DoD Awards $147.4M for Small Arms Engineering Services, Sole-Source to General Dynamics

Contract Overview

Contract Amount: $14,744,160 ($14.7M)

Contractor: General Dynamics Armament and

Awarding Agency: Department of Defense

Start Date: 2001-09-10

End Date: 2006-05-19

Contract Duration: 1,712 days

Daily Burn Rate: $8.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 200112!004992!1700!A8122 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042101C0314 !A!N!*!N! !20010910!20050909!077219350!003567125!001381284!N!GENERAL DYNAMICS ARMAMENT SYST!128 LAKESIDE AVENUE !BURLINGTON !VT!05401!10675!007!50!BURLINGTON !CHITTENDEN !VERMONT !+000002819447!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A5 !WEAPONS !2000!NOT DISCERNABLE OR CLASSIFIED !332994!*!*!1! ! ! !*!*!*!B!*!*!A! !D !N!J!1!001!N!1A!Z!N!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!B!N! ! ! ! ! ! !0001!

Place of Performance

Location: BURLINGTON, CHITTENDEN County, VERMONT, 05401

State: Vermont Government Spending

Plain-Language Summary

Department of Defense obligated $14.7 million to GENERAL DYNAMICS ARMAMENT AND for work described as: 200112!004992!1700!A8122 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042101C0314 !A!N!*!N! !20010910!20050909!077219350!003567125!001381284!N!GENERAL DYNAMICS ARMAMENT SYST!128 LAKESIDE AVENUE !BURLINGTON !VT!05401!10675!007!50!BURLINGTON !CHITT… Key points: 1. Significant contract value for specialized engineering services. 2. Sole-source award raises questions about competition and price discovery. 3. Potential for higher costs due to lack of competitive bidding. 4. Services support critical weapons systems for the Navy.

Value Assessment

Rating: questionable

The contract value of $147.4 million for engineering technical services is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to similar services procured through competitive means.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded sole-source, indicating no other vendors were considered. This limits price discovery and may not yield the best value for taxpayers.

Taxpayer Impact: The lack of competition in this sole-source award could lead to higher costs for taxpayers than if the contract had been competitively bid.

Public Impact

Taxpayers may be paying a premium for engineering services due to the sole-source nature of the award. The Department of the Navy relies on General Dynamics for critical weapons system support. Lack of transparency in the procurement process could be a concern for oversight.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the defense sector, specifically supporting weapons systems. Engineering technical services are crucial for maintaining and developing advanced military capabilities. Benchmarks for such specialized services can vary widely.

Small Business Impact

The data does not indicate any specific provisions or considerations for small businesses in this sole-source award to General Dynamics.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny regarding the justification for not seeking competitive proposals. Oversight should ensure the necessity and fair pricing of such awards.

Related Government Programs

Risk Flags

Tags

small-arms-ordnance-and-ordnance-accesso, department-of-defense, vt, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.7 million to GENERAL DYNAMICS ARMAMENT AND. 200112!004992!1700!A8122 !NAVAL AIR WARFARE CENTER, AIRCRA!N0042101C0314 !A!N!*!N! !20010910!20050909!077219350!003567125!001381284!N!GENERAL DYNAMICS ARMAMENT SYST!128 LAKESIDE AVENUE !BURLINGTON !VT!05401!10675!007!50!BURLINGTON !CHITTENDEN !VERMONT !+000002819447!N!N!000000000000!R425!ENGINEERING TECHNICAL SERVICES !A5 !WEAPONS !2000!NOT DISCERNABLE OR CLASSIFIED !332994!*!*!1! ! ! !*!*!*!B!*!*!A!

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS ARMAMENT AND.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $14.7 million.

What is the period of performance?

Start: 2001-09-10. End: 2006-05-19.

What was the justification for awarding this contract sole-source instead of pursuing a competitive process?

The justification for a sole-source award typically involves circumstances where only one responsible source can provide the required supplies or services. This could be due to unique capabilities, proprietary technology, or urgent and compelling needs. Without further documentation, the specific rationale remains unclear, but agencies must demonstrate why competition is not feasible or not in the government's best interest.

How does the pricing of this sole-source contract compare to similar engineering services procured competitively?

Direct comparison is challenging without access to pricing data from comparable competitive contracts. However, sole-source awards inherently carry a higher risk of inflated prices due to the absence of market pressure. A thorough cost analysis by the agency would be necessary to validate the reasonableness of the price, but external benchmarks are difficult to establish definitively.

What is the long-term impact on the Navy's weapons systems development and maintenance due to this sole-source arrangement?

While General Dynamics may possess unique expertise, a sole-source arrangement can limit the Navy's access to potentially innovative solutions or cost efficiencies from other qualified contractors. Over time, this could stifle competition within the supply chain and potentially lead to increased long-term costs or a slower pace of technological advancement if alternative solutions are not explored.

Industry Classification

NAICS: ManufacturingOther Fabricated Metal Product ManufacturingSmall Arms, Ordnance, and Ordnance Accessories Manufacturing

Product/Service Code: WEAPONS

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 128 LAKESIDE AVENUE, BURLINGTON, VT, 00

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: YES

Timeline

Start Date: 2001-09-10

Current End Date: 2006-05-19

Potential End Date: 2006-05-19 00:00:00

Last Modified: 2008-11-05

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