DoD awards $102.6M contract to SIRIUS FEDERAL LLC for electronic computer manufacturing, spanning 5 years

Contract Overview

Contract Amount: $10,262,835 ($10.3M)

Contractor: Sirius Federal LLC

Awarding Agency: Department of Defense

Start Date: 2005-04-01

End Date: 2010-03-31

Contract Duration: 1,825 days

Daily Burn Rate: $5.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46249

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $10.3 million to SIRIUS FEDERAL LLC for work described as: Key points: 1. Significant contract value of $102.6 million awarded. 2. No competition was available for this award. 3. Long contract duration of 5 years presents potential for price escalation. 4. Spending is within the Electronic Computer Manufacturing sector.

Value Assessment

Rating: questionable

The contract value is substantial, but without competitive bidding, it's difficult to assess if the pricing is optimal. Benchmarking against similar contracts for electronic computer manufacturing is needed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a sole-source or limited source award. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these electronic computer manufacturing services.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The long-term nature of the contract could lock the government into potentially suboptimal pricing. Lack of transparency in the procurement process raises concerns about accountability.

Waste & Efficiency Indicators

Waste Risk Score: 56 / 10

Warning Flags

Lack of competition
Long contract duration
No specific performance metrics mentioned

Positive Signals

Firm Fixed Price contract type can provide cost certainty if priced appropriately.

Sector Analysis

This contract falls under the Electronic Computer Manufacturing sector, which is crucial for defense operations. Benchmarks for similar large-scale manufacturing contracts are essential for evaluating value.

Small Business Impact

The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation is needed to assess small business participation.

Oversight & Accountability

The 'NOT AVAILABLE FOR COMPETITION' status warrants closer oversight to ensure the justification for limited competition was sound and that taxpayer funds are being used efficiently.

Related Government Programs

Electronic Computer Manufacturing
Department of Defense Contracting
Defense Finance and Accounting Service Programs

Risk Flags

Sole-source award lacks competitive pricing.
Long contract duration increases risk of price escalation or obsolescence.
No clear indication of performance metrics or value for money.
Potential for taxpayer overpayment due to limited competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.3 million to SIRIUS FEDERAL LLC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is SIRIUS FEDERAL LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Finance and Accounting Service).

What is the total obligated amount?

The obligated amount is $10.3 million.

What is the period of performance?

Start: 2005-04-01. End: 2010-03-31.

What was the specific justification for awarding this contract without competition, and how does the pricing compare to market rates for similar electronic computer manufacturing services?

The justification for awarding this contract without competition is not provided in the data. To assess value, a detailed analysis of the pricing against industry benchmarks for comparable electronic computer manufacturing services is required. Without this, it's difficult to determine if the $102.6 million award represents a fair market price.

What are the potential risks associated with a 5-year firm fixed-price contract for electronic computer manufacturing awarded on a non-competitive basis?

The primary risks include overpayment due to the lack of competitive pressure to drive down costs. A long duration also means the government is locked into the initial price, potentially missing out on market reductions or technological advancements. Furthermore, without competition, there's a reduced incentive for the contractor to innovate or improve efficiency.

How effective is this contract likely to be in meeting the Department of Defense's long-term needs for electronic computer manufacturing, given the procurement method?

The effectiveness is questionable without competition. While the firm fixed-price structure offers budget certainty, the lack of competitive pressure may limit innovation and responsiveness to evolving technological needs. The long duration could also lead to the acquisition of outdated technology if not managed proactively with clear performance standards and potential for contract modification.

Industry Classification

NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 2151 PRIEST BRIDGE DR, CROFTON, MD, 05

Business Categories: Category Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Parent Contract

Parent Award PIID: GS35F0785J

IDV Type: FSS

Timeline