DoD's $51.9M Missile Director Contract Awarded to General Dynamics-OTS Under Full and Open Competition

Contract Overview

Contract Amount: $51,893,340 ($51.9M)

Contractor: General Dynamics-Ots, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-03-30

End Date: 2024-01-02

Contract Duration: 1,373 days

Daily Burn Rate: $37.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: GUIDED MISSILE DIRECTOR MK82 AND GUIDED MISSILE DIRECTOR CONTROL MK200 PRODUCTION

Place of Performance

Location: WILLISTON, CHITTENDEN County, VERMONT, 05495

State: Vermont Government Spending

Plain-Language Summary

Department of Defense obligated $51.9 million to GENERAL DYNAMICS-OTS, INC. for work described as: GUIDED MISSILE DIRECTOR MK82 AND GUIDED MISSILE DIRECTOR CONTROL MK200 PRODUCTION Key points: 1. The contract for Guided Missile Directors is a significant investment in naval defense capabilities. 2. General Dynamics-OTS, Inc. secured the award, indicating strong competition in this specialized manufacturing sector. 3. The firm fixed price contract type suggests a focus on cost control and predictable spending. 4. The duration of the contract (1373 days) points to a long-term need for these critical components.

Value Assessment

Rating: good

The award amount of $51.9 million for missile directors appears reasonable given the specialized nature of the equipment and the firm fixed price contract. Benchmarking against similar complex defense systems would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is a positive sign for price discovery and ensuring the government receives competitive pricing. This method allows multiple qualified vendors to bid, fostering a more robust market.

Taxpayer Impact: The competitive bidding process is expected to yield fair pricing, ultimately benefiting taxpayers by avoiding inflated costs for essential defense matériel.

Public Impact

Enhances naval defense capabilities with advanced missile guidance systems. Supports the Department of the Navy's operational readiness and strategic objectives. Contributes to the defense industrial base through production of critical components. Ensures technological superiority in naval warfare through advanced systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if production complexities are underestimated.
  • Dependence on a single supplier for critical components could pose supply chain risks.
  • Long-term contract duration may not fully account for rapid technological advancements.

Positive Signals

  • Awarded through full and open competition, promoting competitive pricing.
  • Firm fixed price contract provides cost certainty.
  • Supports a key defense contractor, potentially bolstering domestic manufacturing.

Sector Analysis

This contract falls within the defense sector, specifically in the manufacturing of advanced guidance systems. Spending in this area is crucial for maintaining national security and technological advantage, with benchmarks often driven by program complexity and geopolitical demands.

Small Business Impact

While the primary awardee is General Dynamics-OTS, Inc., a large defense contractor, the contract's full and open competition framework may allow for subcontracting opportunities for small businesses within the supply chain. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of the Navy's procurement process, including the use of full and open competition, suggests a degree of oversight. However, ongoing monitoring of production milestones, quality control, and adherence to the firm fixed price terms is essential for accountability.

Related Government Programs

  • Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Long-term contract duration may lead to obsolescence.
  • Potential supply chain vulnerabilities for specialized components.
  • Dependence on a single prime contractor.
  • Need for continuous monitoring of production quality and schedule adherence.

Tags

search-detection-navigation-guidance-aer, department-of-defense, vt, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $51.9 million to GENERAL DYNAMICS-OTS, INC.. GUIDED MISSILE DIRECTOR MK82 AND GUIDED MISSILE DIRECTOR CONTROL MK200 PRODUCTION

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS-OTS, 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 $51.9 million.

What is the period of performance?

Start: 2020-03-30. End: 2024-01-02.

What is the specific technological advancement this missile director provides compared to previous models?

The provided data does not detail the specific technological advancements of the MK82 and MK200 missile directors. Further investigation into the contract's technical specifications or related program documents would be necessary to understand the innovations and their impact on performance, accuracy, and operational effectiveness.

Are there any identified risks associated with the long-term production timeline for these missile directors?

The 1373-day production timeline presents potential risks, including the possibility of technological obsolescence if advancements outpace production, or supply chain disruptions over the extended period. Managing these risks requires proactive oversight, flexible contract modifications if necessary, and robust supplier relationship management.

How does the performance of General Dynamics-OTS, Inc. on similar contracts influence the assessment of this award's effectiveness?

The effectiveness of this award is partially influenced by General Dynamics-OTS, Inc.'s past performance. While not detailed here, a review of their track record on previous defense contracts, particularly those involving complex missile systems, would provide insight into their reliability, quality, and ability to meet delivery schedules and cost targets.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

Product/Service Code: FIRE CONTROL EQPT.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0002419R5111

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 326 IBM ROAD BUILDING 862, WILLISTON, VT, 05495

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: $51,893,340

Exercised Options: $51,893,340

Current Obligation: $51,893,340

Subaward Activity

Number of Subawards: 15

Total Subaward Amount: $3,778,091

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0002420D5109

IDV Type: IDC

Timeline

Start Date: 2020-03-30

Current End Date: 2024-01-02

Potential End Date: 2024-01-02 00:00:00

Last Modified: 2024-11-21

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