DoD awards $91.4M for FLIR STAR SAFIRE III, a sole-source contract with limited competition

Contract Overview

Contract Amount: $91,367,891 ($91.4M)

Contractor: Teledyne Flir, LLC

Awarding Agency: Department of Defense

Start Date: 2008-05-23

End Date: 2009-01-30

Contract Duration: 252 days

Daily Burn Rate: $362.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: FLIR STAR SAFIRE III

Place of Performance

Location: WILSONVILLE, CLACKAMAS County, OREGON, 97070

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $91.4 million to TELEDYNE FLIR, LLC for work described as: FLIR STAR SAFIRE III Key points: 1. The contract value of $91.4M is significant for specialized imaging equipment. 2. Competition was limited, raising questions about price discovery and value. 3. The sole-source nature presents a risk of inflated pricing. 4. The sector is defense-related, focusing on advanced surveillance technology.

Value Assessment

Rating: questionable

The contract was awarded on a sole-source basis, making direct price comparisons difficult. Without competitive bidding, it's hard to ascertain if the $91.4M represents fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to offer the best price.

Taxpayer Impact: The lack of competition likely resulted in a higher price than if multiple vendors had bid, impacting taxpayer funds negatively.

Public Impact

Taxpayers may have overpaid due to the absence of competitive bidding. The Department of Defense received specialized equipment, potentially crucial for national security. Limited transparency in the procurement process hinders public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Potential for overpayment

Positive Signals

Acquisition of critical defense technology

Sector Analysis

This contract falls within the defense sector, specifically related to advanced imaging and surveillance equipment. Spending in this area is often driven by unique technological requirements and national security needs, which can sometimes justify non-competitive awards.

Small Business Impact

There is no indication that small businesses were involved in this sole-source contract, suggesting a missed opportunity for small business participation.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the government obtained the best possible value. Further review of the justification for sole-sourcing is recommended.

Related Government Programs

Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Sole-source award limits price competition.
Potential for inflated pricing due to lack of bids.
No clear small business participation.
Limited transparency in procurement process.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $91.4 million to TELEDYNE FLIR, LLC. FLIR STAR SAFIRE III

Who is the contractor on this award?

The obligated recipient is TELEDYNE FLIR, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $91.4 million.

What is the period of performance?

Start: 2008-05-23. End: 2009-01-30.

What was the specific justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or a lack of available alternatives that meet the specific requirements. Without access to the detailed justification documents, it's impossible to confirm the precise reasons, but it likely relates to the specialized nature of the FLIR STAR SAFIRE III system and Teledyne FLIR's exclusive ability to provide it.

How does the $91.4M price compare to similar, if any, sole-source contracts for advanced imaging systems?

Direct price comparisons for sole-source contracts are inherently difficult due to the lack of competitive benchmarking. However, a review of publicly available data for similar advanced, specialized defense systems procured through sole-source channels might reveal a price range. Without such a comparative analysis, it's challenging to definitively state if $91.4M is high, low, or fair for this specific system.

What is the long-term strategic value of this specific imaging system to the Department of the Army?

The long-term strategic value likely lies in its advanced surveillance and targeting capabilities, crucial for intelligence gathering and operational effectiveness in various military scenarios. The FLIR STAR SAFIRE III is known for its high-performance thermal imaging, which can provide critical situational awareness in diverse environments, potentially enhancing mission success and personnel safety.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

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: 16505 SW 72ND AVE, PORTLAND, OR, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $91,367,891

Exercised Options: $91,367,891

Current Obligation: $91,367,891

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9113M07D0004

IDV Type: IDC

Timeline