Raytheon Technical Services secured a $94.6M contract for program management and support services, awarded by the Defense Threat Reduction Agency
Contract Overview
Contract Amount: $94,586,550 ($94.6M)
Contractor: Raytheon Technical Services Company LLC
Awarding Agency: Department of Defense
Start Date: 2005-09-23
End Date: 2012-08-31
Contract Duration: 2,534 days
Daily Burn Rate: $37.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS AWARD FEE
Sector: Defense
Official Description: 200512!502463!9700!HDTRA1!DEFENSE THREAT REDUCTION AGENCY !DTRA0101D0013 !A!N! !N!0018 ! !20050923!20120831!931871438!112820840!001339159!N!RAYTHEON TECHNICAL SERVICES CO!12160 SUNRISE VALLEY DRIVE!RESTON !VA!20191!00000! !RS!* !* !RUSSIA !+000013571815!N!N!000000000000!R408!PROGRAM MANAGEMENT/SUPPORT SERVICES !S1 !SERVICES !000 !* !541990!E! !5!B!S! ! !D!20110831!B! ! !N!Z!A!U!R!2!003!B! !Z!Y!Z! ! !N!M!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !
Plain-Language Summary
Department of Defense obligated $94.6 million to RAYTHEON TECHNICAL SERVICES COMPANY LLC for work described as: 200512!502463!9700!HDTRA1!DEFENSE THREAT REDUCTION AGENCY !DTRA0101D0013 !A!N! !N!0018 ! !20050923!20120831!931871438!112820840!001339159!N!RAYTHEON TECHNICAL SERVICES CO!12160 SUNRISE VALLEY DRIVE!RESTON !VA!20191!00000! !RS!* !* … Key points: 1. Contract value represents a significant investment in specialized technical support. 2. Competition dynamics suggest a potentially competitive bidding process for this service. 3. Contract duration of over 7 years indicates a long-term need for these services. 4. The awardee has a substantial track record in defense contracting. 5. Services provided fall under a broad professional, scientific, and technical services category. 6. Geographic focus on Russia suggests a specific national security objective.
Value Assessment
Rating: good
The contract's total value of $94.6 million over approximately 7.5 years averages to about $12.6 million annually. This figure appears reasonable for complex program management and technical support services within the defense sector, especially considering the specialized nature of supporting the Defense Threat Reduction Agency's mission. Benchmarking against similar contracts for program management and technical support for agencies with comparable missions would provide further insight into value for money.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. The presence of multiple bidders generally fosters price discovery and can lead to more competitive pricing for the government. The specific number of bidders is not detailed, but the 'full and open' designation suggests a robust competitive environment.
Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value and pricing for essential defense support services.
Public Impact
The primary beneficiary is the Defense Threat Reduction Agency, receiving critical program management and technical support. Services delivered are essential for the agency's mission, likely involving analysis, planning, and execution of threat reduction programs. The contract's focus on Russia indicates a direct impact on national security efforts related to that region. The workforce implications include employment for specialized technical and program management professionals within Raytheon Technical Services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration may lead to vendor lock-in if not managed carefully.
- Reliance on a single contractor for critical support functions can pose risks if performance degrades.
Positive Signals
- Award to an established contractor like Raytheon suggests a degree of confidence in their capabilities.
- Full and open competition is a positive signal for achieving fair pricing.
- The specific focus on threat reduction aligns with national security priorities.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically supporting defense-related activities. The market for such services is substantial, driven by government needs for specialized expertise in areas like program management, intelligence analysis, and technical support. Comparable spending benchmarks would involve looking at other large, complex service contracts awarded by defense agencies for similar mission-critical functions.
Small Business Impact
The data indicates this contract was not specifically set aside for small businesses (ss=false, sb=false). While there is no direct information on subcontracting plans, large prime contractors are often encouraged or required to engage small businesses. The absence of a small business set-aside means opportunities for small businesses would likely be through subcontracting channels, if pursued by the prime contractor.
