DoD Awards $2.1M for RQ-21A Hardware and Services to Insitu, Inc

Contract Overview

Contract Amount: $2,108,882 ($2.1M)

Contractor: Insitu, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-08-20

End Date: 2026-09-30

Contract Duration: 406 days

Daily Burn Rate: $5.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: FMS RQ-21A HARDWARE AND SERVICES THAILAND LAF

Place of Performance

Location: BINGEN, KLICKITAT County, WASHINGTON, 98605

State: Washington Government Spending

Plain-Language Summary

Department of Defense obligated $2.1 million to INSITU, INC. for work described as: FMS RQ-21A HARDWARE AND SERVICES THAILAND LAF Key points: 1. Contract awarded to Insitu, Inc. for FMS RQ-21A hardware and services. 2. The contract value is $2,108,882.30. 3. This is a delivery order under an existing contract. 4. The contract duration is 406 days. 5. The primary sector appears to be Defense/Aerospace.

Value Assessment

Rating: questionable

Pricing is not available for this specific delivery order, making direct comparison difficult. The contract type is Firm Fixed Price, which typically aims for cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract states 'NOT AVAILABLE FOR COMPETITION', indicating a limited competition approach. This could potentially lead to higher prices if alternative vendors were not considered or if the existing contract was not competitively awarded initially.

Taxpayer Impact: Taxpayer funds are being used for this acquisition. The lack of full and open competition raises concerns about achieving the best possible value for the government.

Public Impact

Supports foreign military sales, enhancing international partnerships. Acquisition of critical hardware and services for unmanned aerial systems. Ensures continued operational capability for the RQ-21A platform.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition raises value concerns.
  • Lack of detailed pricing data hinders analysis.
  • Potential for sole-source justification issues.

Positive Signals

  • Supports critical defense capabilities.
  • Firm Fixed Price contract type offers cost predictability.
  • Delivery order under an existing contract may streamline acquisition.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to defense systems. Benchmarks for similar unmanned aerial system hardware and services contracts are not readily available without further detailed analysis of specific system components and support levels.

Small Business Impact

There is no indication that small businesses are involved in this specific delivery order. The prime contractor, Insitu, Inc., is a large business. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

Oversight is managed by the Department of the Navy. The limited competition nature of this award warrants close monitoring to ensure fair pricing and adherence to procurement regulations.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Limited competition may result in suboptimal pricing.
  • Lack of transparency in the justification for limited competition.
  • Potential for vendor lock-in with specialized systems.
  • Reliance on a single source for critical hardware and services.

Tags

engineering-services, department-of-defense, wa, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $2.1 million to INSITU, INC.. FMS RQ-21A HARDWARE AND SERVICES THAILAND LAF

Who is the contractor on this award?

The obligated recipient is INSITU, 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 $2.1 million.

What is the period of performance?

Start: 2025-08-20. End: 2026-09-30.

What specific factors led to the 'NOT AVAILABLE FOR COMPETITION' determination for this delivery order?

The determination of 'NOT AVAILABLE FOR COMPETITION' suggests that only one source was found to be capable of fulfilling the requirement, or that specific circumstances, such as urgent needs or the proprietary nature of the technology, precluded a competitive process. Further documentation from the contracting agency would be required to ascertain the precise justification.

How does the pricing of this delivery order compare to previous acquisitions of similar RQ-21A hardware and services?

Without access to the specific pricing details of this delivery order or historical pricing data for comparable RQ-21A hardware and services, a direct comparison is not possible. The contract type is Firm Fixed Price, which aims for cost certainty, but the absence of unit costs or detailed line items prevents a robust benchmark analysis against past procurements.

What is the long-term strategic value of continuing to invest in the RQ-21A platform through limited competition contracts?

The long-term strategic value depends on the RQ-21A's continued relevance and effectiveness in meeting evolving defense requirements. While limited competition can ensure continuity, it may also stifle innovation and lead to higher costs over time. A periodic review of the platform's strategic utility and market alternatives is advisable.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: THE Boeing Company

Address: 118 E COLUMBIA RIVER WAY, BINGEN, WA, 98605

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: $2,108,882

Exercised Options: $2,108,882

Current Obligation: $2,108,882

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N0001922D0038

IDV Type: IDC

Timeline

Start Date: 2025-08-20

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-01-06

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