DoD awards $11.7M for Wheeled Trucks, BAE Systems wins contract
Contract Overview
Contract Amount: $11,703,775 ($11.7M)
Contractor: BAE Systems Survivability Systems LLC
Awarding Agency: Department of Defense
Start Date: 2001-09-06
End Date: 2007-09-30
Contract Duration: 2,215 days
Daily Burn Rate: $5.3K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: 200112!002950!2100!AE07 !TACOM - WARREN !DAAE0701CS105 !A!N!*!N! !20010906!20060901!101487239!101487239!101487239!N!OGARA-HESS & EISENHARDT !9113 LE SAINT DRIVE !FAIRFIELD !OH!45014!25970!017!39!FAIRFIELD !BUTLER !OHIO !+000001332000!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !A4B!NON-COMBAT VEHICLES !1DAD!TRUCKS <1T !327910!*!*!3! ! ! !*!*!*!B!*!*!A! !D !N!U!1!001!N!1G!Z!Y!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!B!N! ! ! ! ! ! !0001!
Place of Performance
Location: WEST CHESTER, BUTLER County, OHIO, 45014, UNITED STATES OF AMERICA
State: Ohio Government Spending
Plain-Language Summary
Department of Defense obligated $11.7 million to BAE SYSTEMS SURVIVABILITY SYSTEMS LLC for work described as: 200112!002950!2100!AE07 !TACOM - WARREN !DAAE0701CS105 !A!N!*!N! !20010906!20060901!101487239!101487239!101487239!N!OGARA-HESS & EISENHARDT !9113 LE SAINT DRIVE !FAIRFIELD !OH!45014!25970!017!39!FAIRFIELD !BUTLE… Key points: 1. Contract awarded to BAE Systems for non-combat vehicles. 2. Significant spending on trucks and truck tractors. 3. Potential for higher costs due to sole-source award. 4. IT sector not directly involved, but vehicle tech is relevant.
Value Assessment
Rating: fair
The contract value is $11,703,774.91. Without specific benchmarks for similar wheeled vehicle contracts, it's difficult to definitively assess pricing. However, the 'NOT COMPETED' status raises concerns about potential overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and may lead to higher costs for taxpayers as competitive pressure is absent.
Taxpayer Impact: The lack of competition could result in the government paying more than necessary for these wheeled vehicles, impacting taxpayer funds.
Public Impact
Taxpayers may be overpaying due to the sole-source nature of the award. The Department of the Army is acquiring non-combat vehicles. The contract supports the manufacturing of trucks and truck tractors. The duration of the contract is over 2200 days.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpricing
- Sole-source award
Positive Signals
- Award to established contractor
- Supports essential vehicle needs
Sector Analysis
This contract falls under the Defense sector, specifically for wheeled vehicles. Spending benchmarks for this category can vary widely based on vehicle type and customization, but a lack of competition often inflates costs.
Small Business Impact
There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. The award went to BAE Systems, a large defense contractor.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny. Further oversight is needed to ensure the pricing is fair and reasonable, and to understand why competition was not pursued.
Related Government Programs
- Abrasive Product Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award
- Lack of competitive bidding
- Potential for inflated pricing
- Limited transparency in price justification
Tags
abrasive-product-manufacturing, department-of-defense, oh, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.7 million to BAE SYSTEMS SURVIVABILITY SYSTEMS LLC. 200112!002950!2100!AE07 !TACOM - WARREN !DAAE0701CS105 !A!N!*!N! !20010906!20060901!101487239!101487239!101487239!N!OGARA-HESS & EISENHARDT !9113 LE SAINT DRIVE !FAIRFIELD !OH!45014!25970!017!39!FAIRFIELD !BUTLER !OHIO !+000001332000!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !A4B!NON-COMBAT VEHICLES !1DAD!TRUCKS <1T !327910!*!*!3! ! ! !*!*!*!B!*!*!A!
Who is the contractor on this award?
The obligated recipient is BAE SYSTEMS SURVIVABILITY SYSTEMS LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $11.7 million.
What is the period of performance?
Start: 2001-09-06. End: 2007-09-30.
What was the justification for awarding this contract on a sole-source basis instead of seeking competitive bids?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of other responsible sources. Without specific documentation, it's impossible to determine the exact reason. However, the absence of competition raises concerns about whether the government explored all avenues to secure the best value.
How does the per-unit cost of these trucks compare to similar vehicles procured through competitive means?
Without access to specific unit cost data and comparable contract information, a direct per-unit cost comparison is not possible. However, sole-source contracts are generally expected to be less cost-effective than competitively awarded ones due to the lack of market pressure to reduce prices.
What is the long-term strategic value of this sole-source procurement for the Department of the Army?
The long-term strategic value depends on the specific role these trucks play in the Army's operations and logistics. If these vehicles are critical and BAE Systems is the only viable provider, the sole-source award might be strategically justified despite the cost implications. However, continuous evaluation is needed to ensure ongoing necessity.
Industry Classification
NAICS: Manufacturing › Other Nonmetallic Mineral Product Manufacturing › Abrasive Product Manufacturing
Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: DAAE0701RS173
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: BAE Systems PLC (UEI: 217304393)
Address: 9113 LE SAINT DR, FAIRFIELD, OH, 45014
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $15,125,177
Exercised Options: $15,125,177
Current Obligation: $11,703,775
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2001-09-06
Current End Date: 2007-09-30
Potential End Date: 2007-09-30 00:00:00
Last Modified: 2015-05-06
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