DoD awards $48.8M for technology research and engineering support to Science Applications International Corporation

Contract Overview

Contract Amount: $48,801,434 ($48.8M)

Contractor: Science Applications International Corporation

Awarding Agency: Department of Defense

Start Date: 2009-10-05

End Date: 2024-01-25

Contract Duration: 5,225 days

Daily Burn Rate: $9.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: A WIDE RANGE OF TECHNOLOGY RESEARCH, ENGINEERING AND PROGRAM MANAGEMENT SUPPORT

Place of Performance

Location: ANDOVER, ESSEX County, MASSACHUSETTS, 01810

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $48.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: A WIDE RANGE OF TECHNOLOGY RESEARCH, ENGINEERING AND PROGRAM MANAGEMENT SUPPORT Key points: 1. Contract provides a broad spectrum of technology research, engineering, and program management support. 2. The contract has a long duration, spanning over 13 years, indicating sustained need. 3. Awarded under full and open competition, suggesting a competitive bidding process. 4. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but requires careful oversight. 5. The contractor, Science Applications International Corporation, is a large, established entity in the defense sector. 6. The contract is a delivery order under a larger indefinite-delivery/indefinite-quantity (IDIQ) vehicle, common for ongoing support needs.

Value Assessment

Rating: good

The contract's value of $48.8 million over 13 years averages approximately $3.75 million annually, which is moderate for the scope of technology research and engineering services. Benchmarking against similar large-scale engineering support contracts is challenging without more specific service details. However, the Cost Plus Fixed Fee structure implies that the contractor's costs are reimbursed plus a fixed fee, which can be efficient if managed well, but the overall value is contingent on effective cost control and delivery of high-quality services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This typically leads to a more robust selection of qualified contractors and potentially better pricing due to market forces. The data does not specify the number of bids received, but the 'full and open' designation suggests a competitive environment was sought.

Taxpayer Impact: A competitive award process generally benefits taxpayers by fostering price discovery and encouraging contractors to offer their best value propositions to win the contract.

Public Impact

The primary beneficiaries are the Department of Defense agencies requiring advanced technology research, engineering, and program management expertise. Services delivered likely support the development, integration, and sustainment of complex defense systems and technologies. The geographic impact is likely national, given the nature of defense research and engineering, though specific deployment locations are not detailed. Workforce implications include employment for highly skilled engineers, scientists, and program managers, both within the contractor's organization and potentially through subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts require diligent oversight to ensure costs remain reasonable and the fixed fee is justified by performance.
The long duration of the contract (over 13 years) necessitates ongoing performance monitoring to ensure continued relevance and value.
The broad scope of 'technology research, engineering, and program management support' could lead to scope creep if not precisely managed.

Positive Signals

Awarded under full and open competition, suggesting a competitive process that should yield good value.
The contractor, Science Applications International Corporation, is a well-established company with significant experience in defense contracting.
The contract is a delivery order under an IDIQ, which is a standard and efficient mechanism for procuring ongoing support services.

Sector Analysis

The defense engineering services sector is a significant component of the broader aerospace and defense industry. This contract falls within the engineering services category, which includes research and development, systems integration, and program management for complex technological projects. Spending in this sector is driven by national security requirements and the continuous need for technological advancement in military capabilities. Comparable spending benchmarks would typically involve other large-scale R&D and engineering support contracts awarded by the DoD and other federal agencies.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. Therefore, there are no direct subcontracting implications mandated by a small business set-aside. However, large prime contractors like Science Applications International Corporation often engage small businesses as subcontractors for specialized services or to meet broader socioeconomic goals, though this is not explicitly detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), as indicated by the 'sa' field. Accountability measures are inherent in the Cost Plus Fixed Fee structure, requiring the contractor to justify costs and deliver on the fixed fee. Transparency is generally maintained through contract reporting mechanisms, though specific details on public accessibility of performance metrics are not provided. Inspector General jurisdiction would apply for investigations into fraud, waste, or abuse.

Related Government Programs

Defense Research and Development
Engineering Services
Program Management Support
Information Technology Support Services
Systems Engineering

Risk Flags

Long contract duration may indicate sustained need but also potential for outdated technology or services if not actively managed.
Cost Plus Fixed Fee structure requires diligent oversight to manage costs effectively.
Broad service description could lead to scope creep if not precisely defined in task orders.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $48.8 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. A WIDE RANGE OF TECHNOLOGY RESEARCH, ENGINEERING AND PROGRAM MANAGEMENT SUPPORT

Who is the contractor on this award?

The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $48.8 million.

What is the period of performance?

Start: 2009-10-05. End: 2024-01-25.

What is the historical spending trend for this specific contract vehicle or similar services provided by Science Applications International Corporation to the Department of Defense?

Analyzing historical spending trends for this specific contract vehicle requires access to detailed award data over its lifespan. Given its start date of October 5, 2009, and end date of January 25, 2024, it has been active for over 14 years. The total obligated amount of $48.8 million suggests an average annual spend of approximately $3.5 million. To provide a comprehensive trend, one would need to examine annual obligations, identify any significant spikes or dips in spending, and compare this to the contractor's overall portfolio with the DoD. Without granular data on annual obligations, it's difficult to pinpoint specific trends beyond the average annual spend. However, the sustained nature of the contract implies consistent demand for the services.

How does the average annual cost of this contract compare to industry benchmarks for similar technology research and engineering support services?

Benchmarking the average annual cost of $3.5 million for this contract against industry standards for technology research, engineering, and program management support is complex due to the broad nature of the services and the varying scales of projects. Industry benchmarks are typically derived from aggregated data on similar contracts, considering factors like the specific technologies involved, the level of expertise required, security clearances, and the geographic location of services. For large-scale, long-term defense contracts, this annual figure might be considered moderate, especially if it encompasses advanced R&D and complex systems engineering. However, a precise comparison would necessitate detailed service descriptions and access to proprietary cost data or specialized industry reports that segment costs by service type and contract complexity.

What are the key performance indicators (KPIs) used to evaluate the success of Science Applications International Corporation under this contract, and how has the contractor performed against them?

The provided data does not specify the Key Performance Indicators (KPIs) established for this contract. Typically, for technology research, engineering, and program management support contracts, KPIs might include metrics related to on-time delivery of milestones, adherence to budget (especially relevant for fixed-fee components), quality of deliverables (e.g., technical reports, system designs), innovation, and responsiveness to task orders. Performance evaluation is usually conducted by the government contracting officer and technical representatives. Without access to the contract's statement of work and performance reports, it is impossible to detail the specific KPIs or assess the contractor's performance against them. The 'good' rating in the value assessment suggests satisfactory performance, but lacks specific detail.

What is the potential risk associated with the Cost Plus Fixed Fee (CPFF) contract type in terms of cost overruns and contractor incentive?

The Cost Plus Fixed Fee (CPFF) contract type presents a mixed risk profile. The primary risk for the government is that the contractor may have less incentive to control costs rigorously compared to fixed-price contracts, as all allowable costs are reimbursed. However, the 'fixed fee' component provides the contractor with a defined profit margin, which can incentivize them to complete the work efficiently to maximize their return on investment without necessarily cutting corners on quality. The government's risk is mitigated through robust oversight, detailed cost accounting standards, and negotiation of a fair fee. Potential cost overruns are managed by the government's right to audit costs and disallow unreasonable expenditures. The effectiveness of CPFF hinges on clear contract scope and diligent government administration.

How has the scope of 'technology research, engineering, and program management support' evolved over the contract's 13+ year duration, and has this led to significant modifications or re-competitions?

The provided data indicates a single delivery order with a start date of 2009 and an end date of 2024, suggesting a relatively stable scope over its duration. However, the nature of 'technology research, engineering, and program management support' is inherently dynamic. It is highly probable that task orders issued under this contract vehicle have evolved to reflect changing technological landscapes and DoD priorities. Significant modifications or scope expansions would typically be documented through contract modifications or potentially lead to new contract vehicles if the changes were substantial enough to warrant re-competition. Without access to the specific task orders and modification history, it's impossible to detail the evolution of the scope or confirm if major re-competitions were necessitated.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002409R3090

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $60,421,380

Exercised Options: $60,421,380

Current Obligation: $48,801,434

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4119

IDV Type: IDC

Timeline