Army Awards $99.5M Bradley Acquisition Subsystem Engineering Services Contract to DRS Network & Imaging Systems

Contract Overview

Contract Amount: $99,528,152 ($99.5M)

Contractor: DRS Network & Imaging Systems LLC

Awarding Agency: Department of Defense

Start Date: 2017-12-01

End Date: 2023-06-29

Contract Duration: 2,036 days

Daily Burn Rate: $48.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: AWARD FOR IMPROVED BRADLEY ACQUISITION SUBSYSTEM ENGINEERING SERVICES FOR A BASE YEAR IN FY18 AND OPTIONS IN FY19-21

Place of Performance

Location: MELBOURNE, BREVARD County, FLORIDA, 32935

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $99.5 million to DRS NETWORK & IMAGING SYSTEMS LLC for work described as: AWARD FOR IMPROVED BRADLEY ACQUISITION SUBSYSTEM ENGINEERING SERVICES FOR A BASE YEAR IN FY18 AND OPTIONS IN FY19-21 Key points: 1. The contract focuses on engineering services for the Bradley Fighting Vehicle's acquisition subsystem. 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 if not managed carefully. 4. The total duration spans from FY18 through FY21, with options extending the period.

Value Assessment

Rating: good

The award amount of $99.5M for engineering services appears reasonable given the scope and duration. Benchmarking against similar complex defense system engineering contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests taxpayer funds were used efficiently, though the Cost Plus Fixed Fee structure warrants monitoring for cost control.

Public Impact

Enhances the capabilities of the Bradley Fighting Vehicle, a key piece of Army equipment. Supports the defense industrial base through a significant contract award. Ensures continued engineering support for a critical military platform.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can incentivize contractor spending.
Long contract duration may require ongoing oversight for performance and cost.

Positive Signals

Full and open competition generally leads to better pricing.
Award to a known entity suggests established capabilities.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense systems. Spending in this area is crucial for maintaining and upgrading military hardware, with benchmarks varying widely based on system complexity and service scope.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this award.

Oversight & Accountability

The definitive contract award suggests a structured procurement process. Oversight will be critical to manage the Cost Plus Fixed Fee structure and ensure performance objectives are met within budget.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Cost Plus Fixed Fee contract type can lead to higher costs if not managed tightly.
Potential for scope creep over the contract's extended duration.
Lack of specific performance metrics in the provided data.
Limited insight into small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $99.5 million to DRS NETWORK & IMAGING SYSTEMS LLC. AWARD FOR IMPROVED BRADLEY ACQUISITION SUBSYSTEM ENGINEERING SERVICES FOR A BASE YEAR IN FY18 AND OPTIONS IN FY19-21

Who is the contractor on this award?

The obligated recipient is DRS NETWORK & IMAGING SYSTEMS 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 $99.5 million.

What is the period of performance?

Start: 2017-12-01. End: 2023-06-29.

What is the projected total cost if all options are exercised, and how does this compare to similar engineering service contracts for armored vehicle subsystems?

The provided data indicates a base year award of $99.5M with options for FY19-21. The total value if all options are exercised is not explicitly stated but would be the sum of the base year and exercised options. A comprehensive comparison to similar contracts would require access to a broader database of defense engineering service procurements, considering factors like system complexity, technology insertion, and contract type.

What are the specific performance metrics and key performance indicators (KPIs) associated with this contract, and how will they be monitored to mitigate cost overrun risks inherent in CPFF contracts?

The contract details do not specify the performance metrics or KPIs. Effective oversight of a Cost Plus Fixed Fee (CPFF) contract necessitates clearly defined deliverables, milestones, and quality standards. The contracting officer and technical team must rigorously track progress against these metrics and manage scope changes to prevent cost overruns and ensure the contractor meets all contractual obligations.

How does the engineering support provided under this contract contribute to the overall modernization and sustainment strategy for the Bradley Fighting Vehicle fleet?

This contract provides essential engineering services for the Bradley acquisition subsystem, which is critical for maintaining and potentially upgrading the vehicle's capabilities. Such support is vital for the long-term sustainment of the fleet, ensuring it remains operationally effective and adaptable to evolving threats and technological advancements. The specific contributions would depend on the defined scope of work within the contract.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W31P4Q16R0116

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leonardo SPA

Address: 100 N BABCOCK ST, MELBOURNE, FL, 32935

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign-Owned and U.S.-Incorporated Business, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $99,538,418

Exercised Options: $99,528,152

Current Obligation: $99,528,152

Actual Outlays: $1,874,574

Subaward Activity

Number of Subawards: 121

Total Subaward Amount: $18,994,427

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline