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The Johns Hopkins University Applied Physics Laboratory (APL) announced today the signing of a 5-year contract with the Naval Sea Systems Command (NAVSEA) in Washington, D.C., that allows the Laboratory to conduct work for the Navy up to a ceiling of $1.75 billion. The contract, which also includes an option for an additional 5-year extension, covers Laboratory research and development and specialized engineering.

“The Navy has been the Laboratory’s prime sponsor for more than 60 years,” says APL Director Richard T. Roca. “Our relationship has grown stronger each year as we’ve worked together to solve critical challenges. I believe this new contract is an indication of the confidence the Navy has in our contributions and in the integrity with which we conduct ourselves as a Laboratory.”

The contract is an indefinite-delivery, indefinite-quantity contract with cost-plus fixed fee task orders. It was awarded on a sole source basis supported by a Competition In Contracting Act exception due to the Lab’s essential capabilities. A 5-year contract, with a 5-year option gives the Navy administrative streamlining advantages while limiting contract renewal interruptions to Laboratory program work. While it is not a funding guarantee, the contract authorizes the Lab to do work that falls within NAVSEA guidelines, up to a maximum possible funding level of $1.75 billion, without having to negotiate separate contracts. This contract covers projects in every business area of the Lab.

It is anticipated that a majority of the Laboratory’s funding will be the result of tasking under the new contract. While tasks fluctuate as research needs change, the work covered by the current 5-year contract is not expected to change substantially and the Lab does not anticipate a notable increase in its current employment level.