DoD's $10.3M R&D contract for HPC access to KBR Wyle Services, LLC, awarded via full and open competition
Contract Overview
Contract Amount: $10,324,532 ($10.3M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: Department of Defense
Start Date: 2022-04-28
End Date: 2026-10-27
Contract Duration: 1,643 days
Daily Burn Rate: $6.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS AWARD FEE
Sector: R&D
Official Description: ADDRESSES SOLUTIONS PROVIDED FOR AFRL, DIRECTED ENERGY DIRECTORATE, ELECTRO-OPTICS DIVISION THAT BROADEN THE IMPACT OF HPC BY PROVIDING IMPROVED, SECURE ACCESS TO HPC-BACKED RESOURCES AND PRODUCTIVITY TOOLS.
Place of Performance
Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $10.3 million to KBR WYLE SERVICES, LLC for work described as: ADDRESSES SOLUTIONS PROVIDED FOR AFRL, DIRECTED ENERGY DIRECTORATE, ELECTRO-OPTICS DIVISION THAT BROADEN THE IMPACT OF HPC BY PROVIDING IMPROVED, SECURE ACCESS TO HPC-BACKED RESOURCES AND PRODUCTIVITY TOOLS. Key points: 1. The contract aims to enhance the impact of High-Performance Computing (HPC) by providing improved, secure access to HPC-backed resources and productivity tools. 2. Focuses on research and development in physical, engineering, and life sciences, excluding nanotechnology and biotechnology. 3. The contract type is Cost Plus Award Fee, suggesting performance incentives. 4. Awarded by the Department of the Air Force, indicating a focus on aerospace and defense applications. 5. The duration of over 4 years suggests a significant, long-term project. 6. The contract is not set aside for small businesses, implying a focus on larger, established contractors.
Value Assessment
Rating: good
The contract value of $10.3 million over approximately 4 years (1643 days) for R&D services in HPC access and productivity tools appears reasonable given the specialized nature of the work. Benchmarking against similar R&D contracts for advanced computing infrastructure and support is challenging due to the specific focus on HPC access for the Electro-Optics Division. However, the Cost Plus Award Fee structure allows for flexibility and incentivizes performance, which can lead to better value if the contractor meets or exceeds objectives.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded through full and open competition, indicating that multiple bidders were likely considered. The presence of 3 bids suggests a competitive environment, which generally benefits price discovery and can lead to more favorable terms for the government. The specific details of the bidding process and the number of proposals received would provide further insight into the intensity of the competition.
Taxpayer Impact: Full and open competition typically results in better pricing for taxpayers by fostering a competitive environment among potential contractors, driving down costs and improving the quality of services offered.
Public Impact
The primary beneficiaries are the researchers and personnel within the Air Force Research Laboratory (AFRL), specifically the Directed Energy Directorate's Electro-Optics Division. The services delivered will improve access to High-Performance Computing (HPC) resources and productivity tools, crucial for advanced research. The geographic impact is primarily within Virginia, where the contract is managed and likely where the services will be utilized. Workforce implications include potential support for specialized technical personnel involved in HPC and electro-optics research.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns inherent in Cost Plus Award Fee contracts if performance targets are not well-defined or managed.
- Dependence on a single contractor for critical HPC access and productivity tools could pose a risk if performance degrades.
- The specialized nature of the R&D may limit the pool of qualified subcontractors, potentially impacting small business participation.
Positive Signals
- Awarded through full and open competition, suggesting a robust selection process and potential for competitive pricing.
- The Cost Plus Award Fee structure incentivizes high performance and successful achievement of research objectives.
- The contract duration of over 4 years indicates a stable, long-term commitment to supporting critical research infrastructure.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on advanced computing and electro-optics. The market for HPC services and related R&D support is significant, driven by government and private sector needs for complex simulations, data analysis, and scientific discovery. Comparable spending benchmarks would involve analyzing other DoD contracts for HPC infrastructure, software, and specialized research support, which often involve substantial investments due to the cutting-edge nature of the technology.
Small Business Impact
This contract was not set aside for small businesses, as indicated by `ss: false` and `sb: false`. This suggests that the scope and requirements of the contract were deemed more suitable for larger companies with the capacity and expertise to handle complex R&D projects involving HPC. There is no explicit mention of subcontracting plans for small businesses, which could limit their direct involvement in this specific contract, although KBR Wyle Services, LLC may engage small businesses in other capacities.
Oversight & Accountability
Oversight for this contract is likely managed by the Department of the Air Force, specifically the contracting officers and program managers within AFRL. Accountability measures are built into the Cost Plus Award Fee structure, which ties a portion of the payment to performance outcomes. Transparency is facilitated through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- High-Performance Computing Modernization Program (HPCMP)
- Air Force Research Laboratory (AFRL) Directorate Contracts
- Directed Energy Research Programs
- Electro-Optics and Photonics Research
- Advanced Computing Infrastructure Support
Risk Flags
- Cost Plus Award Fee contract type requires careful performance monitoring to ensure value.
- Dependence on contractor for critical HPC infrastructure access.
- Potential for scope creep in R&D projects.
Tags
research-and-development, department-of-defense, department-of-the-air-force, high-performance-computing, electro-optics, definitive-contract, cost-plus-award-fee, full-and-open-competition, virginia, scientific-research, information-technology-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.3 million to KBR WYLE SERVICES, LLC. ADDRESSES SOLUTIONS PROVIDED FOR AFRL, DIRECTED ENERGY DIRECTORATE, ELECTRO-OPTICS DIVISION THAT BROADEN THE IMPACT OF HPC BY PROVIDING IMPROVED, SECURE ACCESS TO HPC-BACKED RESOURCES AND PRODUCTIVITY TOOLS.
Who is the contractor on this award?
The obligated recipient is KBR WYLE SERVICES, 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 $10.3 million.
What is the period of performance?
Start: 2022-04-28. End: 2026-10-27.
What is the track record of KBR Wyle Services, LLC in performing similar research and development contracts, particularly those involving High-Performance Computing?
KBR Wyle Services, LLC has a substantial track record in providing a wide range of services to government agencies, including the Department of Defense. Their expertise often spans engineering, scientific support, and technical services. While specific details on their HPC-focused R&D performance are not provided in this summary, their general experience suggests they are capable of undertaking complex projects. A deeper dive into their past performance on similar contracts, including client feedback and project outcomes, would be necessary for a comprehensive assessment. Their history with AFRL and other defense entities indicates a familiarity with the agency's operational needs and research objectives.
How does the awarded amount of $10.3 million compare to the typical cost of similar R&D contracts for HPC access and productivity tools?
The awarded amount of $10.3 million over approximately 4 years for specialized R&D in HPC access and productivity tools appears to be within a reasonable range for government contracts of this nature. However, a precise comparison is difficult without more granular data on the specific services, deliverables, and performance metrics. Contracts for HPC infrastructure, software licenses, and specialized technical support can vary significantly based on the scale of computing resources, the complexity of the software environment, and the level of security required. The Cost Plus Award Fee structure also introduces variability, as the final cost can be influenced by performance incentives. Benchmarking against other AFRL or DoD contracts with similar objectives would provide a more concrete comparison.
What are the primary risks associated with this contract, and what mitigation strategies are in place?
Primary risks include potential cost overruns due to the Cost Plus Award Fee structure if performance objectives are not clearly defined or achieved, and technical risks related to ensuring secure and improved access to HPC resources. There's also a risk of vendor lock-in or performance degradation if the contractor fails to meet expectations. Mitigation strategies likely involve robust performance monitoring by the contracting officer, clearly defined award fee criteria tied to specific, measurable outcomes, and regular technical reviews. The full and open competition award process itself serves as a risk mitigation by selecting a contractor deemed capable and competitive. Contingency planning for technical issues and performance shortfalls would also be part of the government's oversight.
How effective is the Cost Plus Award Fee (CPAF) contract type in ensuring value for money for this specific R&D effort?
The CPAF contract type is intended to provide value for money by incentivizing the contractor to exceed minimum performance standards. For this R&D effort, it allows the government to pay for the costs incurred plus an award fee based on achieving specific, often qualitative, objectives related to improving HPC access and productivity tools. This can be effective if the award criteria are well-defined, measurable, and directly aligned with the program's goals. It encourages innovation and high performance beyond basic requirements. However, it also requires diligent oversight from the government to ensure that the award fees are justified and that the overall cost remains reasonable relative to the achieved performance and benefits.
What are the historical spending patterns for research and development in High-Performance Computing within the Department of the Air Force?
Historical spending patterns for R&D in HPC within the Department of the Air Force (and DoD broadly) have generally shown a consistent and increasing investment over the years. Agencies like AFRL are critical users and developers of HPC capabilities to support advanced simulations, modeling, and data analysis for aerospace and defense applications. Spending often encompasses procurement of supercomputing hardware, software development and licensing, network infrastructure, and specialized technical support services. The trend reflects the growing importance of computational science and engineering in driving technological advancements and maintaining a strategic advantage. Specific figures would require analysis of historical budget allocations and contract awards across relevant programs.
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: TWO STEP
Solicitation ID: FA945118S0002
Offers Received: 3
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Brown & Root Industrial Services Holdings, LLC
Address: 15020 CONFERENCE CENTER DR STE 100, CHANTILLY, VA, 20151
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: $11,156,503
Exercised Options: $11,156,503
Current Obligation: $10,324,532
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2022-04-28
Current End Date: 2026-10-27
Potential End Date: 2026-10-27 00:00:00
Last Modified: 2025-12-03
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