DoD's $809M contract for training aids and devices awarded to NLX Corporation, with a significant portion for repair and maintenance

Contract Overview

Contract Amount: $52,576,954 ($52.6M)

Contractor: Rockwell Collins Simulation & Training Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2002-06-15

End Date: 2007-04-30

Contract Duration: 1,780 days

Daily Burn Rate: $29.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 200212!00H766!1700!A8302 !NAVAL AIR WARFARE CENTER TRAININ!N6133901D0722 !A!N! !N!0003 !20020615!20061221!809238447!809238447!809238447!N!NLX CORPORATION !22626 SALLY RIDE DRIVE !STERLING !VA!20164!06607!007!36!BINGHAMTON !BROOME !NEW YORK !+000030644527!N!N!000000000000!J069!MAINT & REPAIR OF EQ/TRAINING AIDS & DEVICES !C9E!ALL OTHER SUPPLIES AND EQUIPME!2000!NOT DISCERNABLE OR CLASSIFIED !541990!E! !5!B!M! !E!D!20090124!B! ! !A! !A!N!J!2!005!B! !A!N!E! ! !N!B!N!N! ! !Z! !A!A!000!A!B!N! ! ! ! ! ! !0001!

Place of Performance

Location: CEDAR RAPIDS, LINN County, IOWA, 52498

State: Iowa Government Spending

Plain-Language Summary

Department of Defense obligated $52.6 million to ROCKWELL COLLINS SIMULATION & TRAINING SOLUTIONS LLC for work described as: 200212!00H766!1700!A8302 !NAVAL AIR WARFARE CENTER TRAININ!N6133901D0722 !A!N! !N!0003 !20020615!20061221!809238447!809238447!809238447!N!NLX CORPORATION !22626 SALLY RIDE DRIVE !STERLING !VA!20164!06607!007!36!BINGHAMTON !BROOM… Key points: 1. Contract focused on maintenance and repair of training equipment, indicating a need for ongoing support of existing systems. 2. Awarded under full and open competition, suggesting a robust market for these services. 3. The contract's duration and value point to a long-term commitment to specialized training solutions. 4. Primary service category is 'All Other Professional, Scientific, and Technical Services', highlighting the broad scope of support. 5. The contract was issued as a delivery order against a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, common for flexible support needs. 6. The contractor, NLX Corporation, has a history of providing simulation and training solutions to the government.

Value Assessment

Rating: good

The total value of this contract was $809,238,447. While specific cost breakdowns for maintenance versus new equipment are not detailed, the significant expenditure suggests a substantial need for ongoing support. Benchmarking this against similar contracts for training aids and devices is challenging without more granular data on the specific technologies and services provided. However, the firm fixed-price nature of the contract provides some cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of two bids suggests a competitive environment, though the exact number of potential bidders is not specified. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: Full and open competition helps ensure that taxpayer dollars are used efficiently by driving down prices through market forces. It allows the government to access the best available solutions at the most competitive rates.

Public Impact

Naval personnel benefit from updated and maintained training aids and devices, crucial for effective skill development and mission readiness. Services delivered include maintenance, repair, and potentially upgrades for complex training equipment, ensuring operational effectiveness. The contract's impact is primarily within the defense sector, supporting naval aviation training programs. Workforce implications include the need for skilled technicians and engineers to perform maintenance and repair on specialized training systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen maintenance issues arise beyond the scope of the firm fixed-price agreement.
Dependence on a single contractor for critical training equipment maintenance could pose a risk if performance falters.
The broad 'All Other Professional, Scientific, and Technical Services' category makes it difficult to precisely track the allocation of funds to specific sub-services.

Positive Signals

Awarded under full and open competition, indicating a healthy market and competitive pricing.
Firm fixed-price contract type provides cost certainty for the government.
Long-term nature of the contract suggests a stable and reliable source of support for essential training capabilities.

Sector Analysis

This contract falls within the Professional, Scientific, and Technical Services sector, specifically related to defense training and simulation. The North American Industry Classification System (NAICS) code 541990, 'All Other Professional, Scientific, and Technical Services,' encompasses a wide range of specialized support activities. The defense training and simulation market is a significant segment within this sector, driven by the need for advanced and realistic training solutions for military personnel. Spending in this area is often characterized by long-term contracts due to the complexity and specialized nature of the equipment and services involved.

Small Business Impact

There is no indication that this contract included small business set-asides. The prime contractor, NLX Corporation, is a significant entity in the simulation and training market. Subcontracting opportunities for small businesses may exist, but they are not explicitly detailed in the provided data. The absence of set-asides suggests that the primary focus was on securing the most capable provider through open competition.

Oversight & Accountability

The contract was managed by the Naval Air Warfare Center Training Systems Division, indicating specific oversight within the Navy's training command. As a Department of Defense contract, it is subject to oversight from the Defense Contract Audit Agency (DCAA) and potentially the Department of Defense Inspector General (DoDIG) for audits and investigations. The firm fixed-price nature of the contract provides a degree of accountability for the contractor to deliver services within the agreed-upon budget.

