DoD Awards $35.6M for Marine Corps Electronic Security System Lifecycle Engineering Support
Contract Overview
Contract Amount: $35,652,235 ($35.7M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: Department of Defense
Start Date: 2022-09-29
End Date: 2026-09-28
Contract Duration: 1,460 days
Daily Burn Rate: $24.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: MARINE CORPS ELECTRONIC SECURITY SYSTEM (MCESS) LIFECYCLE ENGINEERING SUPPORT (LCES) V
Place of Performance
Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29406
Plain-Language Summary
Department of Defense obligated $35.7 million to KBR WYLE SERVICES, LLC for work described as: MARINE CORPS ELECTRONIC SECURITY SYSTEM (MCESS) LIFECYCLE ENGINEERING SUPPORT (LCES) V Key points: 1. Contract awarded to KBR WYLE SERVICES, LLC for essential engineering support. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is approximately 4 years, indicating a long-term need. 4. The total value of $35.6M is significant for specialized engineering services.
Value Assessment
Rating: good
The contract's Cost Plus Fixed Fee (CPFF) structure allows for flexibility but requires careful monitoring of costs to ensure value. Benchmarking against similar lifecycle engineering support contracts would provide a clearer picture of its cost-effectiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of full and open competition is a positive indicator for price discovery, as it allows multiple qualified vendors to bid. This method generally leads to more competitive pricing compared to sole-source or limited competitions.
Taxpayer Impact: The competitive nature of the award is expected to yield a fair price for taxpayers, maximizing the value of the $35.6M investment.
Public Impact
Ensures continued operational readiness and security for critical Marine Corps electronic systems. Supports the long-term sustainment and modernization of vital defense infrastructure. Provides specialized engineering expertise crucial for complex security systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns with CPFF contract type if not closely managed.
- Reliance on a single contractor for critical lifecycle support.
Positive Signals
- Awarded through full and open competition.
- Supports a critical national defense function.
- Long-term contract provides stability for essential services.
Sector Analysis
This contract falls within the Engineering Services sector (NAICS 541330), which supports the defense industry. Spending in this area is crucial for maintaining advanced technological capabilities and ensuring national security.
Small Business Impact
The data indicates that this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was solicited or achieved through subcontracting.
Oversight & Accountability
The Department of the Navy's oversight is critical for managing the CPFF contract, ensuring adherence to scope, cost controls, and performance standards to maximize taxpayer value.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Cost control risks associated with CPFF contract type.
- Potential for vendor lock-in due to specialized knowledge.
- Dependence on contractor performance for critical security systems.
- Need for continuous monitoring of evolving technological threats.
Tags
engineering-services, department-of-defense, sc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $35.7 million to KBR WYLE SERVICES, LLC. MARINE CORPS ELECTRONIC SECURITY SYSTEM (MCESS) LIFECYCLE ENGINEERING SUPPORT (LCES) V
Who is the contractor on this award?
The obligated recipient is KBR WYLE SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $35.7 million.
What is the period of performance?
Start: 2022-09-29. End: 2026-09-28.
What is the projected return on investment for this lifecycle engineering support contract in terms of system reliability and reduced long-term maintenance costs?
The return on investment is primarily measured by the sustained operational effectiveness and security of the Marine Corps' electronic systems. Effective lifecycle engineering should reduce unexpected failures, extend equipment lifespan, and minimize costly emergency repairs, thereby offering significant long-term cost savings and enhanced mission readiness.
What are the key performance indicators (KPIs) used to assess KBR WYLE SERVICES, LLC's performance and ensure risk mitigation?
Key performance indicators likely include system uptime, response times for engineering support requests, successful implementation of system upgrades or modifications, adherence to security protocols, and timely delivery of engineering documentation. Regular performance reviews against these KPIs will help mitigate risks related to service delivery and cost control.
How does the pricing structure of this CPFF contract compare to industry benchmarks for similar lifecycle engineering services, and what mechanisms are in place to control costs?
While specific benchmark data is not provided, CPFF contracts inherently carry a risk of cost escalation. The Department of the Navy must implement robust cost-tracking mechanisms, regular audits, and clear scope management to ensure the fixed fee remains appropriate and overall costs stay within reasonable bounds compared to market rates for comparable services.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N6523622R3020
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Brown & Root Industrial Services Holdings, LLC
Address: 22309 EXPLORATION DR, LEXINGTON PARK, MD, 20653
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $56,603,672
Exercised Options: $44,928,866
Current Obligation: $35,652,235
Subaward Activity
Number of Subawards: 12
Total Subaward Amount: $1,388,190
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017819D7949
IDV Type: IDC
Timeline
Start Date: 2022-09-29
Current End Date: 2026-09-28
Potential End Date: 2027-09-28 00:00:00
Last Modified: 2025-11-18
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