DoD's $20.7M BEAR WATER SYSTEM contract awarded to Echelon Supply and Service, Inc. for plumbing fixtures

Contract Overview

Contract Amount: $20,708,899 ($20.7M)

Contractor: Echelon Supply and Service, Inc.

Awarding Agency: Department of Defense

Start Date: 2007-04-05

End Date: 2008-05-31

Contract Duration: 422 days

Daily Burn Rate: $49.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BEAR WATER SYSTEM

Place of Performance

Location: LIVERPOOL, ONONDAGA County, NEW YORK, 13088

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $20.7 million to ECHELON SUPPLY AND SERVICE, INC. for work described as: BEAR WATER SYSTEM Key points: 1. Contract value of $20.7M for plumbing fixtures represents a significant investment in military infrastructure. 2. Awarded under full and open competition after exclusion of sources, suggesting a deliberate procurement strategy. 3. The contract duration of 422 days indicates a need for sustained supply of these critical components. 4. The North American Industry Classification System (NAICS) code 332913 points to specialized manufacturing capabilities. 5. The contract was awarded to a single vendor, Echelon Supply and Service, Inc., highlighting their role in this specific supply chain. 6. The contract's completion in 2008 provides historical context for current spending patterns in this category.

Value Assessment

Rating: fair

The contract value of $20.7 million for plumbing fixtures is substantial. Benchmarking this against similar contracts for military-grade plumbing components is challenging without more specific data on the exact specifications and quantities. However, the fixed-price nature of the contract suggests that the price was determined upfront. Further analysis would require comparing the unit costs of the fixtures provided under this contract to prevailing market rates for comparable items at the time of award.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This procurement method implies that while the competition was intended to be broad, certain sources were excluded for specific reasons, potentially related to technical qualifications, past performance, or other pre-defined criteria. The fact that there were two bidders suggests a degree of competition, but the exclusion of other potential sources may have limited the overall competitive landscape.

Taxpayer Impact: The exclusion of sources, even with two bidders, could potentially lead to less aggressive pricing than a truly open competition with a larger pool of bidders. Taxpayers may have paid a premium if the excluded sources could have offered more competitive pricing.

Public Impact

Military personnel and facilities benefit from the provision of essential plumbing fixtures, ensuring operational readiness and habitability. The contract supports the maintenance and upgrade of infrastructure within Department of Defense facilities. The geographic impact is likely concentrated at the Air Force installations where these fixtures were deployed. The contract supports jobs within the plumbing fixture manufacturing sector, specifically for Echelon Supply and Service, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for limited competition due to exclusion of sources, which could impact price.
  • Lack of detailed performance metrics makes it difficult to assess the overall effectiveness of the contract.
  • The specific nature of the 'BEAR WATER SYSTEM' components is not fully detailed, raising questions about standardization and interoperability.

Positive Signals

  • Awarded under a competitive process, indicating some level of market engagement.
  • Fixed-price contract type provides cost certainty for the government.
  • The contract was awarded to a known entity, Echelon Supply and Service, Inc., suggesting established business relationships.

Sector Analysis

The plumbing fixture manufacturing industry is a segment of the broader industrial manufacturing sector. This contract falls under the NAICS code 332913, which specifically covers the manufacturing of plumbing fixture fittings and trim. The defense sector often procures specialized or high-durability versions of commercial products to meet stringent military requirements. Spending in this area is driven by infrastructure maintenance, new construction, and modernization efforts within military installations.

Small Business Impact

This contract does not appear to have been specifically set aside for small businesses, as indicated by the 'ss' and 'sb' fields being false. There is no explicit information regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem from this specific contract is likely minimal, unless Echelon Supply and Service, Inc. voluntarily engaged small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would have been managed by the Department of the Air Force, a component of the Department of Defense. Accountability measures would typically include contract performance monitoring, quality assurance checks, and adherence to the terms of the firm-fixed-price agreement. Transparency is generally facilitated through contract award databases, though detailed operational oversight specifics are often internal.

Related Government Programs

  • Department of Defense Infrastructure Modernization Programs
  • Military Base Maintenance and Operations
  • Plumbing Fixture Manufacturing Contracts
  • Federal Supply Schedule (FSS) for Hardware and Building Materials

Risk Flags

  • Limited competition due to exclusion of sources
  • Lack of detailed performance metrics
  • Unspecified 'BEAR WATER SYSTEM' components

Tags

defense, department-of-defense, department-of-the-air-force, firm-fixed-price, full-and-open-competition-after-exclusion-of-sources, large-contract, manufacturing, new-york, plumbing-fixtures, procurement-2007, specialty-manufacturing

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.7 million to ECHELON SUPPLY AND SERVICE, INC.. BEAR WATER SYSTEM

Who is the contractor on this award?

The obligated recipient is ECHELON SUPPLY AND SERVICE, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $20.7 million.

What is the period of performance?

Start: 2007-04-05. End: 2008-05-31.

What was the specific nature of the 'BEAR WATER SYSTEM' components procured under this contract?

The provided data indicates the contract was for plumbing fixture fittings and trim (NAICS 332913). The term 'BEAR WATER SYSTEM' likely refers to a specific system or set of components used by the Air Force for water distribution or management within facilities. Without access to the contract's statement of work or detailed product descriptions, the exact nature of these components remains unspecified. They could range from specialized faucets and valves to integrated water supply units designed for harsh environments or specific operational needs within military installations. The 'SYSTEM' designation suggests a coordinated set of parts rather than individual, unrelated fixtures.

How does the $20.7 million contract value compare to typical spending on plumbing fixtures by the Department of Defense?

Comparing the $20.7 million contract value for plumbing fixtures to typical DoD spending requires broader context. The Department of Defense manages a vast global infrastructure, encompassing numerous bases and facilities. Annual spending on maintenance, repair, and operations (MRO), which includes components like plumbing fixtures, can run into billions of dollars. A single contract of $20.7 million, while substantial for a specific item, represents a fraction of the overall MRO budget. To assess its typicality, one would need to analyze historical spending data for similar categories of plumbing supplies across the DoD over several fiscal years, considering factors like the number of facilities, age of infrastructure, and specific modernization initiatives.

What were the primary risks associated with this contract, and how were they mitigated?

Primary risks for a contract of this nature could include supply chain disruptions, quality control issues with the manufactured fixtures, potential cost overruns (though mitigated by fixed-price), and delays in delivery impacting facility readiness. The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that some pre-qualification or specific requirements were established, potentially mitigating risks related to contractor capability. The fixed-price contract type inherently transfers some cost risk to the contractor. Mitigation strategies likely involved detailed technical specifications, quality assurance inspections during manufacturing, and performance clauses within the contract. The relatively short duration (422 days) also limits the window for prolonged disruptions.

What was the track record of Echelon Supply and Service, Inc. prior to or during this contract?

Information on Echelon Supply and Service, Inc.'s specific track record related to this $20.7 million contract is not detailed in the provided data. However, as a recipient of a significant federal contract, it can be inferred that the company likely met certain pre-qualification criteria set by the Department of the Air Force. A comprehensive assessment of their track record would involve examining their past performance on other government contracts, including timeliness of delivery, quality of goods, and adherence to contract terms. Databases like the Federal Procurement Data System (FPDS) or CPARS (Contractor Performance Assessment Reporting System) would typically contain such information, detailing their history of successful contract completions or any instances of performance issues.

How did the 'exclusion of sources' in the competition impact the final price and availability of the BEAR WATER SYSTEM components?

The 'exclusion of sources' implies that the Department of the Air Force identified specific criteria that potential bidders had to meet, and any company not meeting these criteria was excluded from the competition, even if they could have potentially offered a lower price. This could limit the number of viable bidders, potentially reducing the intensity of price competition. If the excluded sources possessed unique capabilities or were more cost-efficient producers, their exclusion might have led to a higher final price for the government compared to a scenario with broader competition. Conversely, the exclusion might have ensured that only technically capable vendors participated, reducing the risk of contract failure or substandard product delivery, which could indirectly save costs in the long run.

Industry Classification

NAICS: ManufacturingOther Fabricated Metal Product ManufacturingPlumbing Fixture Fitting and Trim Manufacturing

Product/Service Code: PUMPS AND COMPRESSORS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 115 METROPOLITAN DR, LIVERPOOL, NY, 22

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $71,950,823

Exercised Options: $64,311,035

Current Obligation: $20,708,899

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA851904D0017

IDV Type: IDC

Timeline

Start Date: 2007-04-05

Current End Date: 2008-05-31

Potential End Date: 2008-05-31 00:00:00

Last Modified: 2008-10-10

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