DoD's $50M R&D contract for WEBTAS TK awarded to Parsons Government Services Inc

Contract Overview

Contract Amount: $49,999,989 ($50.0M)

Contractor: Parsons Government Services Inc.

Awarding Agency: Department of Defense

Start Date: 2011-07-27

End Date: 2012-07-26

Contract Duration: 365 days

Daily Burn Rate: $137.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: ENHANCED SERVICE-ORIENTED ARCHITECTURE FOR WEB-ENABLED TEMPORAL ANALYSIS SYSTEM TOOL KIT (WEBTAS TK)

Place of Performance

Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80919

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $50.0 million to PARSONS GOVERNMENT SERVICES INC. for work described as: ENHANCED SERVICE-ORIENTED ARCHITECTURE FOR WEB-ENABLED TEMPORAL ANALYSIS SYSTEM TOOL KIT (WEBTAS TK) Key points: 1. Contract focuses on enhancing an existing temporal analysis system, suggesting incremental development rather than novel research. 2. The award was made under full and open competition, indicating a competitive bidding process. 3. Research and Development in Physical, Engineering, and Life Sciences is a broad category, making direct comparisons challenging. 4. The contract duration of 365 days suggests a focused, short-term project. 5. The use of a Cost Plus Fixed Fee (CPFF) contract type can introduce cost escalation risks if not managed carefully. 6. The specific nature of 'temporal analysis' implies a focus on data processing and historical trend identification.

Value Assessment

Rating: fair

The contract value of approximately $50 million for a 365-day R&D effort appears substantial. Benchmarking this against similar R&D contracts for specialized software development or system enhancement is difficult without more specific details on the WEBTAS TK's complexity and the scope of 'enhancement'. The CPFF contract type, while allowing flexibility, can lead to higher costs compared to fixed-price contracts if cost controls are not stringent. The value for money is contingent on the successful delivery of advanced temporal analysis capabilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources'. This indicates that the agency initially considered excluding certain sources but ultimately opened the competition to all responsible prospective contractors. The number of bidders is not specified, but the 'full and open' nature suggests a robust competitive environment was intended, which typically aids in price discovery and achieving fair market value.

Taxpayer Impact: A competitive award process generally benefits taxpayers by driving down costs and encouraging innovation from multiple offerors, leading to better value for the government's investment.

Public Impact

The primary beneficiaries are likely Department of Defense analysts and decision-makers who will utilize the enhanced WEBTAS TK for temporal analysis. The services delivered involve research and development to improve a specific software system, likely enhancing its analytical capabilities. The geographic impact is primarily within the Department of Defense, with potential applications across various operational theaters. Workforce implications may include specialized R&D personnel, software engineers, and data scientists employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can lead to cost overruns if not closely monitored.
The broad NAICS code (541712) makes it difficult to assess if the specific R&D aligns with true scientific advancement or system improvement.
Limited information on the specific 'enhancements' makes it hard to gauge the true innovation or necessity of the work.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that should yield better value.
Focus on enhancing an existing system (WEBTAS TK) implies a foundation of proven utility.
The contract is managed by the Defense Contract Management Agency, indicating established oversight processes.

Sector Analysis

The contract falls under the Research and Development (R&D) sector, specifically within physical, engineering, and life sciences. This sector is characterized by innovation, intellectual property, and often long development cycles. The market for defense-related R&D is substantial, with significant government investment aimed at maintaining technological superiority. Comparable spending benchmarks would depend heavily on the specific technological domain of temporal analysis and the scale of system enhancement.

Small Business Impact

The contract indicates that small business participation was not a primary set-aside consideration (ss: false, sb: false). While the prime contractor is Parsons Government Services Inc., there is no explicit information regarding subcontracting plans or goals for small businesses within this specific award. The impact on the small business ecosystem is therefore neutral to potentially limited unless the prime contractor actively engages small businesses for specialized R&D support.

Oversight & Accountability

Oversight for this contract is likely managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor performance and compliance. The CPFF contract type necessitates rigorous financial oversight to manage costs and ensure the fixed fee is earned appropriately. Transparency is generally maintained through contract reporting mechanisms, though specific details of the R&D progress may be sensitive.

Related Government Programs

Defense Research and Development Programs
Information Technology R&D
Advanced Analytics Systems
Temporal Data Analysis Tools

Risk Flags

Cost Overrun Risk (CPFF contract type)
Scope Creep Potential
Uncertainty in R&D Outcomes

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $50.0 million to PARSONS GOVERNMENT SERVICES INC.. ENHANCED SERVICE-ORIENTED ARCHITECTURE FOR WEB-ENABLED TEMPORAL ANALYSIS SYSTEM TOOL KIT (WEBTAS TK)

Who is the contractor on this award?

The obligated recipient is PARSONS GOVERNMENT SERVICES 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 $50.0 million.

What is the period of performance?

Start: 2011-07-27. End: 2012-07-26.

What is the specific nature of the 'enhancements' to the WEBTAS TK system?

The provided data does not detail the specific enhancements planned for the WEBTAS TK. However, given the contract's focus on 'service-oriented architecture' and 'temporal analysis', the enhancements likely involve improving the system's ability to process, analyze, and visualize time-series data. This could include upgrades to data ingestion capabilities, algorithm improvements for pattern recognition, enhanced user interfaces for data exploration, or better integration with other defense systems. Without further documentation, the precise technical scope remains unspecified, making it difficult to assess the innovation or necessity of these specific upgrades.

How does the $50 million cost compare to similar R&D efforts in temporal analysis?

Directly comparing the $50 million cost to similar R&D efforts in temporal analysis is challenging due to the proprietary nature of defense contracts and the specificity of the WEBTAS TK system. However, R&D contracts of this magnitude, especially for specialized software and analytical systems within the Department of Defense, are not uncommon. The cost is influenced by factors such as the complexity of the algorithms, the required processing power, the expertise of the R&D team, and the duration of the contract (365 days). A Cost Plus Fixed Fee (CPFF) structure can also contribute to higher overall costs compared to fixed-price contracts if not managed tightly. A more precise benchmark would require access to detailed cost breakdowns and comparisons with other government or commercial projects of equivalent technical scope and complexity.

What are the key performance indicators (KPIs) for this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) for this contract. However, for an R&D effort focused on enhancing a temporal analysis system, typical KPIs would likely revolve around the successful implementation of new features, improvements in analytical processing speed or accuracy, the system's ability to handle larger datasets, enhanced user satisfaction through improved interface or functionality, and successful integration with existing defense infrastructure. The achievement of these KPIs would be crucial for validating the value and effectiveness of the $50 million investment and ensuring the WEBTAS TK meets its intended operational objectives.

What is the track record of Parsons Government Services Inc. in similar R&D contracts?

Parsons Government Services Inc. has a significant track record in providing a wide range of services to the U.S. government, including R&D, engineering, and IT solutions. While specific details on their past performance related to temporal analysis systems are not provided in this data snippet, the company is a well-established government contractor with experience across various defense and civilian agencies. Their history suggests a capacity to manage complex projects and deliver technical solutions. A deeper dive into their contract history, past performance reviews, and specific project outcomes would be necessary to fully assess their suitability and past success in comparable R&D endeavors.

What are the potential risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this R&D project?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract type for this R&D project is potential cost escalation. While the fixed fee provides the contractor with a defined profit margin, the 'cost plus' component means the government reimburses the contractor for allowable costs incurred. If the R&D effort encounters unforeseen technical challenges, scope creep, or inefficiencies, the total cost to the government could exceed initial estimates. Effective oversight, stringent cost controls, and clear definition of allowable costs are critical to mitigate this risk and ensure the project remains within a reasonable budget, maximizing value for the taxpayer.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Parsons Corporation

Address: 5875 TRINITY PKWY STE 230, CENTREVILLE, VA, 20120

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: $49,999,989

Exercised Options: $49,999,989

Current Obligation: $49,999,989

Subaward Activity

Number of Subawards: 29

Total Subaward Amount: $31,690,071

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA875009D0022

IDV Type: IDC

Timeline