DoD's $175M SIM Center Support Services Contract Awarded to Cubic Global Defense Under Full and Open Competition
Contract Overview
Contract Amount: $175,100,037 ($175.1M)
Contractor: Cubic Global Defense, Inc.
Awarding Agency: Department of Defense
Start Date: 2008-04-30
End Date: 2013-11-30
Contract Duration: 2,040 days
Daily Burn Rate: $85.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: SIM CENTER SUPPORT SERVICES
Place of Performance
Location: LACEY, THURSTON County, WASHINGTON, 98503
Plain-Language Summary
Department of Defense obligated $175.1 million to CUBIC GLOBAL DEFENSE, INC. for work described as: SIM CENTER SUPPORT SERVICES Key points: 1. Significant contract value of $175M for simulation center support. 2. Awarded to Cubic Global Defense, Inc., indicating a specific vendor relationship. 3. Contract duration of 2040 days (over 5 years) suggests long-term need. 4. Operated under full and open competition, implying a competitive bidding process. 5. NAICS code 541990 covers 'All Other Professional, Scientific, and Technical Services'.
Value Assessment
Rating: fair
The contract value of $175M over approximately 5.6 years averages around $31M annually. Benchmarking this against similar large-scale simulation and technical support contracts is difficult without more specific service details, but the duration and scope suggest a substantial investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting multiple bidders participated. This method is generally expected to yield competitive pricing, although the final price is influenced by the specific requirements and the winning bid.
Taxpayer Impact: Taxpayer funds are utilized for this contract. The competitive nature of the award aims to ensure value for money, but the total expenditure of $175M represents a significant allocation.
Public Impact
Supports critical Department of Defense simulation capabilities, potentially impacting training and readiness. The long-term nature of the contract suggests ongoing reliance on these services. Cubic Global Defense, a significant player in defense technology, is the primary contractor. The specific services provided under 'All Other Professional, Scientific, and Technical Services' are broad and could encompass a wide range of support functions.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific service details within the 'All Other' NAICS code.
- Potential for cost overruns in long-term, complex service contracts.
- Vendor lock-in risk if services are highly specialized.
Positive Signals
- Awarded through full and open competition, promoting market fairness.
- Long contract duration indicates stable support for essential functions.
- Firm Fixed Price contract type provides cost certainty for the government.
Sector Analysis
This contract falls under professional, scientific, and technical services, a broad category often supporting defense operations. Spending in this sector can vary widely based on technological advancements and operational needs. The $175M total is substantial for a single contract of this nature.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to Cubic Global Defense, Inc., a large corporation. There is no indication of small business participation in this specific award.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a structured procurement process. Oversight would typically involve contract management offices within the Department of the Navy to ensure performance and adherence to terms.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of specific service details.
- Potential for scope creep over the contract's long duration.
- Dependence on a single large contractor for critical support.
- Limited insight into the competitive landscape beyond the award.
Tags
all-other-professional-scientific-and-te, department-of-defense, wa, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $175.1 million to CUBIC GLOBAL DEFENSE, INC.. SIM CENTER SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is CUBIC GLOBAL DEFENSE, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $175.1 million.
What is the period of performance?
Start: 2008-04-30. End: 2013-11-30.
What specific simulation capabilities and technical services are included under this contract to justify the $175M expenditure?
The provided data lacks specific details on the simulation capabilities and technical services covered by NAICS code 541990. This broad category could encompass anything from R&D support, specialized testing, technical consulting, to operational maintenance of simulation systems. Understanding the precise deliverables is crucial for assessing the value and necessity of the $175M investment.
What were the key performance metrics and evaluation criteria used during the full and open competition to select Cubic Global Defense?
The data does not specify the key performance metrics or evaluation criteria used in the competition. Typically, such criteria would include technical approach, past performance, management capability, and price. The success of the full and open competition in achieving best value depends heavily on a well-defined and rigorously applied evaluation framework.
How does the performance of Cubic Global Defense on this contract align with the government's objectives for simulation center support and readiness?
Assessing alignment requires performance data, which is not provided. The government's objectives likely include maintaining advanced simulation capabilities, ensuring system reliability, and supporting training requirements. Evaluating Cubic's performance against contract deliverables and quality standards would determine if these objectives are being met effectively and efficiently.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: TRAINING AIDS AND DEVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: M6785408R8003
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Cubic Corporation (UEI: 008382293)
Address: 4550 3RD AVE SE, LACEY, WA, 98503
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $177,853,704
Exercised Options: $175,100,037
Current Obligation: $175,100,037
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2008-04-30
Current End Date: 2013-11-30
Potential End Date: 2013-12-31 00:00:00
Last Modified: 2022-02-09
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