DoD Awards $96.6M for Crows, Spares, and Depot to Kongsberg Defence & Aerospace AS
Contract Overview
Contract Amount: $96,632,640 ($96.6M)
Contractor: Kongsberg Defence & Aerospace AS
Awarding Agency: Department of Defense
Start Date: 2009-09-23
End Date: 2012-10-03
Contract Duration: 1,106 days
Daily Burn Rate: $87.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: COMBINATION (APPLIES TO AWARDS WHERE TWO OR MORE OF THE ABOVE APPLY)
Sector: Defense
Official Description: DELIVERY ORDER 0033 IS FOR CROWS, SPARES, AND DEPOT
Plain-Language Summary
Department of Defense obligated $96.6 million to KONGSBERG DEFENCE & AEROSPACE AS for work described as: DELIVERY ORDER 0033 IS FOR CROWS, SPARES, AND DEPOT Key points: 1. Significant award for specialized aerospace components. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk is moderate due to specialized nature and contract duration. 4. Spending falls within the IT/Defense sector for navigation systems.
Value Assessment
Rating: good
The award amount of $96.6M over three years appears reasonable for specialized aerospace components. Benchmarking against similar complex system procurements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The number of bids received would further clarify the price discovery effectiveness.
Taxpayer Impact: Taxpayer funds are being used for critical defense components, with competition aiming to ensure efficient use of these funds.
Public Impact
Ensures availability of critical Crows, spares, and depot support for defense operations. Supports advanced navigation and guidance systems essential for military readiness. Potential for technological advancements in aerospace systems through this contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration of over three years.
- Specialized nature of components may limit future competition.
- Reliance on a single awardee for critical spares.
Positive Signals
- Awarded under full and open competition.
- Supports essential defense capabilities.
- Clear contract period and scope.
Sector Analysis
This spending falls within the Defense sector, specifically related to the manufacturing of search, detection, navigation, guidance, and related systems. Benchmarks for similar complex aerospace system procurements would be relevant.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. The prime contractor is a large foreign entity, suggesting limited direct opportunities for U.S. small businesses on this specific award.
Oversight & Accountability
The Department of the Army, under the Department of Defense, is the awarding agency. Standard DoD oversight mechanisms for contract performance and financial management would apply.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for sole-source dependency on spares.
- Long contract duration increases risk exposure.
- Reliance on foreign supplier.
- Complexity of specialized aerospace components.
Tags
search-detection-navigation-guidance-aer, department-of-defense, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $96.6 million to KONGSBERG DEFENCE & AEROSPACE AS. DELIVERY ORDER 0033 IS FOR CROWS, SPARES, AND DEPOT
Who is the contractor on this award?
The obligated recipient is KONGSBERG DEFENCE & AEROSPACE AS.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $96.6 million.
What is the period of performance?
Start: 2009-09-23. End: 2012-10-03.
What is the specific nature of 'Crows' and their criticality to the Army's operations?
'Crows' likely refers to a specific type of electronic warfare or targeting system, possibly related to Counter-Rocket, Artillery, and Mortar systems. Their criticality stems from providing essential situational awareness and defense capabilities against indirect fire threats, directly impacting soldier survivability and mission effectiveness on the battlefield.
What are the primary risks associated with relying on Kongsberg Defence & Aerospace AS for these specialized components?
Primary risks include potential supply chain disruptions for specialized parts, dependence on a single foreign supplier for critical systems, and the possibility of cost overruns if unforeseen technical challenges arise during the contract period. Geopolitical factors could also impact delivery or support.
How effectively does this contract contribute to the overall technological advancement and readiness of the U.S. Army's navigation and guidance systems?
This contract directly contributes by ensuring the continued availability and maintenance of existing advanced systems. While it focuses on spares and depot support, it implicitly supports readiness. Direct technological advancement would depend on any R&D or upgrade clauses within the delivery order, which are not detailed here.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: VEHICULAR EQUIPMENT COMPONENTS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 4
Pricing Type: COMBINATION (APPLIES TO AWARDS WHERE TWO OR MORE OF THE ABOVE APPLY) (2)
Evaluated Preference: NONE
Contractor Details
Parent Company: Kongsberg Gruppen ASA (UEI: 518910914)
Address: KIRKEG?RDSVEIEN 45, KONGSBERG
Business Categories: Category Business, Foreign Owned, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $321,070,140
Exercised Options: $96,632,640
Current Obligation: $96,632,640
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W15QKN07D0018
IDV Type: IDC
Timeline
Start Date: 2009-09-23
Current End Date: 2012-10-03
Potential End Date: 2013-02-06 00:00:00
Last Modified: 2015-05-18
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