DoD Awards $103.6M for Aircraft Components, Electronics, and Communication Equipment to Bell Helicopter Textron Inc

Contract Overview

Contract Amount: $103,594,917 ($103.6M)

Contractor: Bell Textron Inc

Awarding Agency: Department of Defense

Start Date: 2005-03-03

End Date: 2012-08-28

Contract Duration: 2,735 days

Daily Burn Rate: $37.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Defense

Official Description: 200511!144531!1700!N68936!NAVAL AIR WARFARE CENTER !N6893605C0083 !A!N! !Y! ! !20050303!20100302!062923321!062923321!001338979!N!BELL HELICOPTER TEXTRON INC !600 E HURST BLVD !HURST !TX!76053!27000!439!48!FORT WORTH !TARRANT !TEXAS !+000000397000!N!N!000173224120!K016!MODIFICATION OF EQ/AIRCRAFT COMPS & ACCYS !A7 !ELECTRONICS AND COMMUNICATION EQUIP !101 !USMC H-1 UPGRADE !541511!E! !3! ! ! ! ! !20200930!B! ! !A! !D!U!R!1!001!N!1G!Z!Y!Z! ! !N!C!N! ! ! !B!B!A!A!000!A!C!N! ! ! !Y!1719!N68936!0001! !

Place of Performance

Location: HURST, TARRANT County, TEXAS, 76053

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $103.6 million to BELL TEXTRON INC for work described as: 200511!144531!1700!N68936!NAVAL AIR WARFARE CENTER !N6893605C0083 !A!N! !Y! ! !20050303!20100302!062923321!062923321!001338979!N!BELL HELICOPTER TEXTRON INC !600 E HURST BLVD !HURST !TX!76053!27000!439!48!FORT WORTH !TARR… Key points: 1. The contract focuses on aircraft components, accessories, and electronics, primarily for the USMC H-1 Upgrade program. 2. Bell Helicopter Textron Inc. is the sole awardee, indicating a potentially limited competition scenario. 3. The contract type is Cost Plus Award Fee, which can lead to higher costs if performance incentives are met. 4. The sector is Defense, with a specific focus on IT and electronics within that domain.

Value Assessment

Rating: fair

The total award value is $103.6 million. Without specific unit costs or detailed breakdowns of the components and services, a precise per-unit cost assessment is difficult. However, the contract type (Cost Plus Award Fee) suggests potential for cost growth beyond initial estimates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded as 'NOT COMPETED', suggesting a limited or sole-source procurement. This limits price discovery and potentially leads to higher costs compared to a fully competitive process.

Taxpayer Impact: The lack of robust competition may result in taxpayers paying a premium for these aircraft components and services.

Public Impact

Supports the US Marine Corps H-1 Upgrade program, crucial for aviation readiness. Procurement of specialized electronics and communication equipment impacts military operational capabilities. Award to a single, established defense contractor like Bell Helicopter Textron Inc. can ensure continuity but may limit broader economic benefits.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about price reasonableness.
Cost Plus Award Fee contract type can incentivize cost overruns.
Long contract duration (2005-2012) may not reflect current market prices.

Positive Signals

Addresses critical needs for the USMC H-1 Upgrade program.
Award to a known entity like Bell Helicopter Textron Inc. can ensure program stability.
Contract includes provisions for modifications and accessories, allowing for necessary adjustments.

Sector Analysis

This contract falls within the Defense sector, specifically related to aircraft components and electronics. The NAICS code 541511 points to Custom Computer Programming Services, which is unusual for aircraft components but likely relates to the integrated electronic and communication systems. Spending benchmarks for similar complex defense procurements vary widely based on scope and technology.

Small Business Impact

The data indicates the prime contractor is Bell Helicopter Textron Inc., a large business. There is no explicit information regarding subcontracting to small businesses within this award data. Further investigation would be needed to determine if small business participation was a requirement or achieved.

Oversight & Accountability

The contract was awarded by the Naval Air Warfare Center, suggesting established oversight processes. However, the 'NOT COMPETED' status warrants scrutiny to ensure the justification for limited competition was sound and that pricing was appropriately reviewed.

Related Government Programs

Custom Computer Programming Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

Lack of competition
Potential for cost overruns (CPAF)
Unclear justification for sole-source award
Long contract duration
Unusual NAICS code classification

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $103.6 million to BELL TEXTRON INC. 200511!144531!1700!N68936!NAVAL AIR WARFARE CENTER !N6893605C0083 !A!N! !Y! ! !20050303!20100302!062923321!062923321!001338979!N!BELL HELICOPTER TEXTRON INC !600 E HURST BLVD !HURST !TX!76053!27000!439!48!FORT WORTH !TARRANT !TEXAS !+000000397000!N!N!000173224120!K016!MODIFICATION OF EQ/AIRCRAFT COMPS & ACCYS !A7 !ELECTRONICS AND COMMUNICATION EQUIP !101 !USMC H-1 UPGRADE !541511!E! !3! ! ! ! ! !202

Who is the contractor on this award?

The obligated recipient is BELL TEXTRON INC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $103.6 million.

What is the period of performance?

Start: 2005-03-03. End: 2012-08-28.

What was the specific justification for awarding this contract on a limited or non-competitive basis?

The provided data states the contract was 'NOT COMPETED'. A thorough review would require accessing the contract file to understand the specific justification, such as a sole-source requirement due to unique capabilities, urgent need, or lack of viable alternatives. Without this justification, it's difficult to fully assess the necessity of bypassing full and open competition.

How did the Cost Plus Award Fee structure impact the final cost compared to a fixed-price contract?

Cost Plus Award Fee (CPAF) contracts allow the contractor to recover allowable costs plus a base fee, plus an award fee based on performance. While CPAF can incentivize desired outcomes, it carries a risk of higher final costs if performance targets are aggressively pursued or if cost controls are weak. A comparison to similar fixed-price contracts for comparable components would be needed to quantify the difference.

What is the current relevance and effectiveness of the 'Custom Computer Programming Services' classification for this aircraft component contract?

The NAICS code 541511 (Custom Computer Programming Services) seems incongruous with the primary description of aircraft components and accessories. It likely pertains to the software and electronic systems integrated into the aircraft. The effectiveness would depend on how well these systems perform and integrate, and whether the programming services met the evolving technological needs of the USMC H-1 program over the contract's lifespan.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services

Product/Service Code: MODIFICATION OF EQUIPMENT › MODIFICATION OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Textron Inc

Address: 3255 BELL FLIGHT BLVD, FORT WORTH, TX, 76118

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline