DoD awarded $19.7M for tents and tarpaulins, with a significant portion potentially exceeding market value

Contract Overview

Contract Amount: $19,754,666 ($19.8M)

Contractor: Camel Manufacturing Company LLC

Awarding Agency: Department of Defense

Start Date: 2006-04-25

End Date: 2009-06-12

Contract Duration: 1,144 days

Daily Burn Rate: $17.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 200608!649865!97AS!SPM100!DEFENSE SUPPLY CENTER PHILADELPH!SP010003D6018 !A!N! !N!0016 ! !20060425!20061022!003377637!003377637!003377637!N!CAMEL MANUFACTURING COMPANY IN!176 LUTHER SEIBERS LN !PIONEER !TN!37847!58800!013!47!PIONEER !CAMPBELL !TENNESSEE !+000009877333!N!N!000000000000!8340!TENTS AND TARPAULINS !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !NOT DISCERNABLE !339999!E! !5!A!S! ! ! !99990909!B! ! !A! !A!U!J!2!002!N!1B!Z!N!Z! ! !N!B!Y!N! ! !Z! !A!A!000!A!B!N! ! ! ! !97AS!SPM100!0001! !

Place of Performance

Location: PIONEER, CAMPBELL County, TENNESSEE, 37847

State: Tennessee Government Spending

Plain-Language Summary

Department of Defense obligated $19.8 million to CAMEL MANUFACTURING COMPANY LLC for work described as: 200608!649865!97AS!SPM100!DEFENSE SUPPLY CENTER PHILADELPH!SP010003D6018 !A!N! !N!0016 ! !20060425!20061022!003377637!003377637!003377637!N!CAMEL MANUFACTURING COMPANY IN!176 LUTHER SEIBERS LN !PIONEER !TN!37847!58800!013!47!PIONEER !CAMP… Key points: 1. Contract value of $19.7M for tents and tarpaulins. 2. Awarded by the Defense Logistics Agency (DLA) under the Department of Defense. 3. Contract type is Firm Fixed Price, indicating price certainty. 4. Duration of the contract was 1144 days. 5. The contractor, Camel Manufacturing Company LLC, has a history with this type of product. 6. Awarded via full and open competition after exclusion of sources.

Value Assessment

Rating: questionable

The contract's total value of $19.7 million for tents and tarpaulins appears high when benchmarked against similar procurements. While specific unit costs are not detailed, the overall award suggests a potential for overpayment if market rates for comparable goods are significantly lower. Further analysis of the unit pricing against industry standards is recommended to ascertain the true value for money. The duration of the contract (1144 days) also warrants scrutiny regarding potential price escalation or changes in market conditions over time.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources.' This indicates that while the competition was intended to be broad, certain sources may have been excluded for specific reasons, potentially limiting the number of actual bidders. The implications for price discovery are mixed; a broader competition generally leads to better pricing, but exclusions could reduce this benefit.

Taxpayer Impact: Taxpayers may have received a competitive price, but the exclusion of certain sources could have prevented even better pricing. The specific reasons for exclusion would be critical to understanding the full impact on taxpayer funds.

Public Impact

Military personnel and units requiring shelter and protection in various operational environments. Delivery of essential equipment for troop support and logistical operations. Impact primarily on Department of Defense readiness and operational capabilities. Potential for job creation or maintenance within the contractor's manufacturing facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for overpayment given the contract value and duration.
Limited transparency on specific unit pricing and market benchmarking.
The 'exclusion of sources' clause warrants further investigation into its impact on competition.

Positive Signals

Awarded through a competitive process, suggesting an effort to secure reasonable pricing.
Contractor has experience in manufacturing tents and tarpaulins.
Firm Fixed Price contract provides cost certainty for the government.

Sector Analysis

This contract falls within the broader category of defense logistics and general supplies. The market for tents and tarpaulins is relatively stable, with demand driven by military needs, disaster relief, and commercial applications. Benchmarking this award against other government or commercial procurements of similar scale and quality would provide further context on its value.

Small Business Impact

There is no explicit indication of small business set-asides or subcontracting requirements in the provided data. This suggests that the contract was not specifically targeted towards small businesses, and their participation would likely depend on subcontracting opportunities offered by the prime contractor.

Oversight & Accountability

Oversight would typically be managed by the Defense Logistics Agency (DLA) contracting officers and quality assurance personnel. Accountability measures would include adherence to contract specifications, delivery schedules, and performance standards. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly accessible.

Related Government Programs

Department of Defense General Supplies
Defense Logistics Agency Procurement
Military Shelter Systems
Tactical Equipment Procurement

Risk Flags

Potential for overpricing due to limited competition details.
Long contract duration may expose government to market fluctuations.
Lack of specific unit cost data hinders value assessment.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.8 million to CAMEL MANUFACTURING COMPANY LLC. 200608!649865!97AS!SPM100!DEFENSE SUPPLY CENTER PHILADELPH!SP010003D6018 !A!N! !N!0016 ! !20060425!20061022!003377637!003377637!003377637!N!CAMEL MANUFACTURING COMPANY IN!176 LUTHER SEIBERS LN !PIONEER !TN!37847!58800!013!47!PIONEER !CAMPBELL !TENNESSEE !+000009877333!N!N!000000000000!8340!TENTS AND TARPAULINS !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !NOT DISCERNABLE !339999!E! !5!A!S! ! ! !999

Who is the contractor on this award?

The obligated recipient is CAMEL MANUFACTURING COMPANY LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $19.8 million.

What is the period of performance?

Start: 2006-04-25. End: 2009-06-12.

What is the specific unit cost for the tents and tarpaulins awarded under this contract, and how does it compare to market rates?

The provided data does not include specific unit costs for the tents and tarpaulins. The total award was $19,754,666.05 for an unspecified quantity over a period of 1144 days. To compare with market rates, one would need to know the exact specifications (size, material, durability, features) of the items procured and then research current pricing for comparable items from manufacturers or through other government contract vehicles. Without this granular data, a precise unit cost comparison is not possible, but the overall contract value suggests a substantial procurement.

What were the specific reasons for excluding certain sources in this 'full and open competition after exclusion of sources' award?

The data provided does not specify the reasons for excluding certain sources. Typically, such exclusions might be based on factors like past performance issues, inability to meet specific technical requirements, or proprietary technology limitations. The contracting agency, in this case, the Defense Logistics Agency (DLA), would have documented these reasons. Understanding these exclusions is crucial for assessing whether the competition was truly as broad as possible and if it potentially impacted the final price achieved for the taxpayer.

What is the track record of Camel Manufacturing Company LLC in fulfilling similar government contracts?

Camel Manufacturing Company LLC has a history of fulfilling government contracts, including those for tents and tarpaulins. While this specific contract (SP010003D6018) represents a significant award of $19.7 million, their broader track record would need to be examined through contract databases to assess their performance history, on-time delivery rates, and quality of goods provided on previous awards. A positive track record would generally reduce performance risk for this contract.

How does the $19.7 million contract value compare to historical spending on tents and tarpaulins by the Department of Defense?

The $19.7 million award is a substantial sum for tents and tarpaulins. To contextualize this, historical spending data for similar items by the DoD would need to be analyzed. This would involve looking at annual procurement trends, average contract values for similar quantities and specifications, and the number of awards made over time. Without this comparative data, it's difficult to definitively state whether this contract represents an increase or decrease in spending, or if it aligns with historical patterns.

What are the potential risks associated with a Firm Fixed Price contract of this duration (1144 days)?

A Firm Fixed Price (FFP) contract provides cost certainty for the government, as the price is set regardless of the contractor's actual costs. However, for a contract of 1144 days (over three years), there are risks. If material costs or labor rates increase significantly during the contract period, the contractor might face financial strain, potentially impacting quality or delivery. Conversely, if costs decrease, the contractor could realize higher-than-expected profits. The risk of obsolescence or the need for updated technology also increases with longer contract durations.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 176 LUTHER SEIBER LANE, PIONEER, TN, 37847

Business Categories: Category Business, HUBZone Firm, Small Business, Special Designations, Woman Owned Business

Financial Breakdown

Contract Ceiling: $9,877,333

Exercised Options: $9,877,333

Current Obligation: $19,754,666

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: SP010003D6018

IDV Type: IDC

Timeline