DoD awards $158M R&D contract to Booz Allen Hamilton for program support
Contract Overview
Contract Amount: $157,780,880 ($157.8M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Defense
Start Date: 2019-07-01
End Date: 2024-11-20
Contract Duration: 1,969 days
Daily Burn Rate: $80.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: FUNDING IS PROVIDED FOR PROGRAM SUPPORT.
Place of Performance
Location: ABERDEEN PROVING GROUND, HARFORD County, MARYLAND, 21005
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $157.8 million to BOOZ ALLEN HAMILTON INC for work described as: FUNDING IS PROVIDED FOR PROGRAM SUPPORT. Key points: 1. Booz Allen Hamilton, a major government contractor, secured this significant award. 2. The contract falls under R&D in Physical, Engineering, and Life Sciences. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract duration is substantial, spanning over 1900 days.
Value Assessment
Rating: good
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. However, the fixed fee component provides some cost certainty. Benchmarking against similar R&D contracts is difficult without more granular data on the specific services provided.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds are being used efficiently, although the Cost Plus Fixed Fee structure warrants monitoring for cost control.
Public Impact
Supports critical research and development activities for the Department of Defense. Potential for advancements in physical, engineering, and life sciences impacting national security. Long-term engagement with a key contractor, Booz Allen Hamilton, for ongoing program support.
Waste & Efficiency Indicators
Waste Risk Score: 80 / 10
Warning Flags
- Cost Plus Fixed Fee contract type requires diligent oversight to manage costs.
- Long contract duration may present risks if program requirements evolve significantly.
Positive Signals
- Awarded through full and open competition, indicating a competitive process.
- Significant funding for R&D, potentially leading to valuable technological advancements.
Sector Analysis
This contract is in the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this sector is crucial for technological advancement and national security, with significant government investment annually.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. As a large contract awarded to a major contractor, it is unlikely that small businesses will be directly involved as prime contractors, though they may participate as subcontractors.
Oversight & Accountability
The contract is managed by the Defense Contract Management Agency, which is responsible for oversight. The Cost Plus Fixed Fee structure necessitates robust oversight to ensure cost efficiency and prevent scope creep.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Fixed Fee contract type
- Long contract duration
- Lack of specific program details
- Potential for cost overruns
Tags
research-and-development-in-the-physical, department-of-defense, md, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $157.8 million to BOOZ ALLEN HAMILTON INC. FUNDING IS PROVIDED FOR PROGRAM SUPPORT.
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $157.8 million.
What is the period of performance?
Start: 2019-07-01. End: 2024-11-20.
What specific R&D program is this funding supporting, and what are the expected outcomes?
The provided data indicates the funding is for 'program support' within R&D in Physical, Engineering, and Life Sciences. Without further details on the specific program, it's impossible to determine the exact nature of the research or the anticipated outcomes. Understanding the program's objectives and deliverables is crucial for assessing the true value and effectiveness of this substantial investment.
How will the Cost Plus Fixed Fee structure be managed to mitigate potential cost overruns?
Effective management of a Cost Plus Fixed Fee (CPFF) contract relies on stringent oversight by the contracting agency. This includes detailed review of incurred costs, clear definition and monitoring of the fixed fee, and proactive management of any scope changes. Regular audits and performance reviews are essential to ensure the contractor remains within budget and that the fixed fee accurately reflects the value delivered.
What is the long-term strategic value of this R&D investment for the Department of Defense?
The long-term strategic value hinges on the specific advancements achieved in physical, engineering, and life sciences. If this funding leads to breakthroughs in areas critical to national security, such as advanced materials, AI integration, or new medical countermeasures, the return on investment could be immense. However, without knowing the precise R&D focus, assessing this strategic value remains speculative.
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: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $195,692,248
Exercised Options: $195,692,248
Current Obligation: $157,780,880
Actual Outlays: $3,934,656
Subaward Activity
Number of Subawards: 204
Total Subaward Amount: $49,365,195
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15P7T17D0142
IDV Type: IDC
Timeline
Start Date: 2019-07-01
Current End Date: 2024-11-20
Potential End Date: 2024-11-20 00:00:00
Last Modified: 2025-07-24
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