GSA awards $18.3M engineering services contract to HII Mission Technologies Corp for ammunition systems support

Contract Overview

Contract Amount: $18,278,607 ($18.3M)

Contractor: HII Mission Technologies Corp

Awarding Agency: General Services Administration

Start Date: 2005-06-13

End Date: 2010-06-12

Contract Duration: 1,825 days

Daily Burn Rate: $10.0K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Defense

Official Description: THE SUBJECT TASK ORDER IS FOR A ONE (1) YEAR WITH FOUR (4) OPTION PERIOD TIME&MATERIAL EFFORT TO PROVIDE SUPPORT SERVICES TO PROJECT MANAGER COMBAT AMMUNITION SYSTEMS (PM CAS) UNDER THE PROFESSIONAL ENGINEERING SERVICE (PES) FEDERAL SUPPLY SCHEDULE (FSS). ALL SERVICES UNDER SUBJECT TASK ORDER SHALL BE PROVIDED IN ACCORDANCE WITH THE STATEMENT OF WORK (SOW) IN SECTION C OF THE TASK ORDER.

Place of Performance

Location: PICATINNY ARSENAL, MORRIS County, NEW JERSEY, 07806

State: New Jersey Government Spending

Plain-Language Summary

General Services Administration obligated $18.3 million to HII MISSION TECHNOLOGIES CORP for work described as: THE SUBJECT TASK ORDER IS FOR A ONE (1) YEAR WITH FOUR (4) OPTION PERIOD TIME&MATERIAL EFFORT TO PROVIDE SUPPORT SERVICES TO PROJECT MANAGER COMBAT AMMUNITION SYSTEMS (PM CAS) UNDER THE PROFESSIONAL ENGINEERING SERVICE (PES) FEDERAL SUPPLY SCHEDULE (FSS). ALL SERVICES UNDER SUBJE… Key points: 1. Contract provides essential support services for Project Manager Combat Ammunition Systems (PM CAS). 2. Services are delivered under a Time & Materials (T&M) contract vehicle. 3. The contract spans five years, including one base year and four option periods. 4. This award was made under the Professional Engineering Services (PES) Federal Supply Schedule (FSS). 5. The General Services Administration (GSA) managed this competitive delivery order. 6. The contract is for engineering services, with a North American Industry Classification System (NAICS) code of 541330.

Value Assessment

Rating: good

The contract's value of $18.3 million over five years for specialized engineering support appears reasonable when benchmarked against similar professional engineering service contracts. The Time & Materials (T&M) pricing structure, while common for such services, warrants scrutiny to ensure efficient resource utilization and prevent cost overruns. Further analysis of the specific labor categories and rates against market benchmarks would provide a more precise value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order under the GSA's Professional Engineering Services (PES) Federal Supply Schedule (FSS). The use of a pre-competed FSS vehicle generally implies a level of competition has already occurred during the schedule's award. However, the specific number of bidders for this particular delivery order is not detailed, but the 'competitive' designation suggests multiple proposals were considered.

Taxpayer Impact: A competitive award process, even under an FSS, is generally favorable for taxpayers as it encourages multiple vendors to offer their best pricing and technical solutions, leading to better value.

Public Impact

The primary beneficiary is the U.S. Army's Project Manager Combat Ammunition Systems (PM CAS), receiving critical engineering support. Services delivered include technical and engineering support essential for the effective management of ammunition systems. The contract's geographic impact is likely concentrated in New Jersey, where the contractor is based, and potentially at various Army installations where PM CAS operates. Workforce implications include the direct employment of engineers and technical staff by HII Mission Technologies Corp.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time & Materials (T&M) contracts can pose a risk of cost escalation if not closely monitored.
Reliance on a single FSS schedule may limit the pool of potential offerors for future needs.
The specific performance metrics and quality assurance measures for this T&M effort require detailed review.

Positive Signals

Awarded under a competitive GSA Federal Supply Schedule, indicating a structured procurement process.
Contractor HII Mission Technologies Corp is a known entity in the defense and aerospace sector.
The contract duration of five years provides stability for critical support services.

Sector Analysis

This contract falls within the Engineering Services sector, a critical component of the broader professional services market supporting government defense initiatives. The market for defense engineering services is substantial, driven by the need for specialized expertise in areas like weapons systems development and sustainment. Comparable spending benchmarks would typically be found within GSA's PES schedule or similar agency-specific engineering support contracts.

Small Business Impact

The provided data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the direct impact on small business participation is likely limited to potential subcontracting opportunities, which are not detailed in this summary. The primary awardee is a large business, suggesting that subcontracting plans, if any, would be crucial for assessing small business engagement.

Oversight & Accountability

Oversight for this contract would primarily reside with the General Services Administration (GSA) as the contracting agency and the U.S. Army's Project Manager Combat Ammunition Systems (PM CAS) as the requiring activity. Standard contract administration processes, including performance reviews and invoice auditing, would be in place. Transparency is facilitated through contract award databases, though detailed performance data may be less accessible.

