DoD awards $33.2M for aircraft parts to Gulfstream Aerospace, raising questions on value and competition

Contract Overview

Contract Amount: $33,240,002 ($33.2M)

Contractor: Gulfstream Aerospace Corporation

Awarding Agency: Department of Defense

Start Date: 2020-02-01

End Date: 2022-07-29

Contract Duration: 909 days

Daily Burn Rate: $36.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CLS OPTION 3

Place of Performance

Location: SAVANNAH, CHATHAM County, GEORGIA, 31408

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $33.2 million to GULFSTREAM AEROSPACE CORPORATION for work described as: CLS OPTION 3 Key points: 1. Significant contract value of $33.2 million for aircraft parts. 2. Competition method is 'Full and Open', but specific details are limited. 3. Potential risk associated with sole-source or limited competition if not managed effectively. 4. Sector is 'Other Aircraft Parts and Auxiliary Equipment Manufacturing'.

Value Assessment

Rating: fair

The contract value of $33.2 million for aircraft parts needs further benchmarking against similar DoD contracts. Without specific details on the parts and quantities, it's difficult to assess if the pricing is competitive or represents good value for taxpayer money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition'. However, the specific details of the bidding process and the number of bidders are not provided, which limits the assessment of price discovery and overall competitive pressure.

Taxpayer Impact: The impact on taxpayers depends on the efficiency of the competition and the final negotiated price. A robust competition should lead to better value, but without more data, the exact taxpayer benefit is unclear.

Public Impact

Ensures supply chain for critical aircraft parts for the Department of Defense. Supports jobs within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Potential for cost savings if the full and open competition yielded competitive bids.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of detailed pricing breakdown.
  • Limited information on the competitive bidding process.
  • Potential for price escalation over the contract duration.

Positive Signals

  • Awarded under full and open competition.
  • Supports a known aerospace manufacturer.
  • Clear contract end date.

Sector Analysis

The 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector is vital for defense readiness. Spending benchmarks in this area are highly dependent on the specific types of parts and their complexity. This contract's value appears substantial within this niche.

Small Business Impact

The data indicates this contract was awarded to Gulfstream Aerospace Corporation, a large business. There is no explicit information on small business participation or subcontracting opportunities within this award, suggesting limited direct impact on small businesses.

Oversight & Accountability

Oversight would involve monitoring contract performance, adherence to delivery schedules, and quality control of the aircraft parts. The Defense Contract Management Agency's involvement suggests a level of oversight is in place.

Related Government Programs

  • Other Aircraft Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Lack of detailed justification for contract value.
  • Insufficient transparency on the competitive process.
  • Potential for cost overruns if not managed tightly.
  • Limited information on small business involvement.

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, ga, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $33.2 million to GULFSTREAM AEROSPACE CORPORATION. CLS OPTION 3

Who is the contractor on this award?

The obligated recipient is GULFSTREAM AEROSPACE CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $33.2 million.

What is the period of performance?

Start: 2020-02-01. End: 2022-07-29.

What specific aircraft parts are being procured under this contract, and what is their criticality to DoD operations?

The provided data does not specify the exact aircraft parts. Understanding the nature of these parts (e.g., engines, avionics, structural components) is crucial for assessing their criticality to DoD operations and for benchmarking their cost against industry standards. This information would significantly enhance the value assessment.

How many bids were received, and what was the range of proposed prices during the full and open competition?

The data states 'FULL AND OPEN COMPETITION' but does not provide the number of bids received or the range of prices. Knowing this would help determine the effectiveness of the competition in driving down costs and ensuring the government received the best possible price for these aircraft parts.

Are there any performance metrics or quality assurance provisions tied to this contract to ensure the effectiveness and reliability of the parts?

The provided data does not detail specific performance metrics or quality assurance provisions. While the contract type is 'FIRM FIXED PRICE', ensuring the effectiveness and reliability of the parts would typically involve stringent quality control measures and acceptance testing, which are not explicitly mentioned here.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 500 GULFSTREAM RD, SAVANNAH, GA, 31408

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $33,240,002

Exercised Options: $33,240,002

Current Obligation: $33,240,002

Actual Outlays: $4,987,523

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $7,269,868

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA810618D0002

IDV Type: IDC

Timeline

Start Date: 2020-02-01

Current End Date: 2022-07-29

Potential End Date: 2022-07-29 00:00:00

Last Modified: 2025-04-24

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