DoD Spent $13.5M on Fire Tanker Trucks from R.M. Asia (HK) Limited in 2007-2008

Contract Overview

Contract Amount: $13,559,064 ($13.6M)

Contractor: R.M. Asia (HK) Limited

Awarding Agency: Department of Defense

Start Date: 2007-12-12

End Date: 2008-12-03

Contract Duration: 357 days

Daily Burn Rate: $38.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FIRE TANKER TRUCKS

Plain-Language Summary

Department of Defense obligated $13.6 million to R.M. ASIA (HK) LIMITED for work described as: FIRE TANKER TRUCKS Key points: 1. The contract awarded to R.M. Asia (HK) Limited for fire tanker trucks totaled $13.56 million. 2. The contract was awarded under full and open competition, suggesting a competitive bidding process. 3. The contract duration was 357 days, ending in December 2008. 4. The North American Industry Classification System (NAICS) code 336211 indicates Motor Vehicle Body Manufacturing. 5. The award was made by the Department of the Army, a branch of the Department of Defense.

Value Assessment

Rating: fair

The contract value of $13.56 million for 7 fire tanker trucks appears reasonable given the specialized nature of the equipment. However, without specific unit cost breakdowns or comparisons to similar government or commercial procurements, a precise valuation is difficult.

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 the widest possible range of bidders and promotes price discovery. This method suggests that the government sought the best value through a competitive process.

Taxpayer Impact: Taxpayer funds were used for this procurement. The competitive nature of the award aims to ensure that funds are spent efficiently, though the final price reflects market conditions and specific requirements.

Public Impact

Ensures critical firefighting capabilities for military installations. Supports the Department of Defense's operational readiness. Procurement of specialized vehicles can impact the domestic manufacturing sector if foreign suppliers are favored.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Foreign supplier awarded contract
  • Limited contract duration
  • No small business participation noted

Positive Signals

  • Full and open competition utilized
  • Firm fixed price contract type

Sector Analysis

The procurement falls under the Motor Vehicle Body Manufacturing sector. Spending in this sector for defense applications is often driven by specialized equipment needs for military operations and readiness, with benchmarks varying significantly based on vehicle type and specifications.

Small Business Impact

The data indicates that small businesses were not directly involved in this specific contract award. Further analysis would be needed to determine if small businesses participated as subcontractors or if opportunities were missed.

Oversight & Accountability

The Department of the Army, under the Department of Defense, is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms would apply to ensure compliance and accountability.

Related Government Programs

  • Motor Vehicle Body Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential reliance on foreign suppliers for critical equipment
  • Short contract duration may limit long-term supplier relationships
  • Lack of small business participation noted
  • Limited transparency on specific unit costs
  • No indication of sustainment or maintenance provisions

Tags

motor-vehicle-body-manufacturing, department-of-defense, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.6 million to R.M. ASIA (HK) LIMITED. FIRE TANKER TRUCKS

Who is the contractor on this award?

The obligated recipient is R.M. ASIA (HK) LIMITED.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $13.6 million.

What is the period of performance?

Start: 2007-12-12. End: 2008-12-03.

What was the specific operational need driving the procurement of these fire tanker trucks?

The specific operational need likely relates to maintaining firefighting capabilities at Department of Defense facilities, potentially including airfields, training grounds, or logistical hubs. Ensuring adequate protection against fire hazards is crucial for personnel safety, asset preservation, and mission continuity.

Were there any performance issues or contract modifications during the contract period?

The provided data does not detail any performance issues or contract modifications. A thorough review of contract performance reports and modification logs would be necessary to assess any deviations from the original terms, including delivery schedules, quality standards, or cost adjustments.

How does the unit cost of these fire tanker trucks compare to similar commercial or military procurements?

Without specific unit cost data and comparable contract details, a direct comparison is not possible. Factors such as specialized features, capacity, chassis type, and the competitive landscape at the time of award significantly influence pricing. Benchmarking would require access to more detailed cost information and market analysis.

Industry Classification

NAICS: ManufacturingMotor Vehicle Body and Trailer ManufacturingMotor Vehicle Body Manufacturing

Product/Service Code: FIRE/RESCUE/SAFETY; ENVIRO PROTECT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Clipper Holdings Limited (UEI: 669699050)

Address: 168-200 CONNAUGHT RD C, SHEUNG WAN

Business Categories: Category Business, Corporate Entity Tax Exempt, Federally Funded Research and Development Corp, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $13,559,064

Exercised Options: $13,559,064

Current Obligation: $13,559,064

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV06DG014

IDV Type: IDC

Timeline

Start Date: 2007-12-12

Current End Date: 2008-12-03

Potential End Date: 2009-09-18 00:00:00

Last Modified: 2009-09-16

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