DoD Awards $383M for Bradley Fighting Vehicle Active Protection Systems to General Dynamics

Contract Overview

Contract Amount: $383,499,743 ($383.5M)

Contractor: General Dynamics-Ots, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-30

End Date: 2032-12-31

Contract Duration: 2,649 days

Daily Burn Rate: $144.8K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: PROCUREMENT OF ACTIVE PROTECTION SYSTEMS AND CLS SUPPORT FOR THE BRADLEY FIGHTING VEHICLE

Place of Performance

Location: COLCHESTER, CHITTENDEN County, VERMONT, 05446

State: Vermont Government Spending

Plain-Language Summary

Department of Defense obligated $383.5 million to GENERAL DYNAMICS-OTS, INC. for work described as: PROCUREMENT OF ACTIVE PROTECTION SYSTEMS AND CLS SUPPORT FOR THE BRADLEY FIGHTING VEHICLE Key points: 1. Significant investment in critical defense technology for armored vehicles. 2. Sole-source award raises questions about price discovery and competition. 3. Long contract duration (over 10 years) presents potential for cost overruns. 4. Focus on specialized manufacturing within the defense sector.

Value Assessment

Rating: questionable

The contract value of $383.5M over 10 years is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to potential market alternatives or if it reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor was considered. This significantly limits price discovery and may lead to higher costs for taxpayers as competition is absent.

Taxpayer Impact: The lack of competition in this sole-source award could result in taxpayers paying a premium for these critical defense systems.

Public Impact

Enhances survivability of Bradley Fighting Vehicles on the battlefield. Supports modernization efforts within the U.S. Army's armored fleet. Potential for job creation in specialized defense manufacturing. Ensures continued availability of essential vehicle protection systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition and price negotiation.
  • Long contract duration increases risk of cost escalation.
  • Lack of small business participation noted.

Positive Signals

  • Addresses critical warfighter need for enhanced protection.
  • Supports a key platform in the Army's inventory.
  • Long-term sustainment and support included.

Sector Analysis

This procurement falls within the defense manufacturing sector, specifically focusing on specialized vehicle parts. Spending benchmarks for similar complex defense systems can vary widely, but large sole-source contracts often warrant close scrutiny.

Small Business Impact

The data indicates no specific set-aside for small businesses in this sole-source award. General Dynamics is a large prime contractor, and opportunities for small businesses would likely be through subcontracts, which are not detailed here.

Oversight & Accountability

The sole-source nature of this award necessitates robust oversight from the Department of Defense and the Defense Logistics Agency to ensure fair pricing and effective delivery throughout the contract's long duration.

Related Government Programs

  • Other Guided Missile and Space Vehicle Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Sole-source award
  • Long contract duration
  • Lack of small business participation
  • Potential for cost overruns
  • Technology obsolescence risk

Tags

other-guided-missile-and-space-vehicle-p, department-of-defense, vt, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $383.5 million to GENERAL DYNAMICS-OTS, INC.. PROCUREMENT OF ACTIVE PROTECTION SYSTEMS AND CLS SUPPORT FOR THE BRADLEY FIGHTING VEHICLE

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS-OTS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $383.5 million.

What is the period of performance?

Start: 2025-09-30. End: 2032-12-31.

What is the justification for the sole-source award, and what steps were taken to ensure fair and reasonable pricing without competition?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or lack of viable alternatives. The Defense Contract Management Agency (DCMA) or equivalent should have conducted a thorough price analysis, potentially using historical data, cost breakdowns, or independent government cost estimates, to validate the reasonableness of the price despite the absence of competitive bids.

What are the specific risks associated with a sole-source contract of this magnitude and duration for active protection systems?

The primary risks include inflated pricing due to lack of competition, potential for scope creep, and vendor lock-in. With a long duration, there's also a risk of technological obsolescence or the emergence of superior, more cost-effective solutions that cannot be incorporated without significant contract renegotiation or a new procurement.

How will the effectiveness of these active protection systems be measured and validated throughout the contract period?

Effectiveness will likely be measured through a combination of technical performance specifications, operational testing and evaluation (OT&E) by the end-user (Army), and potentially independent verification by DoD test agencies. Key metrics could include probability of kill (Pk), system reliability, integration with the Bradley platform, and user feedback during exercises and deployments.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Guided Missile and Space Vehicle Parts and Auxiliary Equipment Manufacturing

Product/Service Code: GUIDED MISSLES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 356 MOUNTAIN VIEW DR STE 401, COLCHESTER, VT, 05446

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: $900,000,000

Exercised Options: $383,499,743

Current Obligation: $383,499,743

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: SPRRA225D0009

IDV Type: IDC

Timeline

Start Date: 2025-09-30

Current End Date: 2032-12-31

Potential End Date: 2032-12-31 00:00:00

Last Modified: 2025-11-04

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