DoD's $480M R&D contract to Amentum Technology, Inc. shows long-term engagement with a single provider

Contract Overview

Contract Amount: $479,931,486 ($479.9M)

Contractor: Amentum Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-11-30

End Date: 2012-10-06

Contract Duration: 2,137 days

Daily Burn Rate: $224.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: TEAS V

Place of Performance

Location: EGLIN AFB, OKALOOSA County, FLORIDA, 32542

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $479.9 million to AMENTUM TECHNOLOGY, INC. for work described as: TEAS V Key points: 1. Contract awarded for Research and Development in Social Sciences and Humanities, indicating a focus on non-technical or policy-oriented research. 2. The contract duration of 2137 days (approx. 5.8 years) suggests a long-term need for the services provided. 3. Awarded under 'FULL AND OPEN COMPETITION', but the long duration and single awardee may warrant further investigation into competition dynamics over time. 4. The contract type 'COST PLUS AWARD FEE' (CPAF) incentivizes performance but can lead to higher costs if not managed closely. 5. The contract was awarded in 2006 and completed in 2012, providing historical context for current spending patterns. 6. The primary agency is the Department of Defense, with the Department of the Air Force as the specific service. 7. The North American Industry Classification System (NAICS) code 541720 points to R&D in the Social Sciences and Humanities.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging due to the specific nature of R&D in social sciences and humanities, which often lacks readily available comparable data. The Cost Plus Award Fee (CPAF) structure, while intended to incentivize performance, can sometimes lead to costs exceeding initial estimates if award fees are consistently maximized without stringent oversight. Without detailed performance metrics and award fee justifications, it's difficult to definitively assess value for money. However, the significant dollar amount over a multi-year period suggests a substantial investment in this research area.

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 theoretically allowed to compete. However, the fact that Amentum Technology, Inc. was the sole awardee for this significant, long-duration contract suggests that either the competition was highly specialized, or that subsequent modifications or renewals may have limited further competition. The initial competition likely established a baseline price, but the long-term nature of the contract means that ongoing price discovery might be less robust.

Taxpayer Impact: Taxpayers benefit from the initial competitive process which should have driven a reasonable price. However, the long-term nature of the contract and the potential for limited follow-on competition could mean that prices are not as optimized as they might be in a more dynamic market.

Public Impact

The Department of the Air Force benefits from specialized research and development services in social sciences and humanities. This contract likely supported policy development, strategic planning, or human factors research relevant to military operations or personnel. The geographic impact is primarily associated with the contractor's location in Florida (ST), though the research itself could have broader national implications. The contract supported a workforce engaged in research and development activities, contributing to specialized expertise within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls under the Research and Development (R&D) sector, specifically focusing on social sciences and humanities. This is a niche area within the broader defense R&D landscape, often supporting strategic studies, human capital initiatives, or policy analysis. Comparable spending benchmarks for this specific sub-sector are difficult to establish due to its specialized nature. However, overall federal R&D spending is substantial, with significant portions allocated to defense-related research. This contract represents a portion of that investment, aimed at enhancing understanding and capabilities in non-traditional areas of defense.

Small Business Impact

There is no indication from the provided data that this contract involved small business set-asides or significant subcontracting opportunities for small businesses. The large dollar value and specialized nature of R&D in social sciences and humanities might typically be handled by larger, established research institutions or firms. Further investigation into subcontracting plans would be needed to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight mechanisms for this contract would have been managed by the Department of the Air Force contracting and program management offices. The Cost Plus Award Fee (CPAF) structure necessitates robust oversight to ensure that award fees are earned based on demonstrable performance against objective criteria. Transparency would be facilitated through contract reporting requirements. Inspector General jurisdiction would apply to investigations of fraud, waste, or abuse related to the contract.

