DoD's $58M Space Superiority R&D Contract Awarded to Engility Services, LLC
Contract Overview
Contract Amount: $58,082,263 ($58.1M)
Contractor: Engility Services, LLC
Awarding Agency: Department of Defense
Start Date: 2009-05-01
End Date: 2015-08-31
Contract Duration: 2,313 days
Daily Burn Rate: $25.1K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: SPACE SUPERIORITY ARCH DEVELOPMENT
Place of Performance
Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810
Plain-Language Summary
Department of Defense obligated $58.1 million to ENGILITY SERVICES, LLC for work described as: SPACE SUPERIORITY ARCH DEVELOPMENT Key points: 1. Contract awarded for Research and Development in Physical, Engineering, and Life Sciences. 2. Engility Services, LLC secured the $58M definitive contract. 3. The contract was not competed, raising potential concerns about price discovery. 4. Spending falls under the R&D sector, specifically related to space superiority. 5. The contract duration was 2313 days.
Value Assessment
Rating: questionable
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Without competitive bidding, it's difficult to benchmark pricing against similar contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to offer the best price.
Taxpayer Impact: The lack of competition for this $58M contract may result in taxpayers paying more than necessary for the research and development services.
Public Impact
Taxpayers may have overpaid due to the absence of competitive bidding. The focus on space superiority R&D could have significant national security implications. The long contract duration (2313 days) suggests a substantial and ongoing project.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
Positive Signals
- Focus on critical space superiority R&D
Sector Analysis
This contract falls within the Research and Development sector, specifically NAICS code 541712. Spending in this area is crucial for technological advancement but requires careful oversight to ensure value for money, especially when not competed.
Small Business Impact
There is no indication that small businesses were involved in this contract, as it was awarded to Engility Services, LLC as a sole-source definitive contract.
Oversight & Accountability
The lack of competition warrants close oversight to ensure the contractor is delivering on objectives efficiently and that costs are reasonable. Accountability for performance and spending is critical given the sole-source nature.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source award
- Cost Plus Fixed Fee contract type
- Potential for inflated costs
- Lack of transparency in pricing
- Long contract duration without clear milestones
Tags
research-and-development-in-the-physical, department-of-defense, ma, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $58.1 million to ENGILITY SERVICES, LLC. SPACE SUPERIORITY ARCH DEVELOPMENT
Who is the contractor on this award?
The obligated recipient is ENGILITY SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $58.1 million.
What is the period of performance?
Start: 2009-05-01. End: 2015-08-31.
What was the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available sources. Without further details, it's impossible to ascertain the specific rationale. However, sole-source contracts often bypass competitive processes, potentially leading to higher costs and reduced transparency for taxpayers.
What specific space superiority technologies were developed under this contract?
The contract details do not specify the exact technologies developed. However, 'Space Superiority' implies research into systems and capabilities designed to ensure dominance in the space domain, which could include satellite technology, anti-satellite measures, space situational awareness, or command and control systems.
How was the fixed fee determined in this Cost Plus Fixed Fee contract?
In a Cost Plus Fixed Fee (CPFF) contract, the fixed fee is negotiated at the outset and represents the contractor's profit. It's typically a percentage of the estimated cost or a fixed dollar amount. The negotiation process aims to set a fee that is fair compensation for the contractor's effort and risk, but without competition, the benchmark for fairness is less clear.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Science Applications International Corporation
Address: 35 NEW ENGLAND BUSINESS CENTER DR STE 200, ANDOVER, MA, 01810
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $123,114,044
Exercised Options: $65,831,899
Current Obligation: $58,082,263
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2009-05-01
Current End Date: 2015-08-31
Potential End Date: 2015-08-31 00:00:00
Last Modified: 2022-04-02
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