Department of the Navy awards $18.8M for flame-resistant combat gear, with 6 bidders competing

Contract Overview

Contract Amount: $18,807,355 ($18.8M)

Contractor: Source ONE Distributors, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-07-29

End Date: 2012-07-29

Contract Duration: 366 days

Daily Burn Rate: $51.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: FLAME RESISTANT COMBAT SHIRT&TROUSERS

Place of Performance

Location: WELLINGTON, PALM BEACH County, FLORIDA, 33414

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $18.8 million to SOURCE ONE DISTRIBUTORS, INC. for work described as: FLAME RESISTANT COMBAT SHIRT&TROUSERS Key points: 1. Value for money appears reasonable given the competitive nature of the award. 2. Strong competition dynamics suggest fair pricing was achieved. 3. No immediate risk indicators are apparent from the contract details. 4. Performance context is limited to the delivery of combat apparel. 5. This contract falls within the broader defense apparel and equipment sector. 6. The firm fixed-price structure helps mitigate cost overrun risks.

Value Assessment

Rating: good

The contract value of $18.8 million for flame-resistant combat apparel seems within a reasonable range for a Department of the Navy award of this type. With six bidders participating, the competition likely drove pricing towards market rates. Benchmarking against similar contracts for specialized military clothing would provide a more precise value assessment, but the competitive landscape suggests a fair price was obtained.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, with six distinct bidders vying for the award. This level of competition is generally positive, indicating that multiple suppliers were aware of and capable of meeting the government's requirements. The presence of six bidders suggests a healthy market for this type of specialized apparel and provides confidence in the price discovery process.

Taxpayer Impact: A robust competition ensures that taxpayer dollars are used efficiently by driving down prices and encouraging innovation among suppliers.

Public Impact

Service members in the Navy will benefit from the provision of essential flame-resistant combat gear. The contract ensures the delivery of critical safety apparel for military personnel. The geographic impact is primarily within the Department of the Navy's operational areas. Workforce implications are likely within the manufacturing and distribution sectors of the apparel industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded under full and open competition.
Firm fixed-price contract type limits cost uncertainty.
Multiple bidders (6) indicate a competitive market.
Contract duration of 1 year (366 days) is standard for apparel.

Sector Analysis

This contract for flame-resistant combat shirts and trousers falls within the broader defense apparel and equipment manufacturing sector. This sector is characterized by specialized production, stringent quality control, and often, competitive bidding processes to meet the needs of military branches. The market size for military-specific apparel is substantial, driven by ongoing defense requirements and troop deployments. This award represents a typical procurement within this category, ensuring operational readiness.

Small Business Impact

The contract details indicate that small business participation was not a specific set-aside requirement (ss: false, sb: false). While Source One Distributors, Inc. is the prime contractor, there is no explicit information on subcontracting plans with small businesses. Further analysis would be needed to determine if small businesses were involved in the supply chain or if opportunities were missed.

Oversight & Accountability

The contract is subject to standard Department of Defense procurement oversight. Accountability is maintained through the firm fixed-price structure and delivery schedules. Transparency is generally provided through contract award databases. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Military Clothing and Personal Equipment
Department of Defense Apparel Procurement
Flame-Resistant Protective Gear
Navy Combat Uniforms

Risk Flags

Potential for quality control issues with specialized materials.
Risk of supply chain disruptions affecting delivery timelines.
Need for verification of compliance with stringent military specifications.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.8 million to SOURCE ONE DISTRIBUTORS, INC.. FLAME RESISTANT COMBAT SHIRT&TROUSERS

Who is the contractor on this award?

The obligated recipient is SOURCE ONE DISTRIBUTORS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $18.8 million.

What is the period of performance?

Start: 2011-07-29. End: 2012-07-29.

What is the track record of Source One Distributors, Inc. with federal contracts, particularly for apparel?

A review of federal procurement data indicates that Source One Distributors, Inc. has a history of receiving contracts, primarily for apparel and related items. While specific details on their performance for this particular flame-resistant combat gear contract are not readily available in the provided data, their presence as a recipient of multiple awards suggests some level of established capability. Further investigation into past performance reviews and any reported issues on previous contracts would be necessary for a comprehensive assessment of their track record. The current contract's duration and value are moderate, suggesting it was not an exceptionally large or long-term commitment.

How does the awarded price compare to similar flame-resistant combat gear contracts?

Without access to a comprehensive database of comparable contracts, a precise price comparison is challenging. However, the contract value of $18.8 million awarded under full and open competition with six bidders suggests a competitive pricing environment. The firm fixed-price nature of the award also implies that the price was agreed upon upfront, mitigating risk for the government. To conduct a thorough benchmark, one would need to identify contracts for similar items (e.g., FR combat shirts and trousers) awarded around the same period (2011-2012) by different military branches or agencies, and analyze their unit costs and total values relative to quantity and specifications.

What are the primary risks associated with this type of contract?

The primary risks for this contract, despite being firm fixed-price, include potential quality control issues with the flame-resistant materials, ensuring timely delivery within the one-year period, and the possibility of the contractor encountering supply chain disruptions for raw materials. While competition mitigates price risk, the government still relies on the contractor to meet stringent specifications for safety and performance. Non-compliance could lead to the need for re-procurement or the issuance of corrective actions, impacting readiness. The relatively short duration of the contract (366 days) limits long-term performance risks.

How effective is the competition level in ensuring value for taxpayers?

The competition level, with six bidders, is generally considered effective in ensuring value for taxpayers in this instance. A higher number of bidders typically leads to more competitive pricing as companies vie for the contract. This reduces the likelihood of overpayment and encourages efficiency. The full and open competition framework ensures that a wide range of potential suppliers can participate, preventing market concentration and promoting a fair price discovery process. The firm fixed-price award structure further locks in the cost, providing budget certainty for the government and taxpayers.

What is the historical spending trend for flame-resistant combat apparel by the Department of the Navy?

The provided data only pertains to a single contract award from 2011-2012. To understand historical spending trends for flame-resistant combat apparel by the Department of the Navy, a broader analysis of procurement data over several fiscal years would be required. This would involve identifying all contracts for similar items, aggregating their values, and analyzing patterns in spending volume, average contract values, and the number of awarded contracts per year. Such an analysis could reveal whether spending has increased, decreased, or remained stable, and whether procurement strategies have evolved.

Are there any specific performance metrics or standards mentioned for the flame-resistant combat gear?

The provided data summary does not explicitly detail the specific performance metrics or standards required for the flame-resistant combat shirts and trousers. However, it is standard practice for military procurements of this nature to adhere to strict military specifications (e.g., MIL-SPEC) related to flame resistance, durability, comfort, and material composition. These specifications are typically outlined in the contract's Statement of Work (SOW) or Performance Work Statement (PWS). The firm fixed-price nature implies that the contractor is obligated to meet these unstated but presumed rigorous standards.

Industry Classification

NAICS: Manufacturing › Other Leather and Allied Product Manufacturing › All Other Leather Good and Allied Product Manufacturing

Product/Service Code: CLOTHING, INDIVIDUAL EQUIPMENT, INSIGNA, AND JEWELRY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: M6785411Q3051

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Address: 3280 FAIRLANE FARMS RD, WELLINGTON, FL, 33414

Business Categories: 8(a) Program Participant, Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $18,807,355

Exercised Options: $18,807,355

Current Obligation: $18,807,355

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS07F5490R

IDV Type: FSS

Timeline