DoD Awards $38M for Switchboards and Displays to General Dynamics, Full and Open Competition

Contract Overview

Contract Amount: $38,021,637 ($38.0M)

Contractor: General Dynamics Land Systems Inc.

Awarding Agency: Department of Defense

Start Date: 2022-09-20

End Date: 2027-04-30

Contract Duration: 1,683 days

Daily Burn Rate: $22.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CLIN 0365, NOUN: SWITCHBOARD, FIRE CO, NSN: 1290-01-577-5948, P/N: 57K6464, QTY: 36 EACH CLIN 0366, NOUN: DISPLAY,OPTOELECTRO, NSN: 5980-01-620-7296, P/N: 57K6571, QTY: 101 EACH

Place of Performance

Location: STERLING HEIGHTS, MACOMB County, MICHIGAN, 48310

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $38.0 million to GENERAL DYNAMICS LAND SYSTEMS INC. for work described as: CLIN 0365, NOUN: SWITCHBOARD, FIRE CO, NSN: 1290-01-577-5948, P/N: 57K6464, QTY: 36 EACH CLIN 0366, NOUN: DISPLAY,OPTOELECTRO, NSN: 5980-01-620-7296, P/N: 57K6571, QTY: 101 EACH Key points: 1. Significant award for critical military hardware components. 2. General Dynamics Land Systems Inc. is the primary contractor. 3. Competition was full and open, suggesting potential for competitive pricing. 4. The sector is Defense Logistics Agency, supporting armored vehicle manufacturing.

Value Assessment

Rating: good

The total award of $38,021,636.72 for switchboards and optoelectronic displays appears reasonable given the quantities and specialized nature of the components. Benchmarking against similar military-grade electronic components would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: Full and open competition is expected to yield a fair price for taxpayers, as market forces drive down costs.

Public Impact

Ensures continued supply of essential components for military vehicles. Supports the operational readiness of armored vehicle fleets. Contributes to the defense industrial base and associated jobs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price escalation over the contract duration.
  • Dependence on a single large prime contractor for critical components.

Positive Signals

  • Awarded under full and open competition.
  • Long-term contract provides supply chain stability.
  • Components are for essential military hardware.

Sector Analysis

This award falls within the Defense sector, specifically supporting the manufacturing of military armored vehicles and components. Spending in this area is driven by national security needs and modernization efforts.

Small Business Impact

While the prime contractor is a large entity, the contract's full and open competition nature may allow for subcontracts to small businesses for specialized parts or services, though this is not explicitly detailed.

Oversight & Accountability

The Department of Defense, through the Defense Logistics Agency, is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms are expected to be in place to ensure compliance and performance.

Related Government Programs

  • Military Armored Vehicle, Tank, and Tank Component Manufacturing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Long contract duration (over 4 years).
  • High total award value.
  • Components are specialized military hardware.
  • Sole prime contractor listed for the award.

Tags

military-armored-vehicle-tank-and-tank-c, department-of-defense, mi, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.0 million to GENERAL DYNAMICS LAND SYSTEMS INC.. CLIN 0365, NOUN: SWITCHBOARD, FIRE CO, NSN: 1290-01-577-5948, P/N: 57K6464, QTY: 36 EACH CLIN 0366, NOUN: DISPLAY,OPTOELECTRO, NSN: 5980-01-620-7296, P/N: 57K6571, QTY: 101 EACH

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS LAND SYSTEMS INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $38.0 million.

What is the period of performance?

Start: 2022-09-20. End: 2027-04-30.

What is the unit cost breakdown for the switchboards and displays?

The provided data does not include a detailed unit cost breakdown. The total award is $38,021,636.72 for 36 switchboards and 101 displays. Calculating the average unit cost would require dividing the total by the quantities, but this would not reflect the individual pricing of each component type or potential volume discounts.

What are the specific risks associated with the long-term nature of this contract?

The primary risks of a long-term contract (ending 2027) include potential price escalation due to market fluctuations in raw materials or labor, technological obsolescence of the components over time, and the risk of contractor performance issues impacting delivery schedules or quality. Mitigation strategies may include price adjustment clauses and robust quality assurance.

How does this spending align with broader defense modernization goals?

This spending directly supports the maintenance and modernization of existing armored vehicle fleets, which are critical for national defense. Ensuring the availability of components like switchboards and displays is fundamental to operational readiness and the ability to field advanced combat systems.

Industry Classification

NAICS: ManufacturingOther Transportation Equipment ManufacturingMilitary Armored Vehicle, Tank, and Tank Component Manufacturing

Product/Service Code: FIRE CONTROL EQPT.

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 38500 MOUND RD, STERLING HEIGHTS, MI, 48310

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: $38,021,637

Exercised Options: $38,021,637

Current Obligation: $38,021,637

Subaward Activity

Number of Subawards: 10

Total Subaward Amount: $3,199,277

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: SPE7LX21D0110

IDV Type: IDC

Timeline

Start Date: 2022-09-20

Current End Date: 2027-04-30

Potential End Date: 2027-04-30 12:04:00

Last Modified: 2025-09-19

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