DoD's $6.87M contract for tactical assault kit and mission cell tech awarded to Planned Systems International Inc

Contract Overview

Contract Amount: $6,866,817 ($6.9M)

Contractor: Planned Systems International Inc

Awarding Agency: Department of Defense

Start Date: 2024-12-19

End Date: 2026-12-18

Contract Duration: 729 days

Daily Burn Rate: $9.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: RESEARCH, ANALYSIS, DEVELOPMENT, DEMONSTRATION, ACQUISITION, TRANSITION, INTEGRATION, INSTALLATION, DEPLOYMENT, SUSTAINMENT, AND TRAINING OF SOFTWARE AND HARDWARE TECHNOLOGIES TO INCLUDE TACTICAL ASSAULT KIT AND UNIQUE MISSION CELL.

Place of Performance

Location: COLUMBIA, HOWARD County, MARYLAND, 21044

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $6.9 million to PLANNED SYSTEMS INTERNATIONAL INC for work described as: RESEARCH, ANALYSIS, DEVELOPMENT, DEMONSTRATION, ACQUISITION, TRANSITION, INTEGRATION, INSTALLATION, DEPLOYMENT, SUSTAINMENT, AND TRAINING OF SOFTWARE AND HARDWARE TECHNOLOGIES TO INCLUDE TACTICAL ASSAULT KIT AND UNIQUE MISSION CELL. Key points: 1. Value for money appears fair given the R&D nature of the contract, though specific performance metrics are not detailed. 2. Competition was conducted via 'full and open competition after exclusion of sources,' suggesting a deliberate selection process. 3. Risk indicators are moderate, with the primary risks likely tied to technological development and successful integration. 4. Performance context is within the Department of the Army's need for advanced tactical software and hardware. 5. Sector positioning is within the defense R&D segment, focusing on specialized military technology.

Value Assessment

Rating: fair

The contract's value of $6.87 million for research, development, and integration of specialized military technology seems reasonable within the defense sector. Benchmarking against similar R&D contracts for tactical systems is challenging due to the unique nature of 'tactical assault kit and unique mission cell.' However, the cost-plus-fixed-fee structure allows for flexibility in R&D while providing a defined profit margin for the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'full and open competition after exclusion of sources.' This indicates that while the competition was intended to be broad, specific sources were excluded, potentially due to specialized capabilities or prior relationships. The exact number of bidders is not specified, but the exclusion of sources suggests a more targeted approach than a completely unrestricted competition, which could impact price discovery.

Taxpayer Impact: Taxpayers benefit from a potentially specialized solution, but the exclusion of sources might limit the full competitive pressure that could drive down costs.

Public Impact

The primary beneficiaries are the U.S. Army personnel who will utilize the advanced tactical assault kits and mission cells. Services delivered include research, analysis, development, demonstration, acquisition, transition, integration, installation, deployment, sustainment, and training of software and hardware. The geographic impact is likely focused on military installations and operational theaters where these technologies will be deployed. Workforce implications include potential needs for specialized technical personnel for development, integration, and training.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in cost-plus-fixed-fee R&D contracts.
Risk of technological obsolescence if development timelines are extended or if newer technologies emerge rapidly.
Dependence on a single contractor for specialized development could pose a risk if performance issues arise.

Positive Signals

Contractor has experience in developing and integrating complex systems for the Department of Defense.
Clear definition of the scope of work, including sustainment and training, suggests a comprehensive approach.
The contract duration of two years allows for focused development and initial deployment phases.

Sector Analysis

This contract falls within the defense technology research and development sector, a critical area for military modernization. The market for specialized tactical hardware and software is competitive, with significant investment from both government and private entities. Comparable spending benchmarks are difficult to establish precisely due to the unique 'tactical assault kit and unique mission cell' specification, but R&D contracts of this magnitude are common within the DoD's acquisition landscape.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Planned Systems International Inc. is likely a large business. There is no explicit information on subcontracting plans for small businesses within this award, which could limit opportunities for smaller firms to participate in this specific contract's execution.

Oversight & Accountability

Oversight will likely be managed by the contracting officer's representative (COR) within the Department of the Army, ensuring adherence to contract terms and technical specifications. Accountability measures are embedded in the cost-plus-fixed-fee structure, which requires detailed reporting and justification of costs. Transparency is facilitated through contract award databases, though specific technical details of the 'tactical assault kit' may be sensitive.

Related Government Programs

Tactical Data Links
Command and Control Systems
Military Software Development
Wearable Technology for Soldiers
Special Operations Equipment

Risk Flags

Limited competition due to source exclusion
Cost-plus-fixed-fee structure carries inherent R&D cost overrun risk
Potential for technological obsolescence in a rapidly evolving defense landscape

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $6.9 million to PLANNED SYSTEMS INTERNATIONAL INC. RESEARCH, ANALYSIS, DEVELOPMENT, DEMONSTRATION, ACQUISITION, TRANSITION, INTEGRATION, INSTALLATION, DEPLOYMENT, SUSTAINMENT, AND TRAINING OF SOFTWARE AND HARDWARE TECHNOLOGIES TO INCLUDE TACTICAL ASSAULT KIT AND UNIQUE MISSION CELL.

Who is the contractor on this award?

The obligated recipient is PLANNED SYSTEMS INTERNATIONAL 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 $6.9 million.

What is the period of performance?

Start: 2024-12-19. End: 2026-12-18.

What is the specific nature of the 'tactical assault kit and unique mission cell' being developed?

The provided data describes the contract's purpose as the 'RESEARCH, ANALYSIS, DEVELOPMENT, DEMONSTRATION, ACQUISITION, TRANSITION, INTEGRATION, INSTALLATION, DEPLOYMENT, SUSTAINMENT, AND TRAINING OF SOFTWARE AND HARDWARE TECHNOLOGIES TO INCLUDE TACTICAL ASSAULT KIT AND UNIQUE MISSION CELL.' While the exact specifications are not publicly detailed due to potential security classifications, it implies the development of integrated hardware and software solutions designed to enhance the capabilities of military personnel in tactical environments. This could encompass communication systems, situational awareness tools, data processing units, or specialized weaponry interfaces, tailored for specific mission requirements.

How does the $6.87 million cost compare to similar R&D efforts for advanced military technology?

Benchmarking this $6.87 million contract against similar R&D efforts is challenging without more specific details on the technology's scope and complexity. However, within the Department of Defense's R&D portfolio, contracts in the multi-million dollar range for developing specialized hardware and software are common. For instance, contracts for advanced soldier systems, communication suites, or sensor integration often fall within this financial bracket. The cost-plus-fixed-fee (CPFF) structure suggests that the final cost could fluctuate based on development efforts, but the fixed fee component provides a baseline profit for the contractor. Without direct comparisons of 'tactical assault kits' or 'unique mission cells,' a precise value-for-money assessment is difficult, but the amount is within the expected range for such specialized defense R&D.

What are the primary risks associated with this contract for Planned Systems International Inc.?

Planned Systems International Inc. faces several risks with this contract. As a Cost Plus Fixed Fee (CPFF) contract, the primary risk for the contractor is managing costs effectively to stay within the anticipated budget while delivering the required technological advancements. If development proves more complex or time-consuming than initially estimated, the contractor's profit margin could be squeezed, even with the fixed fee. Technical risks are also significant, given the R&D nature; the 'tactical assault kit and unique mission cell' may involve novel technologies that are difficult to develop, integrate, or ensure reliability for. Furthermore, meeting the stringent performance and security requirements of the Department of the Army presents an ongoing risk. Delays in development or failure to meet specifications could lead to contract disputes or penalties.

What is the historical spending pattern for similar technologies or services by the Department of the Army?

Historical spending patterns by the Department of the Army on similar technologies indicate a consistent and significant investment in advanced soldier systems, communication equipment, and integrated mission platforms. Over the past decade, the Army has allocated billions of dollars towards programs aimed at enhancing soldier lethality, survivability, and situational awareness through technological upgrades. This includes investments in networked communication systems, advanced body armor, integrated targeting devices, and specialized software for mission planning and execution. Contracts for R&D, prototyping, and procurement of such systems often range from hundreds of thousands to tens or hundreds of millions of dollars, depending on the scale and maturity of the technology. The $6.87 million awarded to Planned Systems International Inc. aligns with the typical investment level for developing and demonstrating specific, advanced technological components within this broader trend.

How does the 'full and open competition after exclusion of sources' procurement method impact taxpayer value?

The 'full and open competition after exclusion of sources' procurement method presents a nuanced impact on taxpayer value. On one hand, it aims to leverage competition by allowing any responsible source to submit an offer, which theoretically drives competitive pricing and innovation. However, the 'exclusion of sources' clause indicates that certain potential bidders were deliberately disqualified, possibly due to specific technical requirements, security concerns, or prior performance issues. While this exclusion might be justified to ensure the best fit for a highly specialized need, it inherently limits the pool of competitors. A smaller pool of bidders can sometimes lead to less aggressive pricing than a truly unrestricted competition. Therefore, while the intent is to find a capable provider, the exclusion aspect warrants scrutiny to ensure that the final price paid by taxpayers represents genuine value and wasn't inflated due to reduced competitive pressure.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 10632 LITTLE PATUXENT PKWY STE 200, COLUMBIA, MD, 21044

Business Categories: Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $13,236,422

Exercised Options: $13,236,422

Current Obligation: $6,866,817

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W909MY21D2000

IDV Type: IDC

Timeline