DoD Awards $91.7M Contract for Ammunition Supply Point Services to Leidos, Inc
Contract Overview
Contract Amount: $91,669,709 ($91.7M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Defense
Start Date: 2018-02-28
End Date: 2025-05-31
Contract Duration: 2,649 days
Daily Burn Rate: $34.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: COST NO FEE
Sector: Other
Official Description: BASIC CONTRACT AWARD FOR THE AMMUNITION SUPPLY POINT / THEATER STORAGE AREA 2.0, AS A RESULT OF SOLICITATION W52P1J-15-R-0090
Plain-Language Summary
Department of Defense obligated $91.7 million to LEIDOS, INC. for work described as: BASIC CONTRACT AWARD FOR THE AMMUNITION SUPPLY POINT / THEATER STORAGE AREA 2.0, AS A RESULT OF SOLICITATION W52P1J-15-R-0090 Key points: 1. Leidos, Inc. secured a significant contract for ammunition supply point and theater storage area operations. 2. The award was made under full and open competition, suggesting a competitive bidding process. 3. The contract duration is substantial, spanning over 6 years, indicating a long-term need for these services. 4. The 'Facilities Support Services' sector is critical for military logistics and readiness.
Value Assessment
Rating: good
The contract value of $91.7M over approximately 6.5 years suggests a reasonable annual spend. Benchmarking against similar facilities support contracts would provide a more precise assessment of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential military logistics support.
Public Impact
Ensures continuous operation of critical ammunition supply points and theater storage areas. Supports military readiness by maintaining essential logistical infrastructure. Provides employment opportunities within the facilities support services sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration may lead to complacency or reduced innovation over time.
- Potential for cost overruns if not closely monitored, despite competitive initial award.
Positive Signals
- Awarded under full and open competition, indicating a competitive process.
- Clear definition of services for ammunition supply and storage.
Sector Analysis
This contract falls within the Facilities Support Services sector, which encompasses a broad range of services essential for the operation and maintenance of government facilities. Spending in this sector is often driven by defense and infrastructure needs.
Small Business Impact
The data indicates this was a full and open competition, and there is no specific mention of small business participation or set-asides. It is possible small businesses could be subcontractors, but direct award information is not provided.
Oversight & Accountability
The definitive contract award suggests a structured process. Oversight will be crucial to ensure performance standards are met and costs remain within budget throughout the contract's extended duration.
Related Government Programs
- Facilities Support Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Long contract duration (over 6 years)
- Cost reimbursement contract type (Cost No Fee) places cost risk on the government
- Potential for contractor performance issues impacting critical military logistics
- Lack of explicit small business participation details
Tags
facilities-support-services, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $91.7 million to LEIDOS, INC.. BASIC CONTRACT AWARD FOR THE AMMUNITION SUPPLY POINT / THEATER STORAGE AREA 2.0, AS A RESULT OF SOLICITATION W52P1J-15-R-0090
Who is the contractor on this award?
The obligated recipient is LEIDOS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $91.7 million.
What is the period of performance?
Start: 2018-02-28. End: 2025-05-31.
What specific performance metrics are in place to ensure the effectiveness of the Ammunition Supply Point operations?
The contract likely includes detailed performance work statements (PWS) with specific metrics for inventory management, security, readiness, and timely distribution of ammunition. Regular performance reviews and quality assurance checks by the Department of the Army would be standard to monitor contractor adherence to these metrics and ensure operational effectiveness.
How does the pricing structure (Cost No Fee) mitigate risks associated with fluctuating operational costs?
A Cost No Fee (Cost) contract structure means the contractor is reimbursed for allowable costs but receives no fee. This structure is typically used when the scope is uncertain or R&D is involved. For this type of service contract, it implies the government bears the cost risk, and robust cost monitoring and auditing are essential to prevent overspending.
What is the potential impact on long-term readiness if Leidos, Inc. underperforms or faces significant operational challenges?
Underperformance could directly impact military readiness by disrupting ammunition supply chains, leading to delays in deployment or operational readiness. Significant challenges might necessitate a costly and time-consuming transition to a new contractor, potentially leaving critical functions unfulfilled during the interim period.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W52P1J15R0090
Offers Received: 7
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc.
Address: 11951 FREEDOM DR, 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: $91,669,709
Exercised Options: $91,669,709
Current Obligation: $91,669,709
Actual Outlays: $1,757,797
Subaward Activity
Number of Subawards: 45
Total Subaward Amount: $22,604,276
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2018-02-28
Current End Date: 2025-05-31
Potential End Date: 2025-05-31 00:00:00
Last Modified: 2025-08-27
More Contracts from Leidos, Inc.
- Science Operation and Maintenance Support for the United States Antarctic Program — $3.1B (National Science Foundation)
- Provide Funding for Clin 302 for Pre-Flight and In-Flight Services. Contract Number Dtfawa-05-C-00031, Lockheed Martin. POP 01/16/08-03/31/08 — $1.9B (Department of Transportation)
- THE Facilities Development and Operations Contract(fdoc) Specifies Technical, Managerial, and Adminstrative Work Needed to Ensure the Availablitity, Integrity, and Reliability of Missionoperations Facilites Supporting National Aeronautics and Space Administration (nasa) Human Space Flight (HSF) Programs Requiring Mission Operations Support. the Objective of This Contract IS to Consolidate Efforts Across the Facilities Covered Under Fodoc in Order to Maximize Synergy for Hardware and Software Development, Modification, Sustaining. Maintenance, Reconfiguration, and Operations for the Purpose of Reducing Cost Without Compromising Facility Functionality and Performance. Nasa Will Collaborate With the Contractor on Developing Procedural and Technical Innovations That Improve Quality, Ensure Customer Satisfaction and Reduce Cost. Mission Operations Facilities Currently Support the Space Shuttle Programand the International Space Station Progra, Including International Partner and Commmercial Visiting Vehicles. Mission Operations Facilities Supporting the Cnstellation Program(cxp) ARE Continuously Under Development in Concert With CXP Formulation and Implementation. Fdoc Applies to the Facilities of These Three Programs, and ANY Other HSF Program Requiring Mission Operations Facility Support. in Addition, Future Mission Operations Facilities and Capabilities ARE Within the Technical Scope of This SOW, and Fdoc Worlk Associated With These Facilities Will BE Enabled Through Idiq — $1.3B (National Aeronautics and Space Administration)
- National Airspace System (NAS) Implementation Support Contract (nisc). Provides Engineering and Technical Support Services to FAA Organizations Responsible for NAS Transformation, Integration and Implementation in the Areas of Implementation and Integration Planning, Transition Planning, Engineering Support, Environmental Support, Automation Support and Other Engineering and Technical Disciplines AS Required. TAS::69 8107::TAS — $1.1B (Department of Transportation)
- Itssc Task Order for Systems — $1.1B (Social Security Administration)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)