DoD Awards $65.5M for CHECK-6 CAMERAS, Sole-Sourced to BAE Systems

Contract Overview

Contract Amount: $65,482,441 ($65.5M)

Contractor: BAE Systems Information & Electronic Systems Integration Inc.

Awarding Agency: Department of Defense

Start Date: 2010-02-26

End Date: 2011-12-31

Contract Duration: 673 days

Daily Burn Rate: $97.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CHECK-6 CAMERAS FOR CI ARMY

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78725

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $65.5 million to BAE SYSTEMS INFORMATION & ELECTRONIC SYSTEMS INTEGRATION INC. for work described as: CHECK-6 CAMERAS FOR CI ARMY Key points: 1. Significant contract value of $65.5 million awarded. 2. Sole-source award to BAE Systems indicates limited competition. 3. Contract duration of 673 days suggests a substantial project. 4. Focus on 'Other Electronic Component Manufacturing' sector.

Value Assessment

Rating: questionable

The award amount of $65.5 million for 'CHECK-6 CAMERAS' lacks specific per-unit cost data for a direct comparison. Without competitive bidding, it's difficult to assess if this price is optimal.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning there was no competition. This significantly limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition in this sole-source award raises concerns about potential overspending and reduced value for taxpayer funds.

Public Impact

Taxpayers may have paid a premium due to the absence of competitive bidding. The specific use of these cameras for the Army's 'CHECK-6' program is not detailed, limiting public understanding of the necessity. The sole-source nature of the contract could stifle innovation from other potential vendors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls under 'Other Electronic Component Manufacturing,' a broad category. Benchmarking spending in this specific niche is challenging without more granular data on the camera system's components and capabilities.

Small Business Impact

The contract was awarded to BAE Systems Information & Electronic Systems Integration Inc., a large business. There is no indication that small businesses were involved as subcontractors or partners in this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny. Further investigation into the justification for not pursuing a competitive process would be beneficial for oversight.

Related Government Programs

Risk Flags

Tags

other-electronic-component-manufacturing, department-of-defense, tx, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $65.5 million to BAE SYSTEMS INFORMATION & ELECTRONIC SYSTEMS INTEGRATION INC.. CHECK-6 CAMERAS FOR CI ARMY

Who is the contractor on this award?

The obligated recipient is BAE SYSTEMS INFORMATION & ELECTRONIC SYSTEMS INTEGRATION 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 $65.5 million.

What is the period of performance?

Start: 2010-02-26. End: 2011-12-31.

What specific capabilities do the CHECK-6 cameras provide, and how do they enhance Army operations to justify a sole-source award?

The specific capabilities of the CHECK-6 cameras are not publicly detailed in the provided data. Justification for a sole-source award typically requires demonstrating unique capabilities, proprietary technology, or urgent needs that cannot be met through competition. Without this information, it's difficult to assess the necessity and value proposition of this specific procurement.

What was the rationale behind the sole-source determination, and were any market research efforts conducted to identify potential competitors?

The provided data indicates the contract was 'NOT COMPETED,' suggesting a sole-source justification was made. However, the specific rationale and details of any market research are absent. Agencies usually need to document why competition is not feasible, such as the existence of only one responsible source or urgent and compelling circumstances. This information is crucial for assessing the procurement's integrity.

How does the $65.5 million contract value compare to similar electronic component manufacturing contracts, considering the lack of competitive pricing?

Direct comparison of the $65.5 million contract value is difficult due to the 'Other Electronic Component Manufacturing' classification and the sole-source nature. Without competitive bids, establishing a benchmark price is challenging. The absence of per-unit cost data further complicates an assessment of whether this price represents fair market value compared to potentially competitive procurements in related electronic systems.

Industry Classification

NAICS: ManufacturingSemiconductor and Other Electronic Component ManufacturingOther Electronic Component Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W56HZV09R0505

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: BAE Systems PLC (UEI: 217304393)

Address: 6500 TRACOR LANE, AUSTIN, TX, 90

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: $65,482,441

Exercised Options: $65,482,441

Current Obligation: $65,482,441

Contract Characteristics

Cost or Pricing Data: YES

Timeline

Start Date: 2010-02-26

Current End Date: 2011-12-31

Potential End Date: 2011-12-31 00:00:00

Last Modified: 2011-06-13

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