DOT Awards $17.4M for IT Support Services to KBR Wyle, Highlighting Engineering Services

Contract Overview

Contract Amount: $17,407,746 ($17.4M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: Department of Transportation

Start Date: 2024-11-15

End Date: 2025-11-07

Contract Duration: 357 days

Daily Burn Rate: $48.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES / SAFETY ASSURANCE SYSTEM (SAS) SUPPORT

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02142

State: Massachusetts Government Spending

Plain-Language Summary

Department of Transportation obligated $17.4 million to KBR WYLE SERVICES, LLC for work described as: MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES / SAFETY ASSURANCE SYSTEM (SAS) SUPPORT Key points: 1. Contract awarded to KBR Wyle Services, LLC for IT support and safety assurance systems. 2. Significant portion of spending allocated to engineering services (NAICS 541330). 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. Contract duration is 357 days, ending November 2025. 5. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.

Value Assessment

Rating: good

The contract value of $17.4M for a one-year period appears reasonable given the scope of IT support and safety assurance systems. Benchmarking against similar engineering services contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing taxpayer value for the IT support and safety assurance services.

Public Impact

Ensures continued operation and safety of critical transportation systems. Supports the Department of Transportation's mission-critical IT infrastructure. Potential for innovation in safety assurance technologies through contractor expertise.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under IT and Engineering Services, a sector crucial for government operations. Spending benchmarks for similar IT support and engineering services contracts vary widely based on scope and complexity.

Small Business Impact

The data indicates that small business participation was not a factor in this award (ss: false, sb: false). Further analysis would be needed to determine if opportunities were missed for small businesses in this procurement.

Oversight & Accountability

The award was a delivery order under an existing contract, suggesting some level of prior oversight. However, the Cost Plus Fixed Fee structure requires diligent monitoring to control costs and ensure performance.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-transportation, ma, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $17.4 million to KBR WYLE SERVICES, LLC. MISSION INFORMATION TECHNOLOGY SUPPORT (MITS) SUPPORT SERVICES / SAFETY ASSURANCE SYSTEM (SAS) SUPPORT

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Immediate Office of the Secretary of Transportation).

What is the total obligated amount?

The obligated amount is $17.4 million.

What is the period of performance?

Start: 2024-11-15. End: 2025-11-07.

What is the specific breakdown of costs within the Cost Plus Fixed Fee structure, and how is the fixed fee determined?

The Cost Plus Fixed Fee (CPFF) structure involves the government reimbursing the contractor for allowable costs plus a predetermined fixed fee. The fixed fee represents the contractor's profit. Understanding the breakdown is crucial for assessing value, as the 'cost' portion can fluctuate. Oversight is needed to ensure costs are reasonable and allocable, and the fixed fee should reflect the complexity and risk involved.

How will the effectiveness of the Safety Assurance System (SAS) support be measured and evaluated?

Effectiveness measurement is critical for this contract, given its safety implications. Key performance indicators (KPIs) should be established to track system uptime, incident response times, and the successful resolution of safety-related issues. Regular performance reviews and user feedback mechanisms are essential to ensure the support services meet the required safety and operational standards.

What are the potential risks associated with the Cost Plus Fixed Fee contract type for this specific service?

The primary risk with CPFF is that the contractor may have less incentive to control costs compared to fixed-price contracts, as costs are reimbursed. This could lead to budget overruns if not closely monitored. Additionally, defining 'allowable costs' and ensuring the fixed fee is appropriate requires robust oversight and clear contractual terms to mitigate financial risks for the government.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Brown & Root Industrial Services Holdings, LLC

Address: 8120 MAPLE LAWN BLVD, FULTON, MD, 20759

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

Financial Breakdown

Contract Ceiling: $17,407,746

Exercised Options: $17,407,746

Current Obligation: $17,407,746

Actual Outlays: $17,407,746

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $3,401,417

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 6913G621D300001

IDV Type: IDC

Timeline

Start Date: 2024-11-15

Current End Date: 2025-11-07

Potential End Date: 2025-11-07 00:00:00

Last Modified: 2025-09-24

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