DoD Awards $5.48M for BIG SAFARI Aircraft Parts to Sierra Nevada Company, LLC

Contract Overview

Contract Amount: $5,482,047 ($5.5M)

Contractor: Sierra Nevada Company, LLC

Awarding Agency: Department of Defense

Start Date: 2024-07-26

End Date: 2026-07-31

Contract Duration: 735 days

Daily Burn Rate: $7.5K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: BIG SAFARI

Place of Performance

Location: SPARKS, WASHOE County, NEVADA, 89434

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $5.5 million to SIERRA NEVADA COMPANY, LLC for work described as: BIG SAFARI Key points: 1. Contract awarded for 'Other Aircraft Parts and Auxiliary Equipment Manufacturing'. 2. Significant value of $5.48 million for a delivery order. 3. No competition was involved in this award. 4. The contract is for a duration of 735 days.

Value Assessment

Rating: questionable

The contract value of $5.48 million for a 735-day delivery order for aircraft parts appears high without competitive benchmarking. Further analysis is needed to determine if the pricing is reasonable compared to similar sole-source or limited-competition awards in the aerospace sector.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source or limited-competition award. The lack of competition raises concerns about price discovery and potentially higher costs for taxpayers.

Taxpayer Impact: The absence of competition may lead to inflated prices, resulting in a less efficient use of taxpayer funds.

Public Impact

Taxpayers may be paying a premium due to the lack of competitive bidding. The specific nature of 'BIG SAFARI' suggests a specialized or proprietary system, potentially limiting viable competitors. Ensuring fair pricing and value for money is crucial for this significant expenditure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for overpricing
  • Limited transparency in award process

Positive Signals

  • Award to established contractor
  • Supports critical defense needs

Sector Analysis

This contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, which is a critical component of the defense industrial base. Spending in this area can vary widely based on specific program needs and technological advancements.

Small Business Impact

The awardee, Sierra Nevada Company, LLC, is a large business. There is no indication that small businesses were involved in this specific contract, either as prime contractors or subcontractors.

Oversight & Accountability

Oversight is crucial for sole-source contracts to ensure fair pricing and prevent potential waste. The Department of the Air Force must ensure robust internal controls and justification for the non-competitive award.

Related Government Programs

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

Risk Flags

  • Lack of competitive bidding
  • Potential for price gouging
  • Limited transparency
  • No small business participation noted

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, nv, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.5 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 $5.5 million.

What is the period of performance?

Start: 2024-07-26. End: 2026-07-31.

What is the justification for the sole-source award of the BIG SAFARI contract?

The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent requirements where only one source can fulfill the need. For the BIG SAFARI contract, the specific nature of the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' and the contractor's specialized expertise would need to be thoroughly documented and justified by the Department of the Air Force to meet federal procurement regulations.

How can the Department of Defense ensure fair pricing on this non-competed contract?

The Department of Defense can ensure fair pricing through rigorous cost analysis, benchmarking against similar contracts (if available), and requiring detailed cost breakdowns from the contractor. Independent government cost estimates and negotiation strategies are vital. Additionally, utilizing contract clauses that allow for price adjustments based on future market conditions or audits can provide further assurance.

What is the potential impact of this contract on future competition for similar aircraft parts?

A sole-source award, especially for a significant value like $5.48 million, could potentially discourage future competition if the contractor's technology or capabilities are perceived as insurmountable barriers. However, if the contract is for a specific, limited duration or a unique component, it may not significantly impact broader market competition for standard aircraft parts.

Industry Classification

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

Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 444 SALOMON CIR, SPARKS, NV, 89434

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: $5,482,047

Exercised Options: $5,482,047

Current Obligation: $5,482,047

Subaward Activity

Number of Subawards: 11

Total Subaward Amount: $2,196,631

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA862023D4045

IDV Type: IDC

Timeline

Start Date: 2024-07-26

Current End Date: 2026-07-31

Potential End Date: 2026-07-31 00:00:00

Last Modified: 2025-12-22

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