DoD Awards Daimler Truck $13.3M for 65 M915A3 Transporters Under Full and Open Competition
Contract Overview
Contract Amount: $13,286,469 ($13.3M)
Contractor: Daimler Truck North America LLC
Awarding Agency: Department of Defense
Start Date: 2007-07-02
End Date: 2008-10-31
Contract Duration: 487 days
Daily Burn Rate: $27.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: AWARD OF 65 EACH M916A3 LIGHT EQUIPMENT TRANSPORTERS.
Place of Performance
Location: PORTLAND, MULTNOMAH County, OREGON, 97217
State: Oregon Government Spending
Plain-Language Summary
Department of Defense obligated $13.3 million to DAIMLER TRUCK NORTH AMERICA LLC for work described as: AWARD OF 65 EACH M916A3 LIGHT EQUIPMENT TRANSPORTERS. Key points: 1. Awarded to a single, established manufacturer of heavy-duty trucks. 2. Contract type is Firm Fixed Price, providing cost certainty. 3. Competition was full and open, suggesting potential for competitive pricing. 4. Spending falls within the broader 'Travel Trailer and Camper Manufacturing' NAICS code.
Value Assessment
Rating: good
The total award of $13.3 million for 65 units averages to approximately $204,407 per transporter. This price appears reasonable given the specialized nature of heavy equipment transporters.
Cost Per Unit: $204,407
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders were likely considered. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition aims to secure the most cost-effective solution for taxpayers, ensuring funds are used efficiently for essential equipment.
Public Impact
Ensures military readiness by providing essential transport vehicles. Supports the defense industrial base through a significant contract award. The acquisition of specialized equipment contributes to logistical capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price escalation if demand increases significantly.
- Long-term sustainment and maintenance costs not detailed.
Positive Signals
- Firm Fixed Price contract limits cost overruns.
- Full and open competition suggests competitive pricing.
- Award to a reputable manufacturer ensures quality.
Sector Analysis
This contract falls under the defense sector, specifically for tactical wheeled vehicles. Spending benchmarks for similar heavy transport vehicles can vary widely based on specifications and quantity, but this award appears within a typical range for such equipment.
Small Business Impact
The award went to Daimler Truck North America LLC, a large business. There is no indication in the provided data that small businesses were directly involved as prime contractors or significant subcontractors.
Oversight & Accountability
The contract was awarded by the Department of the Army, part of the Department of Defense. Standard oversight mechanisms for defense contracts would apply, focusing on delivery, quality, and adherence to contract terms.
Related Government Programs
- Travel Trailer and Camper Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for sole-sourcing future sustainment contracts.
- Limited visibility into long-term operational costs.
- Dependence on a single large manufacturer for this specific vehicle type.
Tags
travel-trailer-and-camper-manufacturing, department-of-defense, or, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $13.3 million to DAIMLER TRUCK NORTH AMERICA LLC. AWARD OF 65 EACH M916A3 LIGHT EQUIPMENT TRANSPORTERS.
Who is the contractor on this award?
The obligated recipient is DAIMLER TRUCK NORTH AMERICA 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 $13.3 million.
What is the period of performance?
Start: 2007-07-02. End: 2008-10-31.
What is the projected lifespan and maintenance cost for these transporters?
The provided data does not specify the projected lifespan or estimated maintenance costs for the M915A3 Light Equipment Transporters. Understanding these factors is crucial for a comprehensive total ownership cost analysis and long-term budget planning. Further investigation into sustainment contracts or technical manuals would be necessary to determine these figures.
Were there any specific performance requirements that limited the number of potential bidders despite full and open competition?
While the contract was advertised as full and open, specific technical requirements or performance standards for the M915A3 Light Equipment Transporters may have inherently limited the pool of qualified bidders to manufacturers with existing capabilities and certifications. This is common for specialized military equipment where only a few firms can meet stringent specifications.
How does the per-unit cost compare to previous acquisitions of similar vehicles?
Comparing the per-unit cost of approximately $204,407 to previous acquisitions requires access to historical contract data for similar vehicles. Without that data, it's difficult to definitively assess if this price represents an improvement or increase. Factors like inflation, technological upgrades, and quantity discounts would need to be considered for a valid comparison.
Industry Classification
NAICS: Manufacturing › Motor Vehicle Body and Trailer Manufacturing › Travel Trailer and Camper Manufacturing
Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Daimlerchrysler AG (UEI: 498999044)
Address: 4747 N CHANNEL AVE, PORTLAND, OR, 90
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $13,286,469
Exercised Options: $13,286,469
Current Obligation: $13,286,469
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: DAAE0700DS022
IDV Type: IDC
Timeline
Start Date: 2007-07-02
Current End Date: 2008-10-31
Potential End Date: 2010-06-30 00:00:00
Last Modified: 2012-08-22
More Contracts from Daimler Truck North America LLC
- Delivery Order for the Procurement of 1780 Each M915A3 Truck Tractors — $358.8M (Department of Defense)
- This Delivery Order Adds 600 Each - M916A3 Light Equipment Transporters, 150 Each - M917A2 Dump Trucks & 50 Each, M917A2 W/Mcs Dump Trucks — $169.5M (Department of Defense)
- Award of 100 Each M915A3 Truck Tractors and 812 Each M916A3 Light Equipment Transporters — $162.5M (Department of Defense)
- Clin 0001AA Adds 600 Each, M916A3 Light Equipment Transporters — $128.0M (Department of Defense)
- Award of 793 Each M915A3 Truck Tractors and 119 Each M916A3 Light Equipment Transporters — $108.7M (Department of Defense)
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