DoD Awards $27M for NUWC Newport Engineering Services to Purvis Systems Inc

Contract Overview

Contract Amount: $26,981,714 ($27.0M)

Contractor: Purvis Systems Inc

Awarding Agency: Department of Defense

Start Date: 2022-05-16

End Date: 2026-05-15

Contract Duration: 1,460 days

Daily Burn Rate: $18.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: MECHANICAL ENGINEERING, FABRICATION AND ENVIRONMENTAL QUALIFICATION TEST (EQT) SERVICES IN SUPPORT OF NAVAL UNDERSEA WARFARE CENTER DIVISION, NEWPORT (NUWCDIVNPT) CODE 34 COMMUNICATION SYSTEMS AND ELECTROMAGNETIC MANEUVER WARFARE (EMW) PROGRAMS.

Place of Performance

Location: MIDDLETOWN, NEWPORT County, RHODE ISLAND, 02842

State: Rhode Island Government Spending

Plain-Language Summary

Department of Defense obligated $27.0 million to PURVIS SYSTEMS INC for work described as: MECHANICAL ENGINEERING, FABRICATION AND ENVIRONMENTAL QUALIFICATION TEST (EQT) SERVICES IN SUPPORT OF NAVAL UNDERSEA WARFARE CENTER DIVISION, NEWPORT (NUWCDIVNPT) CODE 34 COMMUNICATION SYSTEMS AND ELECTROMAGNETIC MANEUVER WARFARE (EMW) PROGRAMS. Key points: 1. This contract focuses on specialized mechanical engineering and testing for naval undersea warfare systems. 2. Purvis Systems Inc. is the sole awardee for this specific delivery order. 3. The contract carries risks related to the specialized nature of the technology and potential cost overruns. 4. The sector is primarily Defense, with a focus on IT and engineering services.

Value Assessment

Rating: good

The total award amount is $26.98 million. Benchmarking against similar complex engineering and testing contracts is difficult without more granular data on specific services provided. However, the duration and scope suggest a reasonable value for specialized support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method is expected to yield fair pricing, though the specific nature of the services may limit the number of truly qualified bidders.

Taxpayer Impact: Taxpayer funds are being used for critical defense research and development, aiming to enhance naval capabilities. Competition helps ensure efficient use of these funds.

Public Impact

Enhances U.S. naval undersea warfare capabilities through advanced engineering and testing. Supports critical communication systems and electromagnetic maneuver warfare programs. Ensures the reliability and effectiveness of advanced naval technologies. Contributes to national security by maintaining a technological edge.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Specialized technical requirements may limit competition in future procurements.
Potential for scope creep in complex engineering projects.
Reliance on a single contractor for this specific delivery order.

Positive Signals

Awarded under full and open competition.
Supports critical national defense programs.
Long-term contract duration allows for sustained development.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense applications. Spending in this area is driven by national security needs and technological advancements in military hardware and software. Benchmarks for similar specialized engineering services can vary widely based on complexity and security requirements.

Small Business Impact

The data indicates that this contract was not awarded to a small business. There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The Department of the Navy is responsible for oversight of this contract. The delivery order structure allows for phased execution and monitoring of progress against defined milestones. Accountability is tied to the successful completion of engineering and testing services.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Technical complexity and specialized knowledge required.
Potential for schedule delays due to unforeseen engineering challenges.
Cost control challenges inherent in Cost Plus Fixed Fee contracts.
Dependence on a single contractor for critical support services.
Limited visibility into small business subcontracting opportunities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.0 million to PURVIS SYSTEMS INC. MECHANICAL ENGINEERING, FABRICATION AND ENVIRONMENTAL QUALIFICATION TEST (EQT) SERVICES IN SUPPORT OF NAVAL UNDERSEA WARFARE CENTER DIVISION, NEWPORT (NUWCDIVNPT) CODE 34 COMMUNICATION SYSTEMS AND ELECTROMAGNETIC MANEUVER WARFARE (EMW) PROGRAMS.

Who is the contractor on this award?

The obligated recipient is PURVIS SYSTEMS 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 $27.0 million.

What is the period of performance?

Start: 2022-05-16. End: 2026-05-15.

What specific performance metrics are used to evaluate the success of the mechanical engineering and EQT services?

Performance metrics likely include adherence to technical specifications, successful completion of qualification tests, timely delivery of engineering reports, and overall system performance validation. The contract's Cost Plus Fixed Fee structure implies that detailed progress reports and milestone achievements will be closely monitored by NUWC Division Newport to ensure the contractor is meeting all technical and programmatic requirements.

How does the specialized nature of these services impact the risk of cost overruns?

The highly specialized nature of mechanical engineering and environmental qualification testing for naval undersea warfare systems presents a significant risk of cost overruns. Unforeseen technical challenges, the need for unique testing equipment, or evolving program requirements can lead to increased labor hours and material costs. The Cost Plus Fixed Fee contract type, while providing incentives for cost control, still places the government at risk for allowable costs exceeding the fixed fee.

What is the long-term strategic value of this contract for the Navy's communication systems and EMW programs?

This contract provides essential engineering and testing services that directly contribute to the development and sustainment of advanced naval communication systems and electromagnetic maneuver warfare capabilities. The long-term value lies in ensuring these critical systems are robust, reliable, and technologically superior, thereby enhancing the Navy's operational effectiveness and maintaining a strategic advantage in undersea and electronic warfare environments.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6660420R3011

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Purvis Systems Incorporated

Address: 88 SILVA LN STE 2, MIDDLETOWN, RI, 02842

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

Financial Breakdown

Contract Ceiling: $55,837,831

Exercised Options: $45,332,626

Current Obligation: $26,981,714

Actual Outlays: $79,687

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8361

IDV Type: IDC

Timeline