- The Navy has announced plans for a software engineering IDIQ recompetition
- The planned contract covers a basic order period of five years without option years
- The Naval Summit 2026 will cover AI, digital engineering and more
The U.S. Navy has announced its intention to award a single, indefinite-delivery, indefinite-quantity contract for software engineering support services under unrestricted competition.
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According to a special notice posted on SAM.gov on Thursday, the Naval Air Warfare Center Aircraft Division (NAWCAD), Mission Systems Software Engineering Department, said all details in the notice remain in draft form and are subject to change until the government issues a final request for proposals.
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Why did the Navy choose unrestricted competition?
The NAWCAD Office of Small Business determined that unrestricted competition is the best path to fair competition. The Office based this request on market research that included the previously requested sources, which resulted in 16 responses.
NAWCAD classified the requirement under product service code R425, which covers professional services. The work falls under the agency’s office in Patuxent River, Maryland. The government is planning a single premium IDIQ with a base order period of five years with no option years.
How will the Navy price the contract?
NAWCAD does not plan to include fixed-price terms in the renewed competition. The agency said the requirement presents too much variability to support fixed pricing without building in a “risk premium” or requiring repeated requests for equitable adjustments. Instead, the government intends to allow both non-performance-based and performance-based cost-plus orders to give contracting officials the flexibility to adjust prices based on the type of work ordered.
How will the Navy structure work categories?
NAWCAD said industry feedback on the work categories was consistent with the government’s own goal of evaluating contractors based on results rather than fixed qualifications. Defense cyber workforce requirements and associated skills remain unchanged under the re-bid, but the agency remains open to industry input on adjusting work categories.
The definitions of the work categories from the work performance declaration only apply to orders for the performance level. For performance-based contracts, NAWCAD plans to rely on government work categories and average contractor-proposed rates to establish the government’s independent cost estimate and to support contract-level cost assessments.
The proposed rebid follows a 2021 Naval Aviation software engineering award, when AMERICAN SYSTEMS was awarded a potential $165.4 million five-year contract by the Navy to provide software engineering and technical support for Naval Aviation programs.
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https://www.govconwire.com/articles/navy-nawcad-software-engineering-idiq-recompete
