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: 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: 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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