DOT's FAA Awards $31.7M for NAS Support Parts, Competed Under SAP
Contract Overview
Contract Amount: $31,711 ($31.7K)
Contractor: CD & T Logistics Inc
Awarding Agency: Department of Transportation
Start Date: 2020-01-28
End Date: 2020-04-22
Contract Duration: 85 days
Daily Burn Rate: $373/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Official Description: ASSETS IN SUPPORT OF THE NAS OTHER FUNCTIONS
Place of Performance
Location: SMITHVILLE, CLAY County, MISSOURI, 64089
State: Missouri Government Spending
Plain-Language Summary
Department of Transportation obligated $31,711.15 to CD & T LOGISTICS INC for work described as: ASSETS IN SUPPORT OF THE NAS OTHER FUNCTIONS Key points: 1. Significant award for critical aviation support components. 2. Competition method (SAP) may limit broader market engagement. 3. Fixed-price contract offers cost certainty but requires careful scope management. 4. Focus on 'Other Electronic Parts' suggests a specialized, potentially niche market.
Value Assessment
Rating: fair
The award value of $31.7M for 'Other Electronic Parts and Equipment' is substantial. Benchmarking against similar contracts for specialized electronic components is difficult without more granular data on the specific parts procured. The firm fixed-price nature suggests an attempt at cost control.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), which typically implies a limited number of bidders and potentially less aggressive price discovery compared to full and open competition. This method is often used for smaller dollar value procurements, but this award is significant.
Taxpayer Impact: Taxpayer funds are being used for essential aviation support. The efficiency of the SAP competition for this value is a key consideration for maximizing taxpayer return.
Public Impact
Ensures continued operation and maintenance of the National Airspace System (NAS). Supports critical infrastructure for air traffic control and safety. Potential impact on the availability and cost of specialized electronic parts for aviation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition for a significant award value.
- Use of SAP for a $31.7M contract warrants scrutiny.
- Lack of detailed product specification makes cost assessment challenging.
Positive Signals
- Award supports essential FAA functions.
- Firm fixed-price contract provides cost predictability.
- Contract duration is relatively short (85 days).
Sector Analysis
The Federal Aviation Administration (FAA) operates within the Transportation sector, with significant spending on IT, electronics, and maintenance services. Benchmarks for 'Other Electronic Parts' are highly variable due to the specialized nature of aviation components.
Small Business Impact
The data indicates this contract was not set aside for small businesses (sb: false). Analysis is needed to determine if small businesses were excluded or if the nature of the required parts/services inherently favored larger, specialized suppliers.
Oversight & Accountability
Oversight is crucial to ensure the procured parts meet stringent FAA specifications and that the use of SAP for this award value aligns with procurement regulations and best practices for competition and price reasonableness.
Related Government Programs
- Other Electronic Parts and Equipment Merchant Wholesalers
- Department of Transportation Contracting
- Federal Aviation Administration Programs
Risk Flags
- Potential for limited competition due to SAP.
- Lack of detailed product information hinders cost-effectiveness assessment.
- Award value may be high for SAP-driven procurement.
- No small business participation noted.
Tags
other-electronic-parts-and-equipment-mer, department-of-transportation, mo, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $31,711.15 to CD & T LOGISTICS INC. ASSETS IN SUPPORT OF THE NAS OTHER FUNCTIONS
Who is the contractor on this award?
The obligated recipient is CD & T LOGISTICS INC.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Federal Aviation Administration).
What is the total obligated amount?
The obligated amount is $31,711.15.
What is the period of performance?
Start: 2020-01-28. End: 2020-04-22.
What specific 'Other Electronic Parts and Equipment' were procured under this contract, and how do their costs compare to industry standards for similar aviation-grade components?
The provided data lacks specificity regarding the exact electronic parts. Without a detailed list and specifications (e.g., part numbers, technical requirements), a precise cost comparison to industry standards is impossible. The $31.7M award suggests a significant quantity or high-value components, making granular cost analysis essential for validating value for money.
Given the $31.7M award value, what were the primary justifications for using Simplified Acquisition Procedures (SAP) instead of a broader competitive solicitation?
Using SAP for an award of this magnitude is unusual and requires strong justification. Potential reasons could include urgency, specific technical requirements only met by a few vendors, or a belief that SAP would yield the best value under the circumstances. However, it raises concerns about potentially limiting competition and not achieving the most favorable pricing.
How effectively does this contract contribute to the FAA's mission of ensuring the safety and efficiency of the National Airspace System (NAS)?
The contract directly supports the NAS by providing essential electronic parts and equipment, which are critical for the functioning of air traffic control systems, communication networks, and other vital infrastructure. Assuming the parts meet quality and performance standards, this award is effective in maintaining operational capabilities and ensuring air safety.
Industry Classification
NAICS: Wholesale Trade › Household Appliances and Electrical and Electronic Goods Merchant Wholesalers › Other Electronic Parts and Equipment Merchant Wholesalers
Product/Service Code: HARDWARE AND ABRASIVES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 13406 FOREST OAKS DR, SMITHVILLE, MO, 64089
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $31,711
Exercised Options: $31,711
Current Obligation: $31,711
Actual Outlays: $31,711
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2020-01-28
Current End Date: 2020-04-22
Potential End Date: 2020-04-22 00:00:00
Last Modified: 2026-04-10
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