DoD Awards $221M SATCOM Support Services Contract to IAP World Services, Inc

Contract Overview

Contract Amount: $221,157,260 ($221.2M)

Contractor: IAP World Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-06-26

End Date: 2026-09-30

Contract Duration: 2,653 days

Daily Burn Rate: $83.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: AWARD OF SATELLITE COMMUNICATION (SATCOM) SUPPORT SERVICES

Place of Performance

Location: CAPE CANAVERAL, BREVARD County, FLORIDA, 32920

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $221.2 million to IAP WORLD SERVICES, INC. for work described as: AWARD OF SATELLITE COMMUNICATION (SATCOM) SUPPORT SERVICES Key points: 1. Contract awarded for satellite communication support services. 2. Competition method was full and open. 3. Risk appears moderate given the contract type and duration. 4. Sector is Engineering Services, with a focus on IT/Communications.

Value Assessment

Rating: good

The contract value of $221M over approximately 7 years suggests a significant but potentially reasonable price for specialized SATCOM support. Benchmarking against similar large-scale communication service contracts would be necessary for a definitive 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 more competitive pricing compared to limited or sole-source procurements.

Taxpayer Impact: The use of full and open competition aims to secure the best value for taxpayers by encouraging multiple bidders to offer competitive prices.

Public Impact

Ensures critical satellite communication capabilities for the Department of Defense. Supports military operations and readiness through reliable communication infrastructure. Potential impact on the commercial SATCOM market through a large government contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to advanced communication technologies. Government spending in this area is crucial for national security and technological advancement, with benchmarks varying widely based on service complexity and scale.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and the prime contractor, IAP World Services, Inc., is a large business. There is no information on small business subcontracting participation.

Oversight & Accountability

Standard DoD oversight mechanisms would apply. The long duration and significant value necessitate diligent monitoring to ensure performance, cost control, and adherence to contract terms.

Related Government Programs

Risk Flags

Tags

engineering-services, department-of-defense, fl, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $221.2 million to IAP WORLD SERVICES, INC.. AWARD OF SATELLITE COMMUNICATION (SATCOM) 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 $221.2 million.

What is the period of performance?

Start: 2019-06-26. End: 2026-09-30.

What is the specific breakdown of services included in the SATCOM support?

The provided data does not detail the specific services covered under the SATCOM support. A thorough review of the contract's Statement of Work (SOW) would be required to understand the scope, which could include installation, maintenance, network management, and operational support for satellite communication systems.

What are the key performance indicators (KPIs) for this contract?

Key performance indicators are not detailed in the provided summary. Typically, for SATCOM support, KPIs would focus on uptime, latency, bandwidth availability, response times for technical issues, and overall system reliability to ensure mission-critical communication needs are met effectively.

How does the pricing compare to industry standards for similar SATCOM services?

A direct comparison to industry standards is difficult without detailed service specifications and market research data. However, the firm fixed-price nature suggests an attempt to control costs. Further analysis would involve benchmarking against commercial equivalent services and other government contracts.

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: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W52P1J18R0085

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7315 N ATLANTIC AVE, CAPE CANAVERAL, FL, 32920

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

Financial Breakdown

Contract Ceiling: $228,134,268

Exercised Options: $221,157,260

Current Obligation: $221,157,260

Actual Outlays: $19,075,613

Subaward Activity

Number of Subawards: 287

Total Subaward Amount: $129,795,398

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2019-06-26

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2025-09-30

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