DoD's $31M EMALS Test Site Operations Contract Awarded to General Atomics
Contract Overview
Contract Amount: $30,970,845 ($31.0M)
Contractor: General Atomics
Awarding Agency: Department of Defense
Start Date: 2019-01-07
End Date: 2021-12-31
Contract Duration: 1,089 days
Daily Burn Rate: $28.4K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: EMALS TEST SITE OPERATIONS
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92121
Plain-Language Summary
Department of Defense obligated $31.0 million to GENERAL ATOMICS for work described as: EMALS TEST SITE OPERATIONS Key points: 1. General Atomics secured a $31M contract for EMALS test site operations. 2. The contract was not competed, raising questions about price discovery. 3. Operations are located in California, a key hub for defense manufacturing. 4. This spending supports advanced aircraft launch systems, a critical defense capability.
Value Assessment
Rating: questionable
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar test site operations is difficult without competitive data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The lack of competition may result in the government paying more than necessary for these essential test site operations.
Public Impact
Supports the development and testing of advanced naval aviation technology. Ensures readiness of critical infrastructure for future aircraft carrier operations. Potential for cost inefficiencies due to non-competitive award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Limited transparency on pricing
Positive Signals
- Supports critical defense technology
- Operations in a key defense manufacturing state
Sector Analysis
This contract falls within the defense sector, specifically supporting advanced aircraft systems. Spending benchmarks for specialized test site operations are highly variable and depend on the complexity of the technology being tested.
Small Business Impact
There is no indication that small businesses were involved in this specific contract award. Further analysis would be needed to determine if subcontracting opportunities were pursued.
Oversight & Accountability
The non-competitive nature of this award warrants closer oversight to ensure fair pricing and efficient use of funds. Accountability for cost management under the CPFF structure is crucial.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Sole-source award lacks competitive pricing.
- Cost Plus Fixed Fee contract type increases cost overrun risk.
- Limited transparency on pricing justification.
- Potential for contractor inefficiencies without competitive pressure.
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.0 million to GENERAL ATOMICS. EMALS TEST SITE OPERATIONS
Who is the contractor on this award?
The obligated recipient is GENERAL ATOMICS.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $31.0 million.
What is the period of performance?
Start: 2019-01-07. End: 2021-12-31.
What was the justification for not competing this contract, and what steps were taken to ensure a fair and reasonable price?
The justification for not competing this contract is not provided in the data. Typically, sole-source awards require a documented justification, such as a critical need or lack of qualified sources. Without this information, it's impossible to assess the price discovery process or confirm if a fair and reasonable price was achieved.
What are the potential risks associated with a Cost Plus Fixed Fee contract for test site operations?
Cost Plus Fixed Fee contracts carry the risk of cost overruns if the contractor's costs exceed projections, as the government absorbs these costs. The fixed fee provides an incentive for the contractor to control costs, but the government bears the primary financial risk. Effective oversight is crucial to manage these risks.
How does this spending contribute to the overall effectiveness of the EMALS program?
This spending is essential for the operational testing and validation of the EMALS system, a critical component for future naval aviation capabilities. Successful testing ensures the system's reliability and performance, directly contributing to the program's overall effectiveness and the Navy's operational readiness.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 3550 GENERAL ATOMICS CT, SAN DIEGO, CA, 92121
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $32,289,660
Exercised Options: $32,289,660
Current Obligation: $30,970,845
Actual Outlays: $6,883,035
Subaward Activity
Number of Subawards: 14
Total Subaward Amount: $7,734,058
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0001916G0006
IDV Type: BOA
Timeline
Start Date: 2019-01-07
Current End Date: 2021-12-31
Potential End Date: 2021-12-31 00:00:00
Last Modified: 2022-02-07
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