DoD awards $37.7M for wheeled trucks and tractors, raising concerns about competition and value

Contract Overview

Contract Amount: $37,730,239 ($37.7M)

Contractor: American Science & Engineering Inc

Awarding Agency: Department of Defense

Start Date: 2005-08-15

End Date: 2011-10-26

Contract Duration: 2,263 days

Daily Burn Rate: $16.7K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 200512!500160!1700!M67854!COMMANDING GENERAL !M6785405D5168 !A!N! !N!0001 ! !20050815!20060811!001767763!001767763!001767763!N!AMERICAN SCIENCE AND ENGINEERI!829 MIDDLESEX TURNPIKE !BILLERICA !MA!01821!05805!017!25!BILLERICA !MIDDLESEX !MASS !+000038695288!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !336112!E! !5!B!S! ! ! !20200930!B! ! !N!A!D!U!J!1!001!N!2A!Z!N!Z! ! !Y!C!U! ! ! !Z!Z!A!A!000!A!A!N! ! !Y! !1700!M67854!0001! !

Place of Performance

Location: BILLERICA, MIDDLESEX County, MASSACHUSETTS, 01821

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $37.7 million to AMERICAN SCIENCE & ENGINEERING INC for work described as: 200512!500160!1700!M67854!COMMANDING GENERAL !M6785405D5168 !A!N! !N!0001 ! !20050815!20060811!001767763!001767763!001767763!N!AMERICAN SCIENCE AND ENGINEERI!829 MIDDLESEX TURNPIKE !BILLERICA !MA!01821!05805!017!25!BILLERICA !MIDD… Key points: 1. The contract for wheeled trucks and tractors was awarded on a 'not competed' basis. 2. The total value of the contract is $37,730,239. 3. The contract duration is over 6 years, suggesting potential for price escalation. 4. The awarding agency is the Department of Defense, with the Defense Contract Management Agency overseeing. 5. The contractor, American Science and Engineering Inc., is based in Billerica, MA.

Value Assessment

Rating: questionable

The contract value of $37.7 million for wheeled trucks and tractors over six years appears high, especially given the lack of competitive bidding. Without benchmarks from similar competitively awarded contracts, assessing the true value for money is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'not competed' terms, indicating a lack of full and open competition. This significantly limits price discovery and may have resulted in a higher price than could have been achieved through a competitive process.

Taxpayer Impact: The absence of competition likely means taxpayers paid a premium for these trucks and tractors, as there was no market pressure to drive down costs.

Public Impact

Military readiness may be impacted if essential equipment like trucks is procured at inflated prices. Taxpayer funds are potentially being used inefficiently due to the non-competitive award. The long contract duration raises questions about the government's ability to adapt to changing needs or technology. The lack of transparency in the procurement process hinders public trust in defense spending.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Long contract duration
Potential for overpricing
Limited transparency

Positive Signals

Contract awarded to a US-based company
Specific equipment type identified

Sector Analysis

This contract falls within the Defense sector, specifically for wheeled vehicles and related equipment. Defense spending on such assets is substantial, and competitive bidding is crucial to ensure cost-effectiveness and maximize the value of taxpayer investments.

Small Business Impact

There is no indication in the provided data whether small businesses were involved as subcontractors or partners in this contract. Further investigation would be needed to determine any small business participation.

Oversight & Accountability

The 'not competed' status of this award warrants closer oversight to ensure the justification for limited competition was sound and that the pricing is reasonable. Accountability for procurement decisions is essential, especially when competition is bypassed.

Related Government Programs

Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Lack of competitive bidding
Potential for inflated pricing
Long contract duration increases obsolescence risk
Limited transparency in procurement
Uncertainty regarding value for money

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.7 million to AMERICAN SCIENCE & ENGINEERING INC. 200512!500160!1700!M67854!COMMANDING GENERAL !M6785405D5168 !A!N! !N!0001 ! !20050815!20060811!001767763!001767763!001767763!N!AMERICAN SCIENCE AND ENGINEERI!829 MIDDLESEX TURNPIKE !BILLERICA !MA!01821!05805!017!25!BILLERICA !MIDDLESEX !MASS !+000038695288!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !336112!E! !5!B!S! ! ! !202

Who is the contractor on this award?

The obligated recipient is AMERICAN SCIENCE & ENGINEERING 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 $37.7 million.

What is the period of performance?

Start: 2005-08-15. End: 2011-10-26.

What was the specific justification for not competing this contract, and were alternative sources considered?

The provided data indicates the contract was 'NOT COMPETED'. A thorough review would require accessing the contract file to understand the specific justification, such as a sole-source justification or an emergency procurement. Without this documentation, it's impossible to ascertain if alternative sources were considered or if the decision was fully warranted, impacting the perceived value and fairness of the award.

How does the per-unit cost of these wheeled trucks and tractors compare to similar, competitively procured vehicles?

Without access to a benchmark of similar wheeled trucks and tractors procured through competitive bidding, it is impossible to definitively assess the per-unit cost. The 'not competed' nature of this award means there's no direct market comparison available within this contract's data. A comparative analysis against other government contracts or commercial pricing would be necessary to determine if the price paid was reasonable.

What is the risk of obsolescence or the need for upgrades given the contract's long duration and the nature of military equipment?

A contract duration of over six years (from award to completion) for wheeled vehicles carries a moderate to high risk of obsolescence or the need for significant upgrades. Military technology, especially in vehicle platforms, can evolve rapidly. Without clear provisions for technological updates or phased replacements within the contract, the government might end up with outdated equipment or incur additional costs for modernization later.

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 829 MIDDLESEX TURNPIKE, BILLERICA, MA, 90

Business Categories: Category Business, Not Designated a Small Business

Parent Contract

Parent Award PIID: M6785405D5168

IDV Type: IDC

Timeline