Department of Energy awards $3.88M engineering services contract to Leonardo Technologies, Inc. for RD&D mission support

Contract Overview

Contract Amount: $3,884,017 ($3.9M)

Contractor: Leonardo Technologies, Inc.

Awarding Agency: Department of Energy

Start Date: 2022-02-25

End Date: 2027-01-31

Contract Duration: 1,801 days

Daily Burn Rate: $2.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: PROVIDE THE OFFICE FOR RESOURCE SUSTAINABILITY AND FE-323 WITH SUPPORT FOR THE RESEARCH, DEVELOPMENT AND DEMONSTRATION (RD&D) MISSION AND VISION OF FE WITH PLANNING, ANALYSIS, SYSTEMS ENGINEERING, AND RELATED SERVICES SUPPORT.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20585

State: District of Columbia Government Spending

Plain-Language Summary

Department of Energy obligated $3.9 million to LEONARDO TECHNOLOGIES, INC. for work described as: PROVIDE THE OFFICE FOR RESOURCE SUSTAINABILITY AND FE-323 WITH SUPPORT FOR THE RESEARCH, DEVELOPMENT AND DEMONSTRATION (RD&D) MISSION AND VISION OF FE WITH PLANNING, ANALYSIS, SYSTEMS ENGINEERING, AND RELATED SERVICES SUPPORT. Key points: 1. Contract focuses on critical research, development, and demonstration (RD&D) mission support for the Office for Resource Sustainability. 2. Leonardo Technologies, Inc. secured the contract through full and open competition, indicating a competitive bidding process. 3. The contract duration of approximately 5 years suggests a long-term need for these specialized engineering services. 4. Services include planning, analysis, and systems engineering, crucial for advancing the agency's mission. 5. The contract is a BPA Call, suggesting it's part of a larger framework agreement. 6. The use of Time and Materials pricing may require close monitoring to ensure cost control.

Value Assessment

Rating: good

The contract value of $3.88 million over approximately five years appears reasonable for specialized engineering support services. Benchmarking against similar contracts for RD&D mission support within the Department of Energy or similar agencies would provide a more precise value-for-money assessment. The Time and Materials (T&M) pricing structure, while flexible, necessitates diligent oversight to prevent cost overruns and ensure efficient resource utilization. Without specific performance metrics or detailed cost breakdowns, a definitive value assessment is challenging, but the competitive award suggests a fair market price was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but this procurement method generally fosters a competitive environment, which is expected to drive down prices and improve the quality of services offered. The agency's decision to use full and open competition suggests confidence in the market's ability to provide suitable candidates for these specialized engineering services.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for cost savings through a robust bidding process and encourages a wider range of innovative solutions.

Public Impact

The Office for Resource Sustainability and FE-323 will benefit directly from enhanced support for their RD&D mission. Services provided will contribute to the planning, analysis, and systems engineering necessary for advancing the agency's research and development goals. The contract's impact is primarily focused within the Department of Energy, supporting its strategic objectives. Specialized engineering expertise will be leveraged, potentially leading to advancements in resource sustainability initiatives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector (NAICS code 541330), a critical component of the broader professional, scientific, and technical services industry. This sector is characterized by specialized expertise and often supports government research, development, and infrastructure projects. The market size for engineering services supporting federal R&D is substantial, with significant annual spending across various agencies. This contract represents a small but important investment within the Department of Energy's broader portfolio of R&D support services, contributing to its mission-critical functions.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside provision. However, as a large contract awarded through full and open competition, there is potential for small businesses to participate as subcontractors to the prime contractor, Leonardo Technologies, Inc., depending on the prime's subcontracting plan and needs. The overall impact on the small business ecosystem is likely indirect, relying on the prime contractor's engagement.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Energy's contracting officers and program managers. As a BPA Call, oversight may also be influenced by the terms of the underlying Basic Ordering Agreement. Transparency is facilitated by the contract award being publicly available, but detailed performance reports and cost tracking are typically internal agency processes. The Inspector General's office for the Department of Energy would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-energy, research-development-demonstration, rd&d, leonardo-technologies-inc, full-and-open-competition, time-and-materials, bpa-call, district-of-columbia, federal-contract, professional-scientific-technical-services

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $3.9 million to LEONARDO TECHNOLOGIES, INC.. PROVIDE THE OFFICE FOR RESOURCE SUSTAINABILITY AND FE-323 WITH SUPPORT FOR THE RESEARCH, DEVELOPMENT AND DEMONSTRATION (RD&D) MISSION AND VISION OF FE WITH PLANNING, ANALYSIS, SYSTEMS ENGINEERING, AND RELATED SERVICES SUPPORT.

Who is the contractor on this award?

The obligated recipient is LEONARDO TECHNOLOGIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $3.9 million.

What is the period of performance?

Start: 2022-02-25. End: 2027-01-31.

What is the track record of Leonardo Technologies, Inc. with the Department of Energy and similar federal agencies?

Leonardo Technologies, Inc. has a history of performing contracts with the Department of Energy and other federal agencies, often in areas related to engineering, technical support, and program management. Their past performance typically involves supporting complex scientific and technical missions. A detailed review of their contract history, including past performance evaluations and any reported issues or successes, would be necessary to fully assess their suitability and reliability for this specific RD&D support role. Examining awards for similar services, such as planning, analysis, and systems engineering, would provide further insight into their capabilities and adherence to contract requirements and budgets.

How does the awarded amount of $3.88 million compare to similar engineering support contracts for RD&D missions within the federal government?

The $3.88 million contract value for approximately five years of RD&D mission support services appears to be within a reasonable range for specialized engineering support. However, a precise comparison requires benchmarking against contracts with similar scope, duration, and complexity, particularly those awarded by the Department of Energy or other agencies with comparable research missions. Factors such as the specific technical requirements, the level of expertise needed, and the prevailing market rates for engineering services influence contract values. Without access to a comprehensive database of comparable contracts, it's challenging to definitively state if this represents exceptional value, but the full and open competition suggests a market-driven price was likely achieved.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential cost overruns due to the Time and Materials (T&M) pricing structure, which requires diligent oversight to manage labor hours and material costs effectively. Another risk is ensuring the contractor possesses and maintains the highly specialized engineering expertise required for RD&D mission support. Performance degradation or failure to meet evolving research needs could also pose a risk. Mitigation strategies likely involve robust contract management by the Department of Energy, including regular performance reviews, detailed cost tracking, and clear communication channels. The competitive award process itself mitigates the risk of selecting an unqualified contractor.

How effective is the current support provided by Leonardo Technologies, Inc. in advancing the RD&D mission of the Office for Resource Sustainability?

Assessing the effectiveness of the support requires access to performance metrics and outcomes directly tied to the RD&D mission. The provided data does not include specific performance indicators or reports on the impact of Leonardo Technologies, Inc.'s services. To evaluate effectiveness, one would need to examine project milestones achieved, the quality of analyses and engineering plans produced, and how these contributions have directly advanced the agency's research, development, and demonstration goals. Feedback from the program office (Office for Resource Sustainability and FE-323) would be crucial in determining the contractor's contribution to mission success.

What has been the historical spending trend for similar engineering services supporting RD&D missions within the Department of Energy over the past five years?

Analyzing historical spending trends for similar engineering services within the Department of Energy would provide context for the $3.88 million award. This would involve examining annual expenditures on contracts with similar NAICS codes (e.g., 541330) and service descriptions related to R&D support, planning, analysis, and systems engineering. Understanding whether spending in this category has been increasing, decreasing, or remaining stable can indicate shifts in agency priorities or market dynamics. Such analysis helps determine if the current contract award is consistent with past investment levels or represents a significant change in resource allocation for RD&D support.

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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 70245 BANNOCK UNIONTOWN RD, ST CLAIRSVILLE, OH, 43950

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

Financial Breakdown

Contract Ceiling: $3,884,017

Exercised Options: $3,884,017

Current Obligation: $3,884,017

Actual Outlays: $2,794,712

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 89303022AFE000003

IDV Type: BPA

Timeline

Start Date: 2022-02-25

Current End Date: 2027-01-31

Potential End Date: 2027-01-31 00:00:00

Last Modified: 2026-03-11

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