DoD's NIWC Atlantic Awards $551M Engineering Services Contract to VSOLVIT LLC Under Full and Open Competition

Contract Overview

Contract Amount: $5,510,279 ($5.5M)

Contractor: Vsolvit LLC

Awarding Agency: Department of Defense

Start Date: 2024-09-20

End Date: 2026-09-19

Contract Duration: 729 days

Daily Burn Rate: $7.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC REQUIRES SYSTEMS ENGINEERING, RESEARCH, EVALUATION, SOFTWARE ENGINEERING, REQUIREMENTS ANALYSIS, TESTING, TECHNICAL WRITING, IMPLEMENTATION, BUSINESS INTELLIGENCE, SYSTEMS ADMINISTRATION, SYST

Place of Performance

Location: HENDERSON, CLARK County, NEVADA, 89014

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $5.5 million to VSOLVIT LLC for work described as: NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC REQUIRES SYSTEMS ENGINEERING, RESEARCH, EVALUATION, SOFTWARE ENGINEERING, REQUIREMENTS ANALYSIS, TESTING, TECHNICAL WRITING, IMPLEMENTATION, BUSINESS INTELLIGENCE, SYSTEMS ADMINISTRATION, SYST Key points: 1. Contract awarded to VSOLVIT LLC for comprehensive engineering and IT services. 2. Significant value of $551 million highlights the scale of the requirement. 3. Full and open competition suggests a robust market for these services. 4. The contract spans two years, indicating a medium-term need for support.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not managed carefully. Benchmarking CPFF contracts for similar engineering services is challenging due to variability in scope and overhead.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors were likely considered. This method generally promotes competitive pricing and allows the government to select the best value offering.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, but the CPFF structure introduces potential for costs to exceed initial estimates, impacting overall taxpayer value.

Public Impact

Ensures continued support for critical naval information warfare systems. Supports technological advancement and maintenance within the Department of the Navy. Provides employment opportunities within the engineering and IT sectors.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Engineering Services (NAICS 541330), a sector crucial for defense modernization. Spending in this area is substantial, with significant government investment in R&D and system integration for national security.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any set-asides for small businesses. Therefore, it is unlikely that small businesses were the primary focus of this particular award.

Oversight & Accountability

The Department of the Navy's NIWC Atlantic is responsible for this award. Oversight will involve monitoring contract performance, cost controls under the CPFF structure, and adherence to technical requirements to ensure effective use of funds.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, nv, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.5 million to VSOLVIT LLC. NAVAL INFORMATION WARFARE CENTER (NIWC) ATLANTIC REQUIRES SYSTEMS ENGINEERING, RESEARCH, EVALUATION, SOFTWARE ENGINEERING, REQUIREMENTS ANALYSIS, TESTING, TECHNICAL WRITING, IMPLEMENTATION, BUSINESS INTELLIGENCE, SYSTEMS ADMINISTRATION, SYST

Who is the contractor on this award?

The obligated recipient is VSOLVIT 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 $5.5 million.

What is the period of performance?

Start: 2024-09-20. End: 2026-09-19.

What specific systems engineering and software development tasks are included in this contract, and how do they align with current naval modernization priorities?

The contract encompasses a broad range of services including systems engineering, research, evaluation, software engineering, requirements analysis, testing, technical writing, implementation, business intelligence, and systems administration. These tasks are crucial for maintaining and advancing the complex IT infrastructure and C4ISR systems vital to naval operations and information warfare capabilities.

What are the potential risks associated with the Cost Plus Fixed Fee (CPFF) contract type for a two-year duration, and how can they be mitigated?

The primary risk with CPFF is that costs can escalate beyond initial projections if the contractor's expenses are higher than anticipated, potentially leading to reduced value for money. Mitigation strategies include robust government oversight, detailed cost tracking, clear definition of fixed fee parameters, and performance incentives tied to cost efficiency and successful delivery.

How does the scope of services provided by VSOLVIT LLC contribute to the overall effectiveness and technological edge of the Naval Information Warfare Command?

VSOLVIT's comprehensive services directly support the development, integration, and sustainment of critical information warfare systems. By providing expertise in areas like software engineering, systems administration, and testing, they ensure the Navy's technological infrastructure remains modern, secure, and effective in a rapidly evolving threat landscape.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering 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: N6523624R3033

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2831 SAINT ROSE PKWY STE 286, HENDERSON, NV, 89052

Business Categories: Category Business, Limited Liability Corporation, Minority Owned Business, Not Designated a Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business

Financial Breakdown

Contract Ceiling: $23,747,097

Exercised Options: $9,079,748

Current Obligation: $5,510,279

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D8820

IDV Type: IDC

Timeline

Start Date: 2024-09-20

Current End Date: 2026-09-19

Potential End Date: 2029-09-19 00:00:00

Last Modified: 2026-02-13

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