Related Government Programs

Naval Training Systems
Simulation and Training Equipment
Defense Readiness Programs
Military Equipment Maintenance
Professional and Technical Services

Risk Flags

Potential for scope creep in maintenance contracts.
Contract duration may exceed the technological relevance of some training aids.
Reliance on a single large contract for critical support functions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.6 million to ROCKWELL COLLINS SIMULATION & TRAINING SOLUTIONS LLC. 200212!00H766!1700!A8302 !NAVAL AIR WARFARE CENTER TRAININ!N6133901D0722 !A!N! !N!0003 !20020615!20061221!809238447!809238447!809238447!N!NLX CORPORATION !22626 SALLY RIDE DRIVE !STERLING !VA!20164!06607!007!36!BINGHAMTON !BROOME !NEW YORK !+000030644527!N!N!000000000000!J069!MAINT & REPAIR OF EQ/TRAINING AIDS & DEVICES !C9E!ALL OTHER SUPPLIES AND EQUIPME!2000!NOT DISCERNABLE OR CLASSIFIED !541990!E! !5!B!M! !E!D!20090124!B

Who is the contractor on this award?

The obligated recipient is ROCKWELL COLLINS SIMULATION & TRAINING SOLUTIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $52.6 million.

What is the period of performance?

Start: 2002-06-15. End: 2007-04-30.

What specific types of training aids and devices were covered under this contract, and what was their approximate age or technological level?

The contract primarily covered 'MAINT & REPAIR OF EQ/TRAINING AIDS & DEVICES'. The specific types of training aids and devices are not detailed in the provided data, but given the contract's duration (2002-2007) and the awarding agency (Naval Air Warfare Center Training Systems Division), it likely encompassed a range of simulation and training equipment used for naval aviation. This could include flight simulators, virtual reality training systems, tactical trainers, and other specialized equipment. The technological level would have varied, reflecting the state of the art during the early to mid-2000s. Without more specific line-item details, it's difficult to ascertain the exact technological vintage or the proportion of funds allocated to different types of equipment.

How did the pricing of this contract compare to other similar contracts for training equipment maintenance during the same period?

Benchmarking the pricing of this $809 million contract against similar contracts is challenging without access to detailed pricing structures and the specific services rendered for each. The contract was awarded under full and open competition with a firm fixed-price structure, which generally aims for competitive pricing. However, the 'All Other Professional, Scientific, and Technical Services' category is broad. To conduct a true comparison, one would need to identify contracts with comparable scope, duration, and service complexity within the defense training sector from the 2002-2007 timeframe. Factors such as the specific technologies maintained, the level of technical expertise required, and the geographic distribution of the equipment would significantly influence pricing.

What was the track record of NLX Corporation in fulfilling similar government contracts prior to this award?

NLX Corporation, prior to this award, had a history of providing simulation and training solutions to government entities. While specific details of their prior contract performance are not in the provided data snippet, their selection as the prime contractor for such a substantial award suggests they met the government's requirements and demonstrated capability in areas relevant to training aids and devices. Companies in this sector typically build their track record through smaller contracts, R&D efforts, and prior successful engagements. A deeper dive into federal procurement databases would reveal the extent and nature of their prior contract history, including performance ratings and any past issues.

What were the key performance indicators (KPIs) used to measure the success of this contract, and how did NLX Corporation perform against them?

The provided data does not specify the key performance indicators (KPIs) established for this contract. Typically, for maintenance and repair contracts of training equipment, KPIs might include metrics such as response time for repair requests, equipment uptime/availability rates, successful completion of scheduled maintenance, adherence to technical specifications, and overall user satisfaction from training personnel. Performance against these KPIs would have been monitored by the contracting officer's representative (COR) at the Naval Air Warfare Center Training Systems Division. Without access to performance reports or contractually defined metrics, it's impossible to assess NLX Corporation's performance against specific targets.

What is the historical spending trend for training aids and devices maintenance within the Naval Air Warfare Center Training Systems Division?

The provided data focuses on a single, large contract ($809M) awarded to NLX Corporation. To understand historical spending trends for training aids and devices maintenance within the Naval Air Warfare Center Training Systems Division (NAWC TSD), one would need to analyze procurement data over a longer period, looking at multiple contracts awarded by NAWC TSD for similar services. This would involve identifying all contracts categorized under maintenance and repair of training equipment, simulation systems, and related devices. Analyzing the total obligated amounts, contract durations, and number of awards over several fiscal years would reveal patterns of spending, identify key contractors, and indicate whether spending has increased, decreased, or remained stable.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Rockwell Collins, Inc. (UEI: 962960589)

Address: 22626 SALLY RIDE DRIVE, STERLING, VA, 20164

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $51,895,099

Exercised Options: $51,895,099

Current Obligation: $52,576,954

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6133901D0722

IDV Type: IDC

Timeline