DoD awards $29.4M R&D contract to Parsons Government Services for Missile Defense Agency
Contract Overview
Contract Amount: $29,422,659 ($29.4M)
Contractor: Parsons Government Services Inc
Awarding Agency: Department of Defense
Start Date: 2014-11-02
End Date: 2016-08-27
Contract Duration: 664 days
Daily Burn Rate: $44.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: IGF::CT::IGF DE-10-14 - M&S ENGINEERING - TASK ORDER AWARD
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35898
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $29.4 million to PARSONS GOVERNMENT SERVICES INC for work described as: IGF::CT::IGF DE-10-14 - M&S ENGINEERING - TASK ORDER AWARD Key points: 1. Contract awarded to Parsons Government Services Inc. for Research and Development in Physical, Engineering, and Life Sciences. 2. The contract falls under the Missile Defense Agency's purview, indicating a focus on advanced defense technologies. 3. With a duration of 664 days, this task order represents a significant, medium-term investment. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type allows for cost reimbursement plus a fixed fee, which can incentivize contractors to control costs but also carries a risk of cost escalation. Benchmarking against similar R&D contracts is difficult without more detailed cost breakdowns.
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 that should theoretically lead to a fair price. However, the specific pricing mechanisms within a Cost Plus Fixed Fee structure require careful monitoring.
Taxpayer Impact: Taxpayer funds are being utilized for advanced research and development, with the expectation of technological advancements in missile defense. Oversight is crucial to ensure value for money.
Public Impact
Enhances U.S. missile defense capabilities through specialized R&D. Supports technological innovation within the defense sector. Potential for job creation in R&D and related fields. Invests in national security infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type may lead to cost overruns.
- Lack of detailed cost breakdown for per-unit analysis.
- Contract duration is substantial, requiring ongoing oversight.
Positive Signals
- Awarded under full and open competition.
- Focus on critical national security area (Missile Defense).
- Contract supports R&D in a high-tech sector.
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector, specifically NAICS code 541712. Spending in this sector is critical for technological advancement and national security, with significant government investment.
Small Business Impact
The data indicates that this contract was not awarded to a small business (ss: false, sb: false). Therefore, there is no direct benefit to small businesses from this specific award, and opportunities for subcontracting are not specified.
Oversight & Accountability
The contract is a task order under a larger award, suggesting existing oversight mechanisms. However, the Cost Plus Fixed Fee structure necessitates diligent monitoring by the Missile Defense Agency to ensure cost control and performance.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Missile Defense Agency Programs
Risk Flags
- Potential for cost overruns due to Cost Plus Fixed Fee structure.
- Lack of transparency in detailed cost breakdown.
- Contract duration requires sustained oversight.
- No explicit small business participation mentioned.
Tags
research-and-development-in-the-physical, department-of-defense, al, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.4 million to PARSONS GOVERNMENT SERVICES INC. IGF::CT::IGF DE-10-14 - M&S ENGINEERING - TASK ORDER AWARD
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 (Missile Defense Agency).
What is the total obligated amount?
The obligated amount is $29.4 million.
What is the period of performance?
Start: 2014-11-02. End: 2016-08-27.
What specific R&D objectives does this task order aim to achieve for the Missile Defense Agency, and how do they align with broader strategic goals?
This task order likely focuses on advancing specific technologies or systems related to missile defense, such as interceptor development, sensor technology, or command and control systems. Its alignment with strategic goals would involve contributing to the overall effectiveness and modernization of the U.S. missile defense architecture, addressing evolving threats and ensuring national security.
How will the Missile Defense Agency ensure that the fixed fee component of this Cost Plus Fixed Fee contract provides adequate incentive for Parsons Government Services to manage costs efficiently?
The agency will likely establish clear performance metrics and milestones tied to the fixed fee. Regular reviews of contractor expenditures against the estimated cost base will be crucial. Any deviations or potential cost overruns would trigger closer scrutiny and potential corrective actions, ensuring the contractor remains incentivized to operate within projected financial boundaries.
What are the key performance indicators (KPIs) that will be used to measure the success and effectiveness of the R&D conducted under this contract?
Key performance indicators could include the successful development and testing of prototypes, achievement of specific technical performance targets (e.g., accuracy, speed, reliability), timely delivery of research reports and findings, and successful integration of developed technologies into existing or planned missile defense systems. Adherence to budget and schedule will also be critical measures.
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: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HQ014709R0002
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Parsons Corporation (UEI: 030866545)
Address: 25531 COMMERCENTRE DR STE 120, LAKE FOREST, CA, 92630
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $30,775,227
Exercised Options: $30,775,227
Current Obligation: $29,422,659
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HQ014710D0010
IDV Type: IDC
Timeline
Start Date: 2014-11-02
Current End Date: 2016-08-27
Potential End Date: 2016-08-27 00:00:00
Last Modified: 2021-04-30
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