DoD awards $27.4M for ship building and repairing services to Teledyne Brown Engineering, Inc

Contract Overview

Contract Amount: $27,386,224 ($27.4M)

Contractor: Teledyne Brown Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2017-09-27

End Date: 2020-04-30

Contract Duration: 946 days

Daily Burn Rate: $28.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: IGF::OT::IGF FUNDING AWARD FOR CLIN0020, SECOND ORDERING PERIOD,SWCS SYSTEMS BOATS 3 AND 4.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $27.4 million to TELEDYNE BROWN ENGINEERING, INC. for work described as: IGF::OT::IGF FUNDING AWARD FOR CLIN0020, SECOND ORDERING PERIOD,SWCS SYSTEMS BOATS 3 AND 4. Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 946 days indicates a significant, long-term service requirement. 3. The firm-fixed-price contract type shifts cost risk to the contractor. 4. The North American Industry Classification System (NAICS) code 336611 points to the shipbuilding and repairing sector. 5. Awarded by U.S. Special Operations Command, indicating a specialized defense need. 6. The contract was awarded as a delivery order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

The contract value of $27.4 million over approximately 2.6 years for ship building and repairing services appears to be within a reasonable range for specialized defense contracts. Benchmarking against similar contracts for naval vessel maintenance or construction would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests that the government has negotiated a set price, which can be advantageous if the contractor manages costs effectively. However, without detailed cost breakdowns or comparisons to industry standards for specific components or labor, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, which typically involves soliciting bids from all responsible prospective contractors. The number of bidders is not specified, but this method generally promotes price discovery and allows the government to select the offer that best meets its requirements, often on a price-technical tradeoff basis. A competitive process is expected to yield a fair market price.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value and prevent inflated pricing that might occur in less competitive scenarios.

Public Impact

The primary beneficiaries are the U.S. Special Operations Command, which receives critical services for its naval assets. The services delivered likely involve the maintenance, repair, or modification of specific naval vessels (boats 3 and 4). The geographic impact is primarily within Alabama, where Teledyne Brown Engineering, Inc. is located, and potentially at operational bases where the vessels are deployed. Workforce implications include employment opportunities for skilled labor in shipbuilding, repair, and related technical fields within the contractor's organization.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The shipbuilding and repairing sector (NAICS 336611) is a critical component of the defense industrial base, supporting naval operations and national security. This contract falls within the broader defense sector, specifically focusing on specialized vessel maintenance and construction. Spending in this sector can fluctuate based on defense budgets, geopolitical events, and the modernization needs of naval fleets. Comparable spending benchmarks would involve analyzing other contracts for similar vessel types or repair services awarded by the Department of Defense or other maritime agencies.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, Teledyne Brown Engineering, Inc., may engage small businesses as subcontractors, but this information is not detailed in the award data. The impact on the small business ecosystem would depend on whether Teledyne Brown Engineering, Inc. actively seeks small business participation in its supply chain.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Special Operations Command contracting office and potentially the Defense Contract Management Agency (DCMA). Accountability measures are embedded in the firm-fixed-price contract terms, requiring the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated through contract award databases like FPDS-NG. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Risk Flags

Tags

defense, ship-building-and-repairing, u-s-special-operations-command, department-of-defense, delivery-order, firm-fixed-price, full-and-open-competition, alabama, medium-value, long-term-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.4 million to TELEDYNE BROWN ENGINEERING, INC.. IGF::OT::IGF FUNDING AWARD FOR CLIN0020, SECOND ORDERING PERIOD,SWCS SYSTEMS BOATS 3 AND 4.

Who is the contractor on this award?

The obligated recipient is TELEDYNE BROWN ENGINEERING, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (U.S. Special Operations Command).

What is the total obligated amount?

The obligated amount is $27.4 million.

What is the period of performance?

Start: 2017-09-27. End: 2020-04-30.

What is the track record of Teledyne Brown Engineering, Inc. with the Department of Defense, particularly in shipbuilding and repair?

