DoD awards $86.6M contract for Printed Circuit Assembly Manufacturing to Elbit America, Inc

Contract Overview

Contract Amount: $86,617,990 ($86.6M)

Contractor: Elbitamerica, Inc.

Awarding Agency: Department of Defense

Start Date: 2005-11-03

End Date: 2010-12-30

Contract Duration: 1,883 days

Daily Burn Rate: $46.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200602!700011!1700!M67854!COMMANDING GENERAL !M6785406D7003 !A!N! !N!0001 ! !20051103!20060530!800765331!800765331!514421098!N!EFW INC !4700 MARINE CREEK PKWY !FORT WORTH !TX!76179!27000!439!48!FORT WORTH !TARRANT !TEXAS !+000071610613!N!N!000000000000!5810!COMMUNICATIONS SECURITY EQUIP AND COMPS !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !334220!E! !5!B!S! ! !D!20060530!B! ! !N!A!A!U!J!2!002!N!2A!Z!N!D! ! !Y!C!N! ! ! !Z!A!A!A!000!A!B!N! ! ! ! !1727!M67854!0001! !

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76179

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $86.6 million to ELBITAMERICA, INC. for work described as: 200602!700011!1700!M67854!COMMANDING GENERAL !M6785406D7003 !A!N! !N!0001 ! !20051103!20060530!800765331!800765331!514421098!N!EFW INC !4700 MARINE CREEK PKWY !FORT WORTH !TX!76179!27000!439!48!FORT WORTH !TARR… Key points: 1. The contract value of $86.6M is significant for Printed Circuit Assembly Manufacturing. 2. Elbit America, Inc. is the sole awardee, raising questions about competition. 3. The contract's duration of 1883 days suggests a long-term need. 4. The sector is Electronics and Communication Equipment, a critical area for defense.

Value Assessment

Rating: questionable

The contract value of $86.6M for Printed Circuit Assembly Manufacturing needs further benchmarking against similar DoD contracts. Without more data on the specific components and complexity, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may not have resulted in the most competitive pricing.

Taxpayer Impact: The limited competition raises concerns about whether taxpayers received the best possible value for this significant expenditure.

Public Impact

This contract supports the Department of the Navy's need for critical electronic components. The award to Elbit America, Inc. could impact other suppliers in the Printed Circuit Assembly market. The long contract duration suggests sustained demand for these specialized manufacturing services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Electronics and Communication Equipment sector is vital for modern defense systems. Spending benchmarks for Printed Circuit Assembly Manufacturing can vary widely based on complexity and volume.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. Further analysis would be needed to determine the impact on small business participation in this contract.

Oversight & Accountability

The contract was awarded by the Department of the Navy, part of the Department of Defense. Standard oversight mechanisms for defense contracts would apply.

Related Government Programs

Risk Flags

Tags

printed-circuit-assembly-electronic-asse, department-of-defense, tx, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $86.6 million to ELBITAMERICA, INC.. 200602!700011!1700!M67854!COMMANDING GENERAL !M6785406D7003 !A!N! !N!0001 ! !20051103!20060530!800765331!800765331!514421098!N!EFW INC !4700 MARINE CREEK PKWY !FORT WORTH !TX!76179!27000!439!48!FORT WORTH !TARRANT !TEXAS !+000071610613!N!N!000000000000!5810!COMMUNICATIONS SECURITY EQUIP AND COMPS !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !NOT DISCERNABLE !334220!E! !5!B!S! ! !D!200

Who is the contractor on this award?

The obligated recipient is ELBITAMERICA, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $86.6 million.

What is the period of performance?

Start: 2005-11-03. End: 2010-12-30.

What specific electronic components are being manufactured under this contract, and how does their complexity influence the cost?

The specific components are not detailed in the provided data, only the general category of 'Printed Circuit Assembly (Electronic Assembly) Manufacturing.' The complexity of these assemblies, including the number and type of components, soldering techniques, and testing requirements, significantly impacts manufacturing costs. Without this granular detail, it's challenging to assess the value proposition accurately.

What were the reasons for excluding other potential sources in the competition, and were these justifications robust?

The data states the contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' The specific reasons for excluding other sources are not provided. Robust justifications would typically involve technical capabilities, specialized equipment, or unique past performance requirements that only Elbit America, Inc. could meet. Without these details, the exclusion raises concerns about the fairness and competitiveness of the procurement process.

How does the $86.6M contract value compare to industry benchmarks for similar Printed Circuit Assembly manufacturing services over a 5-year period?

Comparing the $86.6M contract value requires detailed market research on Printed Circuit Assembly manufacturing costs. Factors like component sourcing, labor rates in Fort Worth, TX, and the specific technical requirements of the assemblies are crucial. A preliminary assessment suggests this is a substantial award, but without specific benchmarks for comparable defense-grade assemblies, it's difficult to definitively state if it represents excellent or fair value.

Industry Classification

NAICS: ManufacturingSemiconductor and Other Electronic Component ManufacturingPrinted Circuit Assembly (Electronic Assembly) Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Elbit Systems Ltd (UEI: 514421098)

Address: 4700 MARINE CREEK PKWY, FORT WORTH, TX, 90

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M6785406D7003

IDV Type: IDC

Timeline

Start Date: 2005-11-03

Current End Date: 2010-12-30

Potential End Date: 2010-12-30 00:00:00

Last Modified: 2010-10-20

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