DoD Awards BAE Systems $3.39M Task Order for Engineering Services Under Full and Open Competition

Contract Overview

Contract Amount: $3,387,449 ($3.4M)

Contractor: BAE Systems Technology Solutions & Services Inc.

Awarding Agency: Department of Defense

Start Date: 2022-05-19

End Date: 2026-05-18

Contract Duration: 1,460 days

Daily Burn Rate: $2.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: SET UP TASK ORDER AND PROVIDE INITIAL FUNDING

Place of Performance

Location: RONKONKOMA, SUFFOLK County, NEW YORK, 11779

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $3.4 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC. for work described as: SET UP TASK ORDER AND PROVIDE INITIAL FUNDING Key points: 1. The award represents a modest initial funding for engineering services. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns. 4. The IT sector is not directly indicated, but engineering services can support various sectors.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type introduces risk for cost overruns. Without specific benchmarks for similar engineering services contracts, it's difficult to definitively assess pricing efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically promotes competitive pricing. However, the Cost Plus Fixed Fee structure may limit the direct impact of price discovery on the final cost.

Taxpayer Impact: The initial funding is $3.39 million. The ultimate taxpayer impact will depend on the total cost incurred throughout the task order's duration.

Public Impact

This task order supports the Department of the Navy's engineering needs. The contract duration is approximately four years, indicating a long-term requirement. The awardee, BAE Systems, is a significant defense contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type
Potential for cost overruns

Positive Signals

Full and open competition
Established contractor

Sector Analysis

Engineering services are crucial for defense projects, supporting design, development, and maintenance. Benchmarks for such services vary widely based on complexity and scope, making direct comparison challenging without more detail.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The award is a task order under a larger contract, implying some level of pre-existing oversight. However, the Cost Plus Fixed Fee structure necessitates diligent monitoring to control costs.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost Plus Fixed Fee contract type
Lack of specific service details
No total contract value provided
Potential for cost overruns

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $3.4 million to BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES INC.. SET UP TASK ORDER AND PROVIDE INITIAL FUNDING

Who is the contractor on this award?

The obligated recipient is BAE SYSTEMS TECHNOLOGY SOLUTIONS & SERVICES 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 $3.4 million.

What is the period of performance?

Start: 2022-05-19. End: 2026-05-18.

What is the estimated total value of this task order upon completion?

The provided data only shows the initial funding of $3,387,449.49. The total value is not specified, and given the Cost Plus Fixed Fee structure, the final cost could exceed initial estimates. Further documentation would be required to determine the ceiling or estimated total cost.

What specific engineering services are being procured under this task order?

The NAICS code 541330 indicates Engineering Services. However, the specific nature of these services for the Department of the Navy is not detailed in the provided data. This could range from naval architecture and marine engineering to systems engineering or specialized technical support.

How will the government ensure cost-effectiveness with a Cost Plus Fixed Fee contract?

The government will likely employ robust oversight, including detailed cost tracking, regular audits, and performance reviews. Establishing clear milestones and deliverables, along with negotiating a reasonable fixed fee, are key strategies to incentivize efficiency and control costs within this contract type.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0042120R0145

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ball Corporation

Address: 520 GAITHER RD, ROCKVILLE, MD, 20850

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

Financial Breakdown

Contract Ceiling: $5,959,681

Exercised Options: $5,959,681

Current Obligation: $3,387,449

Actual Outlays: $115,634

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $129,065

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0042122D0002

IDV Type: IDC

Timeline