Coast Guard awards $27.5M for MH65T aircraft backshells, with 6 bidders competing

Contract Overview

Contract Amount: $27,541 ($27.5K)

Contractor: SEA Wire & Cable Inc

Awarding Agency: Department of Homeland Security

Start Date: 2026-04-02

End Date: 2026-06-09

Contract Duration: 68 days

Daily Burn Rate: $405/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PROCUREMENT OF BACKSHELLS TO BE USED ON THE MH65T AIRCRAFT.

Place of Performance

Location: MADISON, MADISON County, ALABAMA, 35758

State: Alabama Government Spending

Plain-Language Summary

Department of Homeland Security obligated $27,540.9 to SEA WIRE & CABLE INC for work described as: PROCUREMENT OF BACKSHELLS TO BE USED ON THE MH65T AIRCRAFT. Key points: 1. The contract value appears reasonable given the specialized nature of aircraft parts. 2. Strong competition with 6 bidders suggests a healthy market for these components. 3. The short performance period indicates a focus on immediate supply needs. 4. This procurement supports the operational readiness of the MH65T helicopter fleet. 5. The fixed-price contract type shifts risk to the contractor. 6. The award was made under Simplified Acquisition Procedures, indicating a streamlined process for a moderate value.

Value Assessment

Rating: good

The contract value of $27.5 million for aircraft backshells is within a typical range for specialized aerospace components. Benchmarking against similar procurements for helicopter parts would provide a more precise value-for-money assessment. The firm fixed-price structure is standard for this type of supply contract, aiming for cost certainty. The number of bidders suggests competitive pricing was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under Simplified Acquisition Procedures (SAP), which typically allows for broader competition than micro-purchase thresholds but is less formal than full and open competition for larger contracts. The presence of 6 bidders indicates a reasonable level of market interest and competition for this specific requirement. This level of competition is generally sufficient to drive fair market prices for goods of this nature.

Taxpayer Impact: The competition among 6 bidders suggests that taxpayers are likely receiving a fair price, as multiple companies vied for the contract, preventing a single supplier from dictating terms.

Public Impact

The U.S. Coast Guard benefits from the timely delivery of essential aircraft components. This contract ensures the continued operational readiness and safety of the MH65T helicopter fleet. The services delivered are critical for maintaining aviation assets used in search and rescue, maritime security, and law enforcement missions. The geographic impact is primarily within the operational areas of the U.S. Coast Guard, supporting missions nationwide. The workforce implications are mainly for the contractor's manufacturing and supply chain operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions if the sole manufacturer faces unforeseen issues.
Reliance on a single type of aircraft part could create a bottleneck if demand spikes unexpectedly.

Positive Signals

The competitive bidding process suggests a robust market and multiple qualified suppliers.
The firm fixed-price contract provides cost certainty for the government.
The short performance period indicates a focus on meeting immediate operational needs.

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a specialized segment of the aerospace industry. The market for such components is driven by defense and public safety aviation needs. Spending in this sector is often characterized by long product lifecycles and stringent quality requirements. Comparable spending benchmarks would typically be found within other government procurements for similar helicopter or aircraft parts.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the specialized nature of aircraft parts, it is possible that larger, established manufacturers dominate this market segment. Further analysis would be needed to determine the extent of small business participation, either as prime contractors or subcontractors.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. As a Purchase Order awarded under Simplified Acquisition Procedures, it likely falls under the purview of the U.S. Coast Guard's contracting office and potentially the Department of Homeland Security's Inspector General for audits or investigations. Transparency is maintained through contract databases like FPDS.gov.

Related Government Programs

MH65T Helicopter Maintenance
Aviation Parts Procurement
U.S. Coast Guard Aviation Operations
Aerospace Manufacturing Contracts

Risk Flags

Potential for sole-source justification if competition dwindles in future procurements.
Need to monitor contractor performance closely due to critical nature of aviation parts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $27,540.9 to SEA WIRE & CABLE INC. PROCUREMENT OF BACKSHELLS TO BE USED ON THE MH65T AIRCRAFT.

Who is the contractor on this award?

The obligated recipient is SEA WIRE & CABLE INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $27,540.9.

What is the period of performance?

Start: 2026-04-02. End: 2026-06-09.

What is the track record of SEA WIRE & CABLE INC. with government contracts, particularly for aviation components?

SEA WIRE & CABLE INC. has a history of receiving government contracts, primarily as a supplier of wire and cable products. While specific details on their track record with aviation components like backshells require deeper investigation into contract databases, their presence as a bidder and awardee in this procurement suggests they possess the necessary certifications and capabilities. Analyzing their past performance ratings, any past performance issues, and the types of agencies they have previously served would provide a clearer picture of their reliability and expertise in supplying critical aerospace parts.

How does the awarded price compare to similar procurements for MH65T aircraft backshells or comparable helicopter parts?

A precise comparison of the $27.5 million award for MH65T backshells to similar procurements is challenging without access to a broader dataset of comparable contracts. However, the presence of 6 bidders in a Simplified Acquisition Procedure (SAP) award suggests that the price achieved is likely competitive within the market for such specialized components. Factors influencing price include the specific technical requirements, quantity, lead time, and the overall demand for MH65T parts. A detailed benchmark would require identifying contracts with identical or highly similar parts, quantities, and delivery schedules from other agencies or previous Coast Guard awards.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract include potential supply chain disruptions, quality control issues with the backshells, and schedule delays. Mitigation strategies are embedded within the contract terms. The firm fixed-price structure shifts financial risk to the contractor, incentivizing them to manage costs effectively. The competitive bidding process helps ensure that multiple qualified suppliers are available, reducing reliance on a single source. The short performance period (approx. 2 months) also limits the duration of exposure to these risks. The U.S. Coast Guard likely has quality assurance provisions within the purchase order to inspect and accept only conforming parts.

How effective is the U.S. Coast Guard's procurement process for specialized aviation parts like these backshells?

The effectiveness of the U.S. Coast Guard's procurement process for specialized aviation parts is suggested by the successful award of this contract under SAP with multiple bidders. The use of SAP indicates an efficient process for procurements under $250,000 (though this award is higher, suggesting it might be a specific application of SAP or a related streamlined procedure). The competition level achieved (6 bidders) points towards a process that successfully attracted market interest. The key to effectiveness lies in ensuring that the chosen parts meet stringent aviation safety and performance standards, which is typically managed through technical specifications and quality inspections post-award.

What are the historical spending patterns for MH65T aircraft parts or similar helicopter components by the U.S. Coast Guard?

Analyzing historical spending patterns for MH65T aircraft parts by the U.S. Coast Guard would reveal trends in demand, average contract values, and the frequency of procurements. This specific award of $27.5 million for backshells suggests a significant need for these components. Without historical data, it's difficult to ascertain if this represents a typical expenditure or an anomaly driven by specific fleet maintenance cycles or upgrades. Understanding past spending can help forecast future needs and budget allocations for the MH65T fleet's sustainment.

What is the potential impact of this contract on the overall readiness and operational capability of the MH65T helicopter fleet?

This contract is crucial for maintaining the operational readiness and capability of the MH65T helicopter fleet. Backshells are essential components that ensure the proper functioning and safety of the aircraft's systems. By securing a supply of these parts, the U.S. Coast Guard can perform necessary maintenance, repairs, and replacements, thereby minimizing downtime and ensuring that these vital assets are available for their missions, which include search and rescue, maritime law enforcement, and homeland security operations.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70Z03826QB0000070

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 451 LANIER RD, MADISON, AL, 35758

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $67,490

Exercised Options: $27,541

Current Obligation: $27,541

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline