Navy's Hypersonics R&D Contract Awarded to SAIC for $39.3M
Contract Overview
Contract Amount: $39,306,182 ($39.3M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Defense
Start Date: 2023-08-22
End Date: 2028-08-21
Contract Duration: 1,826 days
Daily Burn Rate: $21.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: HYPERSONICS ADVANCED CONCEPTS AND STRATEGIC MISSIONS RESEARCH, DEVELOPMENT, TEST, AND EVALUATION FOR THE NAVYS STRATEGIC SYSTEMS PROGRAMS AND THE NAVAL SURFACE WARFARE CENTER CRANE STRATEGIC SYSTEMS HARDWARE DIVISION
Place of Performance
Location: WILLISTON, CHITTENDEN County, VERMONT, 05495
State: Vermont Government Spending
Plain-Language Summary
Department of Defense obligated $39.3 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: HYPERSONICS ADVANCED CONCEPTS AND STRATEGIC MISSIONS RESEARCH, DEVELOPMENT, TEST, AND EVALUATION FOR THE NAVYS STRATEGIC SYSTEMS PROGRAMS AND THE NAVAL SURFACE WARFARE CENTER CRANE STRATEGIC SYSTEMS HARDWARE DIVISION Key points: 1. Contract focuses on advanced hypersonic concepts and strategic missions for the Navy. 2. SAIC, a large defense contractor, is the awardee. 3. The contract falls under R&D in Physical, Engineering, and Life Sciences. 4. Spending is concentrated within the Department of Defense, specifically Air Force. 5. This award represents a significant investment in a critical defense technology area.
Value Assessment
Rating: good
The contract is a Cost Plus Fixed Fee type, which allows for flexibility in R&D but can lead to higher costs if not managed carefully. The fixed fee component provides some cost control for the government.
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 aims to ensure the government receives competitive pricing by allowing all eligible offerors to participate.
Taxpayer Impact: The full and open competition is a positive sign for taxpayer value, as it encourages multiple bids and potentially drives down costs for this advanced research.
Public Impact
Advancement of hypersonic technology is crucial for national security and maintaining military superiority. Investment in R&D signals a commitment to future defense capabilities. The contract duration of 5 years allows for sustained research and development efforts. This award could lead to technological breakthroughs with potential dual-use applications.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost-plus contracts can sometimes exceed initial estimates.
- Long-term R&D projects carry inherent uncertainty in outcomes.
- Dependence on a single large contractor for critical technology development.
Positive Signals
- Awarded through full and open competition.
- Focus on a high-priority defense capability.
- Long-term commitment to research and development.
- Experienced contractor in the field.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on advanced physical and engineering sciences. Spending benchmarks for R&D can vary widely, but significant government investment in strategic areas like hypersonics is common.
Small Business Impact
The awardee, Science Applications International Corporation (SAIC), is a large business. There is no explicit mention of small business participation in this specific award, which is common for large, complex R&D contracts.
Oversight & Accountability
The Department of Defense, through the Air Force, is responsible for oversight. The contract type (Cost Plus Fixed Fee) requires diligent monitoring of costs and progress to ensure value for taxpayer money.
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
- Potential for cost overruns in Cost Plus Fixed Fee contracts.
- Long development cycles for advanced technologies.
- Dependence on a single large contractor.
- Uncertainty of R&D outcomes.
- National security implications of hypersonic technology proliferation.
Tags
research-and-development-in-the-physical, department-of-defense, vt, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $39.3 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. HYPERSONICS ADVANCED CONCEPTS AND STRATEGIC MISSIONS RESEARCH, DEVELOPMENT, TEST, AND EVALUATION FOR THE NAVYS STRATEGIC SYSTEMS PROGRAMS AND THE NAVAL SURFACE WARFARE CENTER CRANE STRATEGIC SYSTEMS HARDWARE DIVISION
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.
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 $39.3 million.
What is the period of performance?
Start: 2023-08-22. End: 2028-08-21.
What is the projected return on investment for this hypersonic R&D funding in terms of technological advancement and strategic advantage?
The return on investment for this hypersonic R&D funding is primarily measured by the advancement of critical defense capabilities and the maintenance of strategic technological superiority. While direct financial ROI is not the primary goal, the anticipated benefits include enhanced national security, deterrence, and potential future applications in both military and civilian sectors. The success will be evaluated based on achieving key research milestones and developing deployable hypersonic technologies within the allocated timeframe and budget.
What are the primary technical risks associated with developing advanced hypersonic concepts and strategic missions, and how are they being mitigated?
Primary technical risks include material science challenges for extreme heat and pressure, propulsion system reliability, guidance and control in high-speed atmospheric flight, and integration with existing strategic systems. Mitigation strategies likely involve rigorous testing, phased development with clear milestones, leveraging existing research, and employing advanced simulation and modeling. The Cost Plus Fixed Fee contract structure also incentivizes the contractor to manage these risks effectively to control costs.
How will the effectiveness of this R&D investment be measured beyond technical milestones, considering its strategic importance?
Effectiveness will be measured by the Navy's enhanced strategic deterrence posture, the successful integration of developed hypersonic capabilities into operational platforms, and the ability to counter emerging threats. Beyond technical achievements, broader effectiveness will be assessed through contributions to military readiness, potential for technology transfer, and the overall impact on maintaining a technological edge in a rapidly evolving geopolitical landscape. Regular program reviews and operational assessments will gauge progress.
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: 5
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $62,978,740
Exercised Options: $62,978,740
Current Obligation: $39,306,182
Actual Outlays: $3,393,023
Subaward Activity
Number of Subawards: 28
Total Subaward Amount: $50,925,232
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA807518D0007
IDV Type: IDC
Timeline
Start Date: 2023-08-22
Current End Date: 2028-08-21
Potential End Date: 2028-08-21 00:00:00
Last Modified: 2026-01-15
More Contracts from Science Applications International Corporation
- Task Order to Provide Project Management Support, Transition Support, Engineering and Design Support, Securing the Infrastructure Support and O&M Support for the Department's IT Consolidation Program — $2.1B (Department of State)
- Software Life Cycle Development — $1.4B (General Services Administration)
- Unified Nasa Information Technology Services (unites) — $1.4B (National Aeronautics and Space Administration)
- THE Scope of the to IS to Provide Enterprise IT Services for the Usace — $1.1B (General Services Administration)
- This Effort IS for a Follow on Procurement Requirement. the Name of This Procurement IS the Omnibus Multidiscipline Engineering Services (omes) II. the Principal Purpose of This Contract IS to Provide Multidiscipline Engineering Support Services and Related Work to EED, Istd, SED, MSD, Mesa, Jpss, Ssco, and Related Organizations, AS Required, for the Study, Design, Systems Engineering, Development, Fabrication, Integration, Testing, Verification, and Operations of Space Flight, Airborne, and Ground System Hardware and Software, Including Development and Validation of NEW Technologies to Enable Future Space and Science Missions. to This END, the Contractor Shall Provide On/Off-Site Multidiscipline Engineering Services, Pursuant to Task Orders Issued by the Contracting Officer. These Services Shall Include the Personnel, Facilities, and Materials (unless Otherwise Provided by the Government) to Accomplish the Tasks. Travel MAY BE Required by the Contractor to Support Certain Task Orders, These Travel Requirements Will BE Identified on a Task by Task Basis — $1.0B (National Aeronautics and Space Administration)
View all Science Applications International Corporation federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)