DoD awards $44.4M to Textron Systems for Afghan aircraft support, a sole-source contract

Contract Overview

Contract Amount: $44,445,253 ($44.4M)

Contractor: Textron Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2019-05-31

End Date: 2021-07-31

Contract Duration: 792 days

Daily Burn Rate: $56.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: AFGHANISTAN CONTRACTOR LOGISTICS SUPPORT AND MAINTENANCE TRAINING FOR AC-208 ELIMINATOR AIRCRAFT AND MISSION TRAINING AND SUPPORT SYSTEM

Place of Performance

Location: COCKEYSVILLE, BALTIMORE County, MARYLAND, 21030

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $44.4 million to TEXTRON SYSTEMS CORPORATION for work described as: AFGHANISTAN CONTRACTOR LOGISTICS SUPPORT AND MAINTENANCE TRAINING FOR AC-208 ELIMINATOR AIRCRAFT AND MISSION TRAINING AND SUPPORT SYSTEM Key points: 1. High contract value for specialized aircraft support. 2. Sole-source award limits competitive pricing. 3. Potential risk in reliance on a single contractor for critical logistics. 4. Spending concentrated in the Defense sector.

Value Assessment

Rating: questionable

The contract value of $44.4M for logistics and training is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to potential market rates for similar specialized aircraft support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs for taxpayers as competition is absent.

Taxpayer Impact: The lack of competition for this significant contract raises concerns about potential overspending and inefficient use of taxpayer funds.

Public Impact

Ensures continued operational readiness of AC-208 Eliminator aircraft. Supports critical training for personnel involved with the aircraft. Potential for cost overruns due to sole-source nature. Limited transparency on pricing justification.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • High contract value

Positive Signals

  • Supports critical defense asset
  • Defined contract type (FFP)

Sector Analysis

This contract falls within the Defense sector, specifically supporting aviation logistics and training. Spending benchmarks for similar specialized aircraft support can vary widely, but sole-source awards often deviate from competitive norms.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. The award went to a single, likely large, entity.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny. Further oversight is needed to ensure the justification for non-competition was robust and that pricing is reasonable.

Related Government Programs

  • Other Support Activities for Air Transportation
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Sole-source award lacks competition.
  • Potential for inflated pricing.
  • Limited transparency on cost justification.
  • Reliance on a single provider for critical support.

Tags

other-support-activities-for-air-transpo, department-of-defense, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $44.4 million to TEXTRON SYSTEMS CORPORATION. AFGHANISTAN CONTRACTOR LOGISTICS SUPPORT AND MAINTENANCE TRAINING FOR AC-208 ELIMINATOR AIRCRAFT AND MISSION TRAINING AND SUPPORT SYSTEM

Who is the contractor on this award?

The obligated recipient is TEXTRON SYSTEMS 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 $44.4 million.

What is the period of performance?

Start: 2019-05-31. End: 2021-07-31.

What was the specific justification for awarding this contract on a sole-source basis, and were alternative solutions considered?

The provided data indicates the contract was 'NOT COMPETED'. A full justification for sole-source procurement typically involves factors like urgency, unique capabilities, or lack of market availability. Without this detailed justification, it's impossible to assess if other viable options were explored or if this was the only feasible path.

How does the per-unit cost or overall pricing compare to similar logistics and training contracts for specialized aircraft, if available?

Benchmarking is challenging due to the sole-source nature and specific platform (AC-208 Eliminator). Without competitive bids or publicly available data on similar sole-source contracts for comparable aircraft, a direct price comparison is difficult. The absence of competition inherently limits the ability to validate cost-effectiveness against market alternatives.

What measures are in place to ensure the effectiveness and efficiency of the training and support provided under this contract?

While the contract type is Firm Fixed Price (FFP), which incentivizes contractor performance, the effectiveness of training and support relies heavily on Textron Systems' execution and the oversight provided by the Defense Contract Management Agency. Specific performance metrics and quality assurance processes would be detailed within the contract itself.

Industry Classification

NAICS: Transportation and WarehousingSupport Activities for Air TransportationOther Support Activities for Air Transportation

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Textron Inc

Address: 124 INDUSTRY LN, HUNT VALLEY, MD, 21030

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: $46,495,037

Exercised Options: $46,495,037

Current Obligation: $44,445,253

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $3,686,922

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2019-05-31

Current End Date: 2021-07-31

Potential End Date: 2021-07-31 00:00:00

Last Modified: 2023-06-21

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