DoD Awards $63.2M for Modular Artillery Charge Containers to CONCO, Inc

Contract Overview

Contract Amount: $63,212,818 ($63.2M)

Contractor: Conco, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-08-29

End Date: 2027-09-30

Contract Duration: 762 days

Daily Burn Rate: $83.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THIS DELIVERY ORDER IS TO PROCURE PA161 AND PA103A2 MODULAR ARTILLERY CHARGE SYSTEM METAL CONTAINERS.

Place of Performance

Location: LOUISVILLE, JEFFERSON County, KENTUCKY, 40219

State: Kentucky Government Spending

Plain-Language Summary

Department of Defense obligated $63.2 million to CONCO, INC. for work described as: THIS DELIVERY ORDER IS TO PROCURE PA161 AND PA103A2 MODULAR ARTILLERY CHARGE SYSTEM METAL CONTAINERS. Key points: 1. Significant award for specialized metal containers used in artillery systems. 2. CONCO, Inc. is the sole awardee under this delivery order. 3. Potential risk associated with single-source award for critical components. 4. Spending falls within the 'Other Metal Container Manufacturing' sector.

Value Assessment

Rating: fair

The award amount of $63.2M for 762 days of performance appears high without further benchmarking. The contract type is Firm Fixed Price, which shifts risk to the contractor. The base year value is substantial.

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 limited competition scenario. This method may not yield the most competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for specialized military equipment containers. The limited competition raises concerns about achieving optimal value for money.

Public Impact

Ensures supply of critical containers for modular artillery charges. Supports Department of the Army's operational readiness. Potential for increased costs due to limited competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Potential for price escalation
  • Sole awardee for critical component

Positive Signals

  • Firm Fixed Price contract type
  • Long-term supply agreement

Sector Analysis

This award falls under the 'Other Metal Container Manufacturing' sector. Spending benchmarks for specialized military containers are difficult to ascertain without specific product details, but the value suggests a significant procurement.

Small Business Impact

There is no indication that small businesses were involved in this specific delivery order, as it was awarded to CONCO, Inc. Further analysis would be needed to determine if subcontracting opportunities exist.

Oversight & Accountability

The award was made by the Department of the Army. Oversight will be crucial to ensure CONCO, Inc. meets delivery schedules and quality standards, especially given the limited competition.

Related Government Programs

  • Other Metal Container Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Limited competition may lead to higher costs.
  • Sole awardee risk for critical component.
  • Lack of detailed unit cost information.
  • Justification for source exclusion not provided.

Tags

other-metal-container-manufacturing, department-of-defense, ky, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $63.2 million to CONCO, INC.. THIS DELIVERY ORDER IS TO PROCURE PA161 AND PA103A2 MODULAR ARTILLERY CHARGE SYSTEM METAL CONTAINERS.

Who is the contractor on this award?

The obligated recipient is CONCO, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $63.2 million.

What is the period of performance?

Start: 2025-08-29. End: 2027-09-30.

What is the specific justification for excluding other sources in this 'full and open competition after exclusion of sources' award?

The justification for excluding other sources is not provided in the data. Typically, such exclusions are based on factors like proprietary technology, unique capabilities, or urgent and compelling needs. Without this information, it's difficult to assess if the exclusion was warranted and if it led to a fair price.

What is the unit cost for these modular artillery charge system metal containers?

The provided data does not allow for a precise per-unit cost calculation. The total award is $63.2M for 762 days of performance, with 1 delivery order. To determine unit cost, the number of units procured would be necessary. The absence of this data point hinders a direct cost comparison.

How does the pricing of this contract compare to similar procurements for military container systems?

Direct comparison is challenging without specific details on the containers' specifications and the pricing of comparable contracts. The 'limited competition' aspect suggests that pricing might not be as competitive as in a fully open market. Benchmarking against other DoD procurements for similar, albeit not identical, container systems would be necessary.

Industry Classification

NAICS: ManufacturingBoiler, Tank, and Shipping Container ManufacturingOther Metal Container Manufacturing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4000 OAKLAWN DR, LOUISVILLE, KY, 40219

Business Categories: Category Business, Manufacturer of Goods, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $63,212,818

Exercised Options: $63,212,818

Current Obligation: $63,212,818

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15QKN20D0003

IDV Type: IDC

Timeline

Start Date: 2025-08-29

Current End Date: 2027-09-30

Potential End Date: 2027-09-30 00:00:00

Last Modified: 2025-09-17

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