DoD Awards $226M Engineering Support Contract to Atlas Technologies for Naval Messaging Systems

Contract Overview

Contract Amount: $226,344,678 ($226.3M)

Contractor: Atlas Technologies, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-01-12

End Date: 2025-09-16

Contract Duration: 1,708 days

Daily Burn Rate: $132.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Engineering Services

Official Description: ENGINEERING SUPPORT SERVICES THAT THE CONTRACTOR WILL PROVIDE TO NIWC ATLANTIC IN NAVAL MESSAGING SYSTEMS, INTERFACES, COMPONENTS, AND INTERCONNECTED USCG SYSTEM VARIANTS WITHIN THE USCG C4ISR.

Place of Performance

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

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $226.3 million to ATLAS TECHNOLOGIES, INC. for work described as: ENGINEERING SUPPORT SERVICES THAT THE CONTRACTOR WILL PROVIDE TO NIWC ATLANTIC IN NAVAL MESSAGING SYSTEMS, INTERFACES, COMPONENTS, AND INTERCONNECTED USCG SYSTEM VARIANTS WITHIN THE USCG C4ISR. Key points: 1. The contract focuses on critical naval messaging systems and interfaces. 2. Atlas Technologies, Inc. is the sole awardee for this specific delivery order. 3. The contract type is Cost Plus Fixed Fee, which can carry cost overrun risks. 4. This spending falls within the Engineering Services sector.

Value Assessment

Rating: good

The Cost Plus Fixed Fee contract type allows for flexibility but requires careful monitoring to ensure costs remain reasonable. Benchmarking against similar engineering support contracts is essential.

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, this specific award is a delivery order, implying it might be part of a larger IDIQ or contract vehicle.

Taxpayer Impact: Taxpayer funds are being used for essential engineering support to maintain critical naval and USCG communication systems.

Public Impact

Ensures continued operation and modernization of vital naval and USCG communication infrastructure. Supports national security by maintaining secure and reliable messaging systems. Potential for job creation within the engineering and technical support fields.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type may lead to higher costs if not managed effectively.
Lack of specific small business participation noted.

Positive Signals

Awarded under full and open competition.
Supports critical national defense infrastructure.

Sector Analysis

This contract falls under Engineering Services, a sector vital for maintaining and developing complex technological systems for defense. Spending benchmarks for similar services vary widely based on scope and complexity.

Small Business Impact

The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business subcontracting opportunities exist within this award.

Oversight & Accountability

The Department of the Navy's Naval Information Warfare Center (NIWC) Atlantic is responsible for overseeing this contract. Robust oversight is crucial for Cost Plus Fixed Fee contracts to manage costs and ensure performance.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost overrun potential with CPFF contract type.
Limited visibility into overall contract value beyond the current delivery order.
No explicit mention of small business participation.
Dependence on a single contractor for critical system support.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $226.3 million to ATLAS TECHNOLOGIES, INC.. ENGINEERING SUPPORT SERVICES THAT THE CONTRACTOR WILL PROVIDE TO NIWC ATLANTIC IN NAVAL MESSAGING SYSTEMS, INTERFACES, COMPONENTS, AND INTERCONNECTED USCG SYSTEM VARIANTS WITHIN THE USCG C4ISR.

Who is the contractor on this award?

The obligated recipient is ATLAS TECHNOLOGIES, 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 $226.3 million.

What is the period of performance?

Start: 2021-01-12. End: 2025-09-16.

What is the estimated total value of the contract if all delivery orders are exercised?

The provided data shows an award amount of $226,344,678.13 for a specific delivery order. The total contract value, encompassing all potential future delivery orders under the contract vehicle, is not explicitly stated but this figure represents a significant investment in engineering support services.

What are the key performance indicators (KPIs) for this contract to ensure effectiveness?

Key performance indicators would likely include system uptime, response times for technical support, successful implementation of upgrades or modifications, and adherence to security protocols. Specific KPIs are typically detailed in the contract's Statement of Work (SOW) and are crucial for measuring contractor performance and value.

How does the fixed fee component of the contract incentivize efficiency for Atlas Technologies?

In a Cost Plus Fixed Fee (CPFF) contract, the contractor is reimbursed for allowable costs plus a predetermined fixed fee. This structure incentivizes efficiency because the contractor's profit (the fixed fee) does not increase with higher costs. Therefore, Atlas Technologies is motivated to control costs to maximize their net profit.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6523620R3015

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 5416A RIVERS AVE, NORTH CHARLESTON, SC, 29406

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

Financial Breakdown

Contract Ceiling: $230,809,915

Exercised Options: $230,809,915

Current Obligation: $226,344,678

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $30,220

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7193

IDV Type: IDC

Timeline