DoD Awards $19.6M for Air Conditioning Equipment to York International Corp
Contract Overview
Contract Amount: $16,891,592 ($16.9M)
Contractor: York International Corporation
Awarding Agency: Department of Defense
Start Date: 2000-11-09
End Date: 2010-10-01
Contract Duration: 3,613 days
Daily Burn Rate: $4.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: 200111!018161!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002401C4011 !A!N!*!N!BASIC !20001109!20030102!196561252!196561252!196561252!N!YORK INTERNATIONAL CORP !631 S RICHLAND AVE !YORK !PA!17403!87048!133!42!YORK !YORK !PENN !+000002987178!N!N!000000000000!4120!AIR CONDITIONING EQUIP !A3 !SHIPS !2000!NOT DISCERNABLE OR CLASSIFIED !333415!*!*!3! ! ! !*!*!*!B!*!*!B! !D !N!J!1!001!N!1A!A!Y!A! ! !N!C!N! ! ! !A!A!A!A!000!A!C!N! ! ! ! ! ! !0001!
Place of Performance
Location: YORK, YORK County, PENNSYLVANIA, 17403
Plain-Language Summary
Department of Defense obligated $16.9 million to YORK INTERNATIONAL CORPORATION for work described as: 200111!018161!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002401C4011 !A!N!*!N!BASIC !20001109!20030102!196561252!196561252!196561252!N!YORK INTERNATIONAL CORP !631 S RICHLAND AVE !YORK !PA!17403!87048!133!42!YORK !YORK … Key points: 1. Contract awarded for air conditioning equipment to support naval systems. 2. York International Corp. secured the $19.6M firm-fixed-price contract. 3. The contract was not competed, raising potential concerns about price discovery. 4. Spending falls within the manufacturing sector for climate control equipment.
Value Assessment
Rating: fair
The contract value of $19.6M for air conditioning equipment appears within a reasonable range for large-scale industrial units. However, without specific unit details or performance requirements, a precise benchmark is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded on a sole-source basis, indicating a lack of competition. This method may lead to higher prices than if multiple vendors had competed for the contract.
Taxpayer Impact: The lack of competition could result in taxpayers paying a premium for the equipment.
Public Impact
Naval operations may be impacted by the availability and performance of this climate control equipment. The award to a single vendor raises questions about the government's procurement strategy for essential equipment. Taxpayers are directly funding this significant expenditure for defense infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of price competition
- Potential for overpayment
Positive Signals
- Award to established company
- Firm-fixed-price contract
Sector Analysis
This contract falls under the manufacturing sector, specifically for climate control equipment. Defense spending in this area is crucial for maintaining operational readiness in various environments.
Small Business Impact
The award went to York International Corporation, a large business. There is no indication of small business participation in this specific contract.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny to ensure fair pricing and value for taxpayer dollars. Oversight should confirm the necessity of a non-competitive award.
Related Government Programs
- Air-Conditioning and Warm Air Heating Equipment and Commercial and Industrial Refrigeration Equipment Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source award limits price competition.
- Potential for inflated pricing due to lack of competition.
- Dependency on a single supplier for critical equipment.
- Limited transparency on justification for sole-source award.
Tags
air-conditioning-and-warm-air-heating-eq, department-of-defense, pa, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $16.9 million to YORK INTERNATIONAL CORPORATION. 200111!018161!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002401C4011 !A!N!*!N!BASIC !20001109!20030102!196561252!196561252!196561252!N!YORK INTERNATIONAL CORP !631 S RICHLAND AVE !YORK !PA!17403!87048!133!42!YORK !YORK !PENN !+000002987178!N!N!000000000000!4120!AIR CONDITIONING EQUIP !A3 !SHIPS !2000!NOT DISCERNABLE OR CLASSIFIED !333415!*!*!3! ! ! !*!*!*!B!*!*!B!
Who is the contractor on this award?
The obligated recipient is YORK INTERNATIONAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $16.9 million.
What is the period of performance?
Start: 2000-11-09. End: 2010-10-01.
What was the justification for awarding this contract on a sole-source basis, and were alternative competitive strategies explored?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. Without specific documentation, it's unclear if alternatives were thoroughly explored. This lack of transparency can obscure whether the government secured the best possible price and value for the taxpayer.
How does the per-unit cost of this air conditioning equipment compare to similar government or commercial procurements, considering the lack of competition?
Benchmarking the per-unit cost is challenging without detailed specifications and quantity. However, sole-source contracts inherently carry a higher risk of inflated pricing due to the absence of competitive pressure. A thorough post-award analysis or comparison with similar, competitively awarded contracts would be necessary to assess potential cost overruns.
What are the long-term implications for naval readiness and maintenance if this sole-source vendor faces disruptions or price increases in the future?
Reliance on a single supplier for critical components like air conditioning equipment can create vulnerabilities. Future price increases or supply chain disruptions for York International could impact naval readiness and increase long-term operational costs. Diversifying suppliers or establishing robust maintenance agreements could mitigate these risks.
Industry Classification
NAICS: Manufacturing › Ventilation, Heating, Air-Conditioning, and Commercial Refrigeration Equipment Manufacturing › Air-Conditioning and Warm Air Heating Equipment and Commercial and Industrial Refrigeration Equipment Manufacturing
Product/Service Code: REFRIG, AIR CONDIT/CIRCULAT EQPT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Johnson Controls Inc (UEI: 006092860)
Address: 631 S RICHLAND AVE, YORK, PA, 10
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2000-11-09
Current End Date: 2010-10-01
Potential End Date: 2010-10-01 00:00:00
Last Modified: 2010-06-06
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