Related Government Programs

Risk Flags

Tags

defense, department-of-defense, department-of-the-air-force, research-and-development, social-sciences-and-humanities, definitive-contract, cost-plus-award-fee, full-and-open-competition, florida, large-contract, historical-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $479.9 million to AMENTUM TECHNOLOGY, INC.. TEAS V

Who is the contractor on this award?

The obligated recipient is AMENTUM TECHNOLOGY, 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 $479.9 million.

What is the period of performance?

Start: 2006-11-30. End: 2012-10-06.

What was the specific nature of the 'Research and Development in the Social Sciences and Humanities' conducted under this contract?

The provided data does not detail the specific research topics or projects undertaken. However, 'Research and Development in the Social Sciences and Humanities' (NAICS 541720) typically encompasses studies related to human behavior, societal structures, policy impacts, economic trends, historical analysis, and organizational effectiveness. For the Department of the Air Force, such research could inform areas like military personnel management, psychological operations, strategic planning, cultural understanding for deployment, or the societal implications of new technologies. Without access to the contract's statement of work or final reports, the precise nature remains unspecified.

How did Amentum Technology, Inc.'s performance compare to other potential contractors in this specialized R&D field during the solicitation period?

The data indicates the contract was awarded under 'FULL AND OPEN COMPETITION', suggesting multiple entities were eligible to bid. However, specific details about the number of bidders, their qualifications, or the evaluation criteria used are not provided. Amentum Technology, Inc. was the sole awardee, which could imply they offered the best value, possessed unique qualifications, or were the only ones to submit a compliant and competitive proposal. Without comparative performance data from the original solicitation or subsequent contract performance reviews, it's impossible to definitively assess how Amentum's capabilities stacked up against competitors at the time of award.

What were the key performance indicators (KPIs) used to determine award fees under this Cost Plus Award Fee (CPAF) contract?

The specific Key Performance Indicators (KPIs) or objective criteria used to determine award fees for this contract are not detailed in the provided data. CPAF contracts typically link award fees to the achievement of specific performance goals, milestones, or quality standards outlined in the contract's performance work statement. For R&D contracts, these might include factors like the quality and timeliness of research reports, the innovation demonstrated, the achievement of research objectives, or the effective management of project resources. The Department of the Air Force would have been responsible for evaluating Amentum's performance against these criteria to determine the appropriate award fee amount.

How has the Department of Defense's spending in the 'Research and Development in Social Sciences and Humanities' sector evolved since this contract concluded in 2012?

Analyzing the evolution of DoD spending in this specific R&D sector since 2012 requires access to historical budget and contract data beyond the scope of this single contract. Generally, federal R&D spending, including within the DoD, fluctuates based on national security priorities, technological advancements, and economic conditions. While specific figures for 'Social Sciences and Humanities R&D' are often aggregated within broader R&D categories, trends suggest a continued, albeit sometimes fluctuating, investment in areas like behavioral science, human systems integration, and policy research to support military effectiveness and strategic decision-making. Examining annual DoD budget requests and contract award databases would provide a clearer picture of spending trends.

What is the typical duration and value range for similar R&D contracts in the social sciences and humanities awarded by the DoD?

The typical duration and value range for similar R&D contracts in social sciences and humanities can vary significantly based on the scope and objectives. Contracts like this one, awarded under full and open competition and lasting over five years with a value nearing $480 million, represent substantial, long-term investments. Shorter-term, smaller-value contracts are more common for specific research projects or studies. Larger, multi-year programs, especially those involving foundational research or complex analysis, can extend for many years and reach hundreds of millions of dollars. Benchmarking requires detailed analysis of current contract databases, filtering by NAICS code 541720 and relevant agencies like the DoD.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Social Sciences and Humanities

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Jacobs Engineering Group Inc

Address: 600 WILLIAM NORTHERN BLVD, TULLAHOMA, TN, 37388

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $479,931,486

Exercised Options: $479,931,486

Current Obligation: $479,931,486

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2006-11-30

Current End Date: 2012-10-06

Potential End Date: 2012-10-06 00:00:00

Last Modified: 2022-02-24

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