DoD's $22.7M 'BIG SAFARI' Contract Awarded to Sierra Nevada Company, LLC
Contract Overview
Contract Amount: $22,667,261 ($22.7M)
Contractor: Sierra Nevada Company, LLC
Awarding Agency: Department of Defense
Start Date: 2025-02-03
End Date: 2026-09-25
Contract Duration: 599 days
Daily Burn Rate: $37.8K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: BIG SAFARI
Place of Performance
Location: DAYTON, GREENE County, OHIO, 45433
State: Ohio Government Spending
Plain-Language Summary
Department of Defense obligated $22.7 million to SIERRA NEVADA COMPANY, LLC for work described as: BIG SAFARI Key points: 1. Significant contract value of $22.7 million. 2. Sole-source award raises questions about competition and potential cost savings. 3. Focus on 'All Other Professional, Scientific, and Technical Services' suggests specialized, potentially high-value work. 4. Contract duration of 599 days indicates a medium-term project.
Value Assessment
Rating: questionable
The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Without competitive bidding, it's difficult to assess if the pricing is optimal compared to market rates for similar services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs for taxpayers as there was no competitive pressure to drive down prices.
Taxpayer Impact: The lack of competition for a $22.7 million contract means taxpayers may not be receiving the best possible value, potentially leading to overspending.
Public Impact
Taxpayers may be paying more than necessary due to the absence of competitive bidding. The specialized nature of the services could impact national security or technological advancement. Lack of transparency in the sole-source award process can erode public trust.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Cost Plus Fixed Fee contract type
- Lack of transparency in procurement
Positive Signals
- Award to a specific company suggests a need for their unique expertise.
Sector Analysis
The 'All Other Professional, Scientific, and Technical Services' category (NAICS 541990) is broad and can encompass a wide range of specialized activities. Benchmarks are difficult without knowing the specific services rendered, but large sole-source contracts in this area warrant scrutiny.
Small Business Impact
The data indicates this contract was not awarded to small businesses, which is a missed opportunity for economic inclusion and potentially leveraging innovative solutions from smaller firms.
Oversight & Accountability
The sole-source nature of this award necessitates robust oversight to ensure the contractor is delivering value and that costs are reasonable. Accountability is crucial given the lack of competitive pressure.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award lacks competitive justification.
- Cost Plus Fixed Fee structure can lead to cost overruns.
- Potential for reduced innovation and efficiency.
- Limited transparency in procurement process.
- No small business participation noted.
Tags
all-other-professional-scientific-and-te, department-of-defense, oh, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.7 million to SIERRA NEVADA COMPANY, LLC. BIG SAFARI
Who is the contractor on this award?
The obligated recipient is SIERRA NEVADA COMPANY, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $22.7 million.
What is the period of performance?
Start: 2025-02-03. End: 2026-09-25.
What specific services are included under 'BIG SAFARI' to justify a sole-source award and the Cost Plus Fixed Fee structure?
The 'BIG SAFARI' program typically involves rapid acquisition of critical technologies and capabilities for intelligence, surveillance, and reconnaissance (ISR) missions. The sole-source award suggests Sierra Nevada Company possesses unique, proprietary technology or expertise essential for these advanced ISR systems, making competition impractical or detrimental to national security timelines. The Cost Plus Fixed Fee structure is often employed in complex, evolving R&D or system integration projects where final costs are uncertain at the outset.
What are the potential risks associated with a sole-source, Cost Plus Fixed Fee contract for advanced technical services?
The primary risks include cost overruns, as the contractor is reimbursed for allowable costs plus a fixed fee, potentially incentivizing less cost-conscious spending. There's also a risk of reduced innovation and efficiency due to the lack of competitive pressure. Furthermore, without clear performance metrics and stringent oversight, the government might not achieve the best possible value or timely delivery of critical capabilities.
How does the Department of Defense ensure effectiveness and value in sole-source procurements like this one?
Effectiveness and value in sole-source procurements are typically ensured through rigorous justification and approval processes, detailed technical evaluations, and strong contract management. This includes establishing clear performance requirements, milestones, and deliverables, as well as conducting regular audits and reviews of contractor performance and costs. Independent cost estimates and market research, even for sole-source, are often used to validate pricing reasonableness.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 12500 BELFORD AVE, ENGLEWOOD, CO, 80112
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $23,990,713
Exercised Options: $23,488,911
Current Obligation: $22,667,261
Subaward Activity
Number of Subawards: 26
Total Subaward Amount: $4,949,750
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: FA862021G4009
IDV Type: BOA
Timeline
Start Date: 2025-02-03
Current End Date: 2026-09-25
Potential End Date: 2026-09-25 00:00:00
Last Modified: 2026-02-18
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