Leidos Inc. awarded $81.8M for aerospace systems modeling and simulation services by NASA

Contract Overview

Contract Amount: $81,826,378 ($81.8M)

Contractor: Leidos, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2005-06-24

End Date: 2012-11-30

Contract Duration: 2,716 days

Daily Burn Rate: $30.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COMBINATION (APPLIES TO AWARDS WHERE TWO OR MORE OF THE ABOVE APPLY)

Sector: R&D

Official Description: TECHNICAL SERVICES FOR AEROSPACE SYSTMES MODELING AND SIMULATION

Place of Performance

Location: MOFFETT FIELD, SANTA CLARA County, CALIFORNIA, 94035

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $81.8 million to LEIDOS, INC. for work described as: TECHNICAL SERVICES FOR AEROSPACE SYSTMES MODELING AND SIMULATION Key points: 1. Contract awarded through full and open competition, suggesting a robust market. 2. Long contract duration of over 9 years may indicate a need for sustained support. 3. The definitive contract type suggests a clear scope of work and pricing. 4. Awarded by NASA, a key agency for aerospace R&D, aligning with contractor expertise. 5. The significant dollar value points to a critical program for the agency.

Value Assessment

Rating: good

The contract value of $81.8 million over approximately 9 years suggests a substantial investment in specialized technical services. Benchmarking this against similar contracts for aerospace modeling and simulation is challenging without more granular data on the specific services provided. However, the duration and scope imply a significant need for these capabilities within NASA. The definitive contract type, coupled with full and open competition, generally indicates a fair pricing process, though a detailed cost analysis would be required for a definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. With 5 bidders participating, the competition level appears healthy, which typically drives better price discovery and value for the government. The presence of multiple bidders suggests that the market for aerospace systems modeling and simulation services is sufficiently developed and competitive.

Taxpayer Impact: Full and open competition with multiple bidders generally leads to more competitive pricing, potentially saving taxpayer dollars compared to less competitive procurement methods.

Public Impact

Benefits NASA's research and development efforts in aerospace systems. Delivers critical modeling and simulation capabilities for complex aerospace projects. Supports advanced scientific and engineering endeavors within the United States. Likely involves a highly skilled workforce of engineers and technical specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on aerospace systems modeling and simulation. This is a highly specialized niche within the broader aerospace industry, which is characterized by significant R&D investment and long product development cycles. NASA is a primary customer for such services, driving innovation and technological advancement. Comparable spending benchmarks would likely be found within other government agencies involved in defense and space exploration, as well as large aerospace prime contractors.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and there is no explicit information on subcontracting plans. Given the specialized nature of aerospace systems modeling and simulation, it is possible that large prime contractors like Leidos may engage small businesses for specific components or expertise, but this is not guaranteed by the award details provided. Further investigation into subcontracting reports would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

As a definitive contract awarded by NASA, oversight would typically involve program managers, contracting officers, and potentially agency-specific oversight bodies. Transparency is generally maintained through contract award databases and public reporting requirements. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected. The long duration necessitates ongoing performance monitoring and contract management to ensure accountability.

Related Government Programs

Risk Flags

Tags

nasa, leidos-inc, aerospace, modeling-and-simulation, technical-services, definitive-contract, full-and-open-competition, research-and-development, california, large-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $81.8 million to LEIDOS, INC.. TECHNICAL SERVICES FOR AEROSPACE SYSTMES MODELING AND SIMULATION

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $81.8 million.

What is the period of performance?

Start: 2005-06-24. End: 2012-11-30.

What is Leidos Inc.'s track record with NASA for similar modeling and simulation contracts?

Leidos Inc. has a significant history of contracting with NASA and other federal agencies for a wide range of technical and professional services, including those related to aerospace, defense, and intelligence. For modeling and simulation specifically, Leidos has been involved in various projects requiring complex analytical capabilities. Their past performance with NASA on similar, albeit potentially smaller or different scope, contracts would have been a key factor in this award. A review of NASA's contract database and Leidos's federal contracting history would reveal specific past awards, performance evaluations (like Contractor Performance Assessment Reporting System - CPARS), and the types of modeling and simulation services they have previously delivered to the agency. This historical data is crucial for understanding their experience and capability in fulfilling the requirements of this $81.8 million contract.

How does the $81.8 million value compare to typical NASA spending on aerospace modeling and simulation services?

The $81.8 million award to Leidos Inc. for aerospace systems modeling and simulation represents a substantial investment. To benchmark this value, one would need to analyze NASA's historical spending patterns for similar services over comparable contract durations. Typically, modeling and simulation contracts can range widely in value depending on complexity, duration, and the specific systems being modeled. A contract of this magnitude over nearly 9 years suggests a critical, long-term need for these specialized services within NASA's programs, potentially related to major vehicle development, mission planning, or advanced research initiatives. Without access to detailed NASA budget allocations and specific contract award data for comparable services, it's difficult to definitively state if this is high or low, but its size indicates significant program importance.

What are the primary risks associated with a definitive contract of this length (over 9 years)?

The primary risks associated with a definitive contract of over 9 years, such as this $81.8 million award to Leidos Inc., include potential scope creep, technological obsolescence, and contractor performance degradation. Scope creep is a risk because the needs of a long-term project can evolve, potentially leading to unpriced or poorly defined changes. Technological obsolescence is a concern in the fast-paced aerospace sector; the modeling and simulation tools and techniques used at the start of the contract might be outdated by its end. Contractor performance can also degrade over extended periods if incentives are not properly structured or if oversight weakens. Furthermore, the government faces the risk of being locked into a single provider, potentially limiting flexibility and future cost savings if market conditions or requirements change significantly.

How effective is full and open competition in ensuring value for money in specialized R&D services like aerospace modeling?

Full and open competition is generally considered the most effective method for ensuring value for money, even in specialized R&D services like aerospace modeling. By allowing all responsible sources to compete, it fosters a competitive environment that drives down prices and encourages innovation. For specialized services, the challenge lies in defining the requirements clearly enough to attract meaningful competition while still allowing for innovative solutions. The fact that 5 bidders participated in this NASA contract suggests that the requirements were well-defined and that a competitive market exists. However, the ultimate value for money also depends on the quality of the technical proposals, the evaluation criteria used, and the effectiveness of contract administration throughout the performance period.

What are the potential workforce implications of a large, long-term contract like this?

A large, long-term contract like the $81.8 million award to Leidos Inc. can have significant workforce implications. It provides stable, long-term employment for a specialized team of engineers, scientists, and technical professionals within Leidos and potentially its subcontractors. This stability allows for the development of deep expertise in aerospace systems modeling and simulation. Conversely, it could also concentrate highly skilled talent within one contractor, potentially making it harder for other organizations or government entities to recruit similar expertise. The long duration might also necessitate continuous training and upskilling of the workforce to keep pace with evolving technologies in the aerospace field, ensuring the continued relevance and effectiveness of the services provided.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesTesting Laboratories and Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COMBINATION (APPLIES TO AWARDS WHERE TWO OR MORE OF THE ABOVE APPLY) (2)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 1710 SAIC DR, MCLEAN, VA, 22102

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $87,351,028

Exercised Options: $87,351,028

Current Obligation: $81,826,378

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2005-06-24

Current End Date: 2012-11-30

Potential End Date: 2015-06-30 00:00:00

Last Modified: 2025-04-01

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