DoD awards $102M for new equipment fielding and training, with CACI Technologies leading R&D support
Contract Overview
Contract Amount: $102,345,315 ($102.3M)
Contractor: CACI Technologies, LLC
Awarding Agency: Department of Defense
Start Date: 2020-07-01
End Date: 2025-06-30
Contract Duration: 1,825 days
Daily Burn Rate: $56.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: NEW EQUIPMENT FIELDING AND TRAINING SUPPORT SERVICES
Place of Performance
Location: FORT NOVOSEL, DALE County, ALABAMA, 36362
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $102.3 million to CACI TECHNOLOGIES, LLC for work described as: NEW EQUIPMENT FIELDING AND TRAINING SUPPORT SERVICES Key points: 1. Contract focuses on research and development for physical, engineering, and life sciences. 2. Competition was full and open, suggesting a potentially competitive bidding process. 3. Contract type is Cost Plus Fixed Fee, which can incentivize cost control but also carries risk. 4. Performance period spans 5 years, indicating a long-term need for these services. 5. The contract is a delivery order under a larger contract vehicle. 6. The North American Industry Classification System (NAICS) code 541715 points to specialized R&D services.
Value Assessment
Rating: fair
Benchmarking the value of this Cost Plus Fixed Fee contract is challenging without detailed cost breakdowns. The total award amount of $102.3 million over five years suggests a significant investment in R&D support. Comparisons to similar contracts for fielding and training new equipment are difficult without more specific service details. However, the fixed fee component aims to provide some cost predictability for the government.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 3 bidders suggests a moderate level of competition for this specific delivery order. While full and open competition is generally preferred, the number of bidders can influence price discovery.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and innovative solutions.
Public Impact
The Department of the Army is the primary beneficiary, receiving critical support for new equipment fielding and training. Services delivered likely include technical assistance, training development, and logistical support for advanced equipment. The contract is geographically focused on Alabama (AL), indicating a specific operational or training site. Workforce implications may include the need for specialized technical trainers and support personnel.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contracts can sometimes lead to cost overruns if not managed diligently.
- The long duration of the contract (5 years) requires ongoing oversight to ensure continued value.
- Reliance on a single contractor for extensive fielding and training support could pose risks if performance falters.
Positive Signals
- Full and open competition suggests a robust market engagement and potential for competitive pricing.
- The contract is a delivery order, implying it's part of a pre-established contract vehicle, potentially streamlining acquisition.
- The specific NAICS code indicates a focus on specialized R&D, aligning with advanced military needs.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for defense R&D support services is substantial, driven by the continuous need for technological advancement and modernization of military equipment. Comparable spending benchmarks would typically be found within broader defense R&D budgets and specific program acquisition costs.
Small Business Impact
There is no indication that this contract included a small business set-aside. Given the specialized nature of R&D support services for new equipment fielding and training, it is possible that larger, more specialized firms are better positioned to compete. Subcontracting opportunities for small businesses may exist, but are not explicitly detailed in the provided data.
Oversight & Accountability
Oversight for this contract would primarily reside with the Department of the Army contracting and program management offices. Accountability measures are typically embedded within the contract's performance work statement and reporting requirements. Transparency is facilitated through contract award databases, though detailed cost performance data may be limited.
Related Government Programs
- Department of Defense Research and Development
- Military Equipment Fielding and Modernization
- Defense Training and Simulation Services
- Army Acquisition Programs
Risk Flags
- Cost Plus Fixed Fee contract type requires careful monitoring to prevent cost overruns.
- Long contract duration necessitates sustained oversight to ensure performance remains optimal.
- Potential for scope creep in R&D projects if not tightly managed.
Tags
department-of-defense, department-of-the-army, research-and-development, equipment-fielding, training-support, cost-plus-fixed-fee, full-and-open-competition, delivery-order, alabama, caci-technologies-llc, naics-541715
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $102.3 million to CACI TECHNOLOGIES, LLC. NEW EQUIPMENT FIELDING AND TRAINING SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is CACI TECHNOLOGIES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $102.3 million.
What is the period of performance?
Start: 2020-07-01. End: 2025-06-30.
What is the track record of CACI Technologies, LLC with similar Department of Defense contracts?
CACI Technologies, LLC has a significant history of performing contracts for the Department of Defense across various service areas, including IT, intelligence, and engineering support. They are a large government contractor with extensive experience. Analyzing their past performance on contracts involving equipment fielding, training, and R&D would provide context for their capability to execute this specific award. Reviewing past performance evaluations and any contract disputes or awards would offer further insight into their reliability and effectiveness in similar roles.
How does the Cost Plus Fixed Fee (CPFF) pricing structure compare to other contract types for R&D support?
The Cost Plus Fixed Fee (CPFF) structure is common for R&D efforts where the scope of work can be uncertain or evolve. It allows the contractor to recover allowable costs plus a predetermined fixed fee representing profit. Compared to Firm-Fixed-Price (FFP) contracts, CPFF offers more flexibility for the government if requirements change but can potentially lead to higher costs if not managed closely. Cost-reimbursement contracts without a fixed fee might offer even less cost certainty. The fixed fee in CPFF provides some incentive for the contractor to control costs to protect their profit margin.
What are the key performance indicators (KPIs) typically used to assess the success of equipment fielding and training support contracts?
Key performance indicators for equipment fielding and training support contracts often include metrics related to timeliness of delivery, system operability upon fielding, effectiveness of training (measured through trainee proficiency or feedback), adherence to technical specifications, and user satisfaction. For R&D aspects, KPIs might focus on milestone achievement, technical innovation, and successful integration of new technologies. The contract's Performance Work Statement (PWS) would detail the specific KPIs and acceptable quality levels (AQLs) that CACI Technologies must meet.
What is the historical spending trend for similar R&D support services within the Department of the Army?
Historical spending on R&D support services within the Department of the Army is substantial and generally trends upwards, driven by modernization efforts and evolving threats. Specific spending on equipment fielding and training R&D can fluctuate based on major acquisition programs and technological advancements. Analyzing budget documents and contract award databases for the Army over the past 5-10 years would reveal patterns in investment in areas like simulation, advanced materials, C4ISR systems, and soldier modernization, providing context for the $102 million award.
What are the potential risks associated with the 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code for this contract?
The primary risks associated with the 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code (541715) often stem from the inherent uncertainty in R&D. This can include technical feasibility challenges, the possibility of research not yielding desired outcomes, difficulties in scaling up prototypes, and the need for highly specialized personnel. For this specific contract, risks might also involve the complexity of integrating new equipment, ensuring training effectiveness for novel systems, and managing the lifecycle of advanced technologies developed under the contract.
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
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: CACI International Inc
Address: 14370 NEWBROOK DRIVE, CHANTILLY, VA, 20151
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $127,962,899
Exercised Options: $127,962,899
Current Obligation: $102,345,315
Actual Outlays: $1,082
Subaward Activity
Number of Subawards: 6
Total Subaward Amount: $3,801,907
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15P7T19D0157
IDV Type: IDC
Timeline
Start Date: 2020-07-01
Current End Date: 2025-06-30
Potential End Date: 2025-06-30 00:00:00
Last Modified: 2026-01-07
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