Army awards $36M contract for pyrotechnics to Security Signals Inc

Contract Overview

Contract Amount: $36,061,049 ($36.1M)

Contractor: Security Signals, Inc.

Awarding Agency: Department of Defense

Start Date: 2003-09-05

End Date: 2008-02-29

Contract Duration: 1,638 days

Daily Burn Rate: $22.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200312!001613!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903C0054 !A!N! !N! !20030905!20051230!007031479!007031479!007031479!N!SECURITY SIGNALS INC !9509 MACON RD !CORDOVA !TN!38018!17100!157!47!CORDOVA !SHELBY !TENNESSEE !+000002468173!Y!N!000000000000!1370!PYROTECHNICS !A6 !AMMUNITION !1000!NOT DISCERNABLE OR CLASSIFIED !325998!E! !3! ! ! ! ! !99990909!B! ! !A! !A!N!J!2!001!K! !A!N!Z! ! !N!B!Y!N! ! !C! !B!A!* !A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: CORDOVA, SHELBY County, TENNESSEE, 38018

State: Tennessee Government Spending

Plain-Language Summary

Department of Defense obligated $36.1 million to SECURITY SIGNALS, INC. for work described as: 200312!001613!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903C0054 !A!N! !N! !20030905!20051230!007031479!007031479!007031479!N!SECURITY SIGNALS INC !9509 MACON RD !CORDOVA !TN!38018!17100!157!47!CORDOVA !SHELB… Key points: 1. The U.S. Army awarded a $36,061,048.61 contract for pyrotechnics. 2. Security Signals Inc. secured the contract, which was awarded under full and open competition after exclusion of sources. 3. The contract duration is 1638 days, from September 5, 2003, to February 29, 2008. 4. The spending falls under the 'All Other Miscellaneous Chemical Product and Preparation Manufacturing' sector.

Value Assessment

Rating: fair

The contract value of $36,061,048.61 for pyrotechnics appears to be a significant investment. Without specific unit cost data or benchmarks for similar pyrotechnic systems, a precise value assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting a competitive process but with specific criteria for participation. This method aims for price discovery while ensuring qualified vendors are considered.

Taxpayer Impact: The competitive nature of the award suggests the government sought the best value, potentially leading to cost savings for taxpayers compared to a sole-source procurement.

Public Impact

This contract supports the Department of the Army's operational readiness by procuring essential pyrotechnic materials. The duration of the contract indicates a long-term need for these specialized products. The award to Security Signals Inc. highlights a key supplier within the defense industrial base for pyrotechnic manufacturing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific unit cost data makes detailed value analysis challenging.
  • The 'exclusion of sources' clause in the competition type warrants further investigation into its justification and impact on potential competition.
  • The PSC code is blank, hindering immediate classification of the specific goods or services procured.

Positive Signals

  • Awarded under full and open competition, indicating a structured procurement process.
  • The contract is firm fixed price, providing cost certainty for the government.
  • The vendor, Security Signals Inc., is a specialized manufacturer in the chemical products sector.

Sector Analysis

The contract falls within the chemical manufacturing sector, specifically pyrotechnics. Spending in this niche area is critical for defense applications, and benchmarks are often highly specialized and not publicly available.

Small Business Impact

The data does not indicate whether Security Signals Inc. is a small business. Further analysis would be needed to determine the impact on small business participation.

Oversight & Accountability

The contract was awarded by the Department of the Army, implying oversight from this agency. The 'exclusion of sources' aspect of the competition may warrant additional scrutiny from oversight bodies to ensure fairness and efficiency.

Related Government Programs

  • All Other Miscellaneous Chemical Product and Preparation Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of detailed product specification.
  • Ambiguity in the competition type ('exclusion of sources').
  • No clear indication of small business participation.
  • Blank PSC code hinders immediate classification.
  • Absence of specific unit cost data for benchmarking.

Tags

all-other-miscellaneous-chemical-product, department-of-defense, tn, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.1 million to SECURITY SIGNALS, INC.. 200312!001613!2100!AA09 !U.S. ARMY INDUSTRIAL OPERATIONS !DAAA0903C0054 !A!N! !N! !20030905!20051230!007031479!007031479!007031479!N!SECURITY SIGNALS INC !9509 MACON RD !CORDOVA !TN!38018!17100!157!47!CORDOVA !SHELBY !TENNESSEE !+000002468173!Y!N!000000000000!1370!PYROTECHNICS !A6 !AMMUNITION !1000!NOT DISCERNABLE OR CLASSIFIED !325998!E! !3! ! ! ! ! !99990909!B

Who is the contractor on this award?

The obligated recipient is SECURITY SIGNALS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $36.1 million.

What is the period of performance?

Start: 2003-09-05. End: 2008-02-29.

What specific types of pyrotechnics were procured under this contract, and how do their costs compare to similar items in the market?

The provided data identifies the product category as 'PYROTECHNICS' and the North American Industry Classification System (NAICS) code as '325998' (All Other Miscellaneous Chemical Product and Preparation Manufacturing). However, specific item details and unit costs are not discernable. A comprehensive market analysis would be required to benchmark pricing against comparable pyrotechnic systems used by other government agencies or in the commercial sector.

What were the specific reasons for excluding other potential sources in this 'Full and Open Competition After Exclusion of Sources' award?

The justification for excluding other sources under this contract type is not detailed in the provided data. Typically, such exclusions are based on factors like unique technical capabilities, proprietary technology, or specific security requirements that only a limited number of vendors can meet. A review of the contract's justification and approval documents would be necessary to understand the rationale.

How effectively did this contract meet the Army's long-term pyrotechnic needs, considering its duration and the vendor's performance?

The contract's duration of 1638 days (approximately 4.5 years) suggests a sustained need for pyrotechnics. Without performance metrics or post-contract reviews, it's difficult to assess the effectiveness of Security Signals Inc.'s fulfillment of these needs. Evaluating delivery timeliness, product quality, and adherence to specifications would be crucial for a complete effectiveness assessment.

Industry Classification

NAICS: ManufacturingOther Chemical Product and Preparation ManufacturingAll Other Miscellaneous Chemical Product and Preparation Manufacturing

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 9509 MACON RD, CORDOVA, TN, 09

Business Categories: Category Business, Small Business, Woman Owned Business

Timeline

Start Date: 2003-09-05

Current End Date: 2008-02-29

Potential End Date: 2008-02-29 00:00:00

Last Modified: 2009-01-10

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