DoD Awards $145M for Military Armored Vehicles to General Dynamics, Full and Open Competition

Contract Overview

Contract Amount: $145,110,975 ($145.1M)

Contractor: General Dynamics Land Systems - Force Protection Inc.

Awarding Agency: Department of Defense

Start Date: 2011-11-14

End Date: 2012-12-31

Contract Duration: 413 days

Daily Burn Rate: $351.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: JORDAN LEVEL III FSR

Place of Performance

Location: LADSON, CHARLESTON County, SOUTH CAROLINA, 29456

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $145.1 million to GENERAL DYNAMICS LAND SYSTEMS - FORCE PROTECTION INC. for work described as: JORDAN LEVEL III FSR Key points: 1. Significant award for armored vehicle manufacturing, a critical defense sector. 2. General Dynamics Land Systems is a major player in this specialized market. 3. Full and open competition suggests potential for competitive pricing. 4. The contract value is substantial, indicating a large-scale procurement.

Value Assessment

Rating: good

The contract value of $145M for armored vehicles appears reasonable given the nature of the equipment. Benchmarking against similar large-scale military vehicle procurements would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive bidding and can lead to better price discovery. The number of offers received would further clarify the competitive landscape.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through market forces.

Public Impact

Ensures continued production of vital military armored vehicles. Supports a key segment of the defense industrial base. Potential for technological advancements in armored vehicle capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Defense sector, specifically military vehicle manufacturing. Spending in this area is driven by national security needs and technological advancements, with large contracts often awarded to established prime contractors.

Small Business Impact

The data indicates the prime contractor is General Dynamics Land Systems, a large business. There is no explicit information on small business participation in this specific award, which warrants further investigation.

Oversight & Accountability

The Department of the Navy awarded this contract, implying oversight from a major defense agency. The firm fixed price structure provides some cost control, but ongoing monitoring of delivery and quality is essential.

Related Government Programs

Risk Flags

Tags

military-armored-vehicle-tank-and-tank-c, department-of-defense, sc, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $145.1 million to GENERAL DYNAMICS LAND SYSTEMS - FORCE PROTECTION INC.. JORDAN LEVEL III FSR

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS LAND SYSTEMS - FORCE PROTECTION 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 $145.1 million.

What is the period of performance?

Start: 2011-11-14. End: 2012-12-31.

What was the competitive landscape like for this award, and did the full and open competition result in significant cost savings compared to other procurement methods?

The contract was awarded under full and open competition, suggesting a robust bidding process. While this method generally promotes cost savings, the exact degree of savings compared to sole-source or limited competition would require analysis of the bid prices received and the final negotiated amount. The number of bids submitted would also indicate the level of market interest and competitive pressure.

What are the specific risks associated with the performance and delivery of these military armored vehicles, and how are they being mitigated?

Risks in military vehicle production can include manufacturing defects, supply chain disruptions, and schedule delays. Mitigation strategies often involve stringent quality control, detailed performance specifications, and robust contract management by the procuring agency. The firm fixed price nature of this contract incentivizes the contractor to manage these risks effectively to avoid cost overruns.

How does this $145M contract contribute to the overall modernization and effectiveness of the Navy's armored vehicle fleet?

This substantial award directly contributes to the acquisition or upgrade of critical military armored vehicles, enhancing the Navy's operational capabilities. The specific type and quantity of vehicles procured will determine the extent of their impact on fleet modernization and overall combat effectiveness. This investment signals a commitment to maintaining and advancing armored force readiness.

Industry Classification

NAICS: ManufacturingOther Transportation Equipment ManufacturingMilitary Armored Vehicle, Tank, and Tank Component Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: M6785407R5000

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 9801 HIGHWAY 78 # 3, LADSON, SC, 29456

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $145,110,975

Exercised Options: $145,110,975

Current Obligation: $145,110,975

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M6785407D5031

IDV Type: IDC

Timeline

Start Date: 2011-11-14

Current End Date: 2012-12-31

Potential End Date: 2012-12-31 00:00:00

Last Modified: 2016-02-18

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