Thermo Repair contract awarded to Thermo Electron North America LLC for $252,160 to support DEA operations

Contract Overview

Contract Amount: $25,216 ($25.2K)

Contractor: Thermo Electron North America LLC

Awarding Agency: Department of Justice

Start Date: 2026-05-04

End Date: 2026-09-30

Contract Duration: 149 days

Daily Burn Rate: $169/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: TITLE: THERMO REPAIR - DEA41285A

Place of Performance

Location: STERLING, LOUDOUN County, VIRGINIA, 20166

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $25,216 to THERMO ELECTRON NORTH AMERICA LLC for work described as: TITLE: THERMO REPAIR - DEA41285A Key points: 1. Value for money appears fair given the specialized nature of electronic equipment repair. 2. Competition dynamics indicate a sole-source award, potentially limiting price discovery. 3. Risk indicators are moderate, with a short performance period and time-and-materials pricing. 4. Performance context suggests a need for ongoing maintenance of critical DEA equipment. 5. Sector positioning is within the specialized repair and maintenance services for government agencies.

Value Assessment

Rating: fair

The contract's value of $252,160 for a 149-day period seems reasonable for specialized electronic equipment repair. Benchmarking against similar contracts is difficult without more detailed service descriptions and market rates for this niche. The time-and-materials pricing structure introduces some uncertainty regarding final cost, but is common for repair services where scope can be variable.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP), indicating a sole-source award. The lack of competition means that Thermo Electron North America LLC was the only provider considered. This approach may be justified if the equipment requires manufacturer-specific expertise or parts, but it bypasses the opportunity for competitive bidding to potentially secure lower pricing.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, as the award was not subject to open market forces.

Public Impact

The Drug Enforcement Administration (DEA) benefits from the continued operational readiness of its electronic equipment. Services delivered include the repair and maintenance of specialized electronic and precision equipment. The geographic impact is primarily within Virginia, where the DEA likely operates the equipment. Workforce implications are minimal, likely involving a small team of specialized technicians.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition.
Time-and-materials pricing can lead to cost overruns if not closely managed.
Short contract duration may indicate a need for more comprehensive long-term solutions.

Positive Signals

Addresses a critical need for equipment maintenance.
Thermo Electron North America LLC may possess unique expertise for the specific equipment.
Clear end date for the current service requirement.

Sector Analysis

The contract falls within the Electronic and Precision Equipment Repair and Maintenance sector (NAICS 811210). This sector is characterized by specialized technical skills and often involves proprietary equipment. Government spending in this area is crucial for maintaining the operational capabilities of various agencies, including law enforcement. Comparable spending benchmarks are difficult to establish without specific equipment details, but overall market size for equipment repair is substantial.

Small Business Impact

This contract was not awarded to a small business, nor does it appear to have a small business set-aside. There is no information provided regarding subcontracting plans for small businesses. The impact on the small business ecosystem is likely negligible for this specific award.

Oversight & Accountability

Oversight for this purchase order would typically fall under the Department of Justice's internal procurement and financial management controls. The Drug Enforcement Administration is responsible for ensuring the services are delivered as contracted and within budget. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

DEA Equipment Maintenance Contracts
Federal Electronic Repair Services
Department of Justice Procurement

Risk Flags

Sole-source award may limit cost savings.
Time-and-materials pricing requires close monitoring to control costs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $25,216 to THERMO ELECTRON NORTH AMERICA LLC. TITLE: THERMO REPAIR - DEA41285A

Who is the contractor on this award?

The obligated recipient is THERMO ELECTRON NORTH AMERICA LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Drug Enforcement Administration).

What is the total obligated amount?

The obligated amount is $25,216.

What is the period of performance?

Start: 2026-05-04. End: 2026-09-30.

What specific types of electronic and precision equipment are covered under this contract?

The provided data does not specify the exact types of electronic and precision equipment to be repaired under contract DEA41285A. The NAICS code 811210, 'Electronic and Precision Equipment Repair and Maintenance,' is broad and can encompass a wide range of devices. Given the awarding agency is the Drug Enforcement Administration (DEA), it is plausible that the equipment relates to surveillance, communication, forensic analysis, or laboratory instrumentation. Further details would be required from the contract's statement of work to identify the specific equipment.

Why was this contract awarded on a sole-source basis instead of through full and open competition?

The contract was designated as 'NOT COMPETED UNDER SAP,' which typically implies a sole-source justification. Common reasons for sole-source awards include the availability of only one responsible source, urgent and compelling needs, or when the specialized nature of the equipment or service requires a specific contractor (e.g., manufacturer-authorized repair). Without the specific justification documented by the agency, it is presumed that Thermo Electron North America LLC was deemed the only capable provider for the required repair services, possibly due to proprietary knowledge, unique tooling, or specific certifications.

What is the typical cost range for similar electronic equipment repair services for federal agencies?

Establishing a typical cost range for similar electronic equipment repair services is challenging without knowing the specific equipment and the nature of the repairs. The provided data indicates a total award of $252,160 for a period of 149 days, using a time and materials (T&M) pricing structure. T&M contracts are variable, meaning the final cost depends on the hours worked and materials used. For specialized government equipment, costs can range significantly, from a few thousand dollars for minor component replacements to tens or hundreds of thousands for complex system overhauls. Benchmarking would require comparing the hourly rates for technicians and the markup on parts against industry standards and other government contracts for comparable services.

What are the potential risks associated with a time-and-materials contract for equipment repair?

Time-and-materials (T&M) contracts, like the one awarded to Thermo Electron North America LLC, carry inherent risks, primarily related to cost control. The primary risk for the government is that the final cost can exceed initial estimates if the contractor takes longer than expected or uses more materials than necessary. Without a firm fixed price, there is less incentive for the contractor to be highly efficient. To mitigate this, agencies often include 'not-to-exceed' clauses in T&M contracts and implement rigorous oversight to monitor labor hours and material costs closely. For this specific contract, the short duration (149 days) might help contain potential cost overruns.

What is Thermo Electron North America LLC's track record with federal contracts, particularly with the DEA?

The provided data indicates that Thermo Electron North America LLC is the contractor for this specific purchase order (DEA41285A). However, it does not offer a comprehensive history of their past performance or track record with federal agencies, including the DEA. To assess their track record, one would need to consult federal procurement databases (like SAM.gov or FPDS) to review their award history, past performance evaluations, and any reported issues or disputes on previous contracts. Without this additional information, it's difficult to gauge their reliability and performance history.

Industry Classification

NAICS: Other Services (except Public Administration) › Electronic and Precision Equipment Repair and Maintenance › Electronic and Precision Equipment Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Thermo Fisher Scientific Inc.

Address: 1400 NORTHPOINT PKWY STE 10, WEST PALM BEACH, FL, 33407

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $25,216

Exercised Options: $25,216

Current Obligation: $25,216

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline