DoD's Light Tactical Trailers Program: $27.17M Spent with Silver Eagle Manufacturing Co

Contract Overview

Contract Amount: $27,174,196 ($27.2M)

Contractor: Silver Eagle Manufacturing CO

Awarding Agency: Department of Defense

Start Date: 2006-11-21

End Date: 2008-12-15

Contract Duration: 755 days

Daily Burn Rate: $36.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: LIGHT TACTICAL TRAILERS (LTTS) PROGRAM

Place of Performance

Location: PORTLAND, MULTNOMAH County, OREGON, 97218

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $27.2 million to SILVER EAGLE MANUFACTURING CO for work described as: LIGHT TACTICAL TRAILERS (LTTS) PROGRAM Key points: 1. Spending on Light Tactical Trailers (LTTS) reached $27.17 million. 2. Competition was full and open after exclusion of sources. 3. The contract was awarded to Silver Eagle Manufacturing Co. 4. The program falls under Truck Trailer Manufacturing (NAICS 336212).

Value Assessment

Rating: fair

The total award value of $27.17 million for 9 trailers over 755 days suggests a per-unit cost of approximately $3.02 million. This appears high compared to commercial trailers, but may reflect specialized military requirements.

Cost Per Unit: $3,020,000 (estimated)

Competition Analysis

Competition Level: full-and-open

The contract utilized full and open competition after exclusion of sources, indicating a competitive process was intended. However, the specific exclusion details are not provided, which could impact price discovery.

Taxpayer Impact: Taxpayer funds were used for the procurement of specialized tactical trailers, with the final cost influenced by the competitive process and any source exclusions.

Public Impact

Procurement of essential equipment for military logistics and operations. Supports defense readiness by providing tactical trailer capabilities. Investment in manufacturing capabilities within the defense industrial base.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • High estimated per-unit cost.
  • Lack of detail on source exclusion in competition.

Positive Signals

  • Full and open competition utilized.
  • Awarded to a single manufacturer, potentially simplifying logistics.

Sector Analysis

The defense sector often involves specialized equipment with unique requirements that can lead to higher costs than commercial equivalents. Benchmarks for military-specific trailers are not readily available, making direct comparison difficult.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The Defense Contract Management Agency (DCMA) oversaw this contract. Oversight would focus on delivery, quality, and adherence to contract terms.

Related Government Programs

  • Truck Trailer Manufacturing
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • High estimated per-unit cost.
  • Lack of transparency regarding source exclusions.
  • Limited public information on trailer specifications.
  • Potential for cost overruns or inefficient pricing.

Tags

truck-trailer-manufacturing, department-of-defense, or, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.2 million to SILVER EAGLE MANUFACTURING CO. LIGHT TACTICAL TRAILERS (LTTS) PROGRAM

Who is the contractor on this award?

The obligated recipient is SILVER EAGLE MANUFACTURING CO.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $27.2 million.

What is the period of performance?

Start: 2006-11-21. End: 2008-12-15.

What were the specific reasons for excluding sources in the 'full and open competition after exclusion of sources' method, and how did this impact the final price?

The exclusion of sources in a 'full and open competition after exclusion of sources' typically occurs when specific technical requirements, security needs, or existing government-furnished equipment necessitate a limited pool of qualified vendors. Without knowing the exact exclusions, it's difficult to definitively assess the price impact. However, limiting the competitive pool can sometimes lead to higher prices if it reduces overall market pressure.

How does the estimated per-unit cost of $3.02 million for these tactical trailers compare to similar military or specialized commercial trailers, considering potential survivability and operational re

The estimated per-unit cost of $3.02 million is exceptionally high for a trailer. While military-grade equipment often incurs premiums for durability, specialized features, and survivability (e.g., mine resistance, NBC protection), this figure warrants scrutiny. A thorough comparison would require detailed specifications of the LTTS and benchmark data for comparable military or highly specialized commercial trailers, which are not publicly available.

What is the long-term strategic value and operational necessity of the Light Tactical Trailers (LTTS) program, and how does this spending align with current defense modernization priorities?

The LTTS program likely supports essential military logistics and operational mobility, enabling the transport of equipment and supplies in tactical environments. Its strategic value lies in enhancing force projection and sustainment capabilities. Alignment with modernization priorities would depend on whether these trailers are considered legacy or part of a forward-looking logistics strategy. Further information on the program's role in current doctrine and future force structure is needed.

Industry Classification

NAICS: ManufacturingMotor Vehicle Body and Trailer ManufacturingTruck Trailer Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 5825 NE SKYPORT WAY, PORTLAND, OR, 97218

Business Categories: Category Business, Small Business

Financial Breakdown

Contract Ceiling: $27,174,196

Exercised Options: $27,174,196

Current Obligation: $27,174,196

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV04D0093

IDV Type: IDC

Timeline

Start Date: 2006-11-21

Current End Date: 2008-12-15

Potential End Date: 2008-12-15 00:00:00

Last Modified: 2018-04-25

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