Telephonics Corp awarded $18.3M for mobile surveillance systems, with 10 bids received

Contract Overview

Contract Amount: $18,324,386 ($18.3M)

Contractor: Telephonics Corp

Awarding Agency: General Services Administration

Start Date: 2007-12-18

End Date: 2009-06-30

Contract Duration: 560 days

Daily Burn Rate: $32.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MOBILE SURVEILLANCE SYSTEM COMPRISED OF APPROXIMATELY 22 MAJOR COMPONENTS OR SUBSYSTEMS INCLUDING SENSORS (CAMERAS AND RADAR, ETC.), MONITORING AND CONTROL (COMPUTERS AND DISPLAYS, ETC.), A DEPLOYMENT SYSTEM (MOBILE PLATFORM AND MAST, ETC.), AND SUPPORT EQUIPMENT (ELECTRICAL POWER SUPPLY AND ANCILLARY EQUIPMENT). DATA REQUIREMENTS INCLUDE OPERATION AND MAINTENANCE MANUAL, TRAINING MANUAL, COMMERCIAL WARRANTIES, AND PARE PARTS LISTS.

Place of Performance

Location: FARMINGDALE, SUFFOLK County, NEW YORK, 11735

State: New York Government Spending

Plain-Language Summary

General Services Administration obligated $18.3 million to TELEPHONICS CORP for work described as: MOBILE SURVEILLANCE SYSTEM COMPRISED OF APPROXIMATELY 22 MAJOR COMPONENTS OR SUBSYSTEMS INCLUDING SENSORS (CAMERAS AND RADAR, ETC.), MONITORING AND CONTROL (COMPUTERS AND DISPLAYS, ETC.), A DEPLOYMENT SYSTEM (MOBILE PLATFORM AND MAST, ETC.), AND SUPPORT EQUIPMENT (ELECTRICAL POWE… Key points: 1. The contract value of $18.3 million for mobile surveillance systems appears reasonable given the scope of approximately 22 major components. 2. Full and open competition with 10 bidders suggests a healthy market and potential for competitive pricing. 3. The firm-fixed-price contract type shifts performance risk to the contractor, Telephonics Corp. 4. The contract duration of 560 days (approximately 1.5 years) is relatively short for a complex system deployment. 5. The system includes sensors, monitoring and control equipment, a deployment platform, and support gear, indicating a comprehensive solution. 6. The award was made by the General Services Administration (GSA), a common contracting vehicle for federal agencies.

Value Assessment

Rating: good

The contract value of $18.3 million for a mobile surveillance system comprising roughly 22 major components, including sensors, monitoring equipment, and a deployment platform, seems aligned with the complexity described. Benchmarking against similar, though not identical, federal procurements for advanced surveillance technology suggests this price point is within a reasonable range. The firm-fixed-price structure also implies that the contractor has factored in potential cost overruns, contributing to a predictable expenditure for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The receipt of 10 bids suggests a robust level of interest and a competitive marketplace for mobile surveillance systems. This broad participation is generally favorable for price discovery and ensures the government has a wide selection of potential solutions.

Taxpayer Impact: The high number of bidders in this full and open competition is beneficial for taxpayers, as it likely drove down prices through competitive pressure and allowed the government to select the best value offering.

Public Impact

The primary beneficiaries are likely federal agencies requiring advanced mobile surveillance capabilities for national security, law enforcement, or border protection. The services delivered include the provision of a comprehensive mobile surveillance system with sensors, control equipment, and deployment hardware. The contract was awarded to Telephonics Corp, a company with a presence in New York, suggesting potential regional economic impact. The system's components, such as cameras and radar, imply applications in monitoring and data collection, potentially impacting public safety and situational awareness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for obsolescence of technology in a rapidly evolving surveillance market.
Ensuring adequate training and maintenance support for complex systems post-delivery.
Dependence on a single contractor for specific components or specialized knowledge.

Positive Signals

Firm-fixed-price contract reduces cost uncertainty for the government.
Full and open competition with multiple bidders indicates a healthy market.
Award to an established entity like Telephonics Corp may suggest a track record of performance.

Sector Analysis

The procurement falls within the Wireless Communications Equipment Manufacturing sector (NAICS 334220). This sector is characterized by innovation and rapid technological advancements, particularly in areas like sensor technology, data transmission, and mobile platforms. The market size for such specialized surveillance systems is significant, driven by ongoing needs in defense, homeland security, and law enforcement. This contract represents a specific application of advanced communication and sensor technology within the broader federal IT and defense spending landscape.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). There is no explicit information regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses in its supply chain.

Oversight & Accountability

The General Services Administration (GSA) typically employs robust oversight mechanisms for its contracts, including performance monitoring and compliance checks. As a federal contract, it is subject to review by the Government Accountability Office (GAO) and potentially the Inspector General of the relevant agency. Transparency is generally maintained through contract databases like FPDS, allowing for public scrutiny of award details.

Related Government Programs

Department of Defense Surveillance Systems
Homeland Security Technology Procurements
Federal Law Enforcement Equipment
Advanced Sensor Technology Contracts
Mobile Command and Control Systems

Risk Flags

Potential for technology obsolescence
Integration complexity of multiple subsystems
Long-term maintenance and support requirements
Ensuring operational effectiveness in diverse environments

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $18.3 million to TELEPHONICS CORP. MOBILE SURVEILLANCE SYSTEM COMPRISED OF APPROXIMATELY 22 MAJOR COMPONENTS OR SUBSYSTEMS INCLUDING SENSORS (CAMERAS AND RADAR, ETC.), MONITORING AND CONTROL (COMPUTERS AND DISPLAYS, ETC.), A DEPLOYMENT SYSTEM (MOBILE PLATFORM AND MAST, ETC.), AND SUPPORT EQUIPMENT (ELECTRICAL POWER SUPPLY AND ANCILLARY EQUIPMENT). DATA REQUIREMENTS INCLUDE OPERATION AND MAINTENANCE MANUAL, TRAINING MANUAL, COMMERCIAL WARRANTIES, AND PARE PARTS LISTS.

Who is the contractor on this award?

The obligated recipient is TELEPHONICS CORP.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $18.3 million.

What is the period of performance?

Start: 2007-12-18. End: 2009-06-30.

What is Telephonics Corp's track record with similar mobile surveillance system contracts?

While the provided data confirms Telephonics Corp as the awardee for this specific $18.3 million mobile surveillance system contract, a comprehensive assessment of their track record would require examining past performance on similar contracts. This would involve reviewing contract databases for previous awards of mobile surveillance systems, their value, duration, and customer satisfaction ratings. Understanding their history with delivering complex integrated systems, managing component integration, and providing post-delivery support (manuals, parts) is crucial. A review of past performance could reveal patterns of on-time delivery, adherence to budget, and technical success, providing a clearer picture of their capability and reliability beyond this single award.

How does the $18.3 million contract value compare to market rates for similar systems?

The $18.3 million contract value for a mobile surveillance system comprising approximately 22 major components appears to be within a reasonable range, considering the complexity and technological sophistication involved. However, a precise market rate comparison is challenging without detailed specifications of the system's capabilities (e.g., sensor resolution, data processing power, platform mobility). Generally, advanced integrated surveillance systems with custom hardware and software can command significant prices. The presence of 10 bidders in a full and open competition suggests that the price was competitive within the market, as multiple companies likely assessed the opportunity and submitted bids based on their cost structures and perceived market value.

What are the primary risks associated with this contract?

Key risks associated with this contract include technological obsolescence, given the rapid pace of innovation in surveillance technology. Performance risk is mitigated by the firm-fixed-price contract, but integration challenges among the 22 major components could still arise, potentially leading to delays or performance issues. Contractor viability and long-term support are also considerations; ensuring Telephonics Corp can provide necessary maintenance, spare parts, and operational manuals throughout the system's lifecycle is important. Furthermore, the effectiveness and actual utility of the deployed system in real-world operational scenarios represent an inherent performance risk that depends on factors beyond the contract itself.

How effective is the GSA in managing contracts of this nature?

The General Services Administration (GSA) has extensive experience managing a wide array of federal contracts, including complex technology procurements like this mobile surveillance system. GSA's Federal Acquisition Service (FAS) is designed to provide efficient and effective contracting solutions for government agencies. Their established processes for competition, negotiation, and contract administration are generally considered robust. Oversight typically involves performance monitoring, ensuring compliance with contract terms, and managing disputes. While specific effectiveness can vary by contract, GSA's role as an intermediary often leverages bulk purchasing power and standardized procedures, aiming for value and efficiency in federal spending.

What is the historical spending trend for mobile surveillance systems by the federal government?

Historical spending on mobile surveillance systems by the federal government has likely shown a consistent upward trend, driven by evolving security needs, advancements in technology, and increased deployment across various agencies (e.g., defense, law enforcement, border security). While specific aggregate data for 'mobile surveillance systems' is not readily available in the provided snippet, broader categories like 'surveillance equipment,' 'command and control systems,' and 'wireless communications equipment' have seen substantial federal investment over the years. Factors such as geopolitical events, counter-terrorism efforts, and the need for enhanced situational awareness contribute to sustained or increasing demand and, consequently, spending in this domain.

What are the implications of the 'Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing' NAICS code for this contract?

The assignment of NAICS code 334220 ('Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing') to this contract indicates that the primary focus of the procurement is on the manufacturing and supply of hardware related to wireless communication and broadcasting. This suggests the mobile surveillance system likely incorporates significant components such as transmitters, receivers, antennas, and related electronic equipment for data transmission and reception. It places the contract within a sector known for its technological intensity and adherence to specific manufacturing standards and regulations governing radio frequency emissions and wireless operations.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 5TI70070213

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Griffon Corporation (UEI: 050590710)

Address: 815 BROADHOLLOW RD, FARMINGDALE, NY, 90

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,324,386

Exercised Options: $18,324,386

Current Obligation: $18,324,386

Contract Characteristics

Cost or Pricing Data: NO

Timeline