DoD awards $52.2M for Advanced Arresting Gear Hardware for CVN 78 Testing
Contract Overview
Contract Amount: $52,249,593 ($52.2M)
Contractor: General Atomics
Awarding Agency: Department of Defense
Start Date: 2013-10-17
End Date: 2020-02-03
Contract Duration: 2,300 days
Daily Burn Rate: $22.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: ADVANCED ARRESTING GEAR HARDWARE TO SUPPORT RALS LANDBASED UNIT FOR CVN 78 TESTING AND CERTIFICATION.
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92121
Plain-Language Summary
Department of Defense obligated $52.2 million to GENERAL ATOMICS for work described as: ADVANCED ARRESTING GEAR HARDWARE TO SUPPORT RALS LANDBASED UNIT FOR CVN 78 TESTING AND CERTIFICATION. Key points: 1. Significant investment in naval aviation technology for carrier testing. 2. Sole-source award to General Atomics raises questions about competition. 3. Long contract duration (2013-2020) suggests complex development or integration. 4. Focus on testing and certification indicates a critical, high-stakes phase.
Value Assessment
Rating: questionable
The award of over $52 million for specialized hardware warrants scrutiny. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar advanced systems.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded sole-source, indicating a lack of competition. This method limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The absence of competition for a substantial contract may result in taxpayers paying a premium for this critical naval technology.
Public Impact
Supports the development and testing of advanced arresting gear for Ford-class carriers. Ensures readiness and certification of a crucial component for naval aviation operations. Potential impact on future carrier deployment schedules and operational capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- High dollar value
Positive Signals
- Supports critical naval aviation technology
- Essential for carrier testing and certification
Sector Analysis
This contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this area is often driven by defense procurement needs for specialized, high-technology components.
Small Business Impact
The data indicates no specific set-aside for small businesses, and the prime contractor is General Atomics, a large defense contractor. Further analysis would be needed to determine small business participation as subcontractors.
Oversight & Accountability
The sole-source nature of this award warrants oversight to ensure the government received the best possible value. Tracking the performance and cost over the contract's duration is crucial.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award limits price competition.
- High contract value requires careful justification.
- Potential for cost overruns without competitive pressure.
- Long contract duration may indicate development risks.
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $52.2 million to GENERAL ATOMICS. ADVANCED ARRESTING GEAR HARDWARE TO SUPPORT RALS LANDBASED UNIT FOR CVN 78 TESTING AND CERTIFICATION.
Who is the contractor on this award?
The obligated recipient is GENERAL ATOMICS.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $52.2 million.
What is the period of performance?
Start: 2013-10-17. End: 2020-02-03.
What justification was provided for the sole-source award of this significant contract?
Sole-source awards are typically justified when only one responsible source can provide the required supplies or services. For advanced or highly specialized systems like arresting gear, this might be due to proprietary technology, unique capabilities, or existing integration requirements with the platform (CVN 78). A thorough review of the justification documentation is necessary to validate the necessity of foregoing competition.
How does the cost of this hardware compare to industry benchmarks for similar advanced arresting gear systems?
Benchmarking the cost is challenging without competitive data. However, the $52.2 million award for hardware supporting testing and certification suggests a high unit cost, reflecting the advanced technology and specialized nature of naval arresting gear. Comparing it to publicly available data on similar systems, if any exist, or to internal government cost estimates would be necessary for a robust assessment.
What is the long-term operational and cost-effectiveness impact of this specific hardware on the CVN 78?
The long-term impact hinges on the reliability, maintainability, and performance of the Advanced Arresting Gear (AAG) hardware. If this hardware proves effective and durable, it could enhance flight deck safety and operational tempo for the CVN 78, potentially reducing launch/recovery cycle times and associated personnel costs. Conversely, any deficiencies could lead to increased maintenance, downtime, and reduced operational readiness.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: AEROSPACE CRAFT LAUNCHING, LANDING, GROUND HANDLING AND SERVICING EQUIPMENT
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: 3550 GENERAL ATOMICS CT, SAN DIEGO, CA, 92121
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $52,249,593
Exercised Options: $52,249,593
Current Obligation: $52,249,593
Subaward Activity
Number of Subawards: 14
Total Subaward Amount: $9,055,555
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N6833511G0003
IDV Type: BOA
Timeline
Start Date: 2013-10-17
Current End Date: 2020-02-03
Potential End Date: 2020-02-03 00:00:00
Last Modified: 2020-01-24
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