DoD awards $15M for Linear Radiation Monitors, sole-sourced to Sensor Technology Engineering, Inc

Contract Overview

Contract Amount: $15,051,242 ($15.1M)

Contractor: Sensor Technology Engineering, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-12-18

End Date: 2009-01-16

Contract Duration: 29 days

Daily Burn Rate: $519.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIXED PRICE

Sector: Other

Official Description: OPTION 2-LINEAR RADIATION MONITOR (LRM)

Place of Performance

Location: GOLETA, SANTA BARBARA County, CALIFORNIA, 93117

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $15.1 million to SENSOR TECHNOLOGY ENGINEERING, INC. for work described as: OPTION 2-LINEAR RADIATION MONITOR (LRM) Key points: 1. The contract value of $15.05M is for a specific sensor technology. 2. Sole-source award indicates limited competition, potentially impacting price discovery. 3. The short duration (29 days) suggests a focused, immediate need. 4. The product falls under 'Other Measuring and Controlling Device Manufacturing'.

Value Assessment

Rating: fair

The contract value of $15.05M for a single delivery order is substantial for specialized monitoring equipment. Without comparable contracts or detailed cost breakdowns, assessing its value relative to market benchmarks is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded sole-source, meaning it was not competed. This approach limits price discovery and may result in higher costs compared to a competitive procurement.

Taxpayer Impact: Taxpayer funds are used for this specialized equipment, and the lack of competition raises concerns about cost-effectiveness.

Public Impact

Ensures the Department of Defense has critical radiation monitoring capabilities. Supports a specific defense contractor, Sensor Technology Engineering, Inc. The procurement process highlights potential areas for improved competition in specialized defense acquisitions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition and price discovery.
  • Lack of transparency on cost justification for sole-source procurement.
  • Short contract duration may indicate urgent need or limited scope.

Positive Signals

  • Addresses a specific, potentially critical, defense need.
  • Procurement supports a known supplier for specialized technology.

Sector Analysis

The 'Other Measuring and Controlling Device Manufacturing' sector encompasses a wide range of specialized equipment. The $15.05M contract value for this specific Linear Radiation Monitor appears significant, suggesting a high-value, niche product.

Small Business Impact

The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses could have provided similar capabilities.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the government received fair value and that competition was appropriately considered or justified.

Related Government Programs

  • Other Measuring and Controlling Device Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Sole-source award
  • Lack of competition
  • Potential for inflated pricing
  • Limited transparency on justification
  • No small business participation noted

Tags

other-measuring-and-controlling-device-m, department-of-defense, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.1 million to SENSOR TECHNOLOGY ENGINEERING, INC.. OPTION 2-LINEAR RADIATION MONITOR (LRM)

Who is the contractor on this award?

The obligated recipient is SENSOR TECHNOLOGY ENGINEERING, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $15.1 million.

What is the period of performance?

Start: 2008-12-18. End: 2009-01-16.

What is the justification for the sole-source award, and how was the price determined to be fair and reasonable?

The justification for a sole-source award typically involves factors like unique capabilities, urgent needs, or lack of viable alternatives. Price reasonableness is usually determined through cost analysis, comparison to previous contracts, or market research. Without specific documentation, it's difficult to ascertain the exact justification and price determination method used for this contract.

What are the risks associated with relying on a single supplier for critical radiation monitoring equipment?

Relying on a single supplier for critical equipment like radiation monitors poses risks such as supply chain disruptions, lack of innovation, and potential price increases due to a lack of competition. It can also create vendor lock-in, making it difficult to switch to alternative solutions if needed.

How effective is the Linear Radiation Monitor (LRM) in meeting the Department of Defense's radiation detection requirements?

The effectiveness of the LRM is not detailed in the provided data. Its performance would depend on its technical specifications, reliability, and suitability for the specific operational environments within the Department of Defense. Post-delivery performance reviews and operational feedback would be necessary to assess its true effectiveness.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingOther Measuring and Controlling Device Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5553 HOLLISTER AVE STE 1, SANTA BARBARA, CA, 93117

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $15,051,242

Exercised Options: $15,051,242

Current Obligation: $15,051,242

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017407D0014

IDV Type: IDC

Timeline

Start Date: 2008-12-18

Current End Date: 2009-01-16

Potential End Date: 2009-01-16 00:00:00

Last Modified: 2019-09-04

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