Missile Defense Agency Awards $571M for Advanced Tech Development to Sparta, Inc
Contract Overview
Contract Amount: $57,114,517 ($57.1M)
Contractor: Parsons Government Services Inc
Awarding Agency: Department of Defense
Start Date: 2003-07-18
End Date: 2010-08-06
Contract Duration: 2,576 days
Daily Burn Rate: $22.2K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: 200311!000415!9700!ZD60 !MISSILE DEFENSE AGENCY !HQ000603C0049 !A!N! !N! !20030718!20061130!038267076!038267076!038267076!N!SPARTA, INC !25531 COMMERCENTRE DRIVE, !LAKE FOREST !CA!92630!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000003500000!N!N!000044426715!AC93!RDTE/MISC HARD GOODS-ADV TECH DEV !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541710!A!B!3! ! ! ! ! !99990909!B! ! !A! !D!U!U!1!001!N!1A!Z!N!Z! ! !N!B!N!N! ! !A! !A!A!000!A!B!N! ! ! ! ! ! !0001! !
Place of Performance
Location: LAKE FOREST, ORANGE County, CALIFORNIA, 92630, UNITED STATES OF AMERICA
Plain-Language Summary
Department of Defense obligated $57.1 million to PARSONS GOVERNMENT SERVICES INC for work described as: 200311!000415!9700!ZD60 !MISSILE DEFENSE AGENCY !HQ000603C0049 !A!N! !N! !20030718!20061130!038267076!038267076!038267076!N!SPARTA, INC !25531 COMMERCENTRE DRIVE, !LAKE FOREST !CA!92630!03000!013!51!ARLINGTON !ARLIN… Key points: 1. Contract awarded for advanced technology development in missile defense. 2. Significant funding allocated to a single contractor, raising questions about competition. 3. Risk of cost overruns due to Cost Plus Fixed Fee contract type. 4. Sector focus on Research and Development within the Defense industry.
Value Assessment
Rating: questionable
The contract value of $571,145,170 is substantial. Without comparable contracts for similar advanced technology development, it is difficult to assess if this pricing is competitive. The Cost Plus Fixed Fee structure can lead to higher costs if not managed tightly.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not competed, indicating a limited competition approach. This may have resulted in less price discovery and potentially higher costs for the government compared to a full and open competition.
Taxpayer Impact: The lack of robust competition could lead to taxpayers paying more than necessary for these advanced technology development services.
Public Impact
Taxpayers may be overpaying due to limited competition. Potential for cost overruns on this large development contract. National security implications if technology development is not cost-effective. Focus on advanced R&D could yield significant future defense capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Cost Plus Fixed Fee contract type
- Long contract duration (2003-2010)
Positive Signals
- Focus on critical advanced technology development
- Potential for significant technological advancements
Sector Analysis
This contract falls within the Research and Development sector, specifically for advanced technology development in missile defense. Spending in this area is crucial for national security but requires careful oversight to ensure value for money.
Small Business Impact
There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. The award went to a large entity, potentially missing opportunities to leverage small business innovation.
Oversight & Accountability
The limited competition and Cost Plus Fixed Fee structure warrant close oversight to ensure the contractor is performing efficiently and that costs are reasonable. Regular reviews and performance monitoring are essential.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Lack of full and open competition
- Cost Plus Fixed Fee contract type increases cost risk
- Potential for cost overruns
- Limited transparency on specific technological advancements
- No apparent small business participation
Tags
research-and-development-in-the-physical, department-of-defense, ca, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $57.1 million to PARSONS GOVERNMENT SERVICES INC. 200311!000415!9700!ZD60 !MISSILE DEFENSE AGENCY !HQ000603C0049 !A!N! !N! !20030718!20061130!038267076!038267076!038267076!N!SPARTA, INC !25531 COMMERCENTRE DRIVE, !LAKE FOREST !CA!92630!03000!013!51!ARLINGTON !ARLINGTON !VIRGINIA !+000003500000!N!N!000044426715!AC93!RDTE/MISC HARD GOODS-ADV TECH DEV !S1 !SERVICES !1000!NOT DISCERNABLE OR CLASSIFIED !541710!A!B!3! ! ! ! ! !99990909!B
Who is the contractor on this award?
The obligated recipient is PARSONS GOVERNMENT SERVICES INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $57.1 million.
What is the period of performance?
Start: 2003-07-18. End: 2010-08-06.
What specific advanced technologies were developed under this contract, and what is their current operational status or impact?
The contract was for 'RDTE/MISC HARD GOODS-ADV TECH DEV' within missile defense. Specific details are likely classified or not publicly disclosed. The impact would be assessed by the Missile Defense Agency based on the successful development and integration of these technologies into defense systems, contributing to national security objectives.
How did the Missile Defense Agency justify the limited competition for this significant contract?
Justification for limited competition typically involves factors like unique capabilities, urgent needs, or the unavailability of other sources. Without specific documentation, it's presumed the MDA identified Sparta, Inc. as possessing unique qualifications or technologies essential for this advanced development, making full and open competition impractical or detrimental to the program's objectives.
What measures were in place to control costs and ensure value given the Cost Plus Fixed Fee contract type?
Cost Plus Fixed Fee contracts require robust government oversight. Measures likely included detailed cost tracking, performance metrics, earned value management, and regular audits to ensure the contractor's costs were reasonable and allocable to the contract. The fixed fee incentivizes the contractor to complete the work within the estimated cost.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Contractor Details
Parent Company: Parsons Corporation (UEI: 030866545)
Address: 25531 COMMERCENTRE DR STE 120, LAKE FOREST, CA, 92630
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $64,741,160
Exercised Options: $64,741,160
Current Obligation: $57,114,517
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2003-07-18
Current End Date: 2010-08-06
Potential End Date: 2010-08-06 00:00:00
Last Modified: 2016-02-10
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