DoD awards $28.3M for Apache transmission parts, with full and open competition after source exclusion
Contract Overview
Contract Amount: $28,301,250 ($28.3M)
Contractor: PCX Aerosystems-Manchester, LLC
Awarding Agency: Department of Defense
Start Date: 2012-03-27
End Date: 2015-10-30
Contract Duration: 1,312 days
Daily Burn Rate: $21.6K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: APACHE TRANSMISSION
Place of Performance
Location: MANCHESTER, HARTFORD County, CONNECTICUT, 06042
Plain-Language Summary
Department of Defense obligated $28.3 million to PCX AEROSYSTEMS-MANCHESTER, LLC for work described as: APACHE TRANSMISSION Key points: 1. Contract awarded to PCX AEROSYSTEMS-MANCHESTER, LLC for Apache transmission components. 2. Competition method was 'Full and Open Competition After Exclusion of Sources', indicating a specific reason for excluding other potential bidders. 3. The contract value is $28,301,250 over a period of 1312 days. 4. The North American Industry Classification System (NAICS) code is 336413 (Other Aircraft Parts and Auxiliary Equipment Manufacturing).
Value Assessment
Rating: fair
The contract value of $28.3M for aircraft parts appears moderate. Benchmarking against similar contracts for Apache transmission components would be necessary to assess if the pricing is competitive, especially given the specific competition method.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract utilized 'Full and Open Competition After Exclusion of Sources'. This suggests that while competition was sought, certain sources were initially excluded, potentially impacting the breadth of price discovery and the final negotiated price.
Taxpayer Impact: The use of a competitive process, even with source exclusion, aims to secure fair pricing for taxpayers. The final price relative to market value will determine the ultimate taxpayer impact.
Public Impact
Ensures continued operational readiness of Apache helicopters through the supply of critical transmission parts. Supports the aerospace manufacturing sector, specifically in the production of aircraft components. The specific competition method may warrant further review to ensure maximum value for taxpayer dollars. Potential for specialized manufacturing capabilities to be leveraged.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Competition method requires understanding of source exclusion rationale.
- Lack of small business participation noted.
- Fixed price contract may not fully account for unforeseen cost fluctuations.
Positive Signals
- Competitive award process utilized.
- Contract supports critical defense equipment.
- Clear contract duration and award value.
Sector Analysis
This contract falls within the Defense sector, specifically related to aircraft parts manufacturing. Spending in this area is driven by military readiness requirements and the lifecycle of major defense platforms like the Apache helicopter.
Small Business Impact
The data indicates that small businesses were not involved in this contract (sb: false). This suggests that the prime contractor or the nature of the work may not have provided opportunities for subcontracting to small businesses, or that small businesses were not primary bidders.
Oversight & Accountability
The contract was managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractors meet performance, cost, and schedule requirements. Oversight would focus on delivery, quality, and adherence to contract terms.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- No small business participation.
- Fixed-price contract risk for complex components.
- Need for price benchmarking against similar contracts.
- Contract duration is lengthy (1312 days).
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, ct, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $28.3 million to PCX AEROSYSTEMS-MANCHESTER, LLC. APACHE TRANSMISSION
Who is the contractor on this award?
The obligated recipient is PCX AEROSYSTEMS-MANCHESTER, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $28.3 million.
What is the period of performance?
Start: 2012-03-27. End: 2015-10-30.
What was the specific reason for excluding certain sources prior to the full and open competition?
The rationale for excluding specific sources before the 'Full and Open Competition After Exclusion of Sources' phase is crucial for understanding the procurement strategy. It could be due to proprietary technology, specialized manufacturing capabilities, or prior performance issues. Clarifying this would help assess if the competition was truly optimized for best value or if it inadvertently limited potential cost savings.
How does the awarded price compare to industry benchmarks for similar Apache transmission components?
Benchmarking the $28.3 million contract against similar procurements for Apache transmission parts is essential for evaluating value for money. Without comparative data, it's difficult to determine if PCX AEROSYSTEMS-MANCHESTER, LLC's pricing is competitive. A thorough analysis would involve looking at historical contract data, market research reports, and pricing from other suppliers of comparable components.
What is the potential impact of the fixed-price contract type on cost control and contractor risk?
A Firm Fixed Price (FFP) contract places the primary cost risk on the contractor. While this can incentivize efficiency, it may also lead contractors to build in higher contingencies if they anticipate potential cost overruns. For complex aircraft parts, unforeseen technical challenges could arise, potentially impacting delivery schedules or requiring contract modifications if not adequately managed by the contractor.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: SPRRA111R0105
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: THE Timken Company (UEI: 004465100)
Address: 586 HILLIARD ST, MANCHESTER, CT, 06042
Business Categories: Category Business, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $28,301,250
Exercised Options: $28,301,250
Current Obligation: $28,301,250
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2012-03-27
Current End Date: 2015-10-30
Potential End Date: 2015-10-30 00:00:00
Last Modified: 2021-11-03
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