Commerce Department awards $3.6M for crypto validation, HII Mission Technologies Corp. to provide support

Contract Overview

Contract Amount: $3,614,162 ($3.6M)

Contractor: HII Mission Technologies Corp

Awarding Agency: Department of Commerce

Start Date: 2022-01-01

End Date: 2024-04-30

Contract Duration: 850 days

Daily Burn Rate: $4.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: LABOR HOURS

Sector: IT

Official Description: CRYPTO VALIDATION PROGRAM (CVP) SUPPORT

Place of Performance

Location: ANNAPOLIS JUNCTION, HOWARD County, MARYLAND, 20701

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $3.6 million to HII MISSION TECHNOLOGIES CORP for work described as: CRYPTO VALIDATION PROGRAM (CVP) SUPPORT Key points: 1. Contract value appears reasonable for specialized IT support services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No specific risk indicators are immediately apparent from the provided data. 4. This contract supports the National Institute of Standards and Technology's critical research functions. 5. The services fall under 'Other Computer Related Services,' a broad IT category.

Value Assessment

Rating: good

The contract value of $3.6 million over its period of performance appears to be within a reasonable range for specialized IT support services. Benchmarking against similar contracts for NIST or other federal agencies providing advanced technical support would provide a more precise value-for-money assessment. However, given the specialized nature of cryptographic validation, the pricing is likely competitive.

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,' indicating that multiple bidders were likely considered. This method generally promotes price discovery and ensures that the government receives competitive offers. The specific number of bidders is not provided, but the designation suggests a robust competition.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it increases the likelihood of securing services at the most competitive prices available in the market.

Public Impact

The National Institute of Standards and Technology (NIST) benefits from this contract by receiving essential support for its cryptographic validation programs. Services delivered include support for the CVP, crucial for ensuring the security and reliability of cryptographic standards. The geographic impact is primarily within Maryland, where NIST facilities are located. Workforce implications include the potential for skilled IT professionals to be engaged in critical national security-related research.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded through full and open competition, indicating a competitive marketplace.
Contract supports a critical government function (cryptographic validation).
Contractor has a track record of performing federal contracts.

Sector Analysis

This contract falls within the broader Information Technology (IT) sector, specifically under 'Other Computer Related Services.' The market for IT support services, particularly those involving specialized areas like cryptography and standards validation, is robust. NIST's spending in this area is consistent with its mission to promote U.S. innovation and industrial competitiveness by advancing measurement science, standards, and technology. Comparable spending benchmarks would involve looking at other federal IT support contracts for research and development agencies.

Small Business Impact

The provided data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary focus was on full and open competition. There is no explicit information on subcontracting plans for small businesses. The impact on the small business ecosystem would be indirect, primarily through the prime contractor's potential engagement with small business subcontractors if deemed necessary for specialized tasks.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the National Institute of Standards and Technology. Accountability measures are inherent in the contract terms, including performance standards and delivery schedules. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

NIST IT Support Services
Federal Cryptography Standards
Computer System Design Services
Information Technology Professional Services

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $3.6 million to HII MISSION TECHNOLOGIES CORP. CRYPTO VALIDATION PROGRAM (CVP) SUPPORT

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Institute of Standards and Technology).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2022-01-01. End: 2024-04-30.

What is the track record of HII Mission Technologies Corp. in performing similar federal contracts?

HII Mission Technologies Corp. has a significant track record of performing federal contracts across various agencies and service areas. While specific details for this contract are limited, their broader portfolio often includes IT support, systems engineering, and technical services. A deeper dive into their past performance ratings, contract values, and the types of services rendered for agencies like the Department of Defense, Intelligence Community, and civilian agencies would provide a more comprehensive understanding of their capabilities and reliability in executing complex IT support tasks. Their history suggests they are a capable large business prime contractor.

How does the awarded amount compare to similar contracts for cryptographic validation support?

Direct comparisons for 'CRYPTO VALIDATION PROGRAM (CVP) SUPPORT' are challenging due to the specialized nature of the service. However, the total contract value of approximately $3.6 million over roughly 2.6 years (January 2022 to April 2024) suggests an average annual value of around $1.4 million. This figure appears reasonable for a dedicated support program requiring specialized expertise. Benchmarking against broader IT support contracts for research and development agencies like NIST, or contracts involving cybersecurity and standards development, would provide a broader context. Without more specific contract data points for identical services, a precise value-for-money assessment is difficult, but the amount does not immediately suggest overpricing.

What are the primary risks associated with this contract?

The primary risks associated with this contract are likely related to the technical complexity and evolving nature of cryptographic standards. Ensuring the contractor maintains up-to-date expertise in rapidly advancing fields like post-quantum cryptography or emerging encryption algorithms is crucial. Another potential risk could be vendor lock-in if the contractor develops highly specialized knowledge or tools integral to NIST's CVP. Performance risks, such as delays in support delivery or failure to meet stringent validation requirements, are also present, though mitigated by the competitive award process and oversight mechanisms. The data provided does not highlight any significant contractor performance issues or unusual contract terms that would elevate these risks.

How effective is the CVP program supported by this contract?

The effectiveness of the CVP program, and by extension this support contract, is critical for national security and the integrity of digital communications. The CVP ensures that cryptographic modules used in U.S. government systems and by industry meet rigorous security standards. This contract's role is to provide the necessary technical and programmatic support to maintain and operate the CVP infrastructure and processes. While the direct impact of this specific contract on the program's overall effectiveness isn't quantified here, the continued operation and validation of cryptographic standards are essential functions. NIST's reputation and the security of numerous systems rely on the CVP's robust performance.

What are the historical spending patterns for CVP support at NIST?

Historical spending patterns for CVP support at NIST are not detailed in the provided data. However, the award of this $3.6 million contract suggests a sustained need for such services. To understand historical patterns, one would need to examine prior contracts awarded for CVP support, including their values, durations, and the contractors involved. This would reveal trends in spending, potential increases or decreases in demand for support, and the evolution of the program's requirements over time. Analyzing these patterns would help in forecasting future budgetary needs and assessing the long-term investment in cryptographic validation.

What is the significance of the 'Other Computer Related Services' NAICS code (541519)?

The NAICS code 541519, 'Other Computer Related Services,' is a broad category encompassing a wide range of IT services not classified under more specific codes. This includes services like computer disaster recovery services, computer virus protection services, and cryptographic validation support, as seen in this contract. Its broadness means that contracts under this code can vary significantly in scope, complexity, and value. For this specific contract, it signifies that the services provided are specialized IT support crucial for NIST's mission, falling outside standard software development or network management categories. It highlights the need to examine the contract's specific statement of work for a clear understanding of the services rendered.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: NIST-RFQ-22-00086

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 977 EXPLORER BLVD NW, HUNTSVILLE, AL, 35806

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

Financial Breakdown

Contract Ceiling: $3,614,162

Exercised Options: $3,614,162

Current Obligation: $3,614,162

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $440,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DOCSB134118CQ0004

IDV Type: IDC

Timeline