DoD's $18.6M 'BIG SAFARI' contract awarded to Sierra Nevada Company for unspecified technical services

Contract Overview

Contract Amount: $18,579,997 ($18.6M)

Contractor: Sierra Nevada Company, LLC

Awarding Agency: Department of Defense

Start Date: 2024-11-10

End Date: 2027-06-04

Contract Duration: 936 days

Daily Burn Rate: $19.9K/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: ENGLEWOOD, DENVER County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $18.6 million to SIERRA NEVADA COMPANY, LLC for work described as: BIG SAFARI Key points: 1. Contract awarded on a sole-source basis, raising questions about potential cost efficiencies and market competition. 2. The contract's duration of over 3 years suggests a significant, ongoing need for the services provided. 3. Lack of detailed service description makes it difficult to benchmark performance or assess value for money. 4. Awarded by the Department of the Air Force, indicating a focus on aerospace and defense-related technical support. 5. The 'BIG SAFARI' program often involves rapid acquisition of specialized capabilities, potentially justifying expedited or non-competitive processes.

Value Assessment

Rating: questionable

Without a clear definition of the services rendered, it is challenging to benchmark this contract against similar procurements or assess its value for money. The firm fixed-price structure provides some cost certainty, but the absence of competition limits the government's ability to negotiate the best possible price. Further details on the specific technical services are needed to determine if the $18.6 million award represents a fair market price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor, Sierra Nevada Company, LLC, was solicited. This approach bypasses the standard competitive bidding process, which typically involves multiple vendors vying for the contract. While sole-source awards can be justified in specific circumstances (e.g., unique capabilities, urgent needs), they generally lead to less price discovery and potentially higher costs for the government compared to full and open competition.

Taxpayer Impact: Sole-source awards mean taxpayers may not benefit from the cost savings that can arise from a competitive bidding environment. The government may pay a premium for services when competition is absent.

Public Impact

The primary beneficiaries are likely the Department of the Air Force, which receives specialized technical services. The contract supports advanced technological capabilities within the defense sector, potentially enhancing national security. Specific geographic or workforce impacts are not detailed in the provided data but are likely concentrated within areas supporting defense operations. The services provided are crucial for maintaining and advancing the Air Force's technological edge.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the specific services procured under 'BIG SAFARI' hinders performance assessment.
Sole-source award limits opportunities for small businesses to participate and potentially offer innovative solutions.
The significant contract value without clear competition raises concerns about potential overspending.

Positive Signals

Firm fixed-price contract provides cost predictability for the government.
Award to an established contractor like Sierra Nevada Company suggests a reliance on proven expertise.
The 'BIG SAFARI' program is known for its agility in acquiring critical technologies, potentially addressing urgent defense needs.

Sector Analysis

The 'BIG SAFARI' program falls under the broader category of defense-related research, development, and technical services. This sector is characterized by high technological complexity, significant government investment, and often involves specialized contractors with unique expertise. Comparable spending in this area can vary widely depending on the specific technology or service, but multi-million dollar contracts for advanced technical support are common within the Department of Defense.

Small Business Impact

This contract was not set aside for small businesses, nor does it indicate any subcontracting requirements for small businesses. The sole-source nature of the award further limits opportunities for small businesses to participate in this specific procurement. Without specific subcontracting clauses, the direct impact on the small business ecosystem for this contract is likely minimal.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Air Force's contracting and program management offices. Transparency is limited due to the sole-source nature and the classified or sensitive details often associated with 'BIG SAFARI' programs. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

BIG SAFARI Program
Air Force Research and Development
Defense Technical Services
Specialized Aerospace Technology

Risk Flags

Sole-source award lacks competitive pricing pressure.
Lack of service detail hinders value assessment.
Potential for cost overruns due to absence of competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.6 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 $18.6 million.

What is the period of performance?

Start: 2024-11-10. End: 2027-06-04.

What specific technical services are being procured under the 'BIG SAFARI' contract awarded to Sierra Nevada Company?

The provided data does not specify the exact technical services rendered under the 'BIG SAFARI' contract. The 'BIG SAFARI' program is an Air Force initiative known for its rapid acquisition of specialized capabilities, often involving intelligence, surveillance, reconnaissance (ISR), and electronic warfare systems. However, without more granular information, it's impossible to detail the precise nature of the work performed by Sierra Nevada Company. This lack of specificity is a common challenge when analyzing 'BIG SAFARI' awards due to the sensitive and evolving nature of the technologies involved.

How does the $18.6 million contract value compare to other 'BIG SAFARI' awards or similar technical services contracts?

Comparing the $18.6 million value of this 'BIG SAFARI' contract requires context on the scope and duration of similar awards. 'BIG SAFARI' contracts can range significantly, from a few million dollars for specific component development to hundreds of millions for comprehensive system integration. Sierra Nevada Company is a known prime contractor for various defense programs, and this award appears to be a substantial, multi-year commitment. Without knowing the specific deliverables, it's difficult to benchmark precisely, but it falls within the typical range for significant technical support or development efforts within the defense sector.

What are the primary risks associated with a sole-source award for technical services like this?

The primary risks associated with a sole-source award include a lack of price competition, potentially leading to higher costs for the government. There's also a risk that the government may not receive the most innovative or best-suited solution available in the market, as only one vendor is considered. Furthermore, sole-source awards can create a perception of favoritism and may limit opportunities for other capable contractors, including small businesses, to demonstrate their value. Ensuring fair and reasonable pricing and adequate performance oversight becomes even more critical in the absence of competitive pressure.

What is the track record of Sierra Nevada Company, LLC in performing similar technical services for the Department of Defense?

Sierra Nevada Company, LLC (SNC) has a well-established track record as a defense contractor, particularly in areas such as aerospace, aviation, electronic warfare, and intelligence, surveillance, and reconnaissance (ISR). They have been a significant player in various Air Force programs, including those related to airborne platforms and advanced sensor technologies. Their involvement in the 'BIG SAFARI' program is consistent with their expertise in providing specialized, often rapidly developed, technological solutions for defense applications. Past performance data would typically be reviewed by the agency prior to award, even in sole-source situations, to ensure capability.

How has federal spending on 'All Other Professional, Scientific, and Technical Services' (NAICS 541990) trended in recent years?

Federal spending on NAICS code 541990, 'All Other Professional, Scientific, and Technical Services,' has generally seen an upward trend over the past decade, reflecting the increasing reliance on specialized expertise across various government agencies, particularly in defense and intelligence. While this specific contract falls under that broad category, 'BIG SAFARI' often involves highly specialized services that may not be fully captured by standard NAICS codes. Analyzing overall spending trends for this code can provide a general context for the market size and demand for such services, but individual contract values are driven by specific program needs and technological requirements.

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: $18,579,997

Exercised Options: $18,579,997

Current Obligation: $18,579,997

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $1,331,439

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA862021G4009

IDV Type: BOA

Timeline