DoD Awards $26.5M for Landing Gear, BEMSCO Inc. Secures Contract Amidst Full and Open Competition
Contract Overview
Contract Amount: $26,502,698 ($26.5M)
Contractor: Bemsco Inc
Awarding Agency: Department of Defense
Start Date: 2023-04-18
End Date: 2026-10-08
Contract Duration: 1,269 days
Daily Burn Rate: $20.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: NOUN: LANDING GEAR, FIXED NSN: 1620-01-231-1831 PN: 70250-12051-045
Place of Performance
Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84101
State: Utah Government Spending
Plain-Language Summary
Department of Defense obligated $26.5 million to BEMSCO INC for work described as: NOUN: LANDING GEAR, FIXED NSN: 1620-01-231-1831 PN: 70250-12051-045 Key points: 1. Contract awarded to BEMSCO INC for fixed landing gear. 2. Competition method: Full and Open Competition after Exclusion of Sources. 3. Potential risk: Limited competition history may impact price discovery. 4. Sector: Defense Logistics Agency, Other Aircraft Parts Manufacturing.
Value Assessment
Rating: fair
The contract value of $26.5 million for landing gear appears within a reasonable range for specialized aircraft components. However, without specific unit volume or detailed component specifications, a precise benchmark is difficult.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating a potentially limited competitive landscape. This method might restrict the number of eligible bidders, potentially impacting the government's ability to secure the lowest possible price.
Taxpayer Impact: Taxpayer funds are being used for critical aircraft components. While competition was sought, the specific method used warrants scrutiny to ensure optimal value for money.
Public Impact
Ensures operational readiness of aircraft by providing essential landing gear components. Supports the Defense Logistics Agency's mission to supply military equipment. Potential impact on aircraft maintenance schedules and costs for the DoD.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition method could lead to higher prices.
- Contract duration is substantial (over 3 years).
Positive Signals
- Awarded under a competitive process.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, which is crucial for maintaining military aviation capabilities. Spending in this niche area is driven by defense needs and technological advancements.
Small Business Impact
The data does not indicate whether BEMSCO INC is a small business. Further analysis would be needed to determine the impact on small business participation in this contract.
Oversight & Accountability
The contract is managed by the Defense Logistics Agency, a key component of the DoD's procurement system. Oversight would involve monitoring contract performance, delivery schedules, and adherence to the firm fixed price.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Defense Logistics Agency Programs
Risk Flags
- Potential for price inflation due to limited competition.
- Reliance on a single supplier (BEMSCO INC) for a critical component.
- Complexity of aircraft parts may lead to unforeseen technical challenges.
- Long contract duration increases exposure to market fluctuations.
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, ut, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $26.5 million to BEMSCO INC. NOUN: LANDING GEAR, FIXED NSN: 1620-01-231-1831 PN: 70250-12051-045
Who is the contractor on this award?
The obligated recipient is BEMSCO INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Logistics Agency).
What is the total obligated amount?
The obligated amount is $26.5 million.
What is the period of performance?
Start: 2023-04-18. End: 2026-10-08.
What is the historical pricing for this specific landing gear part (NSN 1620-01-231-1831) under similar competitive conditions?
Determining historical pricing requires access to past contract awards for the same NSN. Analyzing previous bids and awarded prices, especially from periods with broader competition, would establish a baseline. Comparing the current $26.5M award against these benchmarks, adjusted for inflation and market conditions, would reveal if this award represents good value or if the limited competition led to an inflated price.
What are the specific reasons for excluding other sources in this 'Full and Open Competition after Exclusion of Sources' scenario?
The exclusion of sources typically occurs when only a limited number of contractors possess the necessary technical qualifications, proprietary data, or manufacturing capabilities for a specific item. Understanding these reasons is crucial to assess if the exclusion was justified or if it unnecessarily restricted competition, potentially increasing costs for the government and taxpayers.
How does the performance of BEMSCO INC on previous contracts compare to the requirements of this landing gear award?
Evaluating BEMSCO INC's past performance record, including on-time delivery, quality of goods, and responsiveness to issues on prior DoD contracts, is essential. A strong performance history suggests a lower risk of delivery delays or quality problems with this landing gear contract. Conversely, a history of issues would raise concerns about the effectiveness and reliability of the award.
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
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1193 S 400 W, SALT LAKE CITY, UT, 84101
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $26,502,698
Exercised Options: $26,502,698
Current Obligation: $26,502,698
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: SPRRA123D0017
IDV Type: IDC
Timeline
Start Date: 2023-04-18
Current End Date: 2026-10-08
Potential End Date: 2026-10-08 12:10:00
Last Modified: 2024-04-03
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