NIWC Atlantic Awards $12.2M Cyber Security Support Contract to 3 Reasons Consulting LLC

Contract Overview

Contract Amount: $12,236,902 ($12.2M)

Contractor: 3 Reasons Consulting LLC

Awarding Agency: Department of Defense

Start Date: 2025-09-24

End Date: 2026-09-23

Contract Duration: 364 days

Daily Burn Rate: $33.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC CYBER SECURITY SERVICE PROVIDER SUPPORT II

Place of Performance

Location: MECHANICSVILLE, HANOVER County, VIRGINIA, 23116

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $12.2 million to 3 REASONS CONSULTING LLC for work described as: NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC CYBER SECURITY SERVICE PROVIDER SUPPORT II Key points: 1. Contract awarded to 3 Reasons Consulting LLC for cyber security services. 2. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 3. The award value is $12.2 million with a duration of 364 days. 4. The contract falls under Engineering Services (NAICS 541330). 5. This award represents a small portion of the overall potential value of the parent IDIQ.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee (CPFF), which can lead to higher costs if not managed carefully. Benchmarking CPFF contracts for similar engineering services is challenging without more detailed cost breakdowns.

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, as a delivery order under an existing IDIQ, the initial competition for the parent contract is more critical for price discovery.

Taxpayer Impact: The competitive award process aims to secure fair pricing, but the CPFF structure warrants close monitoring to ensure taxpayer funds are used efficiently.

Public Impact

Enhances critical cyber security capabilities for the Navy. Supports the Naval Information Warfare Center's mission. Ensures continued operational readiness through robust cyber defense. Potential for follow-on work based on performance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type requires careful oversight to control costs.
Limited visibility into the specific cost drivers for this delivery order.
Small business participation is not indicated for this specific award.

Positive Signals

Awarded under full and open competition.
Supports a critical defense mission.
Clear contract duration and award value.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting cyber security for the Department of Defense. Spending in this area is substantial and growing due to increasing cyber threats.

Small Business Impact

The data indicates this specific award was not set aside for small businesses (ss: false, sb: false). Further analysis of the parent IDIQ contract would be needed to understand overall small business utilization.

Oversight & Accountability

The Naval Information Warfare Center (NIWC) is responsible for this contract. Oversight will involve monitoring performance, costs, and adherence to contract terms, particularly given the CPFF structure.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost Plus Fixed Fee contract type can lead to cost overruns if not managed tightly.
Lack of detail on the parent IDIQ contract limits full context.
No indication of small business participation in this specific award.
Potential for scope creep in CPFF contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.2 million to 3 REASONS CONSULTING LLC. NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC CYBER SECURITY SERVICE PROVIDER SUPPORT II

Who is the contractor on this award?

The obligated recipient is 3 REASONS CONSULTING LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.2 million.

What is the period of performance?

Start: 2025-09-24. End: 2026-09-23.

What is the total value and duration of the parent IDIQ contract under which this delivery order was issued?

The provided data only details this specific delivery order, valued at $12.2 million with a 364-day duration. Information regarding the parent IDIQ contract's total ceiling value, award date, and expiration date is not included. Understanding the parent contract's scope is crucial for assessing the overall significance and potential long-term impact of this award.

How does the estimated cost of this delivery order compare to similar cyber security support contracts awarded by NIWC Atlantic or other DoD entities?

Without detailed cost breakdowns and specific service deliverables, a direct cost comparison is difficult. The Cost Plus Fixed Fee (CPFF) structure adds complexity, as the 'cost' component can vary. Benchmarking would require access to similar contract data, including labor categories, rates, and overhead, to determine if the pricing is competitive and reflects fair market value.

What specific cyber security services are being provided under this contract, and how will their effectiveness be measured?

The data identifies the contract as 'Cyber Security Service Provider Support II' but lacks specifics on the exact services. Effectiveness measurement typically involves performance metrics outlined in the contract's Statement of Work (SOW), such as response times, incident resolution rates, vulnerability assessments, and compliance adherence. These metrics are essential for ensuring the contractor meets the Navy's cyber security requirements.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6523624R3026

Offers Received: 7

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 5487 WINSMITH DRIVE, MECHANICSVILLE, VA, 23116

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $232,576,002

Exercised Options: $39,589,563

Current Obligation: $12,236,902

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7003

IDV Type: IDC

Timeline