Leidos awarded $20.7M contract for R&D in social sciences and humanities by the Department of Defense

Contract Overview

Contract Amount: $20,688,402 ($20.7M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-01-29

End Date: 2015-01-28

Contract Duration: 1,825 days

Daily Burn Rate: $11.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: S120D20 BAA FY2010: RESEARCH AREA TOPIC TEC-18

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $20.7 million to LEIDOS, INC. for work described as: S120D20 BAA FY2010: RESEARCH AREA TOPIC TEC-18 Key points: 1. Contract awarded through full and open competition, suggesting a robust market. 2. Research and Development in Social Sciences and Humanities is a niche but important area for defense strategy. 3. The contract duration of 5 years indicates a long-term research objective. 4. Awarded to a large, established contractor, Leidos, Inc., known for its broad capabilities. 5. The contract type (Cost Plus Fixed Fee) is common for R&D where costs can be unpredictable. 6. The specific NAICS code (541720) points to specialized research services.

Value Assessment

Rating: fair

Benchmarking the value of this specific R&D contract is challenging without more granular data on the research scope and deliverables. However, the total award of approximately $20.7 million over five years suggests a moderate investment in social science research for defense purposes. Compared to broader R&D spending, this appears to be a focused allocation. The Cost Plus Fixed Fee (CPFF) contract type means that while the contractor's fee is fixed, the actual costs incurred can vary, making direct price comparisons difficult without understanding the cost drivers.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely considered. The presence of two bids suggests a competitive environment, though the exact number of proposals received is not detailed. Full and open competition generally promotes price discovery and allows the government to select the best value offering from a range of potential contractors.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically drives down costs and ensures that the government is not overpaying for services. It also allows for the selection of the most innovative and capable contractor.

Public Impact

The Department of Defense benefits from advanced research in social sciences and humanities, potentially informing strategic planning, cultural understanding, and human behavior analysis. The research delivered is expected to contribute to the understanding of complex societal and human factors relevant to national security. The geographic impact is primarily national, supporting federal research objectives, though specific field research could have localized effects. Workforce implications include specialized researchers, analysts, and support staff within Leidos and potentially subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in CPFF contracts if not closely managed.
  • The broad nature of 'Research and Development in the Social Sciences and Humanities' could lead to scope creep if not clearly defined.
  • Dependence on a single large contractor may limit flexibility in adapting to rapidly changing research needs.

Positive Signals

  • Awarded through full and open competition, indicating a competitive process.
  • Contract awarded to a reputable contractor with a track record in government services.
  • The five-year duration suggests a commitment to a sustained research effort.
  • The specific research area, while niche, is critical for certain defense intelligence and strategy functions.

Sector Analysis

The Research and Development in the Social Sciences and Humanities sector, categorized under NAICS code 541720, represents a specialized segment of the broader R&D market. This contract fits within the government's investment in understanding human behavior, cultural dynamics, and societal trends, which are crucial for national security and defense strategy. Comparable spending benchmarks are difficult to establish due to the specialized nature, but overall federal R&D spending is in the tens of billions annually, with defense being a significant portion.

Small Business Impact

This contract does not appear to have a small business set-aside (sb: false). Given the nature of the research and the prime contractor, Leidos, Inc., it is unlikely that significant subcontracting opportunities for small businesses will be mandated, unless specific research tasks require specialized expertise that small firms can provide. The focus is on a large prime contractor's capabilities.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. Accountability measures are embedded in the Cost Plus Fixed Fee structure, requiring detailed cost reporting and justification. Transparency is generally maintained through contract databases, though the specifics of the research may be sensitive.

Related Government Programs

  • Department of Defense Research and Development Programs
  • Social Science Research Funding
  • Humanities Research Grants
  • National Security Strategy Research

Risk Flags

  • Cost Plus Fixed Fee contract type requires careful monitoring of costs.
  • Scope definition for R&D can be challenging, leading to potential scope creep.
  • Dependence on a single large contractor may limit agility.

Tags

department-of-defense, research-and-development, social-sciences, humanities, leidos-inc, cost-plus-fixed-fee, full-and-open-competition, definitive-contract, virginia, large-business

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.7 million to LEIDOS, INC.. S120D20 BAA FY2010: RESEARCH AREA TOPIC TEC-18

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $20.7 million.

What is the period of performance?

Start: 2010-01-29. End: 2015-01-28.

What is Leidos, Inc.'s track record with similar Department of Defense R&D contracts?

Leidos, Inc. has a substantial track record with the Department of Defense across various R&D and service contracts. They are a major government contractor known for expertise in areas ranging from IT and cybersecurity to intelligence analysis and scientific research. For R&D contracts specifically, Leidos has been involved in numerous projects, often involving complex systems engineering, data analytics, and scientific research support. Their history suggests a capacity to manage large, complex contracts, including those with cost-reimbursement elements. However, the specific success metrics and performance details for each contract would require deeper analysis of individual contract performance reports and award data.

How does the $20.7 million award compare to other federal spending on social science and humanities R&D?

The $20.7 million award to Leidos represents a significant, but not exceptionally large, investment within the broader federal R&D landscape. Federal spending on R&D across all agencies typically runs into the tens of billions of dollars annually. While specific figures for social science and humanities R&D are harder to isolate, they generally constitute a smaller portion compared to STEM fields like defense, energy, or health. This contract, awarded by the Department of Defense, likely targets specific national security or strategic applications of social science research, differentiating it from broader academic or agency-specific funding initiatives. Its value should be assessed within the context of its strategic objectives rather than as a general benchmark for the entire sector.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D?

The primary risks associated with a CPFF contract for R&D revolve around cost control and potential inefficiencies. While the contractor's fee is fixed, the government bears the risk of fluctuating direct costs. If the contractor is not diligent in managing resources or if unforeseen technical challenges significantly increase expenses, the total cost to the government can escalate beyond initial projections. This structure can sometimes disincentivize cost-saving measures by the contractor, as their profit margin is guaranteed regardless of the final cost. Effective oversight, clear performance metrics, and robust cost accounting by the government are crucial to mitigate these risks and ensure value for money.

How effective is full and open competition in ensuring value for money in specialized R&D contracts?

Full and open competition is generally considered the most effective method for ensuring value for money, even in specialized R&D contracts. By allowing all responsible sources to submit proposals, the government can solicit a wide range of technical approaches and pricing structures. This competitive pressure encourages contractors to offer their best technical solutions at the most competitive prices. In specialized R&D, where innovation and unique expertise are key, competition can surface novel approaches and highly qualified niche players that might otherwise be overlooked. While the evaluation of R&D proposals is complex, a well-defined solicitation and rigorous evaluation process under full and open competition maximizes the likelihood of selecting a contractor that offers both technical merit and cost-effectiveness.

What are the potential implications of awarding this contract to a single large entity like Leidos?

Awarding this contract to a single large entity like Leidos, Inc. has several implications. Positively, it consolidates responsibility with a contractor possessing extensive resources, established processes, and a proven ability to manage large-scale projects. This can lead to greater efficiency and continuity. However, it also carries risks. A single large contractor may have less flexibility to adapt to rapidly evolving research needs compared to a more agile, smaller firm. There's also a potential for reduced competitive pressure throughout the contract's life if the contractor becomes indispensable. Furthermore, reliance on one large firm might limit opportunities for smaller, innovative businesses to participate in critical research areas, potentially impacting the broader small business ecosystem.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Social Sciences and Humanities

Product/Service Code: RESEARCH AND DEVELOPMENTGeneral Science and Technology R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc. (UEI: 611641312)

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: $39,998,302

Exercised Options: $39,998,302

Current Obligation: $20,688,402

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2010-01-29

Current End Date: 2015-01-28

Potential End Date: 2015-01-28 00:00:00

Last Modified: 2016-07-12

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