DoD awards $31.8M contract for depleted uranium demilitarization and disposal to General Dynamics

Contract Overview

Contract Amount: $31,769,242 ($31.8M)

Contractor: General Dynamics Ordnance and Tactical Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-12-15

End Date: 2026-06-30

Contract Duration: 1,658 days

Daily Burn Rate: $19.2K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: DEMIL AND DISPOSAL OF DEPLETED URANIUM

Place of Performance

Location: SAINT PETERSBURG, PINELLAS County, FLORIDA, 33716

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $31.8 million to GENERAL DYNAMICS ORDNANCE AND TACTICAL SYSTEMS, INC. for work described as: DEMIL AND DISPOSAL OF DEPLETED URANIUM Key points: 1. General Dynamics secured the contract, indicating potential market concentration. 2. The contract value is significant for specialized hazardous material disposal. 3. Risk associated with handling depleted uranium requires stringent oversight. 4. The sector involves defense logistics and hazardous waste management.

Value Assessment

Rating: good

The contract value of $31.8M appears reasonable for specialized demilitarization and disposal services. Benchmarking against similar hazardous material disposal contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is expected to yield fair pricing and optimal value for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential defense services.

Public Impact

Ensures safe and compliant disposal of hazardous military materials. Supports national security by managing legacy defense assets. Contributes to environmental protection by properly handling depleted uranium.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Handling of hazardous materials (depleted uranium)
Long contract duration with potential for scope creep
Dependence on a single contractor for critical service

Positive Signals

Awarded through full and open competition
Clear statement of work for demilitarization and disposal
Contract managed by the Department of the Army

Sector Analysis

This contract falls within the defense logistics and hazardous waste management sector. Spending in this area is driven by military readiness and environmental compliance requirements.

Small Business Impact

The contract was awarded to General Dynamics, a large business. There is no indication of small business participation in this specific award.

Oversight & Accountability

Oversight will be critical to ensure compliance with environmental regulations and safety protocols during the demilitarization and disposal process. The Department of the Army will be responsible for monitoring contract performance.

Related Government Programs

Ammunition (except Small Arms) Manufacturing
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Environmental hazards associated with depleted uranium.
Potential for cost overruns due to unforeseen disposal challenges.
Contractor's capability to meet stringent safety and regulatory requirements.
Long-term implications of depleted uranium storage and disposal.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.8 million to GENERAL DYNAMICS ORDNANCE AND TACTICAL SYSTEMS, INC.. DEMIL AND DISPOSAL OF DEPLETED URANIUM

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS ORDNANCE AND TACTICAL SYSTEMS, 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 $31.8 million.

What is the period of performance?

Start: 2021-12-15. End: 2026-06-30.

What is the estimated volume or weight of depleted uranium to be processed under this contract?

The provided data does not specify the exact volume or weight of depleted uranium. This information is crucial for a comprehensive cost-benefit analysis and for understanding the scale of the environmental and logistical challenge. Future contract details or amendments should clarify these quantities.

What are the specific environmental and safety protocols mandated for this demilitarization and disposal process?

While the contract specifies demilitarization and disposal, the detailed environmental and safety protocols are not explicitly listed in the provided data. Stringent adherence to EPA and DoD regulations is assumed, but a review of the contract's Statement of Work (SOW) would be necessary to confirm specific procedures and compliance measures.

How does the cost of this contract compare to industry benchmarks for similar hazardous material disposal services?

Without specific cost breakdowns or access to industry benchmark data for depleted uranium disposal, a direct comparison is difficult. The $31.8M award, however, suggests a significant investment, implying specialized handling and disposal requirements that may command a premium compared to less hazardous waste streams.

Industry Classification

NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Ammunition (except Small Arms) Manufacturing

Product/Service Code: AMMUNITION AND EXPLOSIVES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 11399 16TH CT N STE 200, SAINT PETERSBURG, FL, 33716

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: $31,769,242

Exercised Options: $31,769,242

Current Obligation: $31,769,242

Subaward Activity

Number of Subawards: 15

Total Subaward Amount: $8,376,804

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W52P1J22D0005

IDV Type: IDC

Timeline