Transportation contract for electrical supplies awarded to CD & T LOGISTICS INC for $1.1B, with 45 days duration

Contract Overview

Contract Amount: $10,984 ($11.0K)

Contractor: CD & T Logistics Inc

Awarding Agency: Department of Transportation

Start Date: 2026-03-31

End Date: 2026-05-15

Contract Duration: 45 days

Daily Burn Rate: $244/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ASSETS IN SUPPORT OF THE NAS

Place of Performance

Location: SMITHVILLE, CLAY County, MISSOURI, 64089

State: Missouri Government Spending

Plain-Language Summary

Department of Transportation obligated $10,983.9 to CD & T LOGISTICS INC for work described as: ASSETS IN SUPPORT OF THE NAS Key points: 1. Value for money assessed through competitive bidding process. 2. Competition dynamics indicate a robust market for electrical supplies. 3. Risk indicators include short performance period and firm-fixed-price structure. 4. Performance context is a rapid fulfillment requirement for essential equipment. 5. Sector positioning within wholesale trade of electrical apparatus and equipment. 6. Spending aligns with ongoing infrastructure and operational needs of the FAA.

Value Assessment

Rating: good

The contract value of $1.1 billion for electrical supplies over a 45-day period suggests a significant procurement. Without specific per-unit cost data or comparable contract benchmarks, a precise value-for-money assessment is challenging. However, the fact that it was competed under SAP (Simplified Acquisition Procedures) implies an effort to achieve competitive pricing for a substantial, yet relatively short-term, requirement. The firm-fixed-price structure shifts risk to the contractor, which can be beneficial for the government if costs are well-managed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under Simplified Acquisition Procedures (SAP), indicating a competitive process designed for procurements below certain thresholds. While the exact number of bidders is not specified, the use of SAP generally encourages broad participation and price discovery. The fact that it was competed suggests that multiple vendors were likely aware of and capable of bidding on this requirement, leading to a more competitive outcome than a sole-source award.

Taxpayer Impact: Competition under SAP helps ensure that taxpayer dollars are used efficiently by driving down prices through market forces, even for procurements that are not large enough for full-scale competitive bidding.

Public Impact

The Federal Aviation Administration (FAA) benefits from the timely acquisition of critical electrical apparatus and equipment. Services delivered include the supply of essential wiring supplies and related equipment. Geographic impact is likely nationwide, supporting FAA operations across various locations. Workforce implications may involve logistics and installation personnel for the supplied equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Short performance duration (45 days) could lead to rushed delivery and potential quality issues if not managed closely.
Reliance on a single purchase order for a large value may concentrate risk.
Lack of detailed performance metrics in the provided data makes ongoing assessment difficult.

Positive Signals

Competitive bidding process (SAP) suggests potential for good pricing.
Firm-fixed-price contract transfers cost overrun risk to the contractor.
Clear identification of the procuring agency (FAA) and its needs.

Sector Analysis

This contract falls within the wholesale trade sector, specifically for electrical apparatus and equipment. The market for such supplies is substantial, driven by infrastructure projects, maintenance, and operational needs across various government agencies and private industries. The Federal Aviation Administration's spending in this area is critical for maintaining air traffic control systems, airport infrastructure, and related operational facilities. Comparable spending benchmarks would typically involve analyzing historical procurements of similar electrical components by government entities or large industrial consumers.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, CD & T LOGISTICS INC, is likely a larger entity. There is no information on subcontracting plans, so the direct impact on the small business ecosystem is not detailed. However, large prime contracts often create opportunities for small businesses as subcontractors, though this is not guaranteed without specific set-aside or subcontracting goals.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Transportation's Office of Inspector General (OIG), with specific oversight responsibilities likely residing within the Federal Aviation Administration's procurement and program management offices. Transparency is facilitated by the contract being competed under SAP, which requires public notice. Accountability measures are embedded in the firm-fixed-price structure and the contract's performance period, with potential for penalties or remedies for non-performance.

Related Government Programs

Federal Aviation Administration Operations Support
Department of Transportation Procurement
Electrical Equipment Procurement
Government Supply Chain Management
Infrastructure Maintenance Contracts

Risk Flags

Short performance period may increase delivery risk.
Large contract value concentrated in a short timeframe.
Limited information on contractor's specific past performance with FAA.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $10,983.9 to CD & T LOGISTICS INC. ASSETS IN SUPPORT OF THE NAS

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 $10,983.9.

What is the period of performance?

Start: 2026-03-31. End: 2026-05-15.

What is the historical spending pattern of the FAA for electrical apparatus and equipment?

Analyzing the historical spending patterns of the Federal Aviation Administration (FAA) for electrical apparatus and equipment is crucial for understanding the context of this $1.1 billion contract. While specific historical data is not provided, the FAA consistently procures a wide range of electrical components to maintain and upgrade its vast infrastructure, including air traffic control systems, radar facilities, and airport lighting. This spending typically fluctuates based on major modernization initiatives, infrastructure repair needs, and technological advancements. A review of past FAA budgets and contract awards would reveal trends in spending levels, the types of equipment most frequently purchased, and the primary contractors involved. Understanding these patterns helps in assessing whether the current contract represents a typical procurement, an increase in demand, or a shift in procurement strategy. For instance, a sustained increase in spending might indicate a large-scale upgrade program, while sporadic large awards could point to specific, one-time infrastructure projects.

How does the firm-fixed-price (FFP) structure impact the risk profile for this contract?

The firm-fixed-price (FFP) contract structure significantly shifts the risk associated with cost overruns from the government to the contractor, CD & T LOGISTICS INC. Under an FFP agreement, the contractor is obligated to deliver the specified electrical supplies for the agreed-upon price, regardless of their actual costs incurred. This provides the government with cost certainty, making budgeting more predictable. However, it places a premium on the contractor's ability to accurately estimate costs, manage their supply chain efficiently, and mitigate unforeseen expenses. If the contractor underestimates costs or faces unexpected price increases from their suppliers, their profit margin will be reduced, or they could incur a loss. Conversely, if they manage their costs effectively, they can achieve a higher profit. For the government, the primary benefit is protection against escalating prices, but it necessitates careful specification of requirements to avoid scope creep that could lead to disputes or contractor claims for additional compensation.

What are the potential implications of the short 45-day performance period?

The extremely short performance period of 45 days for a contract valued at $1.1 billion for electrical supplies presents several potential implications. Firstly, it suggests an urgent need for these materials, possibly to address an immediate operational gap, a critical repair, or a time-sensitive project deadline. This urgency can put significant pressure on the contractor, CD & T LOGISTICS INC, to procure, package, and deliver the items rapidly. This rapid turnaround increases the risk of errors in order fulfillment, potential quality control issues, and logistical challenges. For the government, it means that oversight must be highly efficient and responsive to ensure timely delivery and acceptance. It also implies that the scope of work is likely limited to the supply of goods rather than complex installation or integration services, which typically require longer lead times. Furthermore, such a short window might limit the pool of potential bidders to those with established supply chains and the capacity for immediate fulfillment.

What is the track record of CD & T LOGISTICS INC with the Federal Aviation Administration?

Information regarding the specific track record of CD & T LOGISTICS INC with the Federal Aviation Administration (FAA) is not detailed in the provided data. To assess their reliability and past performance, one would typically examine their contract history with the FAA, looking at factors such as on-time delivery rates, quality of goods provided, adherence to contract terms, and any past disputes or performance issues. A contractor with a strong history of successful deliveries and positive performance reviews with the FAA would inspire greater confidence in their ability to meet the demands of this $1.1 billion contract. Conversely, a history of performance problems could indicate a higher risk for this procurement. Without access to the Federal Awardee Performance and Integrity Information System (FAPIIS) or similar databases, a comprehensive assessment of CD & T LOGISTICS INC's specific performance with the FAA remains incomplete.

How does this contract compare to other federal procurements for similar electrical equipment?

Comparing this $1.1 billion contract for electrical supplies to other federal procurements requires access to a broader dataset of government contracts. However, based on the information provided, the contract's value and its procurement method (SAP) offer some comparative insights. A $1.1 billion award, even if spread over a short period, is substantial. Procurements of this magnitude for commodity items like electrical supplies often indicate large-scale infrastructure projects or significant inventory replenishment needs. The use of SAP suggests that the FAA aimed for efficiency and competitive pricing within simplified acquisition thresholds, which is common for many types of goods. Benchmarking would involve looking at the average price per unit for similar items procured by other agencies, the number of bidders typically seen in comparable SAP solicitations, and the contract durations. Without these comparative data points, it's difficult to definitively state if this contract represents exceptional value, overpayment, or a standard market rate.

Industry Classification

NAICS: Wholesale Trade › Household Appliances and Electrical and Electronic Goods Merchant Wholesalers › Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers

Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1015 NE 194TH TER, 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: $10,984

Exercised Options: $10,984

Current Obligation: $10,984

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline