DoD Awards $33.2M for MFC Hardware to Elbit America Under Full and Open Competition
Contract Overview
Contract Amount: $33,193,249 ($33.2M)
Contractor: Elbitamerica, Inc.
Awarding Agency: Department of Defense
Start Date: 2018-12-21
End Date: 2023-06-21
Contract Duration: 1,643 days
Daily Burn Rate: $20.2K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: THIS DELIVERY ORDER IS TO PURCHASE VARIOUS MFCS HARDWARE FOR THIS 11TH DELIVERY ORDER.
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76179
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $33.2 million to ELBITAMERICA, INC. for work described as: THIS DELIVERY ORDER IS TO PURCHASE VARIOUS MFCS HARDWARE FOR THIS 11TH DELIVERY ORDER. Key points: 1. Significant award for essential hardware, indicating ongoing defense needs. 2. Elbit America, a known defense contractor, secured this order. 3. Full and open competition suggests a potentially competitive pricing environment. 4. The long duration (5 years) may impact price stability and technology relevance.
Value Assessment
Rating: fair
The award amount of $33.2 million over five years for MFC hardware appears substantial. Benchmarking against similar hardware procurements is necessary to assess value, as specific unit costs are not provided.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically allows for a broad range of bidders and can lead to better price discovery. However, the specific number of bids received and the evaluation process are not detailed here.
Taxpayer Impact: Competition in this award is intended to ensure taxpayer funds are used efficiently for necessary defense hardware.
Public Impact
Ensures availability of critical hardware for military operations. Supports a major defense contractor and its supply chain. Potential for technology upgrades over the contract's five-year span.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration may lead to price escalation or technology obsolescence.
- Lack of specific unit cost data hinders detailed value assessment.
- Limited insight into the competitive landscape beyond 'full and open'.
Positive Signals
- Awarded under full and open competition, promoting market fairness.
- Procurement of essential hardware for the Department of Defense.
- Contract awarded to a known entity in the defense sector.
Sector Analysis
This procurement falls within the defense sector, specifically related to ordnance and accessories. Spending in this area is driven by military readiness and modernization efforts. Benchmarks for similar hardware procurements would be needed for a precise comparison.
Small Business Impact
The data indicates this award was not set aside for small businesses, and Elbit America is a large business. There is no direct indication of small business participation within this specific delivery order.
Oversight & Accountability
The Department of the Army's contracting process, including the use of full and open competition for this delivery order, is subject to standard oversight mechanisms. Further review would be needed to assess specific accountability measures.
Related Government Programs
- Small Arms, Ordnance, and Ordnance Accessories Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for price increases over the 5-year duration.
- Risk of technology becoming outdated within the contract period.
- Lack of detailed cost breakdown hinders granular value analysis.
- Limited visibility into the competitive intensity beyond the award type.
Tags
small-arms-ordnance-and-ordnance-accesso, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.2 million to ELBITAMERICA, INC.. THIS DELIVERY ORDER IS TO PURCHASE VARIOUS MFCS HARDWARE FOR THIS 11TH DELIVERY ORDER.
Who is the contractor on this award?
The obligated recipient is ELBITAMERICA, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $33.2 million.
What is the period of performance?
Start: 2018-12-21. End: 2023-06-21.
What is the average per-unit cost for the MFC hardware being procured, and how does it compare to industry benchmarks?
The provided data does not include per-unit cost details for the various MFC hardware. To assess value, a comparison against industry benchmarks for similar components would be essential. Without this, it's difficult to determine if the $33.2 million award represents an efficient use of funds on a unit basis.
What were the key performance metrics and evaluation criteria used in selecting Elbit America, given the full and open competition?
The data specifies 'full and open competition' but lacks details on the specific evaluation criteria or performance metrics used to select Elbit America. Understanding these factors is crucial for assessing the effectiveness of the competition in driving the best value and ensuring the chosen vendor meets all requirements.
How will the five-year duration of this delivery order impact the technological relevance and potential for cost savings through innovation?
A five-year duration for hardware procurement can pose a risk of technological obsolescence if advancements occur rapidly. Conversely, it could offer cost stability and predictable budgeting. The impact on innovation depends on contract clauses regarding upgrades and the vendor's commitment to incorporating newer technologies.
Industry Classification
NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Small Arms, Ordnance, and Ordnance Accessories Manufacturing
Product/Service Code: FIRE CONTROL EQPT.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Elbit Systems Ltd (UEI: 514421098)
Address: 4700 MARINE CREEK PKWY, FORT WORTH, TX, 76179
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $33,193,249
Exercised Options: $33,193,249
Current Obligation: $33,193,249
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W15QKN17D0007
IDV Type: IDC
Timeline
Start Date: 2018-12-21
Current End Date: 2023-06-21
Potential End Date: 2023-06-21 12:06:00
Last Modified: 2021-08-03
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