DoD Awards $28.1M for F/A-18E/F OSP3R CCAS to General Dynamics

Contract Overview

Contract Amount: $28,133,434 ($28.1M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-09-30

End Date: 2025-09-30

Contract Duration: 1,826 days

Daily Burn Rate: $15.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: OSP3R CCAS FOR F/A-18E/F

Place of Performance

Location: MINNEAPOLIS, HENNEPIN County, MINNESOTA, 55431

State: Minnesota Government Spending

Plain-Language Summary

Department of Defense obligated $28.1 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: OSP3R CCAS FOR F/A-18E/F Key points: 1. Contract awarded to a single, large business vendor. 2. No small business participation noted. 3. Spending is concentrated in the IT hardware manufacturing sector. 4. Contract duration is 5 years, suggesting long-term need.

Value Assessment

Rating: fair

The contract value of $28.1M over 5 years is substantial. Benchmarking against similar contracts for specialized electronic manufacturing is difficult without more detailed scope information. The firm fixed-price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as competition is absent.

Taxpayer Impact: The lack of competition in this sole-source award may result in a higher cost to taxpayers than if multiple vendors had vied for the contract.

Public Impact

Supports critical defense systems for the F/A-18E/F aircraft. Ensures continued availability of specialized electronic components. Impacts the aerospace and defense manufacturing supply chain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Sole-source award
  • No small business participation

Positive Signals

  • Firm fixed-price contract
  • Long-term contract duration supports program stability

Sector Analysis

This contract falls within the IT hardware manufacturing sector, specifically for electronic components used in defense aircraft. Spending benchmarks for such specialized, sole-source defense contracts are hard to establish due to unique requirements.

Small Business Impact

There is no indication of small business participation in this contract. The award went to a large business, General Dynamics Mission Systems, Inc., potentially missing opportunities to engage smaller, specialized firms.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure fair pricing and necessity. Further oversight may be needed to confirm the justification for not competing the requirement.

Related Government Programs

  • Electronic Computer Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Sole-source award lacks competition.
  • Potential for higher costs due to no competitive bidding.
  • No small business participation.
  • Long contract duration increases long-term cost exposure.

Tags

electronic-computer-manufacturing, department-of-defense, mn, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.1 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. OSP3R CCAS FOR F/A-18E/F

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS MISSION SYSTEMS, 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 $28.1 million.

What is the period of performance?

Start: 2020-09-30. End: 2025-09-30.

What is the justification for the sole-source award of the OSP3R CCAS contract?

The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. Without specific documentation, it's presumed that General Dynamics possesses the exclusive ability to provide these critical components for the F/A-18E/F, necessitating a direct award to ensure program continuity and operational readiness.

What are the potential risks associated with a sole-source contract for critical defense components?

Sole-source contracts carry risks of inflated pricing due to the absence of competitive pressure, potential for vendor complacency, and limited innovation. For critical defense components, this also includes supply chain vulnerability if the sole provider faces disruptions. Ensuring robust oversight and fair pricing mechanisms is crucial to mitigate these risks.

How does this contract contribute to the overall effectiveness of the F/A-18E/F program?

This contract is essential for maintaining the operational readiness and effectiveness of the F/A-18E/F aircraft by ensuring the supply of critical electronic computer manufacturing components. The OSP3R CCAS likely supports key functionalities of the aircraft, and its continuous availability through this contract directly impacts the platform's mission capability.

Industry Classification

NAICS: ManufacturingComputer and Peripheral Equipment ManufacturingElectronic Computer Manufacturing

Product/Service Code: ELECTRICAL/ELECTRONIC EQPT COMPNTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0042119R0042

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8800 QUEEN AVE S, BLOOMINGTON, MN, 55431

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $28,563,876

Exercised Options: $28,563,876

Current Obligation: $28,133,434

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $167,271

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2020-09-30

Current End Date: 2025-09-30

Potential End Date: 2025-09-30 00:00:00

Last Modified: 2025-09-18

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