DoD Awards $41.4M for Satellite Comms Sustainment to IAP World Services, Inc

Contract Overview

Contract Amount: $41,406,571 ($41.4M)

Contractor: IAP World Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-01-22

End Date: 2026-01-21

Contract Duration: 364 days

Daily Burn Rate: $113.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST NO FEE

Sector: R&D

Official Description: SATELLITE COMMUNICATIONS SUSTAINMENT SUPPORT SERVICES

Place of Performance

Location: MELBOURNE, BREVARD County, FLORIDA, 32940

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $41.4 million to IAP WORLD SERVICES, INC. for work described as: SATELLITE COMMUNICATIONS SUSTAINMENT SUPPORT SERVICES Key points: 1. Contract value of $41.4M for sustainment services. 2. Competition type is 'FULL AND OPEN COMPETITION'. 3. Risk is moderate due to the nature of sustainment services. 4. Sector is R&D, specifically physical and engineering sciences.

Value Assessment

Rating: good

The contract value of $41.4M for a 1-year period appears reasonable for specialized satellite communications sustainment. Benchmarking against similar R&D support 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 a robust price discovery process. This method generally leads to competitive pricing.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential satellite communication sustainment.

Public Impact

Ensures continued operation and maintenance of critical satellite communication systems. Supports Department of Defense readiness and global operations. Provides specialized technical expertise for complex systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences. Spending in this area is crucial for maintaining advanced technological capabilities, including satellite communications.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract award. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The award is managed by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for defense contracts are expected to be in place.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, fl, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $41.4 million to IAP WORLD SERVICES, INC.. SATELLITE COMMUNICATIONS SUSTAINMENT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is IAP WORLD SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $41.4 million.

What is the period of performance?

Start: 2025-01-22. End: 2026-01-21.

What is the historical performance of IAP World Services, Inc. on similar government contracts?

Assessing IAP World Services, Inc.'s past performance on comparable government contracts is crucial for evaluating reliability and quality. Reviewing contract histories, past performance evaluations, and any documented issues or successes can provide insights into their capability to meet the demands of this satellite communications sustainment contract.

Are there any potential risks associated with the long-term sustainment of satellite communication systems under this contract?

Potential risks include technological obsolescence of the systems being sustained, the need for specialized and potentially scarce technical expertise, and the possibility of unforeseen operational challenges or environmental factors impacting satellite performance. Ensuring robust contingency planning and continuous technology assessment is vital.

How does the pricing structure (Cost No Fee) impact the government's ability to control costs and ensure value for money?

A 'Cost No Fee' (CNF) contract structure typically means the contractor is reimbursed for allowable costs but receives no fee or profit. While this can be cost-effective for the government, it shifts the risk of cost overruns to the government. Effective oversight is critical to ensure costs remain reasonable and within budget.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch 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: 3

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 6905 N WICKHAM RD STE 500, MELBOURNE, FL, 32940

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

Financial Breakdown

Contract Ceiling: $41,406,571

Exercised Options: $41,406,571

Current Obligation: $41,406,571

Actual Outlays: $2,633,444

Subaward Activity

Number of Subawards: 7

Total Subaward Amount: $3,830,587

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T17D0146

IDV Type: IDC

Timeline

Start Date: 2025-01-22

Current End Date: 2026-01-21

Potential End Date: 2026-01-21 12:01:00

Last Modified: 2025-12-28

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