DoD awards $22.9M for Mobile Command Vehicle production support to Science Applications International Corporation

Contract Overview

Contract Amount: $22,944,001 ($22.9M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2024-06-14

End Date: 2026-06-30

Contract Duration: 746 days

Daily Burn Rate: $30.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: MOBILE COMMAND VEHICLE (MCV) PRODUCTION SUPPORT

Place of Performance

Location: HANAHAN, BERKELEY County, SOUTH CAROLINA, 29410

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $22.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: MOBILE COMMAND VEHICLE (MCV) PRODUCTION SUPPORT Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. 3. The duration of 746 days indicates a significant, long-term need for these services. 4. The award is for production support, implying a need for ongoing manufacturing or assembly assistance. 5. The North American Industry Classification System (NAICS) code 335999 covers 'All Other Miscellaneous Electrical Equipment and Component Manufacturing', indicating a specialized area of production. 6. The contract value of $22.9M is substantial, reflecting the complexity and scale of the requirement.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without more detailed cost breakdowns and comparisons to similar mobile command vehicle production support contracts. The Cost Plus Fixed Fee (CPFF) contract type introduces inherent risk for cost control, as the contractor is reimbursed for allowable costs plus a fixed fee. While this structure can be appropriate for complex or uncertain projects, it necessitates robust oversight to ensure costs remain reasonable and do not exceed expectations. The fixed fee component provides some incentive for the contractor to manage costs efficiently, but the primary risk lies in the 'cost' portion.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a 'full and open competition' solicitation, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters a competitive environment. A competitive process is expected to drive down prices and encourage innovation as contractors vie for the award. The effectiveness of this competition in achieving optimal value depends on the number and quality of the bids received and the specific evaluation criteria used by the agency.

Taxpayer Impact: Taxpayers benefit from a full and open competition as it increases the likelihood of receiving the best possible price and quality for the goods or services procured. This approach minimizes the risk of inflated costs that can occur with less competitive methods.

Public Impact

The Department of the Navy benefits from enhanced capabilities through the production support of Mobile Command Vehicles. These vehicles are likely critical for command and control operations, supporting military readiness and deployment. The contract supports the defense industrial base, potentially impacting jobs within the electrical equipment manufacturing sector. The geographic impact is primarily within South Carolina, where the contractor's facility is located, and potentially at the delivery locations for the vehicles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not closely monitored.
Lack of specific details on the number of bidders in the full and open competition makes it difficult to fully assess competitive pressure.
The specialized nature of 'All Other Miscellaneous Electrical Equipment and Component Manufacturing' may limit the pool of qualified contractors.
The duration of the contract (746 days) requires sustained oversight to ensure performance remains on track.

Positive Signals

Awarded through full and open competition, indicating a broad search for qualified offerors.
The contractor, Science Applications International Corporation (SAIC), is a large and established defense contractor with significant experience.
The contract is for production support, suggesting a critical need for the end item (Mobile Command Vehicles).
The fixed fee component of the CPFF contract provides some cost certainty for the government regarding the contractor's profit.

Sector Analysis

The contract falls within the 'All Other Miscellaneous Electrical Equipment and Component Manufacturing' sector (NAICS 335999). This is a broad category encompassing various electrical products not classified elsewhere. The defense sector frequently procures specialized electronic and electrical equipment for military applications, including command and control systems. The market for such specialized manufacturing can be niche, with a limited number of firms possessing the required technical expertise and security clearances. Comparable spending benchmarks are difficult to establish without knowing the specific technical requirements of the mobile command vehicles.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and the contractor is a large business (co: SCIENCE APPLICATIONS INTERNATIONAL CORPORATION). There is no explicit information regarding subcontracting plans for small businesses. Given the nature of the work and the prime contractor's size, it is possible that subcontracting opportunities may exist for specialized components or services, but this is not guaranteed without further information on subcontracting goals or performance.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting and program management offices. The Cost Plus Fixed Fee (CPFF) structure necessitates rigorous financial oversight to monitor allowable costs and ensure the fixed fee is earned appropriately. Performance metrics and delivery schedules will be tracked to ensure timely completion. Transparency is generally maintained through contract award databases and reporting requirements, though specific details of cost breakdowns may be proprietary. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Mobile Command Vehicles
Command and Control Systems
Defense Production Support
Electrical Equipment Manufacturing
Department of the Navy Contracts

Risk Flags

Cost Plus Fixed Fee (CPFF) contract type requires diligent oversight to manage costs.
Specialized manufacturing sector may limit competition.
Contract duration necessitates sustained performance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.9 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. MOBILE COMMAND VEHICLE (MCV) PRODUCTION SUPPORT

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $22.9 million.

What is the period of performance?

Start: 2024-06-14. End: 2026-06-30.

What is the historical spending by the Department of the Navy on Mobile Command Vehicles and related production support?

Analyzing historical spending by the Department of the Navy on Mobile Command Vehicles (MCVs) and their production support requires access to comprehensive contract databases. Generally, the Navy procures various C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance) assets, which can include specialized vehicles like MCVs. Spending in this area can fluctuate significantly based on modernization efforts, operational tempo, and specific program requirements. Without specific contract award data for MCVs, it's difficult to provide precise historical figures. However, it's reasonable to assume that such specialized platforms represent a consistent, albeit potentially cyclical, investment area for the Navy, likely involving multi-million dollar awards over several years for development, production, and sustainment.

How does the awarded amount of $22.9M compare to other similar contracts for mobile command vehicle production support?

Directly comparing the $22.9 million award for Mobile Command Vehicle (MCV) production support to similar contracts is challenging without access to a detailed database of comparable procurements. The cost of MCVs can vary widely based on their size, technological sophistication (e.g., C4ISR capabilities, communication suites, power generation), and the specific production support services required. Contracts for specialized military vehicles often involve significant engineering, integration, and testing, driving up costs. A $22.9 million figure for production support over approximately two years suggests a moderately complex or high-tech requirement. To provide a robust comparison, one would need to identify contracts with similar scopes of work, vehicle types, and contract durations awarded by different branches of the military or other government agencies.

What are the key performance indicators (KPIs) and deliverables expected under this contract?

While the specific Key Performance Indicators (KPIs) and deliverables for this contract are not detailed in the provided summary, typical expectations for 'production support' of a complex asset like a Mobile Command Vehicle (MCV) would likely include: adherence to production schedules and milestones, quality control and assurance processes meeting military standards, timely delivery of completed vehicles or components, effective management of resources (labor, materials), and compliance with all technical specifications and design requirements. Deliverables would likely encompass the actual production of MCVs or critical sub-assemblies, associated documentation (e.g., manufacturing records, test reports), and potentially training materials or support services. The Cost Plus Fixed Fee (CPFF) nature of the contract implies that the government will closely monitor the contractor's progress against these defined deliverables and performance standards.

What is Science Applications International Corporation's (SAIC) track record with similar defense production contracts?

Science Applications International Corporation (SAIC) is a major defense contractor with extensive experience in providing a wide range of services and solutions to the U.S. military and government agencies. SAIC has a well-established track record in areas such as C4ISR systems integration, IT services, engineering, and logistics support. While specific details on their past performance directly related to the 'production support' of Mobile Command Vehicles (MCVs) are not provided here, their broad capabilities suggest they are well-equipped to handle such requirements. SAIC has historically secured numerous large contracts for complex defense systems, often involving production, integration, and sustainment. Their performance on these contracts is typically evaluated by the government, and their success in winning subsequent awards indicates a generally positive track record, though specific contract performance can vary.

What are the potential risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this procurement?

The Cost Plus Fixed Fee (CPFF) contract type, while useful for complex or uncertain projects, carries inherent risks for the government. The primary risk is that the contractor may not manage costs efficiently, leading to a higher total contract price than anticipated, even though the fee (profit) is fixed. If the contractor incurs higher-than-expected allowable costs, the government pays those costs plus the predetermined fixed fee. This can occur if the scope of work is poorly defined, unforeseen technical challenges arise, or the contractor lacks sufficient cost control discipline. Effective oversight, detailed cost accounting, and clear performance metrics are crucial to mitigate these risks and ensure the government receives good value. The fixed fee provides some incentive for efficiency, but the government bears the brunt of cost overruns.

How does this contract align with the Department of the Navy's strategic goals for C4ISR modernization?

This contract for Mobile Command Vehicle (MCV) production support likely aligns with the Department of the Navy's (DoN) strategic goals related to Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) modernization. MCVs are critical platforms that enable robust C4ISR capabilities in mobile or forward-deployed environments. By ensuring the production and support of these vehicles, the DoN enhances its ability to maintain situational awareness, coordinate operations, and communicate effectively across distributed forces. Modernizing such platforms is essential for maintaining information superiority and operational effectiveness in complex threat environments. This procurement supports the DoN's objective of fielding advanced, resilient, and interoperable C4ISR systems necessary for current and future mission requirements.

Industry Classification

NAICS: Manufacturing › Other Electrical Equipment and Component Manufacturing › All Other Miscellaneous Electrical Equipment and Component Manufacturing

Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N6523615R0010

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, 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: $22,944,001

Exercised Options: $22,944,001

Current Obligation: $22,944,001

Subaward Activity

Number of Subawards: 69

Total Subaward Amount: $24,896,697

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6523618D8014

IDV Type: IDC

Timeline