DoD's $47M contract for particulate filters awarded to Atlantic Diving Supply, Inc. with 29 bids

Contract Overview

Contract Amount: $47,059,363 ($47.1M)

Contractor: Atlantic Diving Supply, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-09-12

End Date: 2025-08-26

Contract Duration: 348 days

Daily Burn Rate: $135.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 29

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 4565803348!PARTICULATE FILTER 2091/07000AAD; P100 1

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23452

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $47.1 million to ATLANTIC DIVING SUPPLY, INC. for work described as: 4565803348!PARTICULATE FILTER 2091/07000AAD; P100 1 Key points: 1. Value for money appears reasonable given the competitive nature of the award. 2. Strong competition dynamics with 29 bids suggest effective price discovery. 3. Risk indicators are low due to a firm fixed-price contract and established supplier. 4. Performance context is a delivery order under a larger contract vehicle. 5. Sector positioning is within defense logistics and equipment supply. 6. The contract type (firm fixed price) shifts cost risk to the contractor.

Value Assessment

Rating: good

The total award amount of $47.1 million for particulate filters over approximately one year appears to be within a reasonable range, especially considering the competitive bidding process. Benchmarking against similar contracts for specialized filters is challenging without more specific product details, but the presence of 29 bids suggests that the pricing was likely competitive. The firm fixed-price structure also provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, indicating a broad solicitation. The high number of bidders (29) suggests robust market interest and a healthy level of competition. This level of competition is generally favorable for achieving competitive pricing and ensuring a wide range of potential suppliers can participate.

Taxpayer Impact: A high number of bidders typically translates to better pricing for taxpayers as contractors vie to win the award by offering competitive terms and prices.

Public Impact

Military personnel and equipment will benefit from access to essential particulate filters. Services delivered include the supply of critical filtration components. Geographic impact is likely widespread, supporting various Department of Defense operations. Workforce implications are minimal, primarily related to the logistics and distribution of the filters.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions if the primary contractor faces issues.
Dependence on a single awardee for a critical component could pose a risk.

Positive Signals

Award to a single entity streamlines procurement and management.
Firm fixed-price contract provides budget certainty.
High competition indicates a robust market for these filters.

Sector Analysis

This contract falls within the defense logistics and equipment sector, specifically focusing on the procurement of essential supplies. The market for specialized filters is diverse, with numerous manufacturers and distributors. The Defense Logistics Agency (DLA) is a major procurer in this space, often leveraging large contract vehicles to meet the diverse needs of the armed forces. Spending benchmarks for similar defense supply contracts can vary significantly based on the specific item and quantity.

Small Business Impact

The data indicates that small business participation was not a primary set-aside consideration for this specific award, as the contractor, Atlantic Diving Supply, Inc., is not explicitly flagged as a small business in this context, and the contract was not set aside. However, the potential for subcontracting opportunities with small businesses exists within the supply chain for these filters, though this is not detailed in the provided data.

Oversight & Accountability

Oversight for this contract is likely managed by the Defense Logistics Agency (DLA) through contract officers and quality assurance representatives. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified goods. Transparency is facilitated by public contract award databases, though detailed performance metrics are typically internal.

Related Government Programs

Defense Logistics Agency Supply Contracts
Military Equipment and Supplies
Filtration Systems Procurement
Department of Defense General Services Administration Schedules

Risk Flags

Potential for supply chain disruption
Dependence on single awardee

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $47.1 million to ATLANTIC DIVING SUPPLY, INC.. 4565803348!PARTICULATE FILTER 2091/07000AAD; P100 1

Who is the contractor on this award?

The obligated recipient is ATLANTIC DIVING SUPPLY, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $47.1 million.

What is the period of performance?

Start: 2024-09-12. End: 2025-08-26.

What is the specific type and technical specification of the particulate filters being procured under this contract?

The provided data indicates the item as 'PARTICULATE FILTER 2091/07000AAD; P100 1'. The 'P100' designation typically refers to a filter efficiency rating, meaning it filters at least 99.97% of airborne particles. The '2091/07000AAD' likely refers to a specific military or industry standard part number. These filters are crucial for protecting personnel and equipment from airborne contaminants in various operational environments.

How does the unit price of these filters compare to similar items procured by the government or in the commercial market?

Without specific unit quantities and detailed product specifications, a precise unit price comparison is difficult. The total award is $47,059,362.58 for an unspecified quantity of filters. If we assume a large quantity, the implied unit price could be relatively low. However, specialized P100 filters can range significantly in price based on brand, features, and volume discounts. The competitive nature of the award suggests the price is favorable, but a direct benchmark requires more granular data on the exact product and volume.

What is Atlantic Diving Supply, Inc.'s track record with the Defense Logistics Agency and for similar supply contracts?

Atlantic Diving Supply, Inc. (ADS) is a known government contractor, often supplying a wide range of equipment and services to military and federal agencies. Their history with the DLA likely includes numerous awards for various supplies. While this specific award is for particulate filters, ADS's broader experience in logistics and equipment provision suggests a capacity to manage such contracts. A deeper dive into their contract history would reveal specific performance metrics and past issues, if any.

What are the potential risks associated with relying on a single contractor for this critical supply, even with multiple bids?

Even with a competitive award, relying on a single contractor introduces risks such as potential supply chain disruptions due to unforeseen events (e.g., natural disasters, labor disputes, financial instability of the contractor). If ADS faces production issues or delivery delays, it could impact military readiness. Furthermore, while competition was strong initially, the government may have less leverage for price adjustments or expedited service in subsequent orders under this contract compared to a more frequently competed item.

How has spending on particulate filters by the Defense Logistics Agency trended over the past five years?

Historical spending data for particulate filters by the DLA would require a dedicated search within federal procurement databases like FPDS or USAspending. General trends in defense spending on consumables like filters are often influenced by operational tempo, equipment modernization, and budget allocations. It's plausible that spending has remained relatively stable or increased slightly due to ongoing operational needs and the inherent requirement for filtration across various military platforms and facilities.

What is the expected duration and delivery schedule for these particulate filters?

The contract has a duration of 348 days (approximately 11.5 months) from the start date of September 12, 2024, to the end date of August 26, 2025. This indicates a delivery order with a defined period of performance. The specific delivery schedule for individual filter batches would be detailed in the delivery order requirements, likely specifying quantities and delivery timelines to various DLA distribution points or end-users.

Industry Classification

NAICS: Wholesale Trade › Machinery, Equipment, and Supplies Merchant Wholesalers › Service Establishment Equipment and Supplies Merchant Wholesalers

Product/Service Code: FIRE/RESCUE/SAFETY; ENVIRO PROTECT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 29

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 621 LYNNHAVEN PKWY STE 160, VIRGINIA BEACH, VA, 23452

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $47,059,363

Exercised Options: $47,059,363

Current Obligation: $47,059,363

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $46,709,252

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPE8EJ21D1020

IDV Type: IDC

Timeline