DHS awards $32.1M follow-on contract to MITRE for R&D and cybersecurity support

Contract Overview

Contract Amount: $32,157,629 ($32.2M)

Contractor: THE Mitre Corporation

Awarding Agency: Department of Homeland Security

Start Date: 2021-04-16

End Date: 2023-04-15

Contract Duration: 729 days

Daily Burn Rate: $44.1K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: THE PURPOSE OF THIS TASK ORDER IS TO ESTABLISH A LOGICAL FOLLOW-ON TO 70RSAT20D00000001/TASK ORDER NUMBER 70RCSA20FR0000024 WITH MITRE TO PROVIDE SYSTEMS ENGINEERING, INTEGRATION, ACQUISITION, PROGRAM MANAGEMENT, AND CYBER SECURITY SUBJECT MATTER EXP

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20528

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $32.2 million to THE MITRE CORPORATION for work described as: THE PURPOSE OF THIS TASK ORDER IS TO ESTABLISH A LOGICAL FOLLOW-ON TO 70RSAT20D00000001/TASK ORDER NUMBER 70RCSA20FR0000024 WITH MITRE TO PROVIDE SYSTEMS ENGINEERING, INTEGRATION, ACQUISITION, PROGRAM MANAGEMENT, AND CYBER SECURITY SUBJECT MATTER EXP Key points: 1. Contract focuses on critical areas: systems engineering, integration, acquisition, program management, and cybersecurity. 2. MITRE Corporation, a well-established entity, is the sole awardee. 3. The contract is a follow-on, suggesting continuity and potentially reduced initial setup costs. 4. The R&D sector (NAICS 541715) is broad, encompassing physical, engineering, and life sciences.

Value Assessment

Rating: good

The contract value of $32.1M over two years appears reasonable for comprehensive R&D and cybersecurity support. Benchmarking against similar large-scale, multi-disciplinary contracts is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award to MITRE. This approach may limit price discovery and potentially lead to higher costs compared to a competitive process.

Taxpayer Impact: Taxpayer funds are directed to a single provider without competitive bidding, which warrants scrutiny to ensure value for money.

Public Impact

Ensures continued support for critical DHS functions in systems engineering and cybersecurity. MITRE's expertise is leveraged for complex research and development initiatives. Potential for innovation and improved operational effectiveness within DHS. Follow-on nature suggests a stable, ongoing relationship for critical services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition and price transparency.
Follow-on contract without re-competition may not reflect current market pricing.
Broad R&D scope makes specific performance metrics challenging to assess externally.

Positive Signals

Leverages established expertise of a known entity (MITRE).
Provides continuity for critical program management and cybersecurity functions.
Addresses complex R&D needs within a key federal agency.

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS 541715. Spending in this area is crucial for technological advancement and national security, but can be prone to cost overruns if not managed effectively. Benchmarks are highly variable due to the diverse nature of R&D.

Small Business Impact

The data indicates this contract was not awarded to small businesses. As a sole-source award to a large, established entity, there is no direct benefit to small businesses through this specific contract vehicle.

Oversight & Accountability

As a sole-source award, oversight is critical to ensure MITRE is delivering on all aspects of the task order effectively and at a fair price. The Department of Homeland Security's Office of Procurement Operations is responsible for managing this contract.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Homeland Security Contracting
Office of Procurement Operations Programs

Risk Flags

Lack of competition may lead to inflated costs.
Sole-source awards can reduce transparency and accountability.
Broad R&D scope makes performance assessment challenging.
Potential for scope creep in a follow-on contract.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $32.2 million to THE MITRE CORPORATION. THE PURPOSE OF THIS TASK ORDER IS TO ESTABLISH A LOGICAL FOLLOW-ON TO 70RSAT20D00000001/TASK ORDER NUMBER 70RCSA20FR0000024 WITH MITRE TO PROVIDE SYSTEMS ENGINEERING, INTEGRATION, ACQUISITION, PROGRAM MANAGEMENT, AND CYBER SECURITY SUBJECT MATTER EXP

Who is the contractor on this award?

The obligated recipient is THE MITRE CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $32.2 million.

What is the period of performance?

Start: 2021-04-16. End: 2023-04-15.

What specific performance metrics are in place to ensure MITRE delivers value for the $32.1M investment in R&D and cybersecurity?

The contract details do not specify performance metrics. However, as a follow-on task order, it likely builds upon existing performance standards from the parent contract. Effective oversight by DHS's Office of Procurement Operations would involve regular reviews of deliverables, milestones, and adherence to the Cost Plus Fixed Fee structure to ensure value is being achieved.

Given the sole-source nature, how does DHS ensure the pricing remains competitive and fair for the services provided?

Sole-source contracts inherently limit competitive pressure on pricing. DHS likely relies on established pricing agreements with MITRE, historical cost data, and potentially independent cost estimates to validate the fairness of the proposed costs. Robust negotiation and ongoing monitoring of expenditures against the fixed fee are crucial for cost control.

What is the expected impact of this contract on DHS's overall cybersecurity posture and R&D capabilities?

This contract is expected to enhance DHS's cybersecurity posture by providing specialized subject matter expertise and supporting systems integration and program management. In R&D, it aims to advance capabilities in physical, engineering, and life sciences, potentially leading to new technologies or improved processes that bolster national security and operational effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 70RCSA21Q00000033

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 7515 COLSHIRE DR, MC LEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $32,157,629

Exercised Options: $32,157,629

Current Obligation: $32,157,629

Actual Outlays: $17,199,606

Subaward Activity

Number of Subawards: 8

Total Subaward Amount: $3,850,100

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 70RSAT20D00000001

IDV Type: IDC

Timeline