DoD awards $147.6M contract for armor to Oshkosh Corp, facing limited competition

Contract Overview

Contract Amount: $147,591,301 ($147.6M)

Contractor: Oshkosh Corp

Awarding Agency: Department of Defense

Start Date: 2008-03-31

End Date: 2011-09-30

Contract Duration: 1,278 days

Daily Burn Rate: $115.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PURCHASE OF REDUCIBLE HEIGHT ARMOR FOR VARIOUS MTVR VARIANTS

Place of Performance

Location: OSHKOSH, WINNEBAGO County, WISCONSIN, 54902

State: Wisconsin Government Spending

Plain-Language Summary

Department of Defense obligated $147.6 million to OSHKOSH CORP for work described as: PURCHASE OF REDUCIBLE HEIGHT ARMOR FOR VARIOUS MTVR VARIANTS Key points: 1. Significant investment in vehicle survivability for military transport. 2. Oshkosh Corp, a major defense contractor, is the sole awardee. 3. Limited competition raises concerns about potential price inflation. 4. Spending aligns with ongoing military modernization efforts.

Value Assessment

Rating: fair

The contract value of $147.6M for armor is substantial. Benchmarking against similar armor contracts is difficult without more specific technical details, but the lack of competition suggests potential for higher pricing than if multiple bids were considered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This method limits price discovery and potentially leads to higher costs for taxpayers compared to a fully competed procurement.

Taxpayer Impact: The lack of competition likely results in a higher cost to taxpayers than a competitive process would yield.

Public Impact

Enhances protection for military personnel operating Medium Tactical Vehicle Replacements (MTVRs). Supports the operational readiness and survivability of naval ground forces. Investment in specialized vehicle components, potentially impacting future vehicle upgrade costs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits price competition.
  • Lack of transparency in pricing justification.
  • Potential for cost overruns due to limited oversight.

Positive Signals

  • Addresses critical survivability needs for military vehicles.
  • Supports a known and experienced defense contractor.

Sector Analysis

The Department of Defense frequently procures specialized vehicle components like armor. Spending benchmarks for such specific items are hard to establish without detailed specifications, but this award represents a significant investment in vehicle protection.

Small Business Impact

No information is available regarding small business participation in this contract. The award to Oshkosh Corp, a large prime contractor, suggests that subcontracting opportunities for small businesses may exist but are not detailed here.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure fair pricing and prevent potential waste. Accountability for the justification of the non-competitive award is crucial.

Related Government Programs

  • Turbine and Turbine Generator Set Units Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Sole-source award limits competition.
  • Potential for inflated pricing.
  • Lack of detailed cost breakdown.
  • Limited public information on justification.

Tags

turbine-and-turbine-generator-set-units-, department-of-defense, wi, do, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $147.6 million to OSHKOSH CORP. PURCHASE OF REDUCIBLE HEIGHT ARMOR FOR VARIOUS MTVR VARIANTS

Who is the contractor on this award?

The obligated recipient is OSHKOSH CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $147.6 million.

What is the period of performance?

Start: 2008-03-31. End: 2011-09-30.

What is the specific justification for awarding this contract on a sole-source basis, and what steps were taken to ensure fair and reasonable pricing?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. Without access to the specific contract file, it's impossible to detail the exact justification. However, agencies are required to conduct market research and price analyses to ensure fair and reasonable pricing even in sole-source situations, though the absence of competition inherently limits the government's leverage.

How does the cost of this armor compare to similar survivability upgrades on other military vehicles, and what is the projected lifespan and maintenance cost?

Direct cost comparisons are challenging without detailed specifications of the armor's protective capabilities and the specific MTVR variants. The projected lifespan and maintenance costs are also not provided in this data. Understanding these factors is crucial for a comprehensive assessment of the long-term value and total ownership cost of this armor system.

What is the expected impact of this armor upgrade on the operational effectiveness and logistical footprint of the MTVR fleet?

The primary impact is expected to be enhanced survivability for personnel, directly improving operational effectiveness in high-threat environments. Increased armor weight could potentially affect fuel efficiency and require adjustments to maintenance schedules or logistical support. The specific impact will depend on the weight and integration complexity of the new armor system.

Industry Classification

NAICS: ManufacturingEngine, Turbine, and Power Transmission Equipment ManufacturingTurbine and Turbine Generator Set Units Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

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: 2307OREGON STREET, OSHKOSH, WI, 06

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $147,591,301

Exercised Options: $147,591,301

Current Obligation: $147,591,301

Contract Characteristics

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: M6785404D5016

IDV Type: IDC

Timeline

Start Date: 2008-03-31

Current End Date: 2011-09-30

Potential End Date: 2011-09-30 00:00:00

Last Modified: 2011-08-15

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