DoD Awards $10.8M Engineering Services Contract to Textron Systems Corp

Contract Overview

Contract Amount: $10,821,595 ($10.8M)

Contractor: Textron Systems Corp

Awarding Agency: Department of Defense

Start Date: 2006-07-10

End Date: 2024-03-06

Contract Duration: 6,449 days

Daily Burn Rate: $1.7K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: MANCHESTER, HILLSBOROUGH County, NEW HAMPSHIRE, 03102

State: New Hampshire Government Spending

Plain-Language Summary

Department of Defense obligated $10.8 million to TEXTRON SYSTEMS CORP for work described as: Key points: 1. Contract awarded to Textron Systems Corp. for engineering services. 2. Significant contract value of over $10.8 million. 3. Contract duration spans nearly 18 years. 4. Services fall under the Engineering Services NAICS code (541330).

Value Assessment

Rating: fair

The contract value is substantial, but the long duration and lack of competition make a direct pricing assessment difficult without further data. Benchmarking against similar long-term, sole-source engineering contracts would be necessary.

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 compared to a competitive process.

Taxpayer Impact: The lack of competition may result in a higher cost to taxpayers over the contract's extended duration.

Public Impact

Long-term commitment of taxpayer funds for engineering services. Potential for cost overruns due to extended contract period and lack of competition. Impact on innovation if alternative solutions were not explored through competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Long contract duration
Potential for cost escalation

Positive Signals

Established contractor
Long-term service provision

Sector Analysis

This contract falls within the Engineering Services sector, which is crucial for defense projects. Spending benchmarks for long-term, sole-source engineering contracts can vary widely depending on the specific technical requirements and complexity.

Small Business Impact

The data does not indicate any specific provisions or set-asides for small businesses in this contract. The award to Textron Systems Corp., a large entity, suggests limited direct impact on small businesses.

Oversight & Accountability

The extended duration of this contract warrants careful oversight to ensure continued value and adherence to original requirements. Regular reviews of performance and cost are essential.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Lack of competitive bidding
Extended contract duration (nearly 18 years)
Potential for cost creep over time
Limited transparency on sole-source justification
No clear indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.8 million to TEXTRON SYSTEMS CORP. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is TEXTRON SYSTEMS CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $10.8 million.

What is the period of performance?

Start: 2006-07-10. End: 2024-03-06.

What was the justification for awarding this contract on a sole-source basis, and were any market research efforts conducted to identify potential competitors?

The justification for a sole-source award is critical for understanding the necessity of bypassing the competitive bidding process. Without this information, it's difficult to assess if the government received the best possible value. Market research is essential to ensure that competition is not feasible or that a specific contractor possesses unique capabilities.

How has the pricing structure evolved over the contract's nearly 18-year lifespan, and are there mechanisms in place to re-evaluate pricing for cost-effectiveness?

Given the extensive duration, the initial pricing may not reflect current market conditions or technological advancements. Understanding how pricing has been adjusted, if at all, and whether periodic re-evaluations occur is vital. This ensures that taxpayers are not overpaying for services that could be procured more affordably.

What specific engineering services are being provided, and how do these services contribute to the Department of Defense's overall mission effectiveness?

The effectiveness of this contract hinges on the criticality and quality of the engineering services delivered. Understanding the precise nature of these services and their direct impact on defense capabilities is key to assessing the overall value and necessity of the expenditure. This information helps justify the significant, long-term investment.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

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

Address: 201 LOWELL STREET, WILMINGTON, MA, 01887

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: F3365703G3032

IDV Type: IDC

Timeline