Purchase order for road wheel parts awarded to Mid-Continent Machining Inc. for $342,400

Contract Overview

Contract Amount: $3,424 ($3.4K)

Contractor: Mid-Continent Machining Inc

Awarding Agency: General Services Administration

Start Date: 2026-04-03

End Date: 2026-08-01

Contract Duration: 120 days

Daily Burn Rate: $29/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: LIFTER, ROAD WHEEL: IAWORDNANCE CORPS DEPT OF THE ARMY DETROIT ARSENALDRAWING NUMBER 7010355,DATED 19 MARCH 57, REVISION C, DATED 5 DEC 74. (EXCEPTIONS APPLY) (PARTIAL DESCRIPTION)

Place of Performance

Location: KANSAS CITY, WYANDOTTE County, KANSAS, 66105

State: Kansas Government Spending

Plain-Language Summary

General Services Administration obligated $3,424 to MID-CONTINENT MACHINING INC for work described as: LIFTER, ROAD WHEEL: IAWORDNANCE CORPS DEPT OF THE ARMY DETROIT ARSENALDRAWING NUMBER 7010355,DATED 19 MARCH 57, REVISION C, DATED 5 DEC 74. (EXCEPTIONS APPLY) (PARTIAL DESCRIPTION) Key points: 1. The contract value of $342,400 appears reasonable for specialized manufacturing services. 2. Competition dynamics for this specific part are not detailed, but the award was made under SAP. 3. Risk indicators are low given the firm-fixed-price structure and short duration. 4. Performance context is limited to the supply of road wheel components. 5. The contract falls within the broader manufacturing and defense industrial base sector. 6. Value for money is assessed based on the fixed-price nature, limiting cost overruns.

Value Assessment

Rating: good

The contract value of $342,400 for road wheel parts seems within a reasonable range for specialized manufacturing. Without specific details on the exact components and quantities, a direct comparison is difficult. However, the firm-fixed-price structure suggests that the government has secured a defined cost for the deliverables, which is a positive indicator for value. Benchmarking against similar defense component procurements would provide a more precise assessment of pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

The contract was competed under SAP (Simplified Acquisition Procedures), which typically implies a less extensive competition than full and open procedures. The number of bidders is not specified, but SAP is generally used for procurements under a certain dollar threshold, often encouraging participation from a wider range of vendors, including small businesses. The level of competition under SAP can vary significantly.

Taxpayer Impact: The use of SAP suggests an effort to streamline the procurement process, potentially leading to faster delivery. However, the specific impact on taxpayer cost savings depends on the actual number of bids received and the resulting price.

Public Impact

The primary beneficiaries are likely entities within the Department of the Army requiring road wheel components for their equipment. The services delivered involve the manufacturing of specific road wheel parts as per drawing number 7010355. The geographic impact is centered around the supplier's location in Kansas (KS) and the Army's operational areas. Workforce implications include employment opportunities at Mid-Continent Machining Inc. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP procedures.
Dependence on a single supplier for critical components.
Ensuring quality control for specialized manufacturing parts.

Positive Signals

Firm-fixed-price contract limits cost uncertainty.
Short contract duration reduces long-term risk exposure.
Award to an established manufacturer with potential for reliable delivery.

Sector Analysis

This contract falls within the broader manufacturing sector, specifically supporting the defense industrial base. The market for specialized vehicle components is driven by military readiness and equipment sustainment needs. Comparable spending benchmarks would involve analyzing other procurements for similar vehicle parts or manufacturing services for defense applications, which can range from thousands to millions of dollars depending on complexity and volume.

Small Business Impact

The contract does not indicate a small business set-aside. However, as it was competed under SAP, there may have been opportunities for small businesses to bid. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses, which could contribute to the small business ecosystem.

Oversight & Accountability

Oversight for this purchase order would typically be managed by the contracting office within the General Services Administration (GSA) and the relevant Army logistics command. Accountability measures are inherent in the firm-fixed-price contract, requiring delivery of specified goods. Transparency is generally maintained through contract award databases, though detailed performance metrics may not be publicly available.

Related Government Programs

Army Vehicle Parts Procurement
Defense Logistics Agency Contracts
Manufacturing Support Services
Ordnance Corps Procurement

Risk Flags

Potential for limited competition under SAP
Dependence on specific drawing for manufacturing

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $3,424 to MID-CONTINENT MACHINING INC. LIFTER, ROAD WHEEL: IAWORDNANCE CORPS DEPT OF THE ARMY DETROIT ARSENALDRAWING NUMBER 7010355,DATED 19 MARCH 57, REVISION C, DATED 5 DEC 74. (EXCEPTIONS APPLY) (PARTIAL DESCRIPTION)

Who is the contractor on this award?

The obligated recipient is MID-CONTINENT MACHINING INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $3,424.

What is the period of performance?

Start: 2026-04-03. End: 2026-08-01.

What is the track record of Mid-Continent Machining Inc. with government contracts?

Information regarding Mid-Continent Machining Inc.'s specific track record with government contracts is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance on similar awards, including on-time delivery rates, quality compliance, and any history of contract disputes or terminations. Examining federal procurement databases like SAM.gov or FPDS could reveal their contract history and performance ratings, offering insights into their reliability as a government supplier.

How does the awarded price compare to market rates for similar road wheel components?

A precise comparison of the awarded price ($342,400) to market rates for similar road wheel components is challenging without detailed specifications of the parts, materials, and quantities. The nature of specialized military components often commands higher prices due to stringent quality requirements, specific engineering designs, and potentially lower production volumes compared to commercial equivalents. Benchmarking would ideally involve identifying contracts for identical or highly similar parts procured by other government agencies or defense contractors, considering factors like inflation and lead times.

What are the primary risks associated with this contract?

The primary risks associated with this contract are relatively low due to its nature. Key risks include potential delays in manufacturing and delivery, quality control issues that could lead to non-conforming parts, and the possibility of price increases if the firm-fixed-price contract does not adequately account for material cost fluctuations (though this is less likely with FFP). Given the short duration (120 days) and the specific nature of the item, risks related to obsolescence or significant changes in requirements are also minimal.

How effective is the Simplified Acquisition Procedure (SAP) in ensuring value for money for this type of procurement?

The effectiveness of SAP in ensuring value for money for this type of procurement is variable. SAP is designed for efficiency and speed in acquiring goods and services below certain thresholds, which can reduce administrative costs. However, it may not always foster the same level of robust price competition as full and open procedures. For specialized parts like road wheels, the number of qualified manufacturers might be limited, meaning that even under SAP, competition could be constrained. The actual value achieved depends heavily on the number of bids received and the diligence of the contracting officer in obtaining fair and reasonable pricing.

What is the historical spending pattern for road wheel components by the Department of the Army?

Historical spending patterns for road wheel components by the Department of the Army are likely substantial, reflecting the vast size and operational tempo of its vehicle fleet. This spending would fluctuate based on modernization programs, maintenance cycles, and the deployment of various vehicle types. Analyzing past contract awards for similar components, potentially across different fiscal years and through various procurement vehicles (e.g., GSA schedules, direct solicitations), would reveal trends in volume, pricing, and key suppliers. Such analysis is crucial for budgeting and identifying potential cost-saving opportunities through strategic sourcing.

Industry Classification

NAICS: Manufacturing › Cutlery and Handtool Manufacturing › Saw Blade and Handtool Manufacturing

Product/Service Code: HAND TOOLS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1034 S 8TH ST, KANSAS CITY, KS, 66105

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

Financial Breakdown

Contract Ceiling: $3,424

Exercised Options: $3,424

Current Obligation: $3,424

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline