NRC awards $9.3M contract for IV&V MAS to Aegis.net, Inc. for independent verification and validation

Contract Overview

Contract Amount: $9,296,631 ($9.3M)

Contractor: Aegis.net, Inc.

Awarding Agency: Nuclear Regulatory Commission

Start Date: 2020-10-01

End Date: 2026-06-30

Contract Duration: 2,098 days

Daily Burn Rate: $4.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IV&V EFFORTS FOR MISSION APPLICATION SYSTEMS (IV&V MAS)

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852

State: Maryland Government Spending

Plain-Language Summary

Nuclear Regulatory Commission obligated $9.3 million to AEGIS.NET, INC. for work described as: IV&V EFFORTS FOR MISSION APPLICATION SYSTEMS (IV&V MAS) Key points: 1. Contract focuses on independent verification and validation (IV&V) for mission application systems, ensuring software quality and reliability. 2. The contract is a firm-fixed-price BPA call, indicating predictable costs for the services rendered. 3. Aegis.net, Inc. is the sole awardee under this specific BPA call, though the underlying BPA may have had broader competition. 4. The duration of the contract is approximately 6.8 years, suggesting a long-term need for these specialized IV&V services. 5. The North American Industry Classification System (NAICS) code 541519 covers 'Other Computer Related Services,' placing this contract within a broad IT services category. 6. The contract was awarded under full and open competition, implying a robust bidding process.

Value Assessment

Rating: good

The award amount of $9.3 million over nearly 7 years suggests a moderate annual spend for specialized IV&V services. Benchmarking against similar IV&V contracts for complex IT systems is necessary for a precise value assessment. However, the firm-fixed-price structure provides cost certainty. The contract's value appears reasonable given the critical nature of ensuring the integrity of mission application systems for the Nuclear Regulatory Commission.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a Blanket Purchase Agreement (BPA) Call, which itself was likely established through full and open competition. The specific call was then awarded to Aegis.net, Inc. While the data indicates 'FULL AND OPEN COMPETITION' for this BPA call, the number of bidders for this specific call is not provided. A full and open competition generally allows all responsible sources to submit offers, fostering a competitive environment that can lead to better pricing and service.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it aims to secure the best value through a wide range of potential providers, driving down costs and improving service quality.

Public Impact

The primary beneficiaries are the Nuclear Regulatory Commission (NRC) and its mission to ensure the safe use of nuclear materials. The services delivered are crucial for the independent verification and validation of mission-critical software applications, enhancing system reliability and security. The geographic impact is primarily within the NRC's operational sphere, likely supporting its headquarters and potentially field offices. The contract supports specialized IT services, potentially impacting a niche workforce of IV&V professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific bidder count for the BPA call limits understanding of the true competitive intensity.
The long contract duration could present risks if technology or requirements change significantly over time.
Reliance on a single vendor for this BPA call may reduce flexibility if performance issues arise.

Positive Signals

Awarded under full and open competition, suggesting a fair and transparent procurement process.
Firm-fixed-price contract type provides cost predictability for the government.
The contract addresses a critical need for independent verification and validation of mission application systems.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on independent verification and validation (IV&V). The IV&V market is crucial for government agencies and large enterprises to ensure the quality, security, and reliability of complex software systems, especially in regulated industries like nuclear energy. Spending in this area is driven by the need for objective assessments of software development and maintenance processes. Comparable spending benchmarks would typically be found within IT services procurement data for similar federal agencies or critical infrastructure sectors.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As such, there are no direct subcontracting implications for small businesses stemming from this specific award. The focus is on larger, established IT service providers capable of handling complex IV&V tasks. The absence of a small business set-aside means opportunities for small businesses in this particular procurement are limited.

Oversight & Accountability

Oversight for this contract would primarily reside with the Nuclear Regulatory Commission's contracting officers and program managers. As a federal contract, it is subject to standard government oversight mechanisms, including audits and performance reviews. Transparency is facilitated through contract award databases. While specific Inspector General (IG) jurisdiction is not detailed here, the NRC's Office of Inspector General would have oversight authority over potential fraud, waste, or abuse related to this contract.

Related Government Programs

IT Services
Software Development and Maintenance
Independent Verification and Validation (IV&V)
Mission Support Services
Nuclear Safety and Regulation IT

Risk Flags

Long contract duration may increase risk of technological obsolescence.
Potential for vendor lock-in due to specialized nature of IV&V services.
Scope definition and management are critical for FFP contract success.

Frequently Asked Questions

What is this federal contract paying for?

Nuclear Regulatory Commission awarded $9.3 million to AEGIS.NET, INC.. IV&V EFFORTS FOR MISSION APPLICATION SYSTEMS (IV&V MAS)

Who is the contractor on this award?

The obligated recipient is AEGIS.NET, INC..

Which agency awarded this contract?

Awarding agency: Nuclear Regulatory Commission (Nuclear Regulatory Commission).

What is the total obligated amount?

The obligated amount is $9.3 million.

What is the period of performance?

Start: 2020-10-01. End: 2026-06-30.

What is the track record of Aegis.net, Inc. in providing IV&V services to federal agencies?

Aegis.net, Inc. has a history of providing IT services, including software development and testing, to various government entities. While specific details on their IV&V performance for mission application systems at the NRC are not provided in this data snippet, their award suggests they met the qualifications outlined in the BPA call. Further investigation into their past performance evaluations, contract history with other agencies, and any reported issues or successes would be necessary for a comprehensive assessment of their track record. Federal procurement data and agency performance reports are key resources for this analysis.

How does the $9.3 million contract value compare to similar IV&V contracts for mission application systems?

The $9.3 million contract value over approximately 6.8 years equates to an average annual value of roughly $1.36 million. This figure needs to be benchmarked against similar IV&V contracts for mission-critical systems within federal agencies, particularly those in highly regulated sectors like nuclear energy. Factors such as system complexity, scope of services (e.g., testing, analysis, security validation), and contract duration significantly influence pricing. Without specific comparable contract data, it's challenging to definitively state if this represents excellent, fair, or concerning value. However, for specialized IV&V services on mission-critical applications, this amount appears within a reasonable range, assuming the scope of work is appropriately defined.

What are the primary risks associated with this contract for the NRC?

Key risks include potential performance issues with Aegis.net, Inc., which could delay critical system updates or compromise system integrity. Given the long duration, there's a risk of technological obsolescence if the IV&V approach or tools do not keep pace with evolving IT standards. Another risk is the potential for scope creep, where the requirements expand beyond the initial agreement, leading to cost overruns if not managed effectively. Finally, over-reliance on a single vendor for critical IV&V functions could pose a risk if the vendor's capabilities diminish or if unforeseen issues arise that require a broader range of expertise.

How effective is the firm-fixed-price contract type in managing costs for IV&V services?

The firm-fixed-price (FFP) contract type is generally effective in managing costs for services where the scope of work is well-defined and unlikely to change significantly. For IV&V services, FFP provides cost certainty to the government, as the contractor assumes the risk of cost overruns. This structure incentivizes the contractor to perform efficiently. However, if the scope of IV&V work is inherently uncertain or subject to frequent changes (e.g., due to evolving software requirements), an FFP contract might lead to the contractor building in higher contingency costs or could result in disputes if changes are necessary. For predictable IV&V tasks, FFP is a strong choice for cost control.

What is the historical spending pattern for IV&V MAS at the NRC?

The provided data represents a single BPA call award of $9.3 million with an end date in 2026. To understand historical spending patterns, one would need to examine prior contracts for IV&V MAS or similar services awarded by the NRC. This would involve looking at the total amount spent on IV&V over previous fiscal years, the number and value of contracts awarded, and the primary contractors involved. Analyzing this historical data would reveal trends in spending, identify periods of increased or decreased investment in IV&V, and highlight any shifts in contracting strategies or vendor reliance.

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 › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 31310020Q0097

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Aegis.net Inc

Address: 2275 RESEARCH BLVD, STE 500, ROCKVILLE, MD, 20850

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,071,384

Exercised Options: $9,296,631

Current Obligation: $9,296,631

Actual Outlays: $9,131,651

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 31310020A0003

IDV Type: BPA

Timeline