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
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: Construction › Foundation, Structure, and Building Exterior Contractors › Other Foundation, Structure, and Building Exterior Contractors
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION 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
More Contracts from Alliant Techsystems Operations LLC
- Small Caliber Ammunition — $668.1M (Department of Defense)
- Small CAL Requirements — $648.9M (Department of Defense)
- Obligate Funding for the Improved 5.56MM Commercial Pack Phase III (project Execution Phase) — $584.2M (Department of Defense)
- Small Caliber Ammunition (5.56MM, 7.62MM, CAL .22, CAL. 30, CAL .45, CAL .50) — $582.2M (Department of Defense)
- Systems Engineering and Development — $569.0M (Department of Defense)
View all Alliant Techsystems Operations LLC federal contracts →
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