encompass a broad range of technical support, design, and analysis critical for naval platforms and systems. Alignment with modernization efforts would depend on specific task orders issued under this contract, which are not provided in the data.

What is the cost-plus fixed fee (CPFF) structure's potential impact on overall cost and contractor incentive?

A Cost Plus Fixed Fee (CPFF) contract allows the contractor to recover costs plus a predetermined fixed fee. While it provides flexibility for evolving requirements, it can potentially lead to higher costs if cost controls are not stringent. The fixed fee incentivizes the contractor to manage costs to maximize their profit margin.

How does the $102.7M contract value compare to historical spending on similar engineering services for naval aviation or shipbuilding?

Without specific historical data for comparable naval engineering services contracts, a direct comparison is difficult. However, $102.7M over nearly two years is a substantial award, suggesting a significant scope of work. Benchmarking against similar large-scale, long-term engineering support contracts within the DoD would be necessary for a precise assessment.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 11951 FREEDOM DR, 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: $102,726,856

Exercised Options: $102,726,856

Current Obligation: $102,726,856

Actual Outlays: $15,233,518

Subaward Activity

Number of Subawards: 71

Total Subaward Amount: $11,581,413

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6523619D4807

IDV Type: IDC

Timeline

Start Date: 2019-12-09

Current End Date: 2025-03-29

Potential End Date: 2025-03-29 00:00:00

Last Modified: 2025-09-11

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