DoD Awards $7.87M for Field Service Rep Support to Kranze Technology Solutions Inc

Contract Overview

Contract Amount: $7,868,009 ($7.9M)

Contractor: Kranze Technology Solutions Inc

Awarding Agency: Department of Defense

Start Date: 2025-01-31

End Date: 2026-01-30

Contract Duration: 364 days

Daily Burn Rate: $21.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: FIELD SERVICE REP (FSR) SUPPORT

Place of Performance

Location: PATUXENT RIVER, SAINT MARYS County, MARYLAND, 20670

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $7.9 million to KRANZE TECHNOLOGY SOLUTIONS INC for work described as: FIELD SERVICE REP (FSR) SUPPORT Key points: 1. Contract awarded to Kranze Technology Solutions Inc. for Field Service Representative (FSR) support. 2. The contract is a Delivery Order with a total value of $7.87 million. 3. Awarded by the Department of the Navy, this contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' NAICS code. 4. The contract duration is 364 days, ending January 30, 2026.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The awarded amount of $7.87 million needs to be benchmarked against similar FSR support contracts to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source or limited competition award. This lack of competition may have limited price discovery and potentially resulted in a higher cost to the government.

Taxpayer Impact: The absence of competition for a $7.87 million contract raises concerns about potential overspending of taxpayer funds.

Public Impact

Ensures continued operational readiness for naval aircraft through specialized field support. Supports a specific technology solution, potentially critical for mission success. The award impacts Kranze Technology Solutions Inc. and its employees. Potential for follow-on contracts if performance is satisfactory.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Cost Plus Fixed Fee contract type
  • Potential for cost overruns

Positive Signals

  • Supports critical naval operations
  • Specific technical expertise provided

Sector Analysis

This contract falls within the aerospace and defense sector, specifically supporting aircraft maintenance and operations. Spending benchmarks for Field Service Representative support can vary widely based on the complexity of the equipment and the required level of expertise.

Small Business Impact

There is no indication that small businesses were involved in this specific contract award, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation in the broader FSR support domain.

Oversight & Accountability

The Department of the Navy is responsible for oversight of this contract. The Cost Plus Fixed Fee structure necessitates robust monitoring to control costs and ensure performance standards are met.

Related Government Programs

  • Other Aircraft Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Lack of competition
  • Cost Plus Fixed Fee contract type
  • Potential for cost overruns
  • Limited transparency on pricing justification

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, md, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.9 million to KRANZE TECHNOLOGY SOLUTIONS INC. FIELD SERVICE REP (FSR) SUPPORT

Who is the contractor on this award?

The obligated recipient is KRANZE TECHNOLOGY SOLUTIONS 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 $7.9 million.

What is the period of performance?

Start: 2025-01-31. End: 2026-01-30.

What is the specific nature of the Field Service Representative support required, and how does it contribute to the overall mission effectiveness of the Department of the Navy?

The Field Service Representative (FSR) support likely involves on-site technical assistance, maintenance, troubleshooting, and potentially training for specific naval aircraft systems. This specialized support is crucial for ensuring the operational readiness and reliability of these aircraft, directly contributing to the Navy's mission effectiveness by minimizing downtime and maximizing combat capability.

Given the sole-source nature of this award, what steps are being taken to ensure fair pricing and prevent potential cost escalations in the future?

While this award was sole-source, future procurements should explore competitive bidding to ensure fair pricing. For this contract, the Department of the Navy must implement stringent cost controls and performance monitoring under the Cost Plus Fixed Fee structure. Regular audits and detailed reviews of incurred costs against the fixed fee are essential to mitigate escalation risks.

How does the performance of Kranze Technology Solutions Inc. on this contract compare to industry benchmarks for similar Field Service Representative services?

Benchmarking performance requires access to specific metrics related to response times, resolution rates, technical accuracy, and customer satisfaction. Without these detailed performance data points, a direct comparison to industry benchmarks is not possible. The Navy's contract management team should establish clear Key Performance Indicators (KPIs) to track and evaluate Kranze's effectiveness throughout the contract period.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1794 WINTHROP DR, DES PLAINES, IL, 60018

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $42,902,575

Exercised Options: $7,868,009

Current Obligation: $7,868,009

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0042124G0007

IDV Type: BOA

Timeline

Start Date: 2025-01-31

Current End Date: 2026-01-30

Potential End Date: 2030-01-30 00:00:00

Last Modified: 2025-12-02

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