DoD awards $37.2M for helmet-mounted system spares to Collins Elbit Vision Systems, a sole-source contract

Contract Overview

Contract Amount: $37,210,209 ($37.2M)

Contractor: Collins Elbit Vision Systems, LLC

Awarding Agency: Department of Defense

Start Date: 2014-01-21

End Date: 2017-07-31

Contract Duration: 1,287 days

Daily Burn Rate: $28.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: MISCELLANEOUS SPARES FOR THE JOINT HELMET MOUNTED QUEING SYSTEM

Place of Performance

Location: WILSONVILLE, CLACKAMAS County, OREGON, 97070

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $37.2 million to COLLINS ELBIT VISION SYSTEMS, LLC for work described as: MISCELLANEOUS SPARES FOR THE JOINT HELMET MOUNTED QUEING SYSTEM Key points: 1. Contract awarded for miscellaneous spares for a critical defense system. 2. Sole-source award to Collins Elbit Vision Systems, LLC raises competition concerns. 3. Significant contract value of $37.2 million over three years. 4. The contract falls under the Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing sector.

Value Assessment

Rating: questionable

The contract value of $37.2 million for spares over 1287 days suggests a high per-unit cost. Without a competitive process, it's difficult to benchmark against similar contracts for specialized defense equipment.

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 potentially leads to higher costs for taxpayers as there is no market pressure to offer competitive pricing.

Taxpayer Impact: The lack of competition for this $37.2 million contract may result in taxpayers paying a premium for necessary defense equipment spares.

Public Impact

Ensures operational readiness of critical helmet-mounted systems for military personnel. Supports advanced situational awareness and targeting capabilities. Potential for increased costs due to sole-source procurement impacting overall defense budget allocation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • High contract value for spares

Positive Signals

  • Supports critical defense technology
  • Ensures system availability

Sector Analysis

This contract falls within the Defense sector, specifically for manufacturing of navigation and guidance systems. Spending benchmarks for specialized spares in this area can vary widely based on technological complexity and obsolescence.

Small Business Impact

The data indicates this contract was awarded to Collins Elbit Vision Systems, LLC, and does not provide information on small business participation. Sole-source awards often bypass opportunities for small businesses to compete.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny from oversight bodies to ensure the price paid is fair and reasonable, and that future procurements explore competitive options where feasible.

Related Government Programs

  • Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Lack of competition
  • Potential for overpricing
  • Limited transparency
  • No small business participation evident

Tags

search-detection-navigation-guidance-aer, department-of-defense, or, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.2 million to COLLINS ELBIT VISION SYSTEMS, LLC. MISCELLANEOUS SPARES FOR THE JOINT HELMET MOUNTED QUEING SYSTEM

Who is the contractor on this award?

The obligated recipient is COLLINS ELBIT VISION SYSTEMS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $37.2 million.

What is the period of performance?

Start: 2014-01-21. End: 2017-07-31.

What is the justification for the sole-source award of this contract?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. Without specific documentation, it's presumed that Collins Elbit Vision Systems, LLC possesses unique expertise or technology essential for these specific spares, justifying the lack of competition.

What is the risk associated with procuring spares through a sole-source contract?

The primary risk is inflated pricing due to the absence of competitive pressure. This can lead to inefficient use of taxpayer funds. Additionally, sole-sourcing can create vendor lock-in, making it difficult to switch providers or negotiate better terms in the future, potentially impacting long-term sustainment costs.

How does this contract contribute to the overall effectiveness of the Joint Helmet Mounted Queuing System?

This contract is crucial for maintaining the operational readiness and effectiveness of the Joint Helmet Mounted Queuing System by ensuring the availability of necessary spare parts. Without these spares, the system's functionality could be compromised, impacting pilot situational awareness, targeting capabilities, and overall mission success.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Rockwell Collins-Esa Vision Systems Limited Liability Company (UEI: 078569180)

Address: 4700 MARINE CREEK PARKWAY, FORT WORTH, TX, 76179

Business Categories: Category Business, Corporate Entity Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $51,876,945

Exercised Options: $51,876,945

Current Obligation: $37,210,209

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: SPRWA111D0007

IDV Type: IDC

Timeline

Start Date: 2014-01-21

Current End Date: 2017-07-31

Potential End Date: 2017-07-31 00:00:00

Last Modified: 2017-08-07

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