DoD Awards $5.14M Contract to Bell Textron for System Configuration Sets, Raising Competition Concerns

Contract Overview

Contract Amount: $5,144,209 ($5.1M)

Contractor: Bell Textron Inc

Awarding Agency: Department of Defense

Start Date: 2024-01-23

End Date: 2026-01-20

Contract Duration: 728 days

Daily Burn Rate: $7.1K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: SYSTEM CONFIGURATION SETS

Place of Performance

Location: RIDGECREST, KERN County, CALIFORNIA, 93555

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $5.1 million to BELL TEXTRON INC for work described as: SYSTEM CONFIGURATION SETS Key points: 1. Significant contract value of over $5 million awarded. 2. Sole-source award to Bell Textron Inc. limits competitive pricing. 3. Potential risk associated with non-competitive procurement. 4. Spending falls within the 'Other Aircraft Parts' manufacturing sector.

Value Assessment

Rating: questionable

The contract's cost-plus-fixed-fee structure, combined with a lack of competition, makes a definitive pricing assessment difficult. Without benchmarks from competing bids, it's hard to determine if the price reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This method bypasses competitive bidding, potentially leading to higher costs for taxpayers and limiting price discovery.

Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for these system configuration sets.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. Limited transparency into the justification for a sole-source award. Potential for reduced innovation and quality without competitive pressure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Cost-plus-fixed-fee contract type
Lack of small business participation indicated

Positive Signals

Contract awarded to a known entity (Bell Textron Inc.)
Clear delivery timeline provided

Sector Analysis

This contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this area can vary widely based on defense needs and technological advancements. Benchmarks are difficult without specific part comparisons.

Small Business Impact

The provided data does not indicate any specific provisions or set-asides for small businesses in this sole-source contract. Further investigation would be needed to determine if small businesses were considered or excluded.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny regarding the justification and approval process. Robust oversight is crucial to ensure the government received the best value, even without competition.

Related Government Programs

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

Risk Flags

Sole-source award lacks competitive pricing.
Cost-plus-fixed-fee can lead to cost overruns.
Limited transparency on justification for sole-sourcing.
Potential for reduced innovation due to lack of competition.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.1 million to BELL TEXTRON INC. SYSTEM CONFIGURATION SETS

Who is the contractor on this award?

The obligated recipient is BELL TEXTRON 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 $5.1 million.

What is the period of performance?

Start: 2024-01-23. End: 2026-01-20.

What was the specific justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of viable alternatives. Without further documentation, it's unclear if other vendors were assessed or if specific circumstances necessitated bypassing the standard competitive process. This lack of transparency raises questions about potential missed opportunities for cost savings.

How does the cost-plus-fixed-fee structure impact the government's ability to control costs on this sole-source contract?

Cost-plus-fixed-fee contracts allow the contractor to recover all allowable costs plus a predetermined fixed fee. While the fee is fixed, the overall cost can escalate if the contractor's expenses are higher than anticipated. In a sole-source scenario, the government lacks the leverage of competitive bidding to ensure these costs are minimized, increasing the risk of overspending.

What is the expected impact of this contract on the operational readiness and technological advancement of the Department of the Navy's aircraft?

System configuration sets are crucial for the proper functioning and integration of complex aircraft systems. This contract ensures the Navy receives necessary components, potentially maintaining or improving operational readiness. However, the lack of competition might limit exposure to innovative solutions from other manufacturers, potentially slowing technological advancement in the long run.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N6893622R0006

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Textron Inc

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

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: $6,084,574

Exercised Options: $6,084,574

Current Obligation: $5,144,209

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6893622D0039

IDV Type: IDC

Timeline