State Department awards $24.9M contract for weapons, ammo, and accessories to Seneca Strategic Partners, LLC

Contract Overview

Contract Amount: $24,893,122 ($24.9M)

Contractor: Seneca Strategic Partners, LLC

Awarding Agency: Department of State

Start Date: 2024-12-17

End Date: 2026-01-15

Contract Duration: 394 days

Daily Burn Rate: $63.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: INL KYIV - PURCHASE OF WEAPONS, AMMUNITION, AND ACCESSORIES

Place of Performance

Location: SALAMANCA, CATTARAUGUS County, NEW YORK, 14779

State: New York Government Spending

Plain-Language Summary

Department of State obligated $24.9 million to SENECA STRATEGIC PARTNERS, LLC for work described as: INL KYIV - PURCHASE OF WEAPONS, AMMUNITION, AND ACCESSORIES Key points: 1. Contract awarded on a sole-source basis, limiting potential for competitive pricing. 2. Significant investment in defense articles suggests ongoing support for security operations. 3. Contract duration of 394 days indicates a medium-term need for these supplies. 4. The award is a definitive contract, suggesting a clear scope of work. 5. Fixed-price contract type aims to control costs for the government. 6. Awardee is based in New York, potentially impacting local economic contributions.

Value Assessment

Rating: fair

The contract value of $24.9 million for weapons, ammunition, and accessories is substantial. Without specific details on the exact items and quantities, a direct value-for-money assessment is challenging. However, sole-source awards often carry a higher risk of inflated pricing compared to competitively bid contracts. Benchmarking this against similar procurements for defense articles would be necessary for a more definitive valuation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to competition from multiple vendors. This approach is typically used when only one vendor can provide the required goods or services, or in urgent situations. The lack of competition means that the government did not benefit from the price discovery mechanisms that typically occur in a competitive bidding process.

Taxpayer Impact: Taxpayers may have paid a higher price than if the contract had been competed. The absence of competitive pressure could lead to less favorable terms and potentially higher overall costs for the government.

Public Impact

The primary beneficiaries are likely entities receiving security assistance or operational support requiring these specific defense articles. Services delivered include the provision of weapons, ammunition, and related accessories. The geographic impact is primarily linked to the operational needs of the Department of State, potentially in regions requiring enhanced security. Workforce implications are indirect, related to the supply chain and logistics of defense materiel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing.
Lack of detailed itemization makes precise value assessment difficult.
Potential for price escalation due to non-competitive nature.

Positive Signals

Firm fixed-price contract type provides cost certainty.
Definitive contract structure implies a well-defined scope.
Award supports critical security needs for the Department of State.

Sector Analysis

The defense articles and services sector is characterized by specialized manufacturing and supply chains. This contract falls within the broader defense industrial base, focusing on ammunition and weapon systems. The market for such goods is often influenced by geopolitical factors and government security requirements. Comparable spending benchmarks would typically involve other government procurements of similar defense materiel, often through established defense contractors.

Small Business Impact

This contract does not appear to have a small business set-aside. The award to Seneca Strategic Partners, LLC, a single entity, does not explicitly indicate subcontracting opportunities for small businesses. Further analysis would be needed to determine if the prime contractor has a subcontracting plan that includes small business participation.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of State's contracting and program management offices. Accountability measures would be tied to the delivery of specified goods and adherence to contract terms. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Foreign Military Sales
Security Assistance Programs
Department of Defense Ammunition Procurement
Weapons and Ammunition Manufacturing

Risk Flags

Sole-source award may lead to higher costs.
Lack of detailed itemization hinders value assessment.
Contractor's past performance not readily available.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $24.9 million to SENECA STRATEGIC PARTNERS, LLC. INL KYIV - PURCHASE OF WEAPONS, AMMUNITION, AND ACCESSORIES

Who is the contractor on this award?

The obligated recipient is SENECA STRATEGIC PARTNERS, LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $24.9 million.

What is the period of performance?

Start: 2024-12-17. End: 2026-01-15.

What is the specific nature and quantity of weapons, ammunition, and accessories being procured under this contract?

The provided data does not detail the specific types or quantities of weapons, ammunition, and accessories. The contract is broadly categorized under 'Ammunition (except Small Arms) Manufacturing' and general 'Purchase of Weapons, Ammunition, and Accessories.' A comprehensive understanding of the contract's value and necessity would require access to the detailed statement of work, which typically outlines the exact items, specifications, and quantities required by the Department of State. Without this granular information, it is difficult to assess the appropriateness of the $24.9 million award.

How does the pricing of this contract compare to similar sole-source awards for defense articles?

Direct price comparison for sole-source contracts is inherently difficult due to the lack of competitive bidding. Without knowing the specific items and quantities, benchmarking against other sole-source awards for similar defense articles is challenging. Typically, sole-source procurements are expected to be priced at fair and reasonable rates, often based on historical pricing, catalog prices, or cost-plus-fixed-fee arrangements if competition is impossible. The Department of State would have conducted some form of price analysis to justify the 'fair and reasonable' determination, but this analysis is not publicly detailed here. A significant deviation from established price lists or historical data for comparable items would raise concerns.

What are the specific risks associated with awarding this contract on a sole-source basis?

The primary risk of a sole-source award is the potential for inflated pricing due to the absence of competitive pressure. Without multiple bidders vying for the contract, the government may not achieve the most cost-effective outcome. Additionally, there's a risk that the chosen contractor may not be the most innovative or efficient provider available in the market. Transparency is also reduced, making it harder for the public and oversight bodies to scrutinize the value received. The justification for the sole-source award needs to be robust to mitigate these inherent risks.

What is the track record of Seneca Strategic Partners, LLC in fulfilling government contracts, particularly for defense articles?

Information regarding the specific track record of Seneca Strategic Partners, LLC in fulfilling government contracts, especially for defense articles, is not provided in the summary data. A thorough assessment would require reviewing the company's past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), previous contract awards, and any history of successful or problematic deliveries. Understanding their experience with similar procurements, their ability to meet deadlines, and the quality of their past work is crucial for evaluating the reliability of this award.

What is the strategic importance of this procurement for the Department of State's mission?

This procurement is likely tied to the Department of State's mission of supporting U.S. foreign policy objectives, which often includes providing security assistance or bolstering the capabilities of partner nations. The acquisition of weapons, ammunition, and accessories suggests a need to equip or resupply personnel or allies in regions facing security challenges. The specific context, such as ongoing conflicts or diplomatic initiatives requiring enhanced security presence, would dictate the strategic importance. This contract enables the Department to fulfill its security-related mandates effectively.

Are there any alternative sources or methods that could have been considered to fulfill this requirement?

The decision for a sole-source award implies that, at the time of procurement, alternative sources were either deemed unavailable, technically incapable, or not viable within the required timeframe. Standard procurement regulations require agencies to explore competition unless specific exceptions apply (e.g., urgent and compelling needs, unique capabilities). The justification for not competing this contract would typically involve documenting why other potential vendors could not meet the requirements. Without access to that justification, it's difficult to definitively state if alternatives were overlooked, but the agency must have determined that competition was not feasible or not in the government's best interest.

Industry Classification

NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Ammunition (except Small Arms) Manufacturing

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 19AQMM25R0052

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 90 OHI:YO' WAY, SALAMANCA, NY, 14779

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,893,122

Exercised Options: $24,893,122

Current Obligation: $24,893,122

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline