DoD Awards $508M for Aviation Simulation Services to Science Applications International Corp

Contract Overview

Contract Amount: $508,471,265 ($508.5M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2021-01-06

End Date: 2026-07-05

Contract Duration: 2,006 days

Daily Burn Rate: $253.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SINGLE AWARD TO AGAINST GSA OASIS UR (POOL 5A) FOR HWIL AVIATION SYSTEMS ENGINEERING SERVICES TO PROVIDE FULL LIFE CYCLE SUPPORT FOR HIGH FIDELITY AVIATION SYSTEM SIMULATORS, HWIL CAPABILITIES, AND ASSOCIATED TEST TOOLS IN SUPPORT OF S3I.

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $508.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: SINGLE AWARD TO AGAINST GSA OASIS UR (POOL 5A) FOR HWIL AVIATION SYSTEMS ENGINEERING SERVICES TO PROVIDE FULL LIFE CYCLE SUPPORT FOR HIGH FIDELITY AVIATION SYSTEM SIMULATORS, HWIL CAPABILITIES, AND ASSOCIATED TEST TOOLS IN SUPPORT OF S3I. Key points: 1. Significant investment in advanced aviation simulation capabilities. 2. Contract awarded to a large, established defense contractor. 3. Potential for long-term support and technology evolution. 4. Focus on R&D within physical and engineering sciences.

Value Assessment

Rating: good

The contract value of $508M over 5 years appears reasonable for specialized aviation systems engineering and simulation support. Benchmarking against similar complex R&D contracts is necessary for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and ensures the government receives competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for critical defense research and development, aiming to enhance aviation system capabilities and safety through advanced simulation.

Public Impact

Enhances pilot training and aircraft development through high-fidelity simulators. Supports the modernization of defense aviation testing and evaluation infrastructure. Contributes to advancements in aerospace engineering and simulation technology.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Positive Signals

  • Full and open competition
  • Long-term contract duration
  • Supports critical defense capabilities

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences related to aviation. Spending in this area is crucial for maintaining technological superiority and innovation in defense.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting goals for small businesses within the provided data.

Oversight & Accountability

Awarded as a delivery order against a GSA OASIS contract, suggesting existing oversight mechanisms. Further review of specific oversight for this delivery order is recommended.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Cost Plus Fixed Fee (CPFF) contracts can pose a risk of cost overruns if not closely monitored.
  • Reliance on a single contractor for critical simulation support may present a long-term dependency risk.
  • The complexity of the systems supported could lead to unforeseen technical challenges and delays.

Tags

research-and-development-in-the-physical, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $508.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. SINGLE AWARD TO AGAINST GSA OASIS UR (POOL 5A) FOR HWIL AVIATION SYSTEMS ENGINEERING SERVICES TO PROVIDE FULL LIFE CYCLE SUPPORT FOR HIGH FIDELITY AVIATION SYSTEM SIMULATORS, HWIL CAPABILITIES, AND ASSOCIATED TEST TOOLS IN SUPPORT OF S3I.

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 Army).

What is the total obligated amount?

The obligated amount is $508.5 million.

What is the period of performance?

Start: 2021-01-06. End: 2026-07-05.

What is the specific breakdown of costs within the Cost Plus Fixed Fee structure, and how are profit margins determined?

The Cost Plus Fixed Fee (CPFF) structure means the contractor is reimbursed for allowable costs plus a fixed fee representing profit. Detailed cost breakdowns are typically found in contract line item numbers (CLINs) and require specific auditing. Profit margins are negotiated upfront and are fixed, incentivizing cost control by the contractor to maximize their percentage of the total contract value.

What are the key performance indicators (KPIs) for this contract, and how will performance be measured to ensure value for money?

Key performance indicators would likely include simulator fidelity, system uptime, accuracy of test results, and timely delivery of support services. Performance will be measured through regular reviews, technical assessments, and adherence to delivery schedules. The government will monitor these KPIs to ensure the contractor meets contractual obligations and provides effective support.

How does this investment in simulation technology align with current and future Department of Defense aviation modernization strategies?

This investment directly supports modernization by providing advanced simulation tools for developing and testing next-generation aircraft and systems. High-fidelity simulations reduce the need for expensive and time-consuming physical prototypes and flight tests, accelerating development cycles and improving system design. It aligns with strategies focused on digital engineering and advanced warfighting capabilities.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

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

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010, SUNSET HILLS ROAD, 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: $788,761,565

Exercised Options: $508,471,265

Current Obligation: $508,471,265

Actual Outlays: $1,003,161

Subaward Activity

Number of Subawards: 264

Total Subaward Amount: $443,815,577

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU516

IDV Type: IDC

Timeline

Start Date: 2021-01-06

Current End Date: 2026-07-05

Potential End Date: 2026-07-05 12:07:00

Last Modified: 2025-12-31

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