DoD Awards $161M Contract for Electro-Mechanical Actuators to ASRC Federal Facilities Logistics LLC

Contract Overview

Contract Amount: $16,131,784 ($16.1M)

Contractor: Asrc Federal Facilities Logistics LLC

Awarding Agency: Department of Defense

Start Date: 2024-05-13

End Date: 2028-02-07

Contract Duration: 1,365 days

Daily Burn Rate: $11.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ACTUATOR,ELECTRO-ME

Place of Performance

Location: FAIRFIELD, ESSEX County, NEW JERSEY, 07004

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $16.1 million to ASRC FEDERAL FACILITIES LOGISTICS LLC for work described as: ACTUATOR,ELECTRO-ME Key points: 1. Contract Value: $161.3 million over 4 years. 2. Competition: Full and open competition was utilized. 3. Risk: Potential for price increases due to fixed-price contract type. 4. Sector: Manufacturing of electronic components for defense.

Value Assessment

Rating: good

The contract value of $161.3 million appears reasonable for a multi-year award of this nature. Benchmarking against similar electro-mechanical actuator contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing.

Taxpayer Impact: The use of full and open competition is expected to yield fair pricing, maximizing taxpayer value for essential defense components.

Public Impact

Ensures continued supply of critical electro-mechanical actuators for defense operations. Supports a large prime contractor, potentially impacting downstream suppliers. Long-term contract provides stability for the awarded vendor and the agency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price escalation under firm fixed price.
  • Reliance on a single awardee for a critical component.

Positive Signals

  • Full and open competition ensures market access.
  • Long-term contract provides supply chain stability.

Sector Analysis

This contract falls within the electronic component manufacturing sector, specifically for electro-mechanical actuators vital for defense systems. Spending in this niche can fluctuate based on defense modernization and operational needs.

Small Business Impact

The data does not indicate specific subcontracting goals for small businesses. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The contract is managed by the Defense Logistics Agency, a key procurement arm for the DoD. Oversight would focus on delivery schedules, quality control, and adherence to contract terms.

Related Government Programs

  • Other Electronic Component Manufacturing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Contract duration may expose vendor to market volatility.
  • Lack of specific small business subcontracting targets.
  • Potential for cost overruns if material prices surge.
  • Dependence on a single vendor for critical components.

Tags

other-electronic-component-manufacturing, department-of-defense, nj, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.1 million to ASRC FEDERAL FACILITIES LOGISTICS LLC. ACTUATOR,ELECTRO-ME

Who is the contractor on this award?

The obligated recipient is ASRC FEDERAL FACILITIES LOGISTICS LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $16.1 million.

What is the period of performance?

Start: 2024-05-13. End: 2028-02-07.

What is the typical cost range for similar electro-mechanical actuators in the defense sector?

The typical cost range for electro-mechanical actuators can vary significantly based on specifications, volume, and technological complexity. For defense applications, specialized components can range from hundreds to thousands of dollars per unit. Benchmarking against industry standards and previous similar procurements by the DoD is crucial for a precise assessment of value.

What are the primary risks associated with a firm fixed-price contract for long-duration procurements?

The primary risk with a firm fixed-price contract, especially over a long duration, is potential price escalation if material or labor costs increase unexpectedly. The contractor bears this risk, but it can lead to reduced profit margins or, in extreme cases, contract disputes or performance issues if the contractor cannot absorb unforeseen cost increases.

How effectively does full and open competition ensure optimal pricing for specialized defense components?

Full and open competition is generally effective in driving optimal pricing by allowing multiple qualified vendors to bid. This competitive pressure encourages bidders to offer their best prices. However, for highly specialized components with limited suppliers, the 'open' aspect might be constrained, potentially limiting the true breadth of competitive offers.

Industry Classification

NAICS: ManufacturingSemiconductor and Other Electronic Component ManufacturingOther Electronic Component Manufacturing

Product/Service Code: VALVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR, BELTSVILLE, MD, 20705

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,131,784

Exercised Options: $16,131,784

Current Obligation: $16,131,784

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $15,220,100

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPRBL123D0005

IDV Type: IDC

Timeline

Start Date: 2024-05-13

Current End Date: 2028-02-07

Potential End Date: 2028-02-07 00:00:00

Last Modified: 2025-09-08

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