DoD's $56.2M Kongsberg contract for navigation systems awarded under full and open competition

Contract Overview

Contract Amount: $56,241,598 ($56.2M)

Contractor: Kongsberg Defence & Aerospace AS

Awarding Agency: Department of Defense

Start Date: 2010-04-26

End Date: 2010-11-10

Contract Duration: 198 days

Daily Burn Rate: $284.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CROWS SPLIT FCU ORDERING PERIOD 7

Place of Performance

Location: JOHNSTOWN, CAMBRIA County, PENNSYLVANIA, 15904, UNITED STATES OF AMERICA

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $56.2 million to KONGSBERG DEFENCE & AEROSPACE AS for work described as: CROWS SPLIT FCU ORDERING PERIOD 7 Key points: 1. Contract value of $56.2M for navigation systems. 2. Competition was full and open, suggesting market-driven pricing. 3. Risk appears moderate given the fixed-price contract type. 4. Sector is Defense, specifically navigation systems manufacturing.

Value Assessment

Rating: good

The contract value of $56.2M for navigation systems appears reasonable given the scope. Without specific unit cost data, direct comparison is difficult, but the full and open competition suggests pricing was vetted against market alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, allowing any qualified vendor to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of this award likely resulted in a fair price, minimizing unnecessary taxpayer expenditure.

Public Impact

Ensures operational readiness for Army aviation units through advanced navigation. Supports technological advancement in military navigation systems. Potential for follow-on contracts based on performance and future needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration of 198 days is relatively short, potentially limiting long-term planning.
  • No specific mention of small business participation.

Positive Signals

  • Awarded under full and open competition.
  • Firm fixed price contract type provides cost certainty.

Sector Analysis

This contract falls within the Defense sector, specifically the manufacturing of navigation systems. Spending in this area is critical for military operations and technological superiority, with benchmarks varying widely based on system complexity and quantity.

Small Business Impact

The provided data does not indicate any specific set-aside for small businesses, nor does it mention their participation in this procurement. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The award was made by the Department of the Army, a component of the Department of Defense, which has established oversight mechanisms for contract awards. The use of full and open competition suggests a standard procurement process was followed.

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 technology obsolescence given the award date.
  • Lack of explicit small business participation data.
  • Short contract duration might impact long-term integration.
  • No detailed performance metrics provided in the summary data.

Tags

search-detection-navigation-guidance-aer, department-of-defense, pa, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $56.2 million to KONGSBERG DEFENCE & AEROSPACE AS. CROWS SPLIT FCU ORDERING PERIOD 7

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 $56.2 million.

What is the period of performance?

Start: 2010-04-26. End: 2010-11-10.

What is the specific type of navigation system being procured and its intended use?

The contract is for the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' (NAICS 334511). While not explicitly detailed, this suggests advanced systems for aircraft and potentially naval vessels, crucial for mission success in complex operational environments.

What are the key performance metrics or quality standards for these navigation systems?

The data does not specify the key performance metrics or quality standards. However, given the 'Department of Defense' and 'Department of the Army' as agencies, stringent military specifications and reliability requirements are implied for such critical navigation equipment.

Are there any potential obsolescence risks associated with the technology in these navigation systems?

The contract was awarded in 2010, and the technology for navigation systems can evolve rapidly. Without knowing the specific system, there's a potential risk of obsolescence over the system's lifecycle, though defense procurements often account for sustainment and upgrade paths.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, 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

Solicitation ID: W15QKN06R1409

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

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: $57,039,850

Exercised Options: $56,241,598

Current Obligation: $56,241,598

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15QKN07D0018

IDV Type: IDC

Timeline

Start Date: 2010-04-26

Current End Date: 2010-11-10

Potential End Date: 2010-11-10 00:00:00

Last Modified: 2015-05-18

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