DoD's $69M Contract for All Other Support Services Awarded to General Atomics Aeronautical Systems, Inc

Contract Overview

Contract Amount: $69,224,940 ($69.2M)

Contractor: General Atomics Aeronautical Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2005-01-14

End Date: 2007-09-23

Contract Duration: 982 days

Daily Burn Rate: $70.5K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: POWAY, SAN DIEGO County, CALIFORNIA, 92064

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $69.2 million to GENERAL ATOMICS AERONAUTICAL SYSTEMS, INC. for work described as: Key points: 1. Contract awarded for 'All Other Support Services' with a total value of $69.2 million. 2. The contract was not competed, raising questions about potential price discovery. 3. General Atomics Aeronautical Systems, Inc. is the sole awardee. 4. The contract duration is 982 days, spanning from January 2005 to September 2007.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee (CPFF), which can lead to cost overruns if not closely monitored. Without competitive bidding, it's difficult to assess if the $69.2 million price represents fair value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was sole-sourced, meaning it was not competed. This limits price discovery and may result in higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition for a $69.2 million contract potentially means taxpayers paid more than necessary.

Public Impact

Taxpayers may have overpaid due to the absence of competitive bidding. The specific nature of 'All Other Support Services' is vague, making it hard to assess the necessity and value of the services rendered. Long contract duration (982 days) without competition warrants scrutiny for ongoing cost-effectiveness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Cost-plus contract type
Vague service description

Positive Signals

Established contractor
Clear end dates

Sector Analysis

The 'All Other Support Services' category is broad and can encompass a wide range of activities. Without specific details, it's challenging to benchmark against industry standards. However, government spending in support services often represents a significant portion of agency budgets.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. The sole-source nature of the award further limits opportunities for small business participation.

Oversight & Accountability

The sole-source nature of this contract suggests a potential lack of robust oversight in the initial award decision. Ongoing oversight would be critical to manage costs under the CPFF structure and ensure services align with requirements.

Related Government Programs

All Other Support Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Lack of competition
Potential for cost overruns (CPFF)
Vague service description
No small business participation indicated

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $69.2 million to GENERAL ATOMICS AERONAUTICAL SYSTEMS, INC.. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is GENERAL ATOMICS AERONAUTICAL SYSTEMS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $69.2 million.

What is the period of performance?

Start: 2005-01-14. End: 2007-09-23.

What specific services were provided under this 'All Other Support Services' contract, and how were they justified as sole-source?

The contract's description as 'All Other Support Services' is highly generic. A sole-source justification would typically require documentation proving that only one vendor could provide the necessary services due to unique capabilities, urgent needs, or specific government requirements. Without this documentation, the justification for not competing the contract remains unclear and raises concerns about procurement practices.

What was the final cost compared to the initial estimate, and were there any cost overruns?

As a Cost Plus Fixed Fee (CPFF) contract, the final cost is determined by the actual allowable costs incurred by the contractor, plus a fixed fee. Without access to the contract's final financial data, it's impossible to determine the exact final cost or if it exceeded initial projections. CPFF contracts inherently carry a risk of cost overruns if not managed diligently.

How effective were the services provided in meeting the Department of the Air Force's needs?

Assessing the effectiveness of the services is difficult without specific performance metrics or mission outcomes tied to this contract. The 'All Other Support Services' designation lacks clarity on the intended purpose. Post-award reviews or performance evaluations would be necessary to gauge whether the services delivered value and contributed to the Air Force's objectives.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Atomics

Address: 16761 VIA DEL CAMPO CT, SAN DIEGO, CA, 92127

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline