DoD Awards $44.3M for Future Team Support and Electrical Power Systems to Sikorsky Aircraft Corporation
Contract Overview
Contract Amount: $44,346,824 ($44.3M)
Contractor: Sikorsky Aircraft Corporation
Awarding Agency: Department of Defense
Start Date: 2021-03-22
End Date: 2026-07-31
Contract Duration: 1,957 days
Daily Burn Rate: $22.7K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: FUTURE TEAM SUPPORT AND ELECTRICAL POWER SYSTEM (EPS)
Place of Performance
Location: STRATFORD, GREATER BRIDGEPORT County, CONNECTICUT, 06615
Plain-Language Summary
Department of Defense obligated $44.3 million to SIKORSKY AIRCRAFT CORPORATION for work described as: FUTURE TEAM SUPPORT AND ELECTRICAL POWER SYSTEM (EPS) Key points: 1. Sikorsky Aircraft Corporation, a major defense contractor, secured this contract. 2. The contract falls under Research and Development in Physical, Engineering, and Life Sciences. 3. The award method was 'NOT COMPETED', raising potential competition concerns. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns.
Value Assessment
Rating: questionable
The Cost Plus Fixed Fee contract type, combined with a lack of competition, makes it difficult to assess pricing effectiveness against market benchmarks. The awarded amount is significant for R&D in this specialized area.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.
Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for the research and development services.
Public Impact
Taxpayers may be paying a premium due to the sole-source nature of the award. The specific R&D focus could lead to advancements in military technology. Long contract duration (over 5 years) suggests a complex and ongoing project.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
Positive Signals
- Supports critical defense R&D
- Awarded to established contractor
Sector Analysis
This contract is in the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for technological advancement but requires careful oversight due to its specialized nature and potential for cost escalation.
Small Business Impact
The contract was awarded to Sikorsky Aircraft Corporation, a large business. There is no indication of small business participation in this specific award, which is common for large sole-source R&D contracts.
Oversight & Accountability
The 'NOT COMPETED' status warrants close oversight to ensure the justification for sole-source procurement is valid and that costs are reasonable. The Cost Plus Fixed Fee structure requires diligent monitoring of expenditures.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award
- Cost Plus Fixed Fee contract type
- Lack of transparency in pricing
- Potential for cost overruns
- Limited small business participation
Tags
research-and-development-in-the-physical, department-of-defense, ct, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $44.3 million to SIKORSKY AIRCRAFT CORPORATION. FUTURE TEAM SUPPORT AND ELECTRICAL POWER SYSTEM (EPS)
Who is the contractor on this award?
The obligated recipient is SIKORSKY AIRCRAFT 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 $44.3 million.
What is the period of performance?
Start: 2021-03-22. End: 2026-07-31.
What is the specific justification for awarding this contract on a sole-source basis, and what steps are being taken to ensure cost reasonableness?
The justification for sole-source procurement typically involves unique capabilities, proprietary technology, or urgent needs that only one contractor can meet. Agencies must document these reasons thoroughly. Cost reasonableness is usually assessed through audits, benchmarking against similar R&D efforts if possible, and rigorous review of the contractor's proposed costs and fee structure.
What are the potential risks associated with a Cost Plus Fixed Fee contract for advanced R&D, particularly when not competed?
Cost Plus Fixed Fee contracts carry inherent risks of cost overruns, as the contractor is reimbursed for allowable costs plus a fixed fee. Without competition, there's less incentive for the contractor to control costs aggressively. For advanced R&D, the scope can be uncertain, making it harder to define the 'fixed' fee accurately, potentially leading to contract modifications and increased overall expenditure.
How will the effectiveness and impact of the 'Future Team Support and Electrical Power System' R&D be measured and validated?
Effectiveness will likely be measured through defined milestones, technical performance metrics, and successful demonstration of the developed system. Validation may involve rigorous testing, peer review of research findings, and integration into existing or future platforms. The agency will need to establish clear criteria for success upfront and monitor progress against these benchmarks throughout the contract period.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W911W620R0003
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 6900 MAIN ST, STRATFORD, CT, 06614
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $48,998,165
Exercised Options: $48,093,759
Current Obligation: $44,346,824
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W911W621D0001
IDV Type: IDC
Timeline
Start Date: 2021-03-22
Current End Date: 2026-07-31
Potential End Date: 2026-07-31 00:00:00
Last Modified: 2026-01-15
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