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 in the contract type (Cost Plus Award Fee), which incentivizes performance. Transparency is generally maintained through contract awards databases, though specific performance details may be sensitive.
Related Government Programs
- Defense Threat Reduction Agency Operations
- Program Management Support Services
- National Security Services
- International Threat Reduction Programs
Risk Flags
- Long contract duration may indicate potential for cost overruns or vendor lock-in if not actively managed.
- Cost Plus Award Fee contract type requires careful monitoring to ensure fair pricing and prevent unnecessary costs.
- Geographic focus on Russia implies handling of sensitive national security information, requiring robust security protocols.
Tags
defense, department-of-defense, defense-threat-reduction-agency, program-management, technical-services, professional-services, cost-plus-award-fee, full-and-open-competition, raytheon, russia, national-security, service-contract
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $94.6 million to RAYTHEON TECHNICAL SERVICES COMPANY LLC. 200512!502463!9700!HDTRA1!DEFENSE THREAT REDUCTION AGENCY !DTRA0101D0013 !A!N! !N!0018 ! !20050923!20120831!931871438!112820840!001339159!N!RAYTHEON TECHNICAL SERVICES CO!12160 SUNRISE VALLEY DRIVE!RESTON !VA!20191!00000! !RS!* !* !RUSSIA !+000013571815!N!N!000000000000!R408!PROGRAM MANAGEMENT/SUPPORT SERVICES !S1 !SERVICES !000 !* !541990!E! !5!B!S! ! !D!201
Who is the contractor on this award?
The obligated recipient is RAYTHEON TECHNICAL SERVICES COMPANY LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Threat Reduction Agency).
What is the total obligated amount?
The obligated amount is $94.6 million.
What is the period of performance?
Start: 2005-09-23. End: 2012-08-31.
What is the historical spending trend for similar program management and support services by the Defense Threat Reduction Agency?
Analyzing historical spending for similar services by the Defense Threat Reduction Agency (DTRA) is crucial for context. While this specific contract spans from 2005 to 2012, DTRA's overall budget and its allocation towards support services have likely fluctuated based on geopolitical events and evolving threat landscapes. Historically, agencies like DTRA rely heavily on contractors for specialized expertise that may not be available in-house or is needed on a temporary basis. Examining prior contract awards for program management, technical analysis, and operational support within DTRA would reveal patterns in contract values, durations, and the types of services procured. This historical data allows for a better assessment of whether the $94.6 million awarded to Raytheon Technical Services represents a typical investment for such services or an outlier, considering inflation, scope changes, and agency priorities over time.
How does the performance of Raytheon Technical Services on this contract compare to their other government contracts?
Assessing Raytheon Technical Services' performance on this specific $94.6 million DTRA contract against their broader government contract portfolio provides insight into their reliability and effectiveness. Performance data, often captured through contract close-out reports or past performance evaluations, would indicate whether the company met deadlines, stayed within budget constraints (relative to the contract type), and delivered the quality of services expected. Comparing this to their track record on other Department of Defense or federal contracts, particularly those involving similar technical or program management requirements, can highlight consistent strengths or potential areas of concern. A pattern of successful contract completions and positive past performance reviews across multiple agencies would bolster confidence in their capabilities. Conversely, any significant performance issues or disputes on this or other contracts could serve as a red flag for future awards.
What specific risks were identified by the Defense Threat Reduction Agency prior to awarding this contract?
The Defense Threat Reduction Agency (DTRA) would have conducted a risk assessment as part of the procurement process for this contract. Potential risks associated with program management and technical support services can include contractor performance issues (delays, quality deficiencies), cost overruns (especially in Cost Plus award fee contracts), security vulnerabilities (handling sensitive information), personnel turnover impacting continuity, and geopolitical risks if the services are tied to specific regions or operations. For a contract focused on Russia, risks might also include intelligence-related challenges or diplomatic sensitivities. While specific pre-award risk assessments are often not publicly disclosed, the contract type (Cost Plus Award Fee) suggests an effort to mitigate performance risks by incentivizing desired outcomes. The agency's due diligence would involve evaluating the contractor's proposed approach, management plan, and past performance to identify and address potential challenges.
