DoD's MVPA II System contract awarded to Atlantic Diving Supply for $37.5M, utilizing full and open competition

Contract Overview

Contract Amount: $37,541,940 ($37.5M)

Contractor: Atlantic Diving Supply, Inc.

Awarding Agency: Department of Defense

Start Date: 2018-09-13

End Date: 2020-08-10

Contract Duration: 697 days

Daily Burn Rate: $53.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 4543332219!MVPA II SYSTEM

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23452

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $37.5 million to ATLANTIC DIVING SUPPLY, INC. for work described as: 4543332219!MVPA II SYSTEM Key points: 1. The contract value of $37.5M for MVPA II System equipment and supplies is significant. 2. Atlantic Diving Supply, Inc. secured this award through full and open competition. 3. The contract spans nearly two years, indicating a substantial operational need. 4. The 'Service Establishment Equipment and Supplies Merchant Wholesalers' category suggests broad applicability within defense logistics.

Value Assessment

Rating: good

The contract value of $37.5M appears reasonable given the duration and the nature of the equipment and supplies procured. Benchmarking against similar large-scale equipment contracts within the DoD would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award utilized 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a competitive process was initiated but specific sources were later excluded. This method aims for broad participation while allowing for targeted expertise.

Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by fostering a competitive environment among potential bidders.

Public Impact

Ensures availability of critical equipment and supplies for Department of Defense operations. Supports a key defense logistics agency in maintaining operational readiness. Provides economic activity for the awarded vendor and potentially their subcontractors. The duration of the contract suggests ongoing reliance on these specific supplies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price creep if excluded sources were highly competitive.
  • Dependence on a single vendor for critical supplies over a two-year period.

Positive Signals

  • Awarded through a competitive process, suggesting potential for value.
  • Long-term contract indicates sustained need and potential for economies of scale.

Sector Analysis

This contract falls under the 'Service Establishment Equipment and Supplies Merchant Wholesalers' category, which is common within the Department of Defense for procuring a wide range of operational necessities. Spending benchmarks in this sector vary widely based on the specific equipment and scale.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation in this contract.

Oversight & Accountability

The contract was awarded by the Defense Logistics Agency, a major component of the DoD responsible for logistics support. Oversight would typically involve contract management teams ensuring performance and compliance with terms.

Related Government Programs

  • Service Establishment Equipment and Supplies Merchant Wholesalers
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Lack of specific itemization for 'Service Establishment Equipment and Supplies'.
  • Ambiguity in the 'Exclusion of Sources' rationale.
  • No clear benchmark for 'per-unit cost' due to diverse potential items.
  • Limited insight into small business participation.
  • Contract duration of nearly two years requires ongoing monitoring for sustained value.

Tags

service-establishment-equipment-and-supp, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $37.5 million to ATLANTIC DIVING SUPPLY, INC.. 4543332219!MVPA II SYSTEM

Who is the contractor on this award?

The obligated recipient is ATLANTIC DIVING SUPPLY, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $37.5 million.

What is the period of performance?

Start: 2018-09-13. End: 2020-08-10.

What specific types of 'Service Establishment Equipment and Supplies' were procured under this contract?

The provided data does not specify the exact nature of the 'Service Establishment Equipment and Supplies.' This information is crucial for a comprehensive value assessment, as the criticality and cost of items like specialized diving gear versus general office supplies would differ significantly. Understanding the product mix is key to evaluating the $37.5M expenditure.

What was the rationale for excluding specific sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' process?

The rationale for excluding specific sources is not detailed in the provided data. Typically, exclusions might be based on technical capabilities, past performance, security clearances, or specific requirements that only a subset of vendors can meet. Understanding these exclusions is vital for assessing whether the competition was truly optimized for best value and price.

How does the $37.5M contract value compare to historical spending for similar MVPA II System equipment and supplies?

Without historical spending data for the MVPA II System or comparable equipment, it is difficult to definitively assess the value. A comparison against previous contracts for similar items, adjusted for inflation and scope changes, would be necessary. The current contract's duration of 697 days (approx. 23 months) provides context for the annual spending rate.

Industry Classification

NAICS: Wholesale TradeMachinery, Equipment, and Supplies Merchant WholesalersService Establishment Equipment and Supplies Merchant Wholesalers

Product/Service Code: FIRE/RESCUE/SAFETY; ENVIRO PROTECT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: ADS Tactical, Inc. (UEI: 078857127)

Address: 621 LYNNHAVEN PKWY STE 400, VIRGINIA BEACH, VA, 23452

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

Financial Breakdown

Contract Ceiling: $37,541,940

Exercised Options: $37,541,940

Current Obligation: $37,541,940

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $36,787,848

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPM8EJ14D0005

IDV Type: IDC

Timeline

Start Date: 2018-09-13

Current End Date: 2020-08-10

Potential End Date: 2020-08-10 00:00:00

Last Modified: 2020-09-23

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