Teledyne Brown Engineering, Inc. has a history of performing contracts for the Department of Defense. While specific details on their track record in shipbuilding and repair for the DoD are not fully elaborated in this single award notice, their ability to secure a $27.4 million contract for specialized vessel services suggests prior experience and capability. A deeper analysis would involve reviewing their past performance evaluations, any contract disputes, and the types and values of previous DoD contracts they have successfully executed. Their presence in Alabama, a state with a significant defense industrial base, also points to established relationships and infrastructure relevant to defense contracting.

How does the $27.4 million value compare to similar shipbuilding and repair contracts awarded by the U.S. Special Operations Command or other DoD entities?

The $27.4 million value for this contract, awarded over approximately 2.6 years, needs to be benchmarked against similar procurements to assess its value for money. Contracts for naval vessel maintenance, repair, and modernization can vary significantly based on the size and complexity of the vessels, the scope of work, and the specific technologies involved. For instance, major overhauls of larger vessels can cost hundreds of millions of dollars, while smaller repair tasks might be in the low millions. Without knowing the exact nature of 'boats 3 and 4' and the specific services required, a direct comparison is difficult. However, for specialized support to Special Operations Command, this value appears to be within a plausible range for significant, multi-year service delivery.

What are the primary risks associated with this firm-fixed-price contract for ship building and repairing services?

The primary risks for the government in a firm-fixed-price (FFP) contract, especially for complex services like ship building and repairing, revolve around potential contractor underperformance or unforeseen cost escalations that the contractor may struggle to absorb. While FFP shifts cost risk to the contractor, if the contractor encounters significant technical challenges or material cost increases beyond their control, they might face financial distress, potentially leading to delays, quality issues, or even contract termination. For the government, the risk is ensuring the contractor has the technical expertise and financial stability to execute the contract successfully. Additionally, the specificity of 'boats 3 and 4' implies a need for specialized knowledge, and any gaps in this could pose a risk to timely and effective service delivery.

What is the expected effectiveness of these services in supporting U.S. Special Operations Command's mission?

The effectiveness of these shipbuilding and repairing services is directly tied to the operational readiness and capability of the specific naval assets (boats 3 and 4) utilized by the U.S. Special Operations Command (SOCOM). Well-maintained and properly functioning vessels are critical for SOCOM's diverse missions, which often require high-performance craft operating in challenging environments. If Teledyne Brown Engineering, Inc. successfully executes the required repairs and maintenance, it ensures these assets are available, reliable, and capable of meeting mission demands. Conversely, any deficiencies in the service could directly impair SOCOM's ability to deploy these assets effectively, potentially impacting mission success and personnel safety.

How has spending on shipbuilding and repairing services by the U.S. Special Operations Command trended over the past five years?

Analyzing the spending trends for shipbuilding and repairing services by the U.S. Special Operations Command (SOCOM) over the past five years would require access to historical contract data beyond this single award. Generally, SOCOM's procurement patterns are influenced by its evolving mission requirements, the lifecycle of its specialized equipment, and overall defense budget allocations. Spending in this area could increase if SOCOM is acquiring new vessels, undertaking significant modernization programs, or experiencing higher-than-usual maintenance needs for its existing fleet. Conversely, spending might decrease if assets are being retired or if maintenance cycles are less frequent. This specific $27.4 million award represents a portion of that overall trend.

Industry Classification

NAICS: ManufacturingShip and Boat BuildingShip Building and Repairing

Product/Service Code: SHIPS, SMALL CRAFT, PONTOON, DOCKS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: H9222210R0005

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Teledyne Technologies Incorporated (UEI: 112358432)

Address: 300 SPARKMAN DR NW, HUNTSVILLE, AL, 35805

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $27,502,812

Exercised Options: $27,502,812

Current Obligation: $27,386,224

Subaward Activity

Number of Subawards: 37

Total Subaward Amount: $2,685,491

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: H9222211D0002

IDV Type: IDC

Timeline

Start Date: 2017-09-27

Current End Date: 2020-04-30

Potential End Date: 2020-04-30 00:00:00

Last Modified: 2020-04-30

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