DoD Awards $409M for MRAP Joint Logistic Integrator Services to Leidos Inc

Contract Overview

Contract Amount: $409,077,816 ($409.1M)

Contractor: Leidos Inc

Awarding Agency: Department of Defense

Start Date: 2009-05-04

End Date: 2010-05-03

Contract Duration: 364 days

Daily Burn Rate: $1.1M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Defense

Official Description: MRAP JOINT LOGISTIC INTEGRATOR SERVICES

Place of Performance

Location: RESTON, FAIRFAX County, VIRGINIA, 20190

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $409.1 million to LEIDOS INC for work described as: MRAP JOINT LOGISTIC INTEGRATOR SERVICES Key points: 1. Significant contract value of over $409 million for logistic integrator services. 2. Leidos Inc. is the sole contractor for this specific award. 3. Potential risks include vendor lock-in and the need for ongoing performance monitoring. 4. The sector is primarily Engineering Services within the Defense industry.

Value Assessment

Rating: fair

The contract value is substantial, but without specific performance metrics or comparable contracts, assessing value for money is difficult. The Time and Materials pricing structure can lead to cost overruns if not tightly managed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, this specific award is a delivery order, implying it might be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract where initial competition occurred.

Taxpayer Impact: The competitive award process aims to secure fair pricing, but the Time and Materials nature requires diligent oversight to ensure taxpayer funds are used efficiently.

Public Impact

Ensures operational readiness for MRAP vehicles through integrated logistics. Supports military personnel by maintaining critical vehicle availability. Impacts the defense industrial base through a large contract award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, supporting the Department of Defense's complex logistical needs for its Mine-Resistant Ambush Protected (MRAP) vehicles. Spending in this area is crucial for maintaining operational readiness and national security.

Small Business Impact

The data does not indicate any specific subcontracting goals or participation by small businesses in this particular delivery order. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The Department of the Army awarded this contract, and standard federal procurement regulations would apply. Oversight would focus on contract performance, adherence to terms, and financial accountability.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $409.1 million to LEIDOS INC. MRAP JOINT LOGISTIC INTEGRATOR SERVICES

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 $409.1 million.

What is the period of performance?

Start: 2009-05-04. End: 2010-05-03.

How does the total cost of this contract compare to similar logistic support contracts for other vehicle platforms within the DoD?

Benchmarking this $409 million contract against similar logistic support contracts for other vehicle platforms requires access to detailed cost data and contract specifics across the DoD. Factors like vehicle complexity, operational tempo, and service life significantly influence costs. Without this comparative data, it's difficult to definitively state if this contract represents a favorable or unfavorable cost relative to its peers.

What are the key performance indicators (KPIs) used to measure Leidos Inc.'s success in providing MRAP Joint Logistic Integrator Services under this contract?

The provided data does not specify the key performance indicators (KPIs) for this contract. Effective oversight would necessitate clearly defined KPIs related to response times, parts availability, maintenance turnaround, and overall vehicle readiness. The absence of this information in the award data makes it challenging to assess performance objectively and ensure accountability for the $409 million investment.

What is the projected long-term cost implication of relying on Leidos Inc. for MRAP logistic integration services, considering potential contract renewals or follow-on work?

The long-term cost implication depends heavily on the contract's structure, future competition, and the government's strategic decisions regarding MRAP sustainment. If this delivery order leads to sole-source follow-on contracts, costs could escalate without competitive pressure. Conversely, if the government actively seeks competitive re-procurement or transitions to newer platforms, long-term costs could be managed more effectively.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

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

Address: 1710 SAIC DR, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $471,972,095

Exercised Options: $409,337,216

Current Obligation: $409,077,816

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV09A0003

IDV Type: IDC

Timeline

Start Date: 2009-05-04

Current End Date: 2010-05-03

Potential End Date: 2010-05-03 12:05:00

Last Modified: 2016-09-21

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