DoD Awards $130M Contract for Ammunition Facilities to Alliant Techsystems

Contract Overview

Contract Amount: $13,000,000 ($13.0M)

Contractor: Alliant Techsystems Operations LLC

Awarding Agency: Department of Defense

Start Date: 2004-04-07

End Date: 2006-09-30

Contract Duration: 906 days

Daily Burn Rate: $14.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: Construction

Official Description: 200407!042414!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002404E4410 !A!N! !N! ! !20040407!20051007!003087715!003087715!618705925!N!ALLIANT TECHSYSTEMS !210 STATE ROUTE 956 !ROCKET CENTER !WV!26726!69340!057!54!ROCKET CENTER !MINERAL !W VIRGINIA!+000013000000!N!N!000013000000!Y151!AMMUNITION FACILITIES !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !238190!E! !3! ! ! ! ! !99990909!B! ! !A! !D!N!S!1!001!N!1G!A!Y!Z! ! !N!C!N! ! ! !A!A!A!A!000!A!C!Y! !N! !Y! ! !0001! !

Place of Performance

Location: KEYSER, MINERAL County, WEST VIRGINIA, 26726

State: West Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $13.0 million to ALLIANT TECHSYSTEMS OPERATIONS LLC for work described as: 200407!042414!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002404E4410 !A!N! !N! ! !20040407!20051007!003087715!003087715!618705925!N!ALLIANT TECHSYSTEMS !210 STATE ROUTE 956 !ROCKET CENTER !WV!26726!69340!057!54!ROCKET CENTER !MINE… Key points: 1. The contract, valued at $130 million, is for ammunition facilities. 2. Alliant Techsystems Operations LLC is the sole awardee. 3. The contract was not competed, raising potential concerns about price discovery. 4. This falls under the 'Other Foundation, Structure, and Building Exterior Contractors' sector.

Value Assessment

Rating: questionable

The contract value is $130 million. Without a competitive process, it's difficult to benchmark pricing against similar contracts for ammunition facilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The 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 ammunition facilities.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The specific need for a sole-source award for ammunition facilities warrants further scrutiny. The long contract duration (over 900 days) could exacerbate cost inefficiencies if not properly managed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • Potential for overpayment

Positive Signals

  • Award to established contractor

Sector Analysis

This contract falls under the 'Other Foundation, Structure, and Building Exterior Contractors' category. Spending in this sector can vary widely based on infrastructure needs and project scope. Benchmarks are difficult without specific project details.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine potential subcontracting opportunities.

Oversight & Accountability

The sole-source nature of this award suggests a need for robust oversight to ensure fair pricing and effective execution. The Defense Contract Management Agency is listed as the supporting agency.

Related Government Programs

  • Other Foundation, Structure, and Building Exterior Contractors
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Sole-source award
  • Lack of competition
  • Potential for cost overruns
  • Limited transparency in pricing
  • No clear small business participation

Tags

other-foundation-structure-and-building-, department-of-defense, wv, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.0 million to ALLIANT TECHSYSTEMS OPERATIONS LLC. 200407!042414!1700!BZ004 !NAVAL SEA SYSTEMS COMMAND !N0002404E4410 !A!N! !N! ! !20040407!20051007!003087715!003087715!618705925!N!ALLIANT TECHSYSTEMS !210 STATE ROUTE 956 !ROCKET CENTER !WV!26726!69340!057!54!ROCKET CENTER !MINERAL !W VIRGINIA!+000013000000!N!N!000013000000!Y151!AMMUNITION FACILITIES !C9E!ALL OTHER SUPPLIES AND EQUIPMENT !000 !* !238190!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is ALLIANT TECHSYSTEMS OPERATIONS LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $13.0 million.

What is the period of performance?

Start: 2004-04-07. End: 2006-09-30.

What was the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award is not provided in the data. Typically, sole-source contracts are justified when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Without this information, it's impossible to assess the validity of the procurement strategy.

What are the specific risks associated with a sole-source contract for ammunition facilities?

The primary risk of a sole-source contract for ammunition facilities is the potential for inflated costs due to the lack of competitive pressure. Additionally, there's a risk of reduced innovation and potentially lower quality if the contractor faces no incentive to exceed basic requirements. Oversight becomes critical to mitigate these risks.

How will the effectiveness of the ammunition facilities be measured and ensured under this contract?

The provided data does not detail the metrics for measuring the effectiveness of the ammunition facilities. Effectiveness would typically be assessed through performance standards, quality control inspections, and adherence to specifications outlined in the contract. The 'COST NO FEE' (Cost Plus No Fee) contract type suggests the contractor is reimbursed for costs but receives no fee, which might influence their incentive for performance.

Industry Classification

NAICS: ConstructionFoundation, Structure, and Building Exterior ContractorsOther Foundation, Structure, and Building Exterior Contractors

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: COST NO FEE (S)

Contractor Details

Parent Company: Northrop Grumman Innovation Systems LLC (UEI: 618705925)

Address: 210 STATE ROUTE 956, ROCKET CENTER, WV, 26726

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2004-04-07

Current End Date: 2006-09-30

Potential End Date: 2006-09-30 00:00:00

Last Modified: 2017-03-14

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