DoD Awards $38.6M for E-6B Aircraft Flight Recorders to Boeing Under Full and Open Competition
Contract Overview
Contract Amount: $38,588,150 ($38.6M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2009-04-14
End Date: 2012-09-13
Contract Duration: 1,248 days
Daily Burn Rate: $30.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: CRASH SURVIVABLE FLIGHT INCIDENT RECORDER AND FLIGHT DATA RECORDER FOR E-6B MERCURY AIRCRAFT.
Place of Performance
Location: WICHITA, SEDGWICK County, KANSAS, 67210
State: Kansas Government Spending
Plain-Language Summary
Department of Defense obligated $38.6 million to THE BOEING COMPANY for work described as: CRASH SURVIVABLE FLIGHT INCIDENT RECORDER AND FLIGHT DATA RECORDER FOR E-6B MERCURY AIRCRAFT. Key points: 1. Contract awarded to The Boeing Company for critical flight recorders. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is $38.6 million for a duration of 1248 days. 4. The product falls under the 'Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing' NAICS code.
Value Assessment
Rating: good
The contract value of $38.6 million for flight recorders appears reasonable given the specialized nature of the equipment and the platform (E-6B Mercury aircraft). Benchmarking against similar specialized aerospace components would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders were likely considered. This method generally promotes competitive pricing and ensures the government receives the best value.
Taxpayer Impact: The use of full and open competition aims to secure competitive pricing, thereby maximizing taxpayer value for this essential defense procurement.
Public Impact
Ensures continued operational safety and data integrity for the E-6B Mercury fleet. Supports critical military communication and command functions reliant on accurate flight data. The acquisition of these recorders is vital for accident investigation and fleet maintenance.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for obsolescence of recorder technology over the contract duration.
- Dependence on a single supplier (Boeing) for specialized components could pose future supply chain risks.
Positive Signals
- Awarded under full and open competition, indicating a competitive process.
- Firm fixed price contract provides cost certainty for the government.
Sector Analysis
The aerospace and defense sector is characterized by high technological complexity and stringent quality requirements. Spending on specialized aircraft components like flight recorders is essential for maintaining fleet readiness and safety, with benchmarks often driven by unique platform needs and limited supplier bases.
Small Business Impact
While the prime contractor is The Boeing Company, it is not explicitly stated whether small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this contract.
Oversight & Accountability
The Department of the Navy, under the Department of Defense, is responsible for overseeing this contract. The firm fixed price structure provides a degree of cost control, but ongoing monitoring of performance and delivery is crucial for accountability.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for technology obsolescence.
- Dependence on a single prime contractor.
- Long contract duration may outpace technological advancements.
- Limited visibility into subcontractor participation.
Tags
search-detection-navigation-guidance-aer, department-of-defense, ks, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $38.6 million to THE BOEING COMPANY. CRASH SURVIVABLE FLIGHT INCIDENT RECORDER AND FLIGHT DATA RECORDER FOR E-6B MERCURY AIRCRAFT.
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $38.6 million.
What is the period of performance?
Start: 2009-04-14. End: 2012-09-13.
What is the expected lifespan and upgrade path for these crash-survivable recorders, considering the E-6B Mercury's operational timeline?
The expected lifespan and upgrade path for these recorders are critical considerations. Given the E-6B Mercury's projected service life, the recorders must be designed for longevity and potential future upgrades to meet evolving aviation standards and data recording requirements. Without specific details on the recorder's technological roadmap, there's a risk of premature obsolescence or the need for costly retrofits.
How does the $38.6 million cost compare to similar recorder procurements for other high-value military aircraft platforms?
Benchmarking this $38.6 million award against similar recorder procurements for other high-value military aircraft is essential for validating cost-effectiveness. Factors such as recorder complexity, data capacity, environmental survivability requirements, and the competitive landscape for each platform influence pricing. A detailed comparison would reveal if this contract represents a fair market price or if potential cost efficiencies were missed.
What measures are in place to ensure the long-term availability and support of these specialized recorders, given potential supply chain disruptions?
Measures to ensure long-term availability and support are vital, especially given the specialized nature of these recorders and the potential for supply chain disruptions. This could include requirements for Boeing to maintain adequate spare parts inventory, provide comprehensive technical support, and ensure the availability of repair services throughout the E-6B's operational life. Proactive risk management by the Navy is key to mitigating potential impacts.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N0001909R0201
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 4615 SOUTH OLIVER, WICHITA, KS, 04
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $38,588,150
Exercised Options: $38,588,150
Current Obligation: $38,588,150
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2009-04-14
Current End Date: 2012-09-13
Potential End Date: 2012-09-13 00:00:00
Last Modified: 2011-08-26
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