DoD's $27M Explosives Manufacturing Contract Awarded to Alliant Techsystems Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $26,993,991 ($27.0M)

Contractor: Alliant Techsystems Inc

Awarding Agency: Department of Defense

Start Date: 2004-09-30

End Date: 2009-01-31

Contract Duration: 1,584 days

Daily Burn Rate: $17.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Place of Performance

Location: RADFORD, RADFORD (CITY) County, VIRGINIA, 24141

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $27.0 million to ALLIANT TECHSYSTEMS INC for work described as: Key points: 1. Contract value of $26.99M awarded to a single vendor. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is over 4 years, indicating a significant, long-term need. 4. The sector is Explosives Manufacturing, a critical component of defense operations.

Value Assessment

Rating: good

The contract value of $26.99M for explosives manufacturing appears reasonable given the duration and the nature of the goods. Benchmarking against similar large-scale defense manufacturing contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically drives competitive pricing and ensures the government receives the best value. The use of this method suggests multiple capable vendors were considered.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition scenario.

Public Impact

Ensures the availability of critical explosives for military operations. Supports a significant defense contractor, contributing to the defense industrial base. The long-term nature of the contract provides stability for both the government and the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in the provided data.
  • Potential for price escalation over the contract's long duration.
  • Dependence on a single contractor for a critical defense commodity.

Positive Signals

  • Awarded through full and open competition.
  • Firm fixed price contract type limits cost overruns.
  • Long contract duration ensures supply chain continuity.

Sector Analysis

The defense sector, particularly explosives manufacturing, involves specialized capabilities and stringent quality controls. Spending in this area is driven by national security needs and geopolitical factors. Benchmarks are difficult without specific product details, but large contracts are common for defense readiness.

Small Business Impact

The provided data does not indicate any specific subcontracting goals or participation by small businesses in this contract. Further investigation would be needed to determine the extent of small business involvement.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard DoD oversight mechanisms would apply, including contract management and performance monitoring.

Related Government Programs

  • Explosives Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of detailed product specifications.
  • Potential for obsolescence of explosive technology over the contract life.
  • Geopolitical factors could impact demand or supply chain.
  • Contractor's financial stability over the long term.

Tags

explosives-manufacturing, department-of-defense, va, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.0 million to ALLIANT TECHSYSTEMS INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is ALLIANT TECHSYSTEMS 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 $27.0 million.

What is the period of performance?

Start: 2004-09-30. End: 2009-01-31.

What specific types of explosives are covered under this contract, and how do their unit costs compare to industry standards?

The provided data lacks specificity regarding the exact types of explosives. Unit cost comparisons are therefore not feasible without detailed product specifications. However, the firm fixed price nature of the contract suggests that the contractor assumed the risk for cost fluctuations, which is generally favorable for the government.

What were the key evaluation criteria used during the full and open competition, and how did Alliant Techsystems Inc. demonstrate superior performance or value?

The data does not detail the specific evaluation criteria used in the full and open competition. Typically, such criteria would include technical capability, past performance, price, and small business participation. Alliant Techsystems Inc. likely met or exceeded the government's requirements in these areas to secure the award.

How does the $27 million contract value align with the Army's projected needs for explosives over the 4+ year period?

Assessing the alignment of the $27 million contract value with the Army's projected needs requires access to internal Army planning documents and demand forecasts. The duration of the contract (over 4 years) suggests a significant and sustained requirement. The firm fixed price structure indicates a commitment to a specific cost for the anticipated quantity.

Industry Classification

NAICS: ManufacturingOther Chemical Product and Preparation ManufacturingExplosives Manufacturing

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: STATE ROUTE 114, BLDG NO, RADFORD, VA, 09

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DAAA0902G0010

IDV Type: IDC

Timeline

Start Date: 2004-09-30

Current End Date: 2009-01-31

Potential End Date: 2009-01-31 00:00:00

Last Modified: 2009-08-10

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