DoD Awards $55M for Wheeled Trucks, Awarded Sole-Source to Textron Systems Corp
Contract Overview
Contract Amount: $279,394,114 ($279.4M)
Contractor: Textron Systems Corp
Awarding Agency: Department of Defense
Start Date: 1999-11-24
End Date: 2011-09-30
Contract Duration: 4,328 days
Daily Burn Rate: $64.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: 200002!2100!000339!AE07 !TACOM - WARREN !DAAE0799CS001 !A!*!P00003 !19991124!20000731!039044037!039044037!001338979!N!50079!TEXTRON MARINE & LAND SYSTEMS,!19401 CHEF MENTEUR HIGHWAY!NEW ORLEANS !LA!70129!55000!071!22!NEW ORLEANS !ORLEANS !LOUISIANA !0001!+000000170304!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !A4B!NON-COMBAT VEHICLES !1000!NOT DISCERNABLE OR CLASSIFIED !3799!3!*!*!*!B!A!*!C !Y!J!1!001!N!1B!Z!Y!A!* !* !N!C!*!A!A!A!A!A!A!* !*!N!A!C!N!*!*!*!*!*!
Place of Performance
Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70127
Plain-Language Summary
Department of Defense obligated $279.4 million to TEXTRON SYSTEMS CORP for work described as: 200002!2100!000339!AE07 !TACOM - WARREN !DAAE0799CS001 !A!*!P00003 !19991124!20000731!039044037!039044037!001338979!N!50079!TEXTRON MARINE & LAND SYSTEMS,!19401 CHEF MENTEUR HIGHWAY!NEW ORLEANS !LA!70129!55000!071!22!NEW ORLEANS !ORL… Key points: 1. The contract for wheeled trucks was awarded on a sole-source basis. 2. Textron Systems Corp. received the $55 million contract. 3. The contract duration is over 12 years, indicating a long-term need. 4. The sector is Defense, specifically for non-combat vehicles.
Value Assessment
Rating: questionable
The contract value of $55 million over 12 years is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar wheeled vehicle contracts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded sole-source, meaning no competition was sought. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The lack of competition for a significant contract value raises concerns about potential overspending of taxpayer funds.
Public Impact
Taxpayers may have paid a premium due to the absence of competitive bidding. The long contract duration suggests a sustained need for these vehicles. The sole-source award limits transparency in the procurement process.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Long contract duration
- Lack of competition
Positive Signals
- Award to a known entity (Textron Systems Corp.)
- Clear product category (wheeled trucks)
Sector Analysis
This contract falls within the Defense sector, specifically for wheeled, non-combat vehicles. Spending benchmarks in this area can vary widely based on vehicle type and technological sophistication.
Small Business Impact
There is no indication in the provided data that small businesses were involved in this sole-source award.
Oversight & Accountability
The sole-source nature of this award warrants further oversight to ensure the price paid was justified and that future procurements consider competitive options.
Related Government Programs
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award limits competition.
- Extended contract duration may reduce flexibility.
- Lack of transparency in price justification.
- Potential for higher costs due to no competition.
Tags
department-of-defense, la, dca, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $279.4 million to TEXTRON SYSTEMS CORP. 200002!2100!000339!AE07 !TACOM - WARREN !DAAE0799CS001 !A!*!P00003 !19991124!20000731!039044037!039044037!001338979!N!50079!TEXTRON MARINE & LAND SYSTEMS,!19401 CHEF MENTEUR HIGHWAY!NEW ORLEANS !LA!70129!55000!071!22!NEW ORLEANS !ORLEANS !LOUISIANA !0001!+000000170304!N!N!000000000000!2320!TRUCKS AND TRUCK TRACTORS, WHEELED !A4B!NON-COMBAT VEHICLES !1000!NOT DISCERNABLE OR CLASSIFIED !3799!3!*!*!*!B!A!*!C !Y!J!
Who is the contractor on this award?
The obligated recipient is TEXTRON SYSTEMS CORP.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $279.4 million.
What is the period of performance?
Start: 1999-11-24. End: 2011-09-30.
What was the justification for awarding this contract sole-source?
The provided data does not specify the justification for the sole-source award. Typically, sole-source contracts are justified by factors such as unique capabilities, urgent needs, or the unavailability of other sources. Further investigation into the contract file would be required to determine the specific rationale.
What is the estimated per-unit cost of these trucks?
The data provides a total contract value of $55,000,000 and indicates 1 unit was procured. However, the 'no' field is '1', suggesting this might be a single large order or a base contract with options. Without clarity on the quantity, a per-unit cost cannot be reliably calculated.
How does the extended contract duration impact potential cost savings?
A long contract duration, like the 12+ years here, can offer stability and potentially volume discounts if negotiated effectively. However, it also locks the government into a single provider, potentially missing out on cost reductions that could arise from competitive re-bidding or technological advancements from other firms.
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Textron Inc (UEI: 001338979)
Address: 19401 CHEF MENTEUR HWY, NEW ORLEANS, LA, 02
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Contract Characteristics
Cost or Pricing Data: YES
Timeline
Start Date: 1999-11-24
Current End Date: 2011-09-30
Potential End Date: 2011-09-30 00:00:00
Last Modified: 2014-11-04
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