DoD Awards $56M for Naval Engineering Services to CACI, Inc. - Federal
Contract Overview
Contract Amount: $56,262,758 ($56.3M)
Contractor: CACI, Inc. - Federal
Awarding Agency: Department of Defense
Start Date: 2021-02-26
End Date: 2025-09-26
Contract Duration: 1,673 days
Daily Burn Rate: $33.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: ACQUISITION OF KNOWLEDGE BASED ENGINEERING AND TECHNICAL SERVICES IN SUPPORT OF RESEARCH, DESIGN AND DEVELOPMENT, TEST AND EVALUATION OF MODEL-SCALE AND FULL-SCALE SURFACE SHIPS, SUBMARINES, AND SPECIALIZED PLATFORMS AND SYSTEMS.
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20817
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $56.3 million to CACI, INC. - FEDERAL for work described as: ACQUISITION OF KNOWLEDGE BASED ENGINEERING AND TECHNICAL SERVICES IN SUPPORT OF RESEARCH, DESIGN AND DEVELOPMENT, TEST AND EVALUATION OF MODEL-SCALE AND FULL-SCALE SURFACE SHIPS, SUBMARINES, AND SPECIALIZED PLATFORMS AND SYSTEMS. Key points: 1. Contract awarded to CACI, Inc. - Federal for critical naval engineering support. 2. Significant investment in research, design, development, and testing of naval platforms. 3. Full and open competition indicates a robust market for these specialized services. 4. The sector is dominated by large, established defense contractors.
Value Assessment
Rating: good
The contract value of $56.3 million over approximately 3.3 years appears reasonable for specialized engineering services. Benchmarking against similar large-scale defense engineering contracts would provide further context on pricing efficiency.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially more favorable pricing for the government.
Taxpayer Impact: Taxpayer funds are being used for essential defense research and development, aiming to maintain technological superiority in naval capabilities.
Public Impact
Enhances U.S. Navy's technological edge in surface ships and submarines. Supports innovation in critical defense systems and platforms. Creates high-skilled jobs in engineering and technical fields.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in cost-plus fixed fee contracts.
- Long-term reliance on a single contractor for critical services.
Positive Signals
- Awarded through full and open competition.
- Supports critical national defense objectives.
- Long contract duration allows for sustained development.
Sector Analysis
This contract falls within the Engineering Services sector, specifically supporting the Department of Defense's naval research and development. Spending in this area is crucial for maintaining military readiness and technological advancement.
Small Business Impact
The contract was awarded to a large business (CACI, Inc. - Federal) and there is no indication of small business subcontracting in the provided data. Opportunities for small businesses may exist further down the subcontracting chain.
Oversight & Accountability
The Department of the Navy is responsible for oversight of this contract. Robust oversight is crucial for cost control and ensuring deliverables meet stringent performance requirements, especially with cost-plus contracts.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost Overrun Risk (CPFF)
- Performance Measurement Challenges
- Dependency on Key Personnel
- Technological Obsolescence Risk
Tags
engineering-services, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $56.3 million to CACI, INC. - FEDERAL. ACQUISITION OF KNOWLEDGE BASED ENGINEERING AND TECHNICAL SERVICES IN SUPPORT OF RESEARCH, DESIGN AND DEVELOPMENT, TEST AND EVALUATION OF MODEL-SCALE AND FULL-SCALE SURFACE SHIPS, SUBMARINES, AND SPECIALIZED PLATFORMS AND SYSTEMS.
Who is the contractor on this award?
The obligated recipient is CACI, INC. - FEDERAL.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $56.3 million.
What is the period of performance?
Start: 2021-02-26. End: 2025-09-26.
What is the projected return on investment for the knowledge-based engineering services acquired?
The return on investment (ROI) for these engineering services is primarily measured by the enhancement of naval capabilities, technological superiority, and national security. Quantifying a direct financial ROI is challenging, but the strategic value lies in maintaining a modern and effective naval force capable of deterring adversaries and protecting national interests.
What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this acquisition?
The primary risk with CPFF contracts is that the contractor may have less incentive to control costs compared to fixed-price contracts, as the government agrees to cover all allowable costs plus a fixed fee. This can lead to cost overruns if not managed diligently through strong government oversight and performance monitoring.
How effectively will these services contribute to the modernization of naval platforms and systems?
These services are expected to contribute effectively to modernization by providing essential expertise in research, design, development, and testing of surface ships, submarines, and specialized platforms. The focus on advanced engineering and technical support directly addresses the need for cutting-edge capabilities in a rapidly evolving defense landscape.
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: N0016720R3003
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc
Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $57,329,486
Exercised Options: $57,329,486
Current Obligation: $56,262,758
Subaward Activity
Number of Subawards: 8
Total Subaward Amount: $5,177,440
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017819D7295
IDV Type: IDC
Timeline
Start Date: 2021-02-26
Current End Date: 2025-09-26
Potential End Date: 2025-09-26 00:00:00
Last Modified: 2025-07-22
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