Dod Awards $26.3M for Turret-Flirunit-Tfu to Teledyne Flir, LLC, With No Competition

Contract Overview

Contract Amount: $26,294,488 ($26.3M)

Contractor: Teledyne Flir, LLC

Awarding Agency: Department of Defense

Start Date: 2012-09-06

End Date: 2012-12-05

Contract Duration: 90 days

Daily Burn Rate: $292.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: TURRET-FLIRUNIT-TFU

Place of Performance

Location: WILSONVILLE, CLACKAMAS County, OREGON, 97070

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $26.3 million to TELEDYNE FLIR, LLC for work described as: TURRET-FLIRUNIT-TFU Key points: 1. Significant award to a single vendor highlights potential lack of competition. 2. The contract value is substantial, requiring careful oversight. 3. No small business participation noted. 4. Sector context suggests specialized defense equipment procurement.

Value Assessment

Rating: questionable

The award of $26.3M without competition raises concerns about price reasonableness. Benchmarking against similar contracts for specialized defense equipment is difficult without competitive data.

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 potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for this specialized equipment.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The Department of Defense relies on specialized equipment, impacting readiness. Lack of transparency in sole-source awards can erode public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
No small business participation
Limited price discovery

Positive Signals

Awarded to established vendor

Sector Analysis

This procurement falls within the Defense sector, specifically for aircraft parts and auxiliary equipment. Spending in this area is often characterized by specialized needs and limited vendor pools, but competition is still crucial.

Small Business Impact

There is no indication of small business participation in this contract. Efforts should be made to ensure small businesses have opportunities in future procurements, even for specialized equipment.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the price paid is fair and reasonable. Audits and reviews should verify the necessity and cost-effectiveness of the procurement.

Related Government Programs

Other Aircraft Parts and Auxiliary Equipment Manufacturing
Department of Defense Contracting
Defense Logistics Agency Programs

Risk Flags

Potential for overpayment due to lack of competition.
Limited transparency in the procurement process.
No small business involvement.
Reliance on a single vendor for critical equipment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.3 million to TELEDYNE FLIR, LLC. TURRET-FLIRUNIT-TFU

Who is the contractor on this award?

The obligated recipient is TELEDYNE FLIR, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $26.3 million.

What is the period of performance?

Start: 2012-09-06. End: 2012-12-05.

What is the justification for the sole-source award of the TURRET-FLIRUNIT-TFU?

The justification for a sole-source award typically involves factors such as unique capabilities, urgent need, or lack of viable alternatives. Without further documentation, it is difficult to assess the validity of this justification and whether it truly precluded competitive bidding, potentially impacting the government's ability to secure the best value.

How does the $26.3M price compare to similar FLIR units or systems in the defense market?

Benchmarking this price is challenging without competitive data. However, given the sole-source nature, it is crucial to investigate if the price is inflated compared to market rates for comparable technologies. Independent cost analysis or review of historical pricing for similar systems would be necessary to determine value.

What is the long-term strategy for procuring these TURRET-FLIRUNIT-TFUs to ensure future cost-effectiveness and competition?

The long-term strategy should focus on fostering competition where possible, perhaps through market research for alternative suppliers or by breaking down requirements into smaller, more accessible contracts. Exploring options for developing domestic industrial capabilities could also reduce reliance on sole-source providers and improve future pricing.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 27700 SW PARKWAY AVE, WILSONVILLE, OR, 05

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,294,488

Exercised Options: $26,294,488

Current Obligation: $26,294,488

Contract Characteristics

Cost or Pricing Data: NO

Timeline