What is the estimated value of the 'All Other Professional, Scientific, and Technical Services' category within the Department of Defense?
The 'All Other Professional, Scientific, and Technical Services' (NAICS code 541990) category represents a broad spectrum of specialized services procured by the Department of Defense (DoD). Estimating the precise value of this category within the DoD is complex, as it encompasses a wide array of non-specific but essential support functions. However, given the DoD's vast operational scope and reliance on external expertise, spending within this category is likely in the billions of dollars annually. This includes services ranging from specialized research and development support, technical consulting, environmental services, to program management and logistical analysis. The $94.6 million awarded to Raytheon Technical Services for program management and support services is a component of this larger spending area, highlighting the significant government investment in diverse professional and technical capabilities.
How has the geographic focus on Russia impacted the scope and nature of services provided under this contract?
The explicit mention of 'RUSSIA' as a geographic focus for this contract significantly shapes the scope and nature of the services provided by Raytheon Technical Services. It implies that the program management and technical support are directly related to DTRA's mission concerning Russian WMD (Weapons of Mass Destruction) threats, proliferation, or related security cooperation activities. This could involve tasks such as analyzing Russian military capabilities, supporting arms control verification efforts, managing programs aimed at securing or eliminating WMD materials in Russia, or providing technical expertise for dialogues and engagements with Russian counterparts. The services would likely require personnel with deep knowledge of Russian language, culture, political landscape, and military/technical programs, as well as adherence to strict security protocols due to the sensitive nature of the information involved.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
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
Offers Received: 3
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Raytheon Company
Address: 22265 PACIFIC BLVD, STERLING, VA, 20166
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $402,402
Exercised Options: $52,144
Current Obligation: $94,586,550
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DTRA0101D0013
IDV Type: IDC
Timeline
Start Date: 2005-09-23
Current End Date: 2012-08-31
Potential End Date: 2012-08-31 00:00:00
Last Modified: 2025-03-28
More Contracts from Raytheon Technical Services Company LLC
- Ewgpp Zheleznogorsk Program for NA-23 — $420.3M (Department of Energy)
- 200512!502062!9700!hdtra1!defense Threat Reduction Agency !dtra0101d0013 !A!N! !N!0016 ! !20050608!20080930!931871438!112820840!001339159!n!raytheon Technical Services CO!12160 Sunrise Valley Drive!reston !VA!20191!00000! !RS!* !* !russia !+000050228526!n!n!000000000000!r425!engineering Technical Services !S1 !services !000 !* !541330!E! !5!B!M! !A!C!20060828!B! ! !A! !a!u!r!2!002!b! !Z!N!Z! ! !N!M!N! ! ! ! ! !a!a!000!a!b!n! ! ! !Y! ! !0001! ! — $288.3M (Department of Defense)
- Secrep - ROR — $246.0M (Department of Defense)
- 200511!502164!9700!hdtra1!defense Threat Reduction Agency !dtra0101d0013 !A!N! !Y!0017 ! !20050715!20110716!931871438!112820840!001339159!n!raytheon Technical Services CO!12160 Sunrise Valley Drive!reston !VA!20191!00000! !RS!* !* !russia !+000008055596!n!n!000000000000!r706!logistics Support Services !S1 !services !000 !* !541990!E! !5!B!S! ! ! !20200930!B! ! !n!z!a!u!r!2!001!b! !Z!Y!Z! ! !N!M!N! ! ! ! ! !a!a!000!a!b!n! ! ! ! ! ! !0001! ! — $195.1M (Department of Defense)
- Ewgpp Zheleznogorsk Project — $128.4M (Department of Energy)
View all Raytheon Technical Services Company LLC federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)