DoD Awards $526M Contract for SERVOCYLINDER to Moog Military Aircraft LLC, with 1002 Units

Contract Overview

Contract Amount: $5,261,231 ($5.3M)

Contractor: Moog Military Aircraft LLC

Awarding Agency: Department of Defense

Start Date: 2025-09-30

End Date: 2028-06-28

Contract Duration: 1,002 days

Daily Burn Rate: $5.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: SERVOCYLINDER

Place of Performance

Location: ELMA, ERIE County, NEW YORK, 14059

State: New York Government Spending

Plain-Language Summary

Department of Defense obligated $5.3 million to MOOG MILITARY AIRCRAFT LLC for work described as: SERVOCYLINDER Key points: 1. The contract value is substantial at $526.12 million. 2. Moog Military Aircraft LLC is the sole awardee, indicating a lack of competition. 3. The contract duration extends to June 2028, suggesting a long-term need. 4. The sector is Defense, specifically aircraft parts manufacturing.

Value Assessment

Rating: questionable

The contract value of $526.12 million for 1002 units suggests a high per-unit cost. Without specific unit pricing or comparison data, it's difficult to definitively assess value, but the lack of competition raises concerns about potential overpricing.

Cost Per Unit: $525,123 (approximate)

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there is no competitive pressure to drive down prices.

Taxpayer Impact: The lack of competition on this large contract may result in taxpayers paying more than necessary for these aircraft parts.

Public Impact

Potential for increased defense spending due to lack of competitive bidding. Impact on the availability and cost of critical aircraft components. Questions about the justification for a sole-source award in the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • High contract value
  • Long contract duration
  • Lack of small business participation

Positive Signals

  • Essential component for defense operations
  • Established manufacturer with relevant experience

Sector Analysis

This contract falls within the Other Aircraft Parts and Auxiliary Equipment Manufacturing sector. Spending in this area is critical for maintaining military readiness. Benchmarks for similar sole-source contracts are often higher due to the absence of competition.

Small Business Impact

The data indicates no small business participation in this contract. This is a missed opportunity to support small businesses within the defense supply chain and could indicate a lack of outreach or specific requirements that favor larger, established contractors.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the price is fair and reasonable and that the justification for not competing is robust. Accountability for the expenditure rests with the Department of Defense and the Defense Logistics Agency.

Related Government Programs

  • Other Aircraft Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Sole-source award lacks competition.
  • High contract value raises cost concerns.
  • No small business participation.
  • Long contract duration may limit future flexibility.
  • Potential for price escalation without competitive oversight.

Tags

other-aircraft-parts-and-auxiliary-equip, department-of-defense, ny, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.3 million to MOOG MILITARY AIRCRAFT LLC. SERVOCYLINDER

Who is the contractor on this award?

The obligated recipient is MOOG MILITARY AIRCRAFT LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $5.3 million.

What is the period of performance?

Start: 2025-09-30. End: 2028-06-28.

What is the justification for awarding this contract on a sole-source basis, and how was the price determined to be fair and reasonable?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one source can fulfill the requirement. The price is usually determined through negotiation, cost analysis, and comparison to historical data or industry benchmarks, though without competition, this process is less transparent and potentially less advantageous for the government.

What are the risks associated with a sole-source award of this magnitude for critical aircraft parts?

The primary risks include inflated pricing due to the absence of competitive pressure, potential for vendor lock-in, and reduced innovation. Taxpayers may bear a higher cost, and the government's ability to secure favorable terms or explore alternative solutions is diminished. There's also a risk if the sole-source provider faces production issues or financial instability.

How does this contract contribute to the overall effectiveness and readiness of the Department of Defense's aircraft fleet?

This contract is for SERVOCYLINDER, likely a critical component for specific aircraft. Ensuring a steady supply of these parts is essential for maintaining aircraft operational readiness and supporting flight missions. The effectiveness hinges on the reliability of the parts and the contractor's ability to deliver on time throughout the contract period.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: AEROSPACE CRAFT COMPONENTS AND ACCESSORIES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Moog Inc

Address: 7021 SENECA ST, ELMA, NY, 14059

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $5,261,231

Exercised Options: $5,261,231

Current Obligation: $5,261,231

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: SPE4A122G0008

IDV Type: BOA

Timeline

Start Date: 2025-09-30

Current End Date: 2028-06-28

Potential End Date: 2028-06-28 00:00:00

Last Modified: 2025-12-19

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