DoD Spends $17.3M on F/A-18 Leading Edge Flap Drive Systems from Moog Inc
Contract Overview
Contract Amount: $17,286,574 ($17.3M)
Contractor: Moog Inc
Awarding Agency: Department of Defense
Start Date: 2010-12-23
End Date: 2013-10-30
Contract Duration: 1,042 days
Daily Burn Rate: $16.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PROCUREMENT OF F/A-18 A-D LEADING EDGE FLAP MECHANICAL DRIVE GROUP SYSTEMS.
Place of Performance
Location: EAST AURORA, ERIE County, NEW YORK, 14052
State: New York Government Spending
Plain-Language Summary
Department of Defense obligated $17.3 million to MOOG INC for work described as: PROCUREMENT OF F/A-18 A-D LEADING EDGE FLAP MECHANICAL DRIVE GROUP SYSTEMS. Key points: 1. Significant contract value for specialized aircraft components. 2. Sole-source procurement raises questions about price discovery. 3. Potential for higher costs due to lack of competition. 4. Focus on defense sector, specifically naval aviation maintenance.
Value Assessment
Rating: fair
The contract value of $17.3M for a specific aircraft component appears substantial. Without competitive bids, it's difficult to assess if this price is optimal compared to potential market rates for similar specialized aerospace parts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This method limits price discovery and may result in higher costs for the government as there is no competitive pressure to drive down prices.
Taxpayer Impact: Taxpayer funds are used for this procurement. The lack of competition means taxpayers may be paying a premium for these critical aircraft components.
Public Impact
Ensures continued operational readiness of F/A-18 aircraft. Supports a critical component in naval aviation. Highlights reliance on specific manufacturers for specialized defense systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source procurement
- Lack of competition
- Potential for overpricing
Positive Signals
- Essential for aircraft maintenance
- Supports defense capabilities
Sector Analysis
This contract falls within the aerospace and defense manufacturing sector, specifically supporting naval aviation. Spending benchmarks for such specialized components are often high due to complex engineering and stringent quality requirements.
Small Business Impact
The data indicates this contract was awarded to Moog Inc., a large business located in New York. There is no indication of small business participation in this specific sole-source award.
Oversight & Accountability
The 'DO' award type suggests a defense-related procurement. Oversight would typically involve contract management by the Department of the Navy to ensure delivery and quality standards are met, especially given the sole-source nature.
Related Government Programs
- Fluid Power Valve and Hose Fitting Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award limits price competition.
- Potential for cost overruns due to lack of competitive bidding.
- Dependency on a single supplier for critical aircraft parts.
- Limited transparency in pricing mechanisms.
Tags
fluid-power-valve-and-hose-fitting-manuf, department-of-defense, ny, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.3 million to MOOG INC. PROCUREMENT OF F/A-18 A-D LEADING EDGE FLAP MECHANICAL DRIVE GROUP SYSTEMS.
Who is the contractor on this award?
The obligated recipient is MOOG INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $17.3 million.
What is the period of performance?
Start: 2010-12-23. End: 2013-10-30.
What is the justification for the sole-source award of this critical aircraft component?
Sole-source awards are typically justified when only one responsible source can provide the required supplies or services. For specialized aerospace components like the F/A-18 leading edge flap drive system, this could be due to proprietary technology, unique manufacturing capabilities, or existing system integration requirements that make switching suppliers impractical or prohibitively expensive.
How does the lack of competition impact the long-term cost of maintaining the F/A-18 fleet?
The absence of competition in this procurement likely leads to higher unit costs for the drive systems. Over the lifespan of the F/A-18 fleet, these inflated costs can significantly increase the overall maintenance budget, potentially diverting funds from other critical defense needs or requiring larger appropriations.
Are there plans to introduce competition for future procurements of this component or its successors?
Without specific information on future procurement strategies, it's unclear if competition will be introduced. Agencies often explore options like market research, developing alternative specifications, or fostering new suppliers to encourage competition for long-term sustainment contracts to ensure better value for taxpayer money.
Industry Classification
NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Fluid Power Valve and Hose Fitting Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
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
Address: SENECA ST AT JAMISON RD, EAST AURORA, NY, 23
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $18,565,508
Exercised Options: $17,286,574
Current Obligation: $17,286,574
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: SPM4A106G0002
IDV Type: IDC
Timeline
Start Date: 2010-12-23
Current End Date: 2013-10-30
Potential End Date: 2013-10-30 00:00:00
Last Modified: 2013-09-04
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