DHS Awards $63.6M for Irradiation Apparatus Manufacturing to American Science & Engineering Inc

Contract Overview

Contract Amount: $63,559,908 ($63.6M)

Contractor: American Science & Engineering Inc

Awarding Agency: Department of Homeland Security

Start Date: 2018-09-28

End Date: 2024-09-28

Contract Duration: 2,192 days

Daily Burn Rate: $29.0K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LEP

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20229

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $63.6 million to AMERICAN SCIENCE & ENGINEERING INC for work described as: LEP Key points: 1. Significant contract value of $63.6 million. 2. Sole-source award to American Science & Engineering Inc. 3. Potential risk associated with limited competition. 4. Spending in the Irradiation Apparatus Manufacturing sector.

Value Assessment

Rating: fair

The contract value of $63.6 million for irradiation apparatus manufacturing appears substantial. Without specific benchmarks for similar apparatus or contract types, a precise value assessment is difficult. However, the duration of the contract (2192 days) suggests a long-term commitment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, indicating a lack of competition. This method limits price discovery and may result in higher costs for taxpayers compared to a fully competed procurement.

Taxpayer Impact: The sole-source nature of this award raises concerns about potential overspending and reduced value for taxpayer funds.

Public Impact

Customs and Border Protection relies on this equipment for its operations. The long contract duration suggests ongoing operational needs. Limited competition could impact the availability of advanced technologies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Irradiation Apparatus Manufacturing sector is specialized, often involving high-tech equipment. Spending in this area is typically driven by government needs for security, research, or industrial applications. Benchmarks are difficult without more specific product details.

Small Business Impact

The data indicates this contract was not awarded to a small business. There is no information provided on subcontracting opportunities for small businesses within this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure fair pricing and effective delivery. Accountability for the use of taxpayer funds is crucial given the limited competition.

Related Government Programs

Risk Flags

Tags

irradiation-apparatus-manufacturing, department-of-homeland-security, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $63.6 million to AMERICAN SCIENCE & ENGINEERING INC. LEP

Who is the contractor on this award?

The obligated recipient is AMERICAN SCIENCE & ENGINEERING INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $63.6 million.

What is the period of performance?

Start: 2018-09-28. End: 2024-09-28.

What is the justification for the sole-source award, and how was the price determined to be fair and reasonable?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs that only one vendor can meet. Price reasonableness is usually determined through market research, historical pricing, or independent government cost estimates. Without the specific justification document, it's impossible to confirm the exact reasons or the methods used to ensure a fair price.

What are the risks associated with relying on a single vendor for critical irradiation apparatus over a six-year period?

Relying on a single vendor for six years carries risks such as potential price increases, reduced incentive for innovation, and supply chain vulnerabilities if the vendor faces operational issues. It also limits the government's ability to benefit from competitive advancements in technology or cost reductions offered by other manufacturers.

How does the performance of this irradiation apparatus contribute to the effectiveness of U.S. Customs and Border Protection operations?

Irradiation apparatus can be used for various purposes, including cargo scanning and inspection. Effective performance of this equipment is critical for CBP's mission to secure borders, facilitate legitimate trade, and prevent illicit activities. Any deficiencies or outdated technology could impact operational efficiency and national security.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingIrradiation Apparatus Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: OSI Systems Inc

Address: 829 MIDDLESEX TPKE, BILLERICA, MA, 01821

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

Financial Breakdown

Contract Ceiling: $63,636,131

Exercised Options: $63,559,908

Current Obligation: $63,559,908

Actual Outlays: $4,587,912

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70B03C18D00000035

IDV Type: IDC

Timeline

Start Date: 2018-09-28

Current End Date: 2024-09-28

Potential End Date: 2024-09-28 15:47:22

Last Modified: 2026-04-07

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