HII Mission Technologies Corp awarded $12.1M for flight software testing, with a 5-year duration

Contract Overview

Contract Amount: $12,095,138 ($12.1M)

Contractor: HII Mission Technologies Corp

Awarding Agency: General Services Administration

Start Date: 2021-03-01

End Date: 2026-02-28

Contract Duration: 1,825 days

Daily Burn Rate: $6.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: FLIGHT RELATED SOFTWARE OPERATIONAL TEST AND EVALUATION

Place of Performance

Location: EGLIN AFB, OKALOOSA County, FLORIDA, 32542

State: Florida Government Spending

Plain-Language Summary

General Services Administration obligated $12.1 million to HII MISSION TECHNOLOGIES CORP for work described as: FLIGHT RELATED SOFTWARE OPERATIONAL TEST AND EVALUATION Key points: 1. Contract value appears reasonable given the 5-year performance period and specialized nature of flight software operational test and evaluation. 2. Full and open competition was utilized, suggesting a competitive bidding process that should drive price discovery. 3. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, indicating potential for future task orders. 4. Performance is located in Florida, a state with a significant aerospace and defense presence. 5. The fixed-price contract type shifts some risk to the contractor, incentivizing efficient performance. 6. The North American Industry Classification System (NAICS) code 541330 points to engineering services, a broad but relevant category for this type of work.

Value Assessment

Rating: good

The contract value of approximately $12.1 million over five years, averaging $2.42 million annually, seems aligned with specialized engineering services for flight software testing. Benchmarking against similar contracts for operational test and evaluation of complex systems suggests this pricing is within a reasonable range. The firm-fixed-price structure further supports value by incentivizing contractor efficiency and cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. While the specific number of bidders is not provided, this method generally fosters a competitive environment, which is expected to lead to more favorable pricing and better value for the government. The use of full and open competition is the government's preferred method for procurement.

Taxpayer Impact: Full and open competition maximizes the pool of potential offerors, increasing the likelihood of receiving competitive bids and ultimately benefiting taxpayers through potentially lower prices and higher quality services.

Public Impact

The primary beneficiaries are likely government agencies involved in aerospace and defense, ensuring the safety and effectiveness of flight software. Services delivered include operational test and evaluation of flight-related software, crucial for mission success and safety. The contract has a geographic impact primarily in Florida, where the performance is located. This contract supports highly skilled engineering and technical roles within the aerospace and defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific bidder count for full and open competition limits detailed analysis of competitive intensity.
Potential for scope creep or cost overruns if not meticulously managed, despite fixed-price structure.
Reliance on a single delivery order under a potentially larger IDIQ could obscure overall spending trends with this contractor.

Positive Signals

Firm-fixed-price contract type aligns incentives for cost efficiency.
Full and open competition suggests a robust bidding process.
Long-term contract duration (5 years) provides stability for critical testing services.
Contractor (HII Mission Technologies Corp) is a known entity in the defense sector.

Sector Analysis

The aerospace and defense sector is characterized by high R&D investment, stringent quality requirements, and significant government procurement. Contracts for software testing and evaluation are critical components of this sector, ensuring the reliability and safety of complex systems. Spending in this area is often substantial, with significant competition among established defense contractors. This contract fits within the broader engineering services category, supporting the development and validation lifecycle of aerospace technologies.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from set-aside provisions for this particular award. However, the prime contractor may still engage small businesses as subcontractors, which is not detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program office within the General Services Administration (GSA) or the end-user agency. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly available. Inspector General jurisdiction would apply if fraud, waste, or abuse were suspected.

Related Government Programs

Aerospace Engineering Services
Software Development and Testing
Defense Contract Management
Operational Test and Evaluation
General Services Administration (GSA) Contracts

Risk Flags

Potential for undefined technical scope leading to change requests.
Contractor performance risk related to specialized technical expertise.
Schedule slippage impacting downstream programs.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $12.1 million to HII MISSION TECHNOLOGIES CORP. FLIGHT RELATED SOFTWARE OPERATIONAL TEST AND EVALUATION

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $12.1 million.

What is the period of performance?

Start: 2021-03-01. End: 2026-02-28.

What is the track record of HII Mission Technologies Corp in delivering similar flight software testing services?

HII Mission Technologies Corp, a subsidiary of Huntington Ingalls Industries, has a substantial track record in defense contracting, including areas related to aerospace, simulation, and mission systems. While specific details on their past performance solely on flight software operational test and evaluation (OT&E) for this particular type of system are not detailed in this award notice, the company's broader experience in complex engineering and technical services for the Department of Defense suggests a capacity to handle such requirements. Their history includes work on various naval, aviation, and C5ISR programs, which often involve rigorous software testing and validation. Further analysis would require examining past performance evaluations and contract histories for similar projects undertaken by HII Mission Technologies Corp.

How does the annual value of this contract compare to other government contracts for flight software OT&E?

The annual value of this contract, approximately $2.42 million ($12.1M / 5 years), appears to be in the mid-range for specialized engineering services like flight software operational test and evaluation (OT&E). Contracts for OT&E can vary significantly based on the complexity of the system, the criticality of the software, and the duration of testing. Simpler software or shorter test phases might fall into the sub-million dollar range annually, while testing for highly complex, mission-critical platforms (e.g., advanced fighter jets, spacecraft) could command annual values several times higher. Given that this is for 'flight related software,' it suggests a significant level of complexity and safety requirement, making the $2.42M annual average a reasonable benchmark, likely falling below the highest-tier, most complex system OT&E contracts but above routine software validation.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential technical challenges in testing complex flight software, schedule delays impacting operational readiness, and cost overruns if unforeseen issues arise, despite the firm-fixed-price structure. Mitigation strategies are embedded within the contract: the firm-fixed-price nature incentivizes the contractor (HII Mission Technologies Corp) to manage costs efficiently. The 5-year duration allows for phased testing and adaptation to evolving software versions. The use of full and open competition suggests a thorough vetting of bidders' capabilities. Furthermore, the government's oversight through the contracting officer and program management is crucial for monitoring progress, addressing technical hurdles, and ensuring compliance with requirements. Robust test planning and risk management by both the contractor and the government are essential.

How effective is the firm-fixed-price contract type in ensuring value for money in this context?

The firm-fixed-price (FFP) contract type is generally considered effective in ensuring value for money for services where the scope of work is well-defined and technical risks are manageable. For flight software operational test and evaluation (OT&E), FFP shifts the primary cost-control risk to the contractor (HII Mission Technologies Corp). This incentivizes the contractor to perform efficiently and control costs to maximize profit. If the contractor encounters unexpected technical difficulties or underestimates the effort, they bear the financial burden, protecting the government from cost overruns. This structure is beneficial for taxpayers when the government has a clear understanding of the required testing outcomes and can adequately define the performance standards. However, it requires careful initial scope definition to avoid contractor claims for changes.

What are the historical spending patterns for flight software OT&E by the General Services Administration (GSA)?

The General Services Administration (GSA) primarily acts as a procurement agent for other federal agencies, facilitating contracts through its Federal Acquisition Service (FAS). Therefore, GSA's direct spending on flight software operational test and evaluation (OT&E) might be less direct compared to agencies like the Department of Defense (DoD) or NASA, which are the primary users of such specialized services. GSA's role often involves providing contract vehicles (like IDIQs) under which agencies can then issue task orders for specific needs, including engineering and technical services. Historical spending patterns for flight software OT&E would be more accurately reflected within the budgets and contract awards of agencies like the Air Force, Navy, Army, or NASA. GSA's overall spending on engineering services (NAICS 541330) is substantial, but isolating the specific 'flight software OT&E' component requires analyzing awards made *through* GSA vehicles by end-user agencies.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering 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: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 8350 BROAD ST STE 1400, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $12,265,913

Exercised Options: $12,265,913

Current Obligation: $12,095,138

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU303

IDV Type: IDC

Timeline