Defense Threat Reduction Agency contract for R&D services awarded to Science Applications International Corp. for $15.88M

Contract Overview

Contract Amount: $15,881,491 ($15.9M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2004-03-01

End Date: 2011-06-26

Contract Duration: 2,673 days

Daily Burn Rate: $5.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: 200412!000312!9700!HDTRA2!DEFENSE THREAT REDUCTION AGENCY !DTRA0103D0017 !A!N! !N!0010 ! !20040301!20070228!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DRIVE !SAN DIEGO !CA!92121!02000!001!35!ALBUQUERQUE !BERNALILLO !NEW MEXICO!+000000947968!N!N!000000000000!AD92!RDTE/OTHER DEFENSE-APPLIED RESEARCH !S1 !SERVICES !000 !* !541710!E! !5!B!M! !A!C!20110628!B! ! !A! !D!U!R!1!001!N!1A!Z!N!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87116

State: New Mexico Government Spending

Plain-Language Summary

Department of Defense obligated $15.9 million to LEIDOS, INC. for work described as: 200412!000312!9700!HDTRA2!DEFENSE THREAT REDUCTION AGENCY !DTRA0103D0017 !A!N! !N!0010 ! !20040301!20070228!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DRIVE !SAN DIEGO !CA!92121!02000!001!35!ALBUQUERQUE !BERN… Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Award Fee, which incentivizes contractor performance. 3. The contract duration was over 9 years, indicating a long-term need for these services. 4. The primary place of performance was Albuquerque, New Mexico. 5. The North American Industry Classification System (NAICS) code 541710 points to R&D in physical, engineering, and life sciences. 6. The awardee, Science Applications International Corporation (SAIC), is a major government contractor.

Value Assessment

Rating: good

The total award amount of $15.88 million over approximately 9 years suggests a moderate annual spend. Benchmarking this against similar R&D contracts in the defense sector would provide a clearer picture of value for money. The Cost Plus Award Fee (CPAF) structure allows for performance-based incentives, which can lead to better outcomes if managed effectively. However, without specific performance metrics and award fee payouts, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 5 bidders suggests a healthy level of competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it drives down prices through market forces and encourages a wider range of innovative solutions.

Public Impact

The primary beneficiary is the Department of Defense, specifically the Defense Threat Reduction Agency (DTRA), which receives critical research and development support. Services delivered likely involve advanced scientific research and technical support to counter weapons of mass destruction. The geographic impact is centered in Albuquerque, New Mexico, supporting local jobs and the regional economy. The contract supports a workforce skilled in scientific research, engineering, and technical analysis within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences as indicated by NAICS code 541710. The defense R&D market is substantial, with agencies like DTRA investing heavily in technologies to counter emerging threats. Comparable spending benchmarks would involve analyzing other DTRA contracts or similar R&D efforts within the Department of Defense for threat reduction and advanced scientific research.

Small Business Impact

There is no explicit indication of small business set-asides for this contract. Given the nature of advanced R&D and the prime contractor's size, it is possible that subcontracting opportunities may exist for specialized small businesses, but this is not detailed in the provided data. Further analysis of subcontracting plans would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Threat Reduction Agency's contracting and program management offices. Accountability measures are embedded within the Cost Plus Award Fee structure, which links a portion of the payment to performance. Transparency is generally maintained through contract reporting requirements, though specific details of award fee determinations are often internal.

Related Government Programs

Risk Flags

Tags

defense, research-and-development, science-and-technology, threat-reduction, department-of-defense, defense-threat-reduction-agency, new-mexico, albuquerque, cost-plus-award-fee, full-and-open-competition, large-contract, it-services-related-r&d

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.9 million to LEIDOS, INC.. 200412!000312!9700!HDTRA2!DEFENSE THREAT REDUCTION AGENCY !DTRA0103D0017 !A!N! !N!0010 ! !20040301!20070228!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DRIVE !SAN DIEGO !CA!92121!02000!001!35!ALBUQUERQUE !BERNALILLO !NEW MEXICO!+000000947968!N!N!000000000000!AD92!RDTE/OTHER DEFENSE-APPLIED RESEARCH !S1 !SERVICES !000 !* !541710!E! !5!B!M! !A!C!201

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Threat Reduction Agency).

What is the total obligated amount?

The obligated amount is $15.9 million.

What is the period of performance?

Start: 2004-03-01. End: 2011-06-26.

What was the specific nature of the R&D services provided under this contract?

The provided data indicates the contract falls under NAICS code 541710, 'Research and Development in the Physical, Engineering, and Life Sciences.' Given the awarding agency, the Defense Threat Reduction Agency (DTRA), the services likely pertained to research and development activities aimed at countering weapons of mass destruction (WMD), including areas such as threat detection, analysis, mitigation, and non-proliferation technologies. This could encompass a wide range of scientific disciplines, from materials science and chemistry to engineering and biological sciences, all focused on enhancing national security against WMD threats.

How does the $15.88 million award compare to other DTRA R&D contracts of similar scope?

Without access to a comprehensive database of DTRA's R&D contract history and specific scope details, a direct comparison is difficult. However, $15.88 million spread over approximately 9 years (from March 2004 to June 2011, including extensions) represents an average annual value of roughly $1.76 million. This figure is moderate for defense R&D, which can range from smaller, specialized research efforts to multi-billion dollar programs. To provide a more precise benchmark, one would need to identify comparable contracts based on technical area, duration, and complexity of the R&D objectives.

What were the key performance objectives that determined the award fee for Science Applications International Corporation?

The provided data does not specify the key performance objectives (KPOs) or the criteria used for determining the award fee. Contracts with a Cost Plus Award Fee (CPAF) structure typically outline specific performance metrics in the contract's Statement of Work (SOW) or Performance Work Statement (PWS). These metrics often relate to technical execution, schedule adherence, cost control, and quality of deliverables. The government's technical monitors would assess the contractor's performance against these KPOs, and based on that assessment, an award fee would be determined, reflecting the degree to which the contractor exceeded or met expectations.

What is the historical spending trend for similar R&D services by the Defense Threat Reduction Agency?

The provided data represents a single contract award from 2004-2011. To analyze historical spending trends for DTRA's R&D services, a broader dataset encompassing multiple years and contracts would be necessary. This would involve examining DTRA's total R&D obligations over time, identifying major R&D focus areas (e.g., chemical, biological, radiological, nuclear defense), and tracking spending patterns within those areas. Such an analysis could reveal shifts in priorities, increases or decreases in overall R&D investment, and the prevalence of different contract types and award mechanisms used by DTRA.

Were there any significant challenges or risks associated with this contract during its performance period?

The provided data does not detail specific challenges or risks encountered during the performance of this contract. However, long-term R&D contracts, especially those involving advanced or emerging threats, inherently carry risks such as technological obsolescence, shifting program priorities, difficulties in achieving research objectives, and potential cost overruns. The CPAF structure is designed to mitigate some performance risks by incentivizing the contractor, but effective government oversight is crucial to identify and manage any emergent issues proactively throughout the contract's lifecycle.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COST PLUS AWARD FEE (R)

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: $1,058,611

Exercised Options: $1,058,611

Current Obligation: $15,881,491

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTRA0103D0017

IDV Type: IDC

Timeline

Start Date: 2004-03-01

Current End Date: 2011-06-26

Potential End Date: 2011-06-26 00:00:00

Last Modified: 2024-11-22

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