DoD Awards $16.9M for Electro-Optical Tracking System to W S Darley & Co

Contract Overview

Contract Amount: $16,972,817 ($17.0M)

Contractor: W S Darley & CO

Awarding Agency: Department of Defense

Start Date: 2025-12-30

End Date: 2027-05-07

Contract Duration: 493 days

Daily Burn Rate: $34.4K/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: 4570380610!TRACKING SYSTEM, ELECTRO-OPTICAL

Place of Performance

Location: ITASCA, DUPAGE County, ILLINOIS, 60143

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $17.0 million to W S DARLEY & CO for work described as: 4570380610!TRACKING SYSTEM, ELECTRO-OPTICAL Key points: 1. Contract awarded for a critical tracking system, indicating a need for advanced defense capabilities. 2. Competition method suggests potential for better pricing, but source exclusion warrants scrutiny. 3. Long-term contract (493 days) implies sustained operational requirement. 4. Firm Fixed Price contract type helps manage cost certainty for the government.

Value Assessment

Rating: good

The award of $16.9M for a specialized tracking system appears reasonable given the nature of electro-optical equipment. Benchmarking against similar complex defense systems would provide a more precise valuation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This method, while allowing for competition, limits the pool of potential bidders, which could impact price discovery and overall value.

Taxpayer Impact: The government sought competitive bids but excluded certain sources, aiming for a balance between broad competition and specific capability requirements. The final price reflects the outcome of this limited competition.

Public Impact

Enhances Department of Defense's surveillance and tracking capabilities. Supports military operations with advanced electro-optical technology. Ensures readiness and operational effectiveness through specialized equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The defense sector frequently procures complex electro-optical systems. Spending benchmarks for such specialized equipment vary widely based on technological sophistication and quantity, but this award falls within typical ranges for advanced military hardware.

Small Business Impact

The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were excluded or if they lacked the specific capabilities required for this specialized tracking system.

Oversight & Accountability

The Defense Logistics Agency is responsible for this procurement. Oversight will focus on ensuring the contractor meets delivery schedules and performance specifications, especially given the limited competition aspect.

Related Government Programs

Risk Flags

Tags

service-establishment-equipment-and-supp, department-of-defense, il, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.0 million to W S DARLEY & CO. 4570380610!TRACKING SYSTEM, ELECTRO-OPTICAL

Who is the contractor on this award?

The obligated recipient is W S DARLEY & CO.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $17.0 million.

What is the period of performance?

Start: 2025-12-30. End: 2027-05-07.

What specific capabilities were lost by excluding certain sources from the competition?

Excluding sources may have limited the government's access to potentially innovative technologies or more cost-effective solutions. Understanding the rationale behind the exclusion is crucial to assess if the chosen vendor offers the best overall value and if alternative solutions were adequately considered.

What is the projected cost savings or increase due to the limited competition method?

Quantifying the exact impact of limited competition is challenging without a baseline of full and open competition. However, excluding sources generally reduces competitive pressure, potentially leading to higher prices than might be achieved in a broader bidding process. The government likely assessed this trade-off against specific technical requirements.

How will the performance of this tracking system be measured against its intended operational effectiveness?

Performance will likely be measured through rigorous testing and evaluation protocols defined in the contract. Key metrics could include accuracy, range, reliability under various environmental conditions, and integration capabilities with existing military networks. User feedback from operational units will also be critical.

Industry Classification

NAICS: Wholesale TradeMachinery, Equipment, and Supplies Merchant WholesalersService 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: 325 SPRING LAKE DR, ITASCA, IL, 60143

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

Financial Breakdown

Contract Ceiling: $16,972,817

Exercised Options: $16,972,817

Current Obligation: $16,972,817

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPE8EJ21D1025

IDV Type: IDC

Timeline

Start Date: 2025-12-30

Current End Date: 2027-05-07

Potential End Date: 2027-05-07 00:00:00

Last Modified: 2025-12-31

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