Air Force awards $33M R&D contract for munitions planning to Booz Allen Hamilton
Contract Overview
Contract Amount: $33,002,915 ($33.0M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2022-05-12
End Date: 2026-05-15
Contract Duration: 1,464 days
Daily Burn Rate: $22.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: MUNITIONS PLANNING, ASSESSMENT, AND ANALYSIS FOR THE AIR FORCE RESEARCH LABORATORY MUNITIONS DIRECTORATE
Place of Performance
Location: EGLIN AFB, OKALOOSA County, FLORIDA, 32542
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $33.0 million to BOOZ ALLEN HAMILTON INC for work described as: MUNITIONS PLANNING, ASSESSMENT, AND ANALYSIS FOR THE AIR FORCE RESEARCH LABORATORY MUNITIONS DIRECTORATE Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. Booz Allen Hamilton, a large defense contractor, secured the award. 3. The contract focuses on research and development in physical sciences, not directly on procurement of munitions. 4. The award value is moderate for R&D contracts in this sector.
Value Assessment
Rating: fair
The contract is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The award value of $33M over approximately 4 years needs to be benchmarked against similar R&D efforts for fair pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The use of full and open competition is positive for taxpayers, as it aims to secure the best value through a competitive process.
Public Impact
Enhances Air Force's capabilities in munitions research and development. Supports advanced scientific and engineering efforts for national defense. Potential for technological advancements in future defense systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type carries inherent risk of cost escalation.
- No small business participation noted, potentially missing opportunities for smaller innovative firms.
Positive Signals
- Awarded through full and open competition, maximizing potential for competitive pricing.
- Focus on R&D could lead to significant technological advancements.
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector. Spending in this area is crucial for maintaining technological superiority but requires careful oversight to ensure value for money.
Small Business Impact
The contract does not indicate any specific provisions for small business participation. This suggests that the prime contractor, Booz Allen Hamilton, is expected to perform the majority of the work, potentially limiting opportunities for small businesses in this specific award.
Oversight & Accountability
The contract's Cost Plus Fixed Fee structure necessitates robust oversight from the Department of the Air Force to monitor costs and ensure performance aligns with objectives. Regular reviews and audits will be critical.
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.
- No small business participation noted.
- Long contract duration (approx. 4 years) increases exposure to potential cost changes.
- Reliance on a single large contractor for critical R&D functions.
Tags
research-and-development-in-the-physical, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.0 million to BOOZ ALLEN HAMILTON INC. MUNITIONS PLANNING, ASSESSMENT, AND ANALYSIS FOR THE AIR FORCE RESEARCH LABORATORY MUNITIONS DIRECTORATE
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
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 $33.0 million.
What is the period of performance?
Start: 2022-05-12. End: 2026-05-15.
What is the projected return on investment for this R&D spending in terms of future munitions capabilities?
Quantifying the ROI for R&D is inherently challenging due to the long-term and often unpredictable nature of scientific discovery. However, the Air Force Research Laboratory likely has internal metrics and milestones to assess progress towards desired munitions capabilities. Success will be measured by the development of new technologies, improved performance characteristics, and potential cost savings in future systems, rather than immediate financial returns.
What are the key performance indicators (KPIs) for this contract, and how will they be measured to ensure effectiveness?
Key performance indicators for this R&D contract would likely focus on technical milestones, research progress, timely delivery of analysis and assessments, and adherence to research objectives. The effectiveness will be measured against the successful development and validation of new planning and assessment methodologies for munitions, contributing to the Directorate's overall mission. The contracting officer's representative will monitor progress against these defined KPIs.
Given the Cost Plus Fixed Fee structure, what mechanisms are in place to mitigate the risk of cost overruns?
Mitigation of cost overruns in a CPFF contract relies heavily on stringent government oversight. This includes detailed review of contractor's incurred costs, regular progress reviews to ensure work is on schedule and within estimated costs, and clear definition of the fixed fee to incentivize efficient performance. The government will also closely monitor the scope of work to prevent scope creep, which can significantly drive up costs.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, 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: $35,734,582
Exercised Options: $35,734,582
Current Obligation: $33,002,915
Actual Outlays: $421
Subaward Activity
Number of Subawards: 30
Total Subaward Amount: $14,861,539
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA807518D0004
IDV Type: IDC
Timeline
Start Date: 2022-05-12
Current End Date: 2026-05-15
Potential End Date: 2026-05-15 00:00:00
Last Modified: 2025-12-15
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