DoD Awards $130M Honeywell Contract for TIGER Program Engine Revitalization Hardware
Contract Overview
Contract Amount: $129,505,514 ($129.5M)
Contractor: Honeywell International Inc.
Awarding Agency: Department of Defense
Start Date: 2022-06-29
End Date: 2025-07-31
Contract Duration: 1,128 days
Daily Burn Rate: $114.8K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: TOTAL INTEGRATED ENGINE REVITALIZATION (TIGER) PROGRAM. DELIVERY ORDER YEAR 2, DELIVERY ORDER NUMBER 6 HARDWARE.
Place of Performance
Location: PHOENIX, MARICOPA County, ARIZONA, 85034
State: Arizona Government Spending
Plain-Language Summary
Department of Defense obligated $129.5 million to HONEYWELL INTERNATIONAL INC. for work described as: TOTAL INTEGRATED ENGINE REVITALIZATION (TIGER) PROGRAM. DELIVERY ORDER YEAR 2, DELIVERY ORDER NUMBER 6 HARDWARE. Key points: 1. Significant award to Honeywell for critical military hardware. 2. Lack of competition raises concerns about price discovery. 3. Potential for higher costs due to sole-source nature. 4. Focus on armored vehicle components highlights defense sector spending.
Value Assessment
Rating: questionable
The contract value of $129.5M for engine revitalization hardware is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to potential market alternatives.
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 may result in less favorable terms for the government.
Taxpayer Impact: The lack of competition could lead to taxpayers potentially overpaying for this critical hardware.
Public Impact
Ensures continued operational readiness for armored vehicles. Supports a major defense contractor and its supply chain. Highlights the ongoing investment in military modernization.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of price competition
- Long contract duration
Positive Signals
- Critical defense hardware
- Supports military readiness
Sector Analysis
This award falls within the Military Armored Vehicle, Tank, and Tank Component Manufacturing sector. Defense spending in this area is crucial for national security and often involves large, complex contracts.
Small Business Impact
The data indicates this contract was not awarded to small businesses, as both 'ss' and 'sb' fields are false. This award primarily benefits large prime contractors.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure fair pricing and prevent potential cost overruns. Robust justification for the lack of competition is essential.
Related Government Programs
- Military Armored Vehicle, Tank, and Tank Component Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of competition
- Potential for price gouging
- Limited transparency
- Long-term dependency on a single supplier
Tags
military-armored-vehicle-tank-and-tank-c, department-of-defense, az, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $129.5 million to HONEYWELL INTERNATIONAL INC.. TOTAL INTEGRATED ENGINE REVITALIZATION (TIGER) PROGRAM. DELIVERY ORDER YEAR 2, DELIVERY ORDER NUMBER 6 HARDWARE.
Who is the contractor on this award?
The obligated recipient is HONEYWELL INTERNATIONAL 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 $129.5 million.
What is the period of performance?
Start: 2022-06-29. End: 2025-07-31.
What is the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. Without this specific justification, the lack of competition raises concerns about potential price inflation and missed opportunities for cost savings through competitive bidding.
How does the pricing compare to similar, previously competed contracts for engine revitalization hardware?
Benchmarking this $129.5 million contract against similar, competed contracts is challenging due to its sole-source nature. A thorough review would require access to historical pricing data for comparable systems and an analysis of the specific components and services included to identify any significant deviations that might indicate overpricing.
What measures are in place to ensure the effectiveness and value of this hardware over its lifecycle?
Effectiveness and lifecycle value are typically ensured through stringent performance specifications, testing protocols, and warranty provisions outlined in the contract. Oversight by the Department of the Army is critical to monitor delivery, quality, and adherence to technical requirements, ensuring the hardware meets operational needs and provides long-term utility.
Industry Classification
NAICS: Manufacturing › Other Transportation Equipment Manufacturing › Military Armored Vehicle, Tank, and Tank Component Manufacturing
Product/Service Code: ENGINES AND TURBINES AND COMPONENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Resideo Technologies, Inc.
Address: 111 S 34TH ST, PHOENIX, AZ, 85034
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: $129,505,514
Exercised Options: $129,505,514
Current Obligation: $129,505,514
Subaward Activity
Number of Subawards: 504
Total Subaward Amount: $63,799,394
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: W56HZV20D0062
IDV Type: IDC
Timeline
Start Date: 2022-06-29
Current End Date: 2025-07-31
Potential End Date: 2025-07-31 12:07:00
Last Modified: 2024-02-20
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