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
- Potential for scope creep in sustainment services.
- Reliance on a single contractor for critical support.
Positive Signals
- Full and open competition utilized.
- Clear contract duration and defined services.
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
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Contract duration of 1 year may require subsequent competitive procurements.
- Potential for vendor lock-in if specialized knowledge is highly concentrated.
- Dependence on specific satellite technologies which may evolve rapidly.
- Cost No Fee structure requires strong government cost monitoring.
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 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: 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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