DoD Awards $143.8M for Material Fielding and Integrated Product Support to Sev1Tech, LLC
Contract Overview
Contract Amount: $143,838,395 ($143.8M)
Contractor: Sev1tech, LLC
Awarding Agency: Department of Defense
Start Date: 2019-08-14
End Date: 2025-04-05
Contract Duration: 2,061 days
Daily Burn Rate: $69.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: MATERIAL FIELDING AND INTEGRATED PRODUCT SUPPORT
Place of Performance
Location: WOODBRIDGE, PRINCE WILLIAM County, VIRGINIA, 22192
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $143.8 million to SEV1TECH, LLC for work described as: MATERIAL FIELDING AND INTEGRATED PRODUCT SUPPORT Key points: 1. Significant contract value of $143.8 million for R&D services. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk is moderate given the Cost Plus Fixed Fee contract type. 4. Spending is within the R&D sector, specifically physical and engineering sciences.
Value Assessment
Rating: good
The contract is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Benchmarking against similar R&D contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing. The Delivery Order award mechanism suggests this is part of a larger IDIQ or similar vehicle.
Taxpayer Impact: Full and open competition aims to secure the best value for taxpayers by allowing all eligible vendors to bid.
Public Impact
Supports the Department of the Army's research and development efforts. Contract duration extends to April 2025, indicating long-term support. Focus on material fielding and integrated product support suggests critical operational needs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize cost overruns.
- Limited detail on specific deliverables and performance metrics.
- Long contract duration may require ongoing performance monitoring.
Positive Signals
- Awarded under full and open competition.
- Supports critical defense research and development.
- Long-term commitment indicates sustained need and potential for stable vendor performance.
Sector Analysis
This contract falls under the Research and Development sector, specifically NAICS code 541712. Spending in this area is crucial for technological advancement but can be complex to benchmark due to the specialized nature of R&D services.
Small Business Impact
The data indicates the primary contractor is SEV1TECH, LLC. There is no explicit information provided regarding small business participation or subcontracting goals within this specific award.
Oversight & Accountability
The Department of Defense has robust oversight mechanisms for R&D contracts. However, the effectiveness of oversight for Cost Plus Fixed Fee contracts relies heavily on detailed performance metrics and regular audits.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Potential for scope creep in R&D projects.
- Long contract duration requires sustained oversight.
- Limited public detail on specific deliverables.
Tags
research-and-development-in-the-physical, department-of-defense, va, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $143.8 million to SEV1TECH, LLC. MATERIAL FIELDING AND INTEGRATED PRODUCT SUPPORT
Who is the contractor on this award?
The obligated recipient is SEV1TECH, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $143.8 million.
What is the period of performance?
Start: 2019-08-14. End: 2025-04-05.
What specific R&D activities are encompassed by 'Material Fielding and Integrated Product Support' to assess true value?
The term 'Material Fielding and Integrated Product Support' likely refers to the processes and services required to deploy, maintain, and sustain military equipment and systems throughout their lifecycle. This could include logistics, training, maintenance planning, and technical support. Understanding the precise scope is crucial for evaluating if the $143.8 million represents fair value for the anticipated outcomes and technological advancements.
How will the Cost Plus Fixed Fee structure be managed to mitigate potential cost overruns and ensure taxpayer value?
Effective management of a Cost Plus Fixed Fee contract requires stringent oversight, clear performance metrics, and regular audits to ensure costs are reasonable and allocable. The contracting officer must actively monitor expenditures against the fixed fee and the estimated cost ceiling. Transparency in reporting and proactive risk identification by the government are key to preventing cost overruns and maximizing the value derived from the $143.8 million investment.
What are the key performance indicators (KPIs) for this contract to measure the effectiveness of the R&D and product support?
Key performance indicators should focus on the successful fielding of materials, the efficiency and effectiveness of integrated product support, and the achievement of specific R&D milestones. Examples could include on-time delivery rates, system readiness levels post-fielding, reduction in maintenance downtime, successful integration of new technologies, and adherence to budget. Measuring these KPIs will provide insight into the contract's overall effectiveness and return on investment.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
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
Offers Received: 5
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 12700 BLACK FOREST LN STE 306, WOODBRIDGE, VA, 22192
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $207,149,176
Exercised Options: $184,850,609
Current Obligation: $143,838,395
Actual Outlays: $331,645
Subaward Activity
Number of Subawards: 5
Total Subaward Amount: $14,286,378
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15P7T17D0147
IDV Type: IDC
Timeline
Start Date: 2019-08-14
Current End Date: 2025-04-05
Potential End Date: 2025-04-05 12:04:00
Last Modified: 2025-04-04
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