DoD's $817M CBRN ISR contract awarded to Valiant Global Defense Services Inc. for Pacific Theater mission focus

Contract Overview

Contract Amount: $8,169,470 ($8.2M)

Contractor: Valiant Global Defense Services Inc.

Awarding Agency: Department of Defense

Start Date: 2022-07-12

End Date: 2027-04-06

Contract Duration: 1,729 days

Daily Burn Rate: $4.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: JOINT ALL-DOMAIN CHEMICAL, BIOLOGICAL, RADIOLOGICAL, AND NUCLEAR (CBRN)INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (ISR)-PACIFIC THEATER MISSION FOCUS

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $8.2 million to VALIANT GLOBAL DEFENSE SERVICES INC. for work described as: JOINT ALL-DOMAIN CHEMICAL, BIOLOGICAL, RADIOLOGICAL, AND NUCLEAR (CBRN)INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (ISR)-PACIFIC THEATER MISSION FOCUS Key points: 1. Contract aims to enhance CBRN ISR capabilities in the Pacific Theater. 2. Focus on intelligence, surveillance, and reconnaissance for chemical, biological, radiological, and nuclear threats. 3. Awarded to a single contractor, raising questions about potential competition limitations. 4. The contract duration extends over several years, indicating a long-term strategic need. 5. Research and Development in Physical, Engineering, and Life Sciences is the primary NAICS code. 6. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. 7. No small business set-aside was utilized for this significant award.

Value Assessment

Rating: fair

Benchmarking the value of this $817 million contract is challenging without specific performance metrics and detailed cost breakdowns. The Cost Plus Fixed Fee (CPFF) contract type, while allowing for flexibility in R&D, can sometimes lead to higher costs compared to fixed-price contracts if cost controls are not stringent. Comparing it to similar large-scale R&D contracts for advanced ISR capabilities would provide better context, but such data is not readily available. The significant dollar amount suggests a critical need for these specialized services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited. However, the award to a single entity, Valiant Global Defense Services Inc., suggests that they were deemed the most capable or offered the best value among the competitors. The specific number of bidders and the evaluation criteria are not detailed here, but full and open competition is generally a positive sign for price discovery.

Taxpayer Impact: Full and open competition generally benefits taxpayers by encouraging a wider range of offers and potentially driving down prices through competitive pressure. It ensures that the government explores various solutions and selects the most cost-effective option available.

Public Impact

The Department of Defense, specifically the Air Force, is the primary beneficiary, enhancing its intelligence gathering capabilities. Services delivered will focus on critical CBRN ISR functions, crucial for national security. The mission focus on the Pacific Theater suggests a strategic allocation of resources to address regional threats. The contract supports specialized R&D in physical, engineering, and life sciences, potentially fostering innovation in defense technology. Workforce implications may include the need for highly skilled scientists, engineers, and intelligence analysts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The CPFF contract type carries inherent risk of cost escalation if not closely monitored.
Reliance on a single contractor for such a critical capability could pose a risk if performance falters.
The long duration of the contract (nearly 5 years) requires sustained oversight to ensure continued value.
The specific R&D focus might involve novel technologies with uncertain development paths and potential for delays.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
The contract addresses a critical national security need for CBRN ISR capabilities.
The focus on the Pacific Theater aligns with current geopolitical strategic priorities.
Valiant Global Defense Services Inc. likely possesses specialized expertise required for this complex mission.

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS code 541715, which covers R&D in the Physical, Engineering, and Life Sciences. This is a highly specialized area within the broader defense industry. Spending in this sector is often driven by the need for technological superiority and adaptation to evolving threats. Comparable spending benchmarks would typically involve other large-scale R&D contracts for advanced sensor systems, intelligence analysis platforms, or threat detection technologies, often in the hundreds of millions of dollars.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses mentioned in the provided data. This means the primary awardee, Valiant Global Defense Services Inc., will likely perform the majority of the work. While this allows for direct execution by the prime contractor, it may limit opportunities for small businesses to participate in this significant defense contract and contribute to the specialized R&D effort.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force, a component of the Department of Defense. Given the CPFF structure, rigorous financial oversight and performance monitoring will be crucial to ensure cost control and adherence to project milestones. Transparency will depend on the reporting requirements stipulated in the contract and the DoD's public disclosure policies regarding R&D activities. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

CBRN Defense Programs
Intelligence, Surveillance, and Reconnaissance (ISR) Systems
DoD Research and Development Funding
Pacific Theater Military Operations
Advanced Technology Development Contracts

Risk Flags

Cost Overrun Risk (CPFF)
Single Contractor Dependency
Long-Term Contract Oversight Needs
Uncertainty in R&D Outcomes

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.2 million to VALIANT GLOBAL DEFENSE SERVICES INC.. JOINT ALL-DOMAIN CHEMICAL, BIOLOGICAL, RADIOLOGICAL, AND NUCLEAR (CBRN)INTELLIGENCE, SURVEILLANCE, AND RECONNAISSANCE (ISR)-PACIFIC THEATER MISSION FOCUS

Who is the contractor on this award?

The obligated recipient is VALIANT GLOBAL DEFENSE SERVICES 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 $8.2 million.

What is the period of performance?

Start: 2022-07-12. End: 2027-04-06.

What is Valiant Global Defense Services Inc.'s track record with similar large-scale R&D contracts, particularly in CBRN or ISR domains?

Valiant Global Defense Services Inc. has a history of supporting defense and intelligence agencies. While specific details on their track record with contracts of this magnitude and R&D focus are not publicly detailed in this summary, their ability to win a full and open competition award for a critical capability like CBRN ISR suggests they possess relevant expertise and past performance. Further investigation into their contract history, particularly with the Department of Defense and Air Force, would be necessary to fully assess their capabilities and reliability for this specific mission. Reviewing past performance evaluations and any reported issues on previous contracts would provide a more comprehensive understanding of their suitability.

How does the $817 million cost compare to similar CBRN ISR R&D contracts awarded by the DoD in recent years?

Directly comparing the $817 million cost requires access to detailed data on similar contracts, including their scope, duration, and specific deliverables. However, large-scale R&D contracts for advanced defense capabilities, especially those involving complex technologies like CBRN detection and ISR, frequently run into the hundreds of millions of dollars. The Pacific Theater focus suggests a significant investment in a strategically important region. Without specific benchmarks for comparable R&D efforts in this niche, it's difficult to definitively state if this contract represents high or low value. However, the amount indicates a substantial commitment to addressing perceived threats and enhancing operational readiness in a critical area.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this R&D effort?

The primary risk with a CPFF contract is the potential for cost overruns. While the 'fixed fee' component provides a defined profit margin for the contractor, the 'cost plus' element means the government reimburses the contractor for allowable costs incurred. If the R&D effort encounters unforeseen technical challenges, requires more resources than initially estimated, or if cost tracking and controls are not rigorous, the total cost to the government can escalate significantly beyond initial projections. Effective oversight, detailed cost reporting, and clear definition of allowable costs are crucial to mitigate these risks and ensure the government receives good value for its investment.

How will the effectiveness of the CBRN ISR capabilities developed under this contract be measured and evaluated?

The effectiveness of the capabilities developed under this contract will likely be measured through a combination of technical performance metrics, operational testing, and user feedback. Key performance indicators (KPIs) would be established within the contract to assess aspects such as detection accuracy, response time, data processing efficiency, and system reliability. Operational testing and evaluation (OT&E) events, conducted by the Air Force or designated testing agencies, will simulate real-world scenarios to validate the system's performance. User feedback from military personnel operating in the Pacific Theater will also be critical in assessing the practical utility and effectiveness of the developed ISR capabilities.

What is the historical spending trend for CBRN ISR R&D within the Department of Defense, and how does this contract fit?

Historical spending on CBRN defense and ISR capabilities within the DoD has generally been substantial, reflecting the persistent nature of these threats and the need for advanced technological solutions. Spending often fluctuates based on geopolitical events, threat assessments, and technological advancements. This $817 million contract represents a significant, focused investment in enhancing these capabilities specifically for the Pacific Theater. It aligns with a broader trend of increasing investment in advanced intelligence gathering and threat detection systems, particularly in regions deemed strategically important. Analyzing past DoD budgets and specific R&D program funding would reveal the scale of this investment relative to historical allocations for similar initiatives.

What are the potential implications of awarding this contract solely to Valiant Global Defense Services Inc. for future competition in this specialized R&D area?

Awarding a large, multi-year contract to a single entity can have mixed implications for future competition. On one hand, it allows for focused development and execution by a chosen contractor. On the other hand, it might limit opportunities for other companies to gain experience and develop expertise in this specific niche, potentially reducing the competitive landscape for future procurements. If Valiant Global Defense Services Inc. successfully delivers and builds significant intellectual property or infrastructure related to this contract, they may hold a competitive advantage in subsequent competitions. Conversely, if the contract fosters innovation and knowledge sharing (though less likely in a sole award scenario), it could indirectly benefit the broader ecosystem.

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: BASIC RESEARCH

Solicitation ID: FA865018S6002

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2355 DULLES CORNER BLVD STE 200, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $11,431,219

Exercised Options: $11,431,219

Current Obligation: $8,169,470

Actual Outlays: $513,690

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $1,930,001

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA865020D6058

IDV Type: IDC

Timeline