Dod Awards $38.7M for Trinitrotoluene Flake to High Noon Unlimited Inc

Contract Overview

Contract Amount: $38,713,145 ($38.7M)

Contractor: High Noon Unlimited Inc

Awarding Agency: Department of Defense

Start Date: 2023-09-21

End Date: 2026-08-06

Contract Duration: 1,050 days

Daily Burn Rate: $36.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: TRINITROTOLUENE FLAKE

Place of Performance

Location: HOLIDAY, PASCO County, FLORIDA, 34691

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $38.7 million to HIGH NOON UNLIMITED INC for work described as: TRINITROTOLUENE FLAKE Key points: 1. Spending on explosives manufacturing totals $38.7M. 2. HIGH NOON UNLIMITED INC is the sole awardee. 3. The contract runs for 1050 days. 4. This is a Firm Fixed Price contract.

Value Assessment

Rating: fair

The award amount of $38.7M for TRINITROTOLUENE FLAKE appears to be within a reasonable range for bulk explosive material, though specific market benchmarks are not readily available. The firm fixed price structure provides cost certainty.

Cost Per Unit: $36,870 per unit

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, only one award was made, which warrants further investigation into the breadth of participation and the reasons for limited bids.

Taxpayer Impact: Taxpayer funds are being used for essential defense materials, with the expectation of competitive pricing driving value.

Public Impact

Ensures supply of critical explosives for military operations. Supports a specific manufacturing sector within the defense industrial base. Potential for price fluctuations if competition narrows in future procurements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited number of awardees despite full and open competition.
Potential for price escalation in future contract actions if market conditions change.

Positive Signals

Firm Fixed Price contract provides cost predictability.
Awarded under full and open competition.

Sector Analysis

This contract falls within the defense industrial base, specifically in the manufacturing of explosives. Spending benchmarks for such specialized materials are highly variable and dependent on geopolitical factors and raw material costs.

Small Business Impact

There is no indication that small businesses were involved in this specific award, either as prime contractors or subcontractors. Further analysis would be needed to determine the overall impact on the small business sector within defense contracting.

Oversight & Accountability

The Department of the Army is responsible for oversight of this contract. Standard procurement regulations and contract management practices are expected to be applied to ensure accountability and performance.

Related Government Programs

Explosives Manufacturing
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Single award despite full and open competition.
Potential for price volatility in future procurements.
Lack of transparency on small business participation.
Dependence on a single supplier for critical material.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.7 million to HIGH NOON UNLIMITED INC. TRINITROTOLUENE FLAKE

Who is the contractor on this award?

The obligated recipient is HIGH NOON UNLIMITED 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 $38.7 million.

What is the period of performance?

Start: 2023-09-21. End: 2026-08-06.

What was the competitive landscape like for this solicitation, and why did only one offeror receive the award?

While the contract was advertised as full and open competition, the fact that only one award was made suggests potential barriers to entry, specialized manufacturing capabilities required, or a lack of sufficient interest from other qualified vendors. Further review of the solicitation details and award justification would be necessary to fully understand the competitive dynamics and the reasons behind the single award.

How does the per-unit cost of $36,870 compare to historical benchmarks for TRINITROTOLUENE FLAKE?

Without access to historical pricing data or market research reports for TRINITROTOLUENE FLAKE, it is difficult to definitively assess the per-unit cost. However, the firm fixed price nature of the contract suggests the government has locked in this rate. A comparative analysis with similar procurements or industry pricing would be needed for a thorough evaluation.

What is the strategic importance of this specific explosive material, and are there alternative sources or substitutes available?

TRINITROTOLUENE (TNT) is a well-established explosive used in various military applications. Its strategic importance lies in its reliability and established use. The availability of alternatives or substitutes would depend on the specific operational requirements, but TNT remains a standard munition component. Diversification of supply chains and exploration of newer energetic materials are ongoing defense initiatives.

Industry Classification

NAICS: Manufacturing › Other Chemical Product and Preparation Manufacturing › Explosives Manufacturing

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4339 BUENA VISTA LN, HOLIDAY, FL, 34691

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $38,713,145

Exercised Options: $38,713,145

Current Obligation: $38,713,145

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J21D0002

IDV Type: IDC

Timeline