DoD's $20.1M Contract for Smartronix LLC's Capabilities Integration Environment System Integration Technical Support

Contract Overview

Contract Amount: $20,131,771 ($20.1M)

Contractor: Smartronix, LLC

Awarding Agency: Department of Defense

Start Date: 2018-07-23

End Date: 2022-04-26

Contract Duration: 1,373 days

Daily Burn Rate: $14.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: CAPABILITIES INTEGRATION ENVIRONMENT SYSTEM INTEGRATION TECHNICAL SUPPORT

Place of Performance

Location: HOLLYWOOD, SAINT MARYS County, MARYLAND, 20636

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $20.1 million to SMARTRONIX, LLC for work described as: CAPABILITIES INTEGRATION ENVIRONMENT SYSTEM INTEGRATION TECHNICAL SUPPORT Key points: 1. The contract awarded to SMARTRONIX, LLC for $20.1M focuses on system integration and technical support. 2. Competition was full and open after exclusion of sources, suggesting a deliberate selection process. 3. The contract duration of 1373 days indicates a long-term need for these services. 4. The sector is IT, specifically Wired Telecommunications Carriers, a critical area for defense operations.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method implies a competitive process but with specific pre-qualifications. This could potentially limit the pool of bidders, impacting price discovery.

Taxpayer Impact: The final taxpayer impact depends on the efficiency of the cost-plus-fixed-fee structure and whether the final costs align with the value delivered.

Public Impact

Ensures critical IT infrastructure and integration capabilities for the Department of the Air Force. Supports advanced defense systems requiring complex technical integration and ongoing support. Potential for technological advancements and improved operational efficiency within the DoD.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on wired telecommunications and system integration. Spending in this area is crucial for modern defense operations, with benchmarks varying widely based on complexity and scope.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Analysis of subcontracting opportunities for small businesses is not provided.

Oversight & Accountability

The contract was awarded by the Department of the Air Force, a component of the DoD. Oversight would typically involve program managers and contracting officers ensuring adherence to contract terms and performance standards.

Related Government Programs

Risk Flags

Tags

wired-telecommunications-carriers, department-of-defense, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.1 million to SMARTRONIX, LLC. CAPABILITIES INTEGRATION ENVIRONMENT SYSTEM INTEGRATION TECHNICAL SUPPORT

Who is the contractor on this award?

The obligated recipient is SMARTRONIX, LLC.

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 $20.1 million.

What is the period of performance?

Start: 2018-07-23. End: 2022-04-26.

What specific system integration challenges does this contract address, and how does the chosen vendor's expertise align with these needs?

The contract addresses 'CAPABILITIES INTEGRATION ENVIRONMENT SYSTEM INTEGRATION TECHNICAL SUPPORT,' implying a need for integrating diverse defense systems and ensuring their seamless operation. Smartronix, LLC's expertise in this area, likely demonstrated during the competitive bidding process, is crucial for managing the complexity of defense IT infrastructure and ensuring interoperability between various platforms and technologies.

How does the 'Cost Plus Fixed Fee' structure impact the government's ability to control costs and ensure value for money in this long-term contract?

The Cost Plus Fixed Fee (CPFF) structure allows the contractor to recover all allowable costs plus a fixed fee representing profit. While it incentivizes the contractor to control costs to maximize their fixed profit, it can also lead to cost overruns if initial estimates are inaccurate or if scope changes occur. Effective government oversight is critical to scrutinize costs and ensure the fixed fee remains appropriate for the work performed.

What are the potential risks associated with relying on a single vendor for critical system integration and technical support over a four-year period?

Relying on a single vendor for critical system integration over an extended period carries risks such as vendor lock-in, potential for complacency, and vulnerability if the vendor faces financial or operational difficulties. Mitigating these risks requires robust contract management, clear performance metrics, and contingency planning by the Department of the Air Force to ensure continuity of essential services.

Industry Classification

NAICS: InformationWired and Wireless Telecommunications (except Satellite)Wired Telecommunications Carriers

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 44150 SMARTRONIX WAY, HOLLYWOOD, MD, 20636

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

Financial Breakdown

Contract Ceiling: $20,131,771

Exercised Options: $20,131,771

Current Obligation: $20,131,771

Actual Outlays: $6,662,578

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $17,007,139

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA873214D0012

IDV Type: IDC

Timeline

Start Date: 2018-07-23

Current End Date: 2022-04-26

Potential End Date: 2024-10-26 00:00:00

Last Modified: 2025-09-29

More Contracts from Smartronix, LLC

View all Smartronix, LLC federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending