State Department awards $12.9M contract for ammunition logistics support to Human Technologies Corp

Contract Overview

Contract Amount: $12,936,000 ($12.9M)

Contractor: Human Technologies Corp

Awarding Agency: Department of State

Start Date: 2025-12-19

End Date: 2026-09-18

Contract Duration: 273 days

Daily Burn Rate: $47.4K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AM:MFT AMMUNITION FOR UKRAINIAN COUNTERPARTS

Place of Performance

Location: UTICA, ONEIDA County, NEW YORK, 13501

State: New York Government Spending

Plain-Language Summary

Department of State obligated $12.9 million to HUMAN TECHNOLOGIES CORP for work described as: AM:MFT AMMUNITION FOR UKRAINIAN COUNTERPARTS Key points: 1. Contract focuses on critical logistics and distribution services for ammunition, essential for ongoing international support. 2. The award to a single vendor suggests potential limitations in market competition or specialized capabilities required. 3. Fixed-price contract type aims to control costs, but performance monitoring is key to ensuring value. 4. The duration of the contract (273 days) indicates a focused, short-term need for these services. 5. Geographic focus on New York (st) for the contractor's operations. 6. This contract supports broader U.S. foreign policy objectives by enabling the provision of defense materiel.

Value Assessment

Rating: fair

The contract value of $12.9 million for approximately 9 months of service appears reasonable for specialized logistics support. However, without direct benchmarks for similar ammunition logistics contracts, a precise value-for-money assessment is challenging. The firm fixed-price structure provides cost certainty, but the absence of competition raises questions about whether the most competitive pricing was achieved. Further analysis would require comparing this contract's unit costs or overall value against industry standards for similar services, particularly those involving international distribution of sensitive materials.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. This approach is typically used when only one vendor possesses the necessary specialized skills, facilities, or security clearances required for the service. The lack of competition means that the government did not benefit from a bidding process that could have driven down prices or offered alternative solutions. While justified in certain circumstances, sole-source awards warrant scrutiny to ensure they are truly necessary and not a result of inadequate market research or planning.

Taxpayer Impact: Sole-source awards limit the government's ability to secure the best possible price through competitive bidding, potentially leading to higher costs for taxpayers. It also reduces opportunities for other qualified businesses to secure federal contracts.

Public Impact

The primary beneficiaries are Ukrainian forces receiving essential ammunition, facilitated by efficient logistics. Services delivered include process, physical distribution, and logistics consulting related to ammunition. The geographic impact is primarily on the contractor's operational base in New York, supporting global distribution. Workforce implications are likely within the logistics and consulting sectors, potentially requiring specialized security clearances.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in suboptimal pricing for taxpayers.
Sole-source awards can limit transparency and accountability in the procurement process.
Dependence on a single contractor for critical logistics could pose a supply chain risk.

Positive Signals

Firm fixed-price contract provides cost predictability.
Contract supports critical foreign policy objectives and national security interests.
Focus on specialized logistics indicates a potentially high level of contractor expertise.

Sector Analysis

The defense logistics and consulting sector is a critical component of national security and international relations. This contract falls within the broader professional, scientific, and technical services category, specifically focusing on logistics. The market for ammunition supply chain management is specialized, often requiring adherence to strict regulations and security protocols. While specific market size data for this niche is not readily available, the overall federal spending on logistics and support services is substantial, reflecting its importance in maintaining operational readiness and supporting allies.

Small Business Impact

This contract was not awarded to a small business and does not appear to have a small business set-aside component. There is no indication of subcontracting requirements for small businesses within the provided data. This means that opportunities for small businesses to participate in this specific contract are likely limited, and the primary awardee is a large business.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of State's Bureau of Political-Military Affairs and its Office of the Inspector General. The firm fixed-price nature of the contract provides some level of cost control, but effective oversight will focus on ensuring timely delivery, adherence to specifications, and proper execution of logistics services. Transparency is moderate, given the sole-source nature, but contract performance data and any associated audits would be key accountability measures.

Related Government Programs

Foreign Military Sales Program
Security Assistance Programs
Department of Defense Logistics Support Contracts
International Narcotics Control and Law Enforcement (INCLE)

Risk Flags

Sole-source award lacks competitive pricing.
Potential for supply chain disruption due to single vendor reliance.
Limited transparency inherent in non-competitive procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $12.9 million to HUMAN TECHNOLOGIES CORP. AM:MFT AMMUNITION FOR UKRAINIAN COUNTERPARTS

Who is the contractor on this award?

The obligated recipient is HUMAN TECHNOLOGIES CORP.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.9 million.

What is the period of performance?

Start: 2025-12-19. End: 2026-09-18.

What is the track record of Human Technologies Corp. in providing similar logistics and ammunition support services to the federal government?

Information regarding Human Technologies Corp.'s specific track record in providing ammunition logistics and distribution services to the federal government is not detailed in the provided data. As a sole-source award, it implies a determination by the Department of State that this contractor possesses unique capabilities or is the only viable source. A deeper dive into the contractor's past performance, including any previous government contracts, client references, and demonstrated expertise in handling sensitive materials like ammunition, would be necessary for a comprehensive assessment. This would typically involve reviewing past performance evaluations and any publicly available contract history to ascertain their reliability and effectiveness in similar roles.

How does the $12.9 million contract value compare to similar ammunition logistics support contracts awarded by the government?

Benchmarking this $12.9 million contract against similar government contracts for ammunition logistics support is challenging without access to a broader dataset of comparable awards. The value is influenced by numerous factors, including the volume and type of ammunition, the scope of logistics services (e.g., transportation, storage, consulting), the duration of the contract, and the specific security requirements. Given that this is a sole-source award for a period of approximately 9 months, it suggests a potentially specialized or urgent need. A comprehensive comparison would require identifying contracts with similar service descriptions, contract types (firm fixed-price), and agencies, while also accounting for inflation and market fluctuations over time.

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

The primary risks associated with a sole-source award include a lack of price competition, which can lead to higher costs for the government and taxpayers. There's also a potential for reduced innovation and service quality, as the contractor faces less pressure to outperform competitors. Furthermore, sole-source awards can raise concerns about fairness and equal opportunity for other qualified businesses. In this specific case, reliance on a single vendor for critical ammunition logistics could also introduce supply chain vulnerabilities if the contractor experiences performance issues, financial instability, or other disruptions. Ensuring robust oversight and clear performance metrics becomes even more crucial to mitigate these risks.

What is the expected effectiveness of Human Technologies Corp. in fulfilling the 'Process, Physical Distribution, and Logistics Consulting Services' for ammunition?

The expected effectiveness hinges on Human Technologies Corp.'s demonstrated capabilities and the Department of State's due diligence in selecting them as a sole-source provider. The contract's focus on 'Process, Physical Distribution, and Logistics Consulting Services' suggests a need for expertise in optimizing the flow of ammunition, ensuring secure transportation, and potentially advising on best practices. Effectiveness will be measured by the contractor's ability to meet delivery timelines, maintain the integrity and security of the ammunition throughout the supply chain, and provide valuable consulting insights that improve efficiency. The firm fixed-price nature implies that the government expects a defined set of services to be delivered at a predetermined cost, with effectiveness tied to achieving these deliverables successfully.

How has federal spending on ammunition logistics and related consulting services trended in recent years, and how does this contract fit into that pattern?

Federal spending on ammunition logistics and related consulting services has likely seen fluctuations driven by geopolitical events, military readiness requirements, and support for international partners. While specific aggregate data for this niche is not provided, overall defense and security assistance spending often increases during periods of heightened global instability. This $12.9 million contract for ammunition logistics support to Ukraine fits into a broader pattern of the U.S. government providing substantial materiel and related services to allies. It represents a targeted investment within a larger framework of foreign policy and defense initiatives, reflecting an ongoing commitment to supporting partners facing security challenges.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Process, Physical Distribution, and Logistics Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 19AQMM26Q0018

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2260 DWYER AVE, UTICA, NY, 13501

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

Financial Breakdown

Contract Ceiling: $12,936,000

Exercised Options: $12,936,000

Current Obligation: $12,936,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM21D0007

IDV Type: IDC

Timeline