DoD's $12.7M contract for NIXIE BASE SERVICES awarded to Science Applications International Corporation

Contract Overview

Contract Amount: $12,753,629 ($12.8M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2024-12-05

End Date: 2026-12-04

Contract Duration: 729 days

Daily Burn Rate: $17.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: NIXIE BASE SERVICES (LOE)

Place of Performance

Location: NEWPORT, NEWPORT County, RHODE ISLAND, 02840

State: Rhode Island Government Spending

Plain-Language Summary

Department of Defense obligated $12.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: NIXIE BASE SERVICES (LOE) Key points: 1. Value for money assessed through benchmarking against similar service contracts. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators are being monitored for performance and delivery against contract terms. 4. Performance context is crucial for understanding the scope and impact of base services. 5. Sector positioning places this contract within the broader defense logistics and support industry.

Value Assessment

Rating: good

The contract value of $12.7 million for two years of base services appears reasonable when benchmarked against similar support contracts within the Department of Defense. Pricing for Cost Plus Fixed Fee (CPFF) contracts can vary, but the fixed fee component provides a degree of cost control. Further analysis would involve comparing the specific labor rates and overhead applied by Science Applications International Corporation to industry standards for comparable roles and services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple bidders had the opportunity to submit proposals. The presence of a competitive bidding process is generally favorable for price discovery and ensuring that the government receives competitive offers. The specific number of bidders is not provided, but the method of award implies a robust competition.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it increases the likelihood of securing services at the most competitive price, reducing potential overspending.

Public Impact

The Department of the Navy benefits from essential base services, ensuring operational readiness. Services delivered likely encompass a range of logistical, maintenance, and administrative support functions. Geographic impact is centered around the specific naval installation where these base services are provided. Workforce implications include the potential for direct and indirect employment opportunities through the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the defense logistics and base support services sector, a significant segment of the federal contracting market. The industry is characterized by long-term relationships between government agencies and service providers, often involving complex operational requirements. Spending in this area is driven by the need to maintain readiness and operational efficiency across military installations. Comparable spending benchmarks would involve analyzing other base operations and support contracts awarded by various military branches.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. Therefore, the direct impact on the small business ecosystem appears limited unless Science Applications International Corporation voluntarily includes small businesses in its subcontracting plans. Further investigation into subcontracting reports would be needed to assess any indirect benefits to small businesses.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Navy's contracting and program management offices. Accountability measures are inherent in the Cost Plus Fixed Fee structure, which incentivizes the contractor to manage costs within agreed-upon parameters, alongside performance metrics. Transparency is generally maintained through contract award databases and reporting requirements, though specific performance details may be sensitive.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, department-of-the-navy, science-applications-international-corporation, base-services, cost-plus-fixed-fee, full-and-open-competition, delivery-order, rhode-island, logistics-support, operational-readiness

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. NIXIE BASE SERVICES (LOE)

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 $12.8 million.

What is the period of performance?

Start: 2024-12-05. End: 2026-12-04.

What is the historical performance record of Science Applications International Corporation with the Department of the Navy for similar base services?

A comprehensive review of Science Applications International Corporation's (SAIC) past performance with the Department of the Navy (DoN) for base services would involve examining contract histories, past performance evaluations, and any documented disputes or awards. SAIC is a large, established defense contractor with a broad portfolio of services. Their track record with the DoN likely includes numerous contracts of varying sizes and complexities. Specific details regarding their performance on similar base services contracts would typically be available through government contract databases (like FPDS or SAM.gov) and potentially through contractor performance assessment reporting (CPARs). Analyzing these records would reveal their ability to meet cost, schedule, and performance requirements, identify any recurring issues, and provide a basis for assessing their suitability for this current contract.

How does the fixed fee component of this CPFF contract compare to industry norms for similar services?

The fixed fee in a Cost Plus Fixed Fee (CPFF) contract represents the contractor's profit. For this $12.7 million contract, the fixed fee amount is not explicitly stated in the provided data, but it is a critical component for assessing value. Industry norms for fixed fees in defense contracting can range significantly, often between 5% and 15% of the total estimated cost, depending on the complexity, risk, and duration of the contract. A lower fixed fee might indicate a more competitive bidding environment or a less risky undertaking, while a higher fee could reflect greater contractor risk or specialized expertise required. Benchmarking this specific fixed fee against similar base services contracts awarded by the DoD would provide insight into whether the government is securing the services at a competitive profit margin for the contractor, thereby contributing to overall value for money.

What are the primary performance metrics and Key Performance Indicators (KPIs) for this contract?

While the provided data does not detail the specific performance metrics or Key Performance Indicators (KPIs) for this NIXIE BASE SERVICES contract, they are crucial for assessing its effectiveness and ensuring accountability. For base services contracts, typical KPIs often include response times for maintenance requests, facility upkeep standards, logistical efficiency metrics (e.g., inventory accuracy, delivery timeliness), security compliance, and customer satisfaction ratings from installation personnel. The contract's statement of work (SOW) would outline these requirements. The Department of the Navy would monitor SAIC's adherence to these KPIs, with performance often tied to contract options, award fees, or even penalties. Robust KPIs are essential for ensuring that the base services are delivered effectively and meet the operational needs of the installation.

What is the anticipated impact of this contract on the operational readiness of the specific naval installation?

This contract for NIXIE BASE SERVICES is directly intended to support and enhance the operational readiness of the specific naval installation it serves. Base services encompass a wide array of functions critical to maintaining a functional and secure environment for military operations. This can include everything from facility maintenance, groundskeeping, and utility management to logistical support, transportation services, and potentially administrative functions. By ensuring these essential services are reliably provided by Science Applications International Corporation, the contract allows military personnel to focus on their primary mission-critical duties. The effectiveness of these services directly translates into the installation's ability to operate efficiently, respond to contingencies, and maintain its overall preparedness.

Are there any specific risks associated with the 'Small Arms, Ordnance, and Ordnance Accessories Manufacturing' classification (ND) in relation to base services?

The 'Small Arms, Ordnance, and Ordnance Accessories Manufacturing' (ND) classification listed for this contract appears to be a potential misclassification or an ancillary aspect rather than the primary focus of 'NIXIE BASE SERVICES (LOE)'. Base services (LOE - Level of Effort) typically involve general support functions like facility maintenance, logistics, administration, and security, not direct manufacturing of ordnance. If the contract *does* involve any aspect of ordnance handling or support, specific risks would include stringent safety protocols, specialized training requirements for personnel, secure storage and transportation needs, and compliance with strict regulatory frameworks governing hazardous materials. However, given the 'LOE' designation and the general nature of base services, it's more probable that the ND classification is either an error in the data or refers to a very minor, indirect support role rather than the core service delivery.

Industry Classification

NAICS: ManufacturingOther Fabricated Metal Product ManufacturingSmall Arms, Ordnance, and Ordnance Accessories Manufacturing

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N6660423R0285

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD FL 4, 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: $33,495,760

Exercised Options: $25,193,413

Current Obligation: $12,753,629

Subaward Activity

Number of Subawards: 12

Total Subaward Amount: $13,588,305

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6660424DC417

IDV Type: IDC

Timeline

Start Date: 2024-12-05

Current End Date: 2026-12-04

Potential End Date: 2027-12-04 00:00:00

Last Modified: 2025-12-16

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