DoD's $35.4M BIG SAFARI Contract Awarded to BAE Systems for Aircraft Parts

Contract Overview

Contract Amount: $35,369,935 ($35.4M)

Contractor: BAE Systems Information and Electronic Systems Integration Inc.

Awarding Agency: Department of Defense

Start Date: 2018-12-11

End Date: 2022-05-31

Contract Duration: 1,267 days

Daily Burn Rate: $27.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: BIG SAFARI

Place of Performance

Location: NASHUA, HILLSBOROUGH County, NEW HAMPSHIRE, 03060

State: New Hampshire Government Spending

Plain-Language Summary

Department of Defense obligated $35.4 million to BAE SYSTEMS INFORMATION AND ELECTRONIC SYSTEMS INTEGRATION INC. for work described as: BIG SAFARI Key points: 1. Significant contract value of $35.4 million. 2. Sole-source award to BAE Systems, limiting competition. 3. Potential risk associated with non-competitive procurement. 4. Spending falls under the 'Other Aircraft Parts' manufacturing sector.

Value Assessment

Rating: fair

The contract value of $35.4 million for aircraft parts is substantial. Without competitive bids, it's difficult to assess if this price represents fair market value compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award to BAE Systems. This lack of competition limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The sole-source nature of this award may result in taxpayers paying more than if the contract had been competitively bid.

Public Impact

Taxpayers may be overpaying due to the lack of competition. The Department of Defense continues to rely on specific contractors for critical aircraft components. Ensuring the quality and necessity of these parts is crucial for Air Force operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
High contract value

Positive Signals

Specific need for BAE Systems' expertise
Timely delivery of critical parts

Sector Analysis

This contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this area is critical for maintaining and upgrading Air Force fleets, but competitive bidding is usually preferred to ensure cost-effectiveness.

Small Business Impact

There is no indication that small businesses were involved in this sole-source award, suggesting a missed opportunity for small business participation.

Oversight & Accountability

Oversight is needed to ensure the justification for the sole-source award was robust and that the pricing is reasonable given the lack of competition.

Related Government Programs

Other Aircraft Parts and Auxiliary Equipment Manufacturing
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Sole-source award limits competition and price discovery.
Potential for overpayment due to lack of competitive bidding.
Lack of transparency regarding the justification for sole-sourcing.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.4 million to BAE SYSTEMS INFORMATION AND ELECTRONIC SYSTEMS INTEGRATION INC.. BIG SAFARI

Who is the contractor on this award?

The obligated recipient is BAE SYSTEMS INFORMATION AND ELECTRONIC SYSTEMS INTEGRATION 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 $35.4 million.

What is the period of performance?

Start: 2018-12-11. End: 2022-05-31.

What was the specific justification for awarding this contract on a sole-source basis?

The provided data does not specify the justification for the sole-source award. Typically, sole-source contracts are justified when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Further investigation into the contract file would be required to determine the exact rationale.

How does the unit cost of these aircraft parts compare to industry benchmarks?

Without specific unit cost data and comparable industry benchmarks, it is impossible to assess the cost-effectiveness of this contract. The total award value of $35.4 million provides scale, but per-unit pricing and comparisons are necessary for a true value assessment.

What is the long-term strategic impact of relying on BAE Systems for these specific aircraft parts?

Long-term reliance on a single supplier like BAE Systems can create dependency and potentially limit future negotiation leverage. While it ensures a consistent supply chain, it also raises concerns about market competition and innovation. The Air Force should periodically reassess the need for sole-source arrangements.

Industry Classification

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

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

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: Compagnie DE Developpement DE L'eau S.A.

Address: 65 SPIT BROOK RD, NASHUA, NH, 03060

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

Financial Breakdown

Contract Ceiling: $35,369,935

Exercised Options: $35,369,935

Current Obligation: $35,369,935

Subaward Activity

Number of Subawards: 51

Total Subaward Amount: $16,452,283

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA862016G3028

IDV Type: BOA

Timeline