GSA awards $25.8M for airborne parachutes and support, with Atlantic Diving Supply Inc. as the contractor

Contract Overview

Contract Amount: $25,874,114 ($25.9M)

Contractor: Atlantic Diving Supply, Inc.

Awarding Agency: General Services Administration

Start Date: 2021-06-14

End Date: 2028-06-12

Contract Duration: 2,555 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: INDIA AIRBORNE PARACHUTES, SUPPORT EQUIPMENT AND SERVICES

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23452

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $25.9 million to ATLANTIC DIVING SUPPLY, INC. for work described as: INDIA AIRBORNE PARACHUTES, SUPPORT EQUIPMENT AND SERVICES Key points: 1. The contract value of $25.8 million over five years suggests a significant need for specialized parachute systems. 2. Full and open competition was utilized, indicating a broad market search for qualified suppliers. 3. The firm-fixed-price contract type aims to provide cost certainty for the government. 4. The award was made by the General Services Administration, Federal Acquisition Service, suggesting a centralized procurement approach. 5. The North American Industry Classification System (NAICS) code 339999 points to a niche manufacturing sector. 6. The contract duration of 2555 days (approximately 7 years) indicates a long-term requirement for these critical supplies.

Value Assessment

Rating: good

Benchmarking the value of this contract is challenging without specific details on the types and quantities of parachutes and support equipment. However, the $25.8 million award over approximately seven years suggests a substantial investment. The firm-fixed-price structure is generally favorable for the government when scope is well-defined, helping to control costs. Further analysis would require comparing unit prices for similar parachute systems and support services procured by other agencies.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, meaning all responsible sources were permitted to submit offers. This approach typically fosters a competitive environment, encouraging multiple bidders to vie for the contract. The number of bidders is not specified, but the use of full and open competition generally leads to better price discovery and potentially lower costs for the government compared to limited or sole-source procurements.

Taxpayer Impact: Full and open competition maximizes the opportunity for taxpayers to benefit from the most competitive pricing available in the market for these specialized airborne systems.

Public Impact

The primary beneficiaries are likely military and federal agencies requiring airborne insertion capabilities, such as law enforcement or special operations units. The contract will deliver airborne parachutes, associated support equipment, and potentially maintenance or training services. The geographic impact is likely national, as GSA procures for various federal entities across the United States. Workforce implications could include specialized manufacturing roles within Atlantic Diving Supply, Inc. and potentially in related supply chains.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the types and quantities of parachutes and support equipment makes it difficult to fully assess value for money.
The long contract duration could present risks if technology or operational requirements change significantly over the seven-year period.
Without knowing the number of bidders, it's hard to definitively gauge the intensity of competition and its impact on pricing.
The absence of small business subcontracting information raises questions about opportunities for smaller firms in this supply chain.

Positive Signals

The use of full and open competition is a positive signal for achieving competitive pricing.
The firm-fixed-price contract type provides cost certainty for the government.
Procurement through GSA suggests adherence to established federal acquisition processes and potential for economies of scale.
The award to a single contractor for a comprehensive package of parachutes and support indicates a streamlined acquisition approach.

Sector Analysis

This contract falls within the 'All Other Miscellaneous Manufacturing' sector, specifically related to safety and survival equipment. The market for specialized airborne systems is often niche, with a limited number of manufacturers possessing the required certifications and expertise. Federal spending in this area is driven by national security, public safety, and emergency response needs. Comparable spending benchmarks would involve analyzing other contracts for similar life-support or safety equipment procured by defense or civilian agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (sb: false) and the prime contractor, Atlantic Diving Supply, Inc., is not explicitly identified as a small business. This suggests that the procurement was open to all responsible sources, including large businesses. There is no immediate information on subcontracting plans, so the impact on the small business ecosystem is currently unknown. Further investigation into subcontracting goals would be necessary to assess opportunities for small businesses.

Oversight & Accountability

The General Services Administration (GSA) is responsible for overseeing this contract through its Federal Acquisition Service. Oversight mechanisms likely include contract performance monitoring, financial audits, and compliance checks. Accountability is established through the firm-fixed-price contract terms and the potential for corrective actions if performance standards are not met. Transparency is generally maintained through federal procurement databases like FPDS, where contract awards are reported.

Related Government Programs

Department of Defense Parachute Procurement
Federal Aviation Administration Safety Equipment
Emergency Preparedness and Response Supplies
Law Enforcement Tactical Gear Procurement
Special Operations Equipment Contracts

Risk Flags

Lack of detailed specifications
Potential for technological obsolescence
Unspecified number of bidders
No small business subcontracting details provided

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $25.9 million to ATLANTIC DIVING SUPPLY, INC.. INDIA AIRBORNE PARACHUTES, SUPPORT EQUIPMENT AND SERVICES

Who is the contractor on this award?

The obligated recipient is ATLANTIC DIVING SUPPLY, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $25.9 million.

What is the period of performance?

Start: 2021-06-14. End: 2028-06-12.

What specific types and quantities of airborne parachutes and support equipment are included in this $25.8 million contract?

The provided data does not specify the exact types and quantities of airborne parachutes and support equipment. The contract, valued at $25.8 million and awarded to Atlantic Diving Supply, Inc. by GSA, covers 'AIRBORNE PARACHUTES, SUPPORT EQUIPMENT AND SERVICES.' Without a detailed statement of work or line item breakdown, it is impossible to determine the precise nature of the items. This lack of specificity makes a granular value-for-money assessment difficult. Future analysis would require access to the contract's detailed specifications to understand the scope of deliverables, such as the number of parachute systems (e.g., main, reserve, cargo), types of support equipment (e.g., harnesses, containers, deployment bags, maintenance tools), and any associated services (e.g., training, repair, testing).

How does the per-unit cost of these parachutes and support equipment compare to market rates or similar government contracts?

A direct comparison of per-unit costs is not feasible with the current data. The contract value of $25.8 million is an aggregate figure over a period of approximately seven years, and the specific quantities and types of parachutes and support equipment are not detailed. To benchmark per-unit costs, one would need to identify comparable items procured by other federal agencies or available on the commercial market. Factors such as parachute type (e.g., T-11, MC-6), material specifications, load capacity, and whether the procurement includes advanced features or specialized support services significantly influence pricing. Without this granular information, any cost comparison would be speculative. The firm-fixed-price nature of the contract suggests that Atlantic Diving Supply, Inc. has factored in its costs and profit margins, but the competitiveness of these rates remains unverified without further data.

What is the track record of Atlantic Diving Supply, Inc. in fulfilling government contracts, particularly for similar equipment?

Atlantic Diving Supply, Inc. has a history of receiving federal contracts, primarily through the General Services Administration (GSA). While the provided data confirms their role as the contractor for these airborne parachutes, it does not offer a detailed performance history. A comprehensive assessment of their track record would involve reviewing past contract performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), any past performance issues or commendations, and their experience with manufacturing or supplying similar safety and survival equipment. Their ability to secure this significant contract suggests they have met GSA's requirements for responsibility and capability. However, a deeper dive into their contract history, including on-time delivery rates, quality control, and responsiveness to government needs on previous awards, would provide a more robust understanding of their reliability.

What are the potential risks associated with the long duration (approx. 7 years) of this contract?

The approximately seven-year duration of this contract presents several potential risks. Firstly, technological advancements in parachute design, materials, or deployment systems could render the procured equipment outdated before the contract expires, potentially leading to reduced effectiveness or the need for costly modifications. Secondly, changes in operational requirements or threat environments for the end-users (e.g., military, law enforcement) might necessitate different types of equipment or capabilities not covered by the current contract. Thirdly, economic fluctuations or changes in government funding priorities could impact the sustained availability of funds throughout the contract's life. Lastly, long-term contracts can sometimes lead to complacency or reduced urgency from the contractor if not actively managed and monitored by the contracting agency.

How does the use of 'Full and Open Competition' impact the overall value and taxpayer cost for this procurement?

The utilization of 'Full and Open Competition' is generally a positive indicator for maximizing value and controlling taxpayer costs. This procurement method requires the contracting agency, in this case, GSA, to solicit offers from all responsible sources, thereby broadening the potential supplier base. A wider pool of bidders typically intensifies competition, driving down prices as companies vie to win the contract. It also encourages innovation and efficiency as contractors seek to offer the best value proposition. While the specific number of bidders is not provided, the principle of full and open competition suggests that the government had the opportunity to select from the most competitive offers available in the market for airborne parachutes and support equipment, likely resulting in a more favorable price than a sole-source or limited competition award.

What is the estimated annual spending for this contract, and how does it compare to historical federal spending on similar parachute systems?

The total contract value is $25,874,114.25, with an estimated duration of 2555 days (approximately 7 years). To estimate annual spending, we divide the total value by the duration in years: $25,874,114.25 / 7 years ≈ $3.696 million per year. Comparing this to historical federal spending on similar parachute systems requires access to comprehensive historical procurement data, such as that found in the Federal Procurement Data System (FPDS). Without specific historical data points for comparable parachute systems (e.g., by type, agency, or manufacturer), it is difficult to provide a precise benchmark. However, an average annual expenditure of nearly $3.7 million suggests a consistent and significant requirement for these specialized items within the federal government.

Industry Classification

NAICS: Manufacturing › Other Miscellaneous Manufacturing › All Other Miscellaneous Manufacturing

Product/Service Code: CLOTHING, INDIVIDUAL EQUIPMENT, INSIGNA, AND JEWELRY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QSWC21Q0150

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 621 LYNNHAVEN PKWY, VIRGINIA BEACH, VA, 23452

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

Financial Breakdown

Contract Ceiling: $25,874,114

Exercised Options: $25,874,114

Current Obligation: $25,874,114

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $2,006,467

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS07F5965P

IDV Type: FSS

Timeline