Related Government Programs

Project Manager Combat Ammunition Systems (PM CAS)
Professional Engineering Services (PES) Federal Supply Schedule (FSS)
General Services Administration (GSA) Contracts
Defense Engineering Support Contracts

Risk Flags

Potential for cost overruns due to Time & Materials pricing structure.
Need for robust contract surveillance to ensure efficient performance.
Reliance on FSS may limit broader market competition for specific needs.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $18.3 million to HII MISSION TECHNOLOGIES CORP. THE SUBJECT TASK ORDER IS FOR A ONE (1) YEAR WITH FOUR (4) OPTION PERIOD TIME&MATERIAL EFFORT TO PROVIDE SUPPORT SERVICES TO PROJECT MANAGER COMBAT AMMUNITION SYSTEMS (PM CAS) UNDER THE PROFESSIONAL ENGINEERING SERVICE (PES) FEDERAL SUPPLY SCHEDULE (FSS). ALL SERVICES UNDER SUBJECT TASK ORDER SHALL BE PROVIDED IN ACCORDANCE WITH THE STATEMENT OF WORK (SOW) IN SECTION C OF THE TASK ORDER.

Who is the contractor on this award?

The obligated recipient is HII MISSION TECHNOLOGIES CORP.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $18.3 million.

What is the period of performance?

Start: 2005-06-13. End: 2010-06-12.

What is the track record of HII Mission Technologies Corp in delivering similar engineering support services to the Department of Defense?

HII Mission Technologies Corp, a subsidiary of Huntington Ingalls Industries, has a significant track record in providing a wide range of technical, engineering, and support services to the Department of Defense and other government agencies. Their expertise spans various domains, including naval systems, C5ISR, cyber, and mission readiness. For services related to ammunition systems or similar project management support, their history would likely involve numerous contracts, some potentially larger or more complex than this specific task order. A detailed review of their past performance ratings, contract history, and any past performance issues or commendations would be necessary for a comprehensive assessment. This would typically involve examining data from sources like the Federal Procurement Data System (FPDS) and contractor performance assessment reporting tools.

How does the awarded value compare to other engineering services contracts under the GSA PES FSS?

The awarded value of approximately $18.3 million over five years for this Time & Materials (T&M) effort is within a common range for specialized engineering support services procured through GSA's Federal Supply Schedules. The Professional Engineering Services (PES) FSS is designed to offer a streamlined procurement path for a variety of engineering disciplines. Benchmarking this contract's value would involve comparing its total value, duration, and the specific labor categories and rates against other similar task orders awarded under the PES schedule or comparable schedules like the IT Schedule 70 (now Polaris) for certain technical services. Factors such as the complexity of the support, the required clearances, and the specific technical expertise demanded would influence its relative value. Without direct access to a comprehensive database of all PES FSS task orders, a precise comparison is difficult, but the amount is not exceptionally high or low for a multi-year, specialized engineering support contract.

What are the primary risks associated with a Time & Materials (T&M) contract for engineering services?

The primary risk associated with Time & Materials (T&M) contracts, like this one for engineering services, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified hourly rates and for the actual cost of materials. This structure can incentivize longer task durations or less efficient work if not managed rigorously. For the government, risks include difficulty in accurately forecasting total costs, potential for inflated billing if oversight is weak, and the need for robust monitoring of labor hours and resource allocation. To mitigate these risks, the government typically employs strong contract surveillance, requires detailed timesheets, conducts regular audits, and may include ceiling prices or labor hour limitations within the contract terms.

How effective is the GSA Federal Supply Schedule (FSS) mechanism for procuring specialized engineering services?

The GSA Federal Supply Schedule (FSS) mechanism is generally considered an effective tool for procuring specialized engineering services, offering several advantages. It provides a pre-competed, streamlined process, allowing agencies to quickly access a wide range of qualified contractors and services without conducting lengthy individual procurements. The schedules are established through rigorous vetting of contractor capabilities and pricing. For specialized areas like engineering, the PES FSS allows agencies to tap into specific technical expertise efficiently. However, effectiveness can vary depending on the specific schedule, the clarity of the Statement of Work (SOW), and the diligence of the agency in selecting the best value offer and managing the resulting contract. Competition within the schedule can sometimes be limited if not actively pursued by the ordering agency.

What are the historical spending patterns for engineering services supporting ammunition systems within the Department of Defense?

Historical spending patterns for engineering services supporting ammunition systems within the Department of Defense are typically substantial, reflecting the critical nature and complexity of ordnance management. Agencies like the U.S. Army, through programs such as Project Manager Combat Ammunition Systems (PM CAS), consistently require significant investment in engineering, logistics, and technical support. Spending in this area fluctuates based on modernization efforts, sustainment requirements, and evolving threat landscapes. Contracts can range from research and development for new munitions to lifecycle support, testing, and integration services. Analyzing historical data from sources like FPDS would reveal trends in contract types (e.g., T&M, fixed-price), average contract values, key contractors, and the specific services procured over time, providing context for current spending levels.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 02PA214780

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: NEW Mountain Finance Sbic, LP (UEI: 052371981)

Address: 635 DISCOVERY DR NW, HUNTSVILLE, AL, 05

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $22,094,829

Exercised Options: $21,458,491

Current Obligation: $18,278,607

Parent Contract

Parent Award PIID: GS23F0374K

IDV Type: FSS

Timeline