DoD's $39.6M R&D Contract Awarded to HII Mission Technologies Corp for Naval Air Warfare

Contract Overview

Contract Amount: $39,567,385 ($39.6M)

Contractor: HII Mission Technologies Corp

Awarding Agency: Department of Defense

Start Date: 2020-09-24

End Date: 2025-09-27

Contract Duration: 1,829 days

Daily Burn Rate: $21.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: RAPID TECHNICAL COLLECTION AND DEMONSTRATION NAVAL AIR WARFARE CENTER WEAPONS DIVISION (NAWCWD) FLEET INNOVATION TEAM (FIT)

Place of Performance

Location: CAMP H M SMITH, HONOLULU County, HAWAII, 96861

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $39.6 million to HII MISSION TECHNOLOGIES CORP for work described as: RAPID TECHNICAL COLLECTION AND DEMONSTRATION NAVAL AIR WARFARE CENTER WEAPONS DIVISION (NAWCWD) FLEET INNOVATION TEAM (FIT) Key points: 1. The contract focuses on research and development in physical, engineering, and life sciences. 2. HII Mission Technologies Corp, a significant player, secured this award. 3. The award is a delivery order under a larger contract, indicating ongoing needs. 4. The total value of $39.6M suggests a substantial investment in innovation.

Value Assessment

Rating: good

The contract is a Cost Plus Fixed Fee type, which allows for flexibility in R&D but can lead to cost overruns if not managed carefully. The fixed fee component provides some predictability for the contractor's profit.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors can bid.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for advanced research and development.

Public Impact

Advancements in naval air warfare technology could lead to improved defense capabilities. Investment in R&D stimulates innovation within the defense sector. The contract supports specialized research services, potentially leading to new technological breakthroughs. The duration of the contract suggests a long-term commitment to the project's success.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can sometimes lead to higher costs than fixed-price contracts.
The specific nature of R&D makes it inherently risky, with uncertain outcomes.
The contract is a delivery order, meaning its full scope and final cost may evolve.

Positive Signals

Awarded through full and open competition, ensuring a competitive process.
The contract supports critical defense research and development.
HII Mission Technologies Corp is a reputable contractor in the defense industry.

Sector Analysis

This contract falls under the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for maintaining technological superiority in defense.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as HII Mission Technologies Corp is a large business. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

As a delivery order under a larger contract, oversight is likely managed by the Naval Air Warfare Center Weapons Division (NAWCWD). The Cost Plus Fixed Fee structure requires diligent monitoring of costs and performance.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Cost Plus Fixed Fee contract type.
Research and Development inherently carries uncertainty.
Delivery order under a larger contract.
No explicit mention of small business subcontracting goals.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $39.6 million to HII MISSION TECHNOLOGIES CORP. RAPID TECHNICAL COLLECTION AND DEMONSTRATION NAVAL AIR WARFARE CENTER WEAPONS DIVISION (NAWCWD) FLEET INNOVATION TEAM (FIT)

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $39.6 million.

What is the period of performance?

Start: 2020-09-24. End: 2025-09-27.

What specific technological advancements are expected from this R&D contract, and how will they enhance naval air warfare capabilities?

The contract aims to support the Naval Air Warfare Center Weapons Division's Fleet Innovation Team (FIT) in developing and demonstrating rapid technical solutions. While specific advancements are not detailed, the focus on physical, engineering, and life sciences suggests potential improvements in areas like sensor technology, propulsion systems, materials science, or autonomous systems relevant to naval aviation, ultimately aiming to enhance operational effectiveness and survivability.

Given the Cost Plus Fixed Fee structure, what are the primary risks associated with cost overruns, and what mechanisms are in place to mitigate them?

The primary risk with CPFF is that costs can exceed initial estimates, as the contractor is reimbursed for allowable costs plus a fixed fee. Mitigation strategies typically involve stringent oversight by the government, detailed cost tracking, performance metrics, and clear definition of work scope. The fixed fee incentivizes the contractor to control costs to maximize profit, but government vigilance is key.

How does this investment align with broader Department of Defense modernization priorities, and what is the expected return on investment in terms of national security?

This investment likely aligns with DoD priorities focused on maintaining technological superiority and modernizing naval aviation capabilities. The return on investment is measured not just in financial terms but in enhanced national security through improved defense systems, potential deterrence effects, and the ability to respond effectively to evolving threats. The R&D nature implies a long-term strategic benefit.

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 › OTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Huntington Ingalls Industries, Inc

Address: 4021 EXECUTIVE DR, BEAVERCREEK, OH, 45430

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

Financial Breakdown

Contract Ceiling: $41,315,333

Exercised Options: $41,315,333

Current Obligation: $39,567,385

Actual Outlays: $10,654,078

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $1,142,005

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA807518D0002

IDV Type: IDC

Timeline