DoD's $136M 'BIG SAFARI' Contract Awarded to Sierra Nevada Company for Technical Services

Contract Overview

Contract Amount: $13,639,755 ($13.6M)

Contractor: Sierra Nevada Company, LLC

Awarding Agency: Department of Defense

Start Date: 2023-03-31

End Date: 2025-01-30

Contract Duration: 671 days

Daily Burn Rate: $20.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BIG SAFARI

Place of Performance

Location: ENGLEWOOD, DENVER County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $13.6 million to SIERRA NEVADA COMPANY, LLC for work described as: BIG SAFARI Key points: 1. Significant contract value of $136.4 million awarded. 2. Sole-source award raises questions about competition and potential price discovery. 3. Contract duration of 671 days suggests a substantial, ongoing need. 4. The 'All Other Professional, Scientific, and Technical Services' NAICS code is broad, making direct sector benchmarks challenging.

Value Assessment

Rating: questionable

The contract's value is substantial, but without competitive bidding, it's difficult to assess if the pricing is optimal compared to similar services. Benchmarking is hindered by the broad NAICS code and sole-source nature.

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 compared to a competitive process.

Taxpayer Impact: The lack of competition could lead to a higher cost for taxpayers than if multiple vendors had vied for the contract.

Public Impact

Taxpayers may be paying a premium due to the absence of competitive bidding. The specific nature of 'BIG SAFARI' and its services is not detailed, limiting public understanding of the expenditure. The long contract duration suggests a critical, long-term need within the Air Force.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of transparency on specific services
Broad NAICS code limits benchmarking

Positive Signals

Contract awarded to a known entity (Sierra Nevada Company)
Firm Fixed Price contract type can provide cost certainty if priced appropriately

Sector Analysis

This contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category. Without more specific details on the 'BIG SAFARI' program, it's hard to provide precise sector benchmarks, but large DoD contracts in technical services often range in the tens to hundreds of millions.

Small Business Impact

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

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the Department of Defense obtained the best value. Further review of the justification for not competing the contract is recommended.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Sole-source award limits competition.
Potential for inflated pricing due to lack of competition.
Broad NAICS code obscures specific service details.
Limited transparency on program specifics ('BIG SAFARI').

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.6 million to SIERRA NEVADA COMPANY, LLC. BIG SAFARI

Who is the contractor on this award?

The obligated recipient is SIERRA NEVADA COMPANY, LLC.

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 $13.6 million.

What is the period of performance?

Start: 2023-03-31. End: 2025-01-30.

What specific technical services does the 'BIG SAFARI' program entail, and how do these services align with the Air Force's strategic objectives?

The 'BIG SAFARI' program is an Air Force initiative focused on rapid acquisition of intelligence, surveillance, and reconnaissance (ISR) capabilities. It aims to quickly field new technologies and systems to meet evolving threats. The specific services procured under this contract likely support the development, integration, or sustainment of these advanced ISR platforms, directly contributing to the Air Force's intelligence gathering and operational effectiveness.

What is the justification for awarding this $136 million contract on a sole-source basis, and what steps were taken to ensure fair and reasonable pricing?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs that only one vendor can meet. For this contract, the Air Force would need to document why Sierra Nevada Company was the only viable option. Fair and reasonable pricing is usually assessed through market research, historical pricing, or independent cost estimates, even in sole-source situations, to prevent overpayment.

How will the effectiveness of the services provided under this contract be measured, and what are the key performance indicators (KPIs) for success?

Effectiveness is typically measured against predefined objectives and performance standards outlined in the contract. For ISR-related services, KPIs might include system uptime, data processing speed, accuracy of intelligence derived, or successful integration of new technologies. The Air Force would monitor these KPIs throughout the contract duration to ensure Sierra Nevada Company is meeting its obligations and delivering the expected value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS

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

Address: 12500 BELFORD AVE, ENGLEWOOD, CO, 80112

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

Financial Breakdown

Contract Ceiling: $13,639,755

Exercised Options: $13,639,755

Current Obligation: $13,639,755

Subaward Activity

Number of Subawards: 39

Total Subaward Amount: $10,231,623

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA862021G4009

IDV Type: BOA

Timeline