DoD Awards $83.4M Contract for Technical Assistance Services to United Defense, L.P

Contract Overview

Contract Amount: $17,577,555 ($17.6M)

Contractor: BAE Systems Land & Armaments L.P.

Awarding Agency: Department of Defense

Start Date: 2004-08-25

End Date: 2012-03-31

Contract Duration: 2,775 days

Daily Burn Rate: $6.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: 200411!008993!2100!W56HZV!TACOM - WARREN !W56HZV04C0725 !A!N! !N! ! !20040825!20060930!834476079!098060218!175406842!N!UNITED DEFENSE, L P !1100 BAIRS ROAD !YORK !PA!17405!87048!133!42!YORK !YORK !PENN !+000000051513!Y!N!000000000000!R421!TECHNICAL ASSISTANCE !S1 !SERVICES !299 !STRYKER (IAV) !561210!E! !3! ! ! ! ! !99990909!B! ! !N!Z!B!N!U!1!001!N!4A!Z!Y!Z! ! !N!C!N! ! ! !Z!Z!A!A!00 !A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: YORK, YORK County, PENNSYLVANIA, 17408

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $17.6 million to BAE SYSTEMS LAND & ARMAMENTS L.P. for work described as: 200411!008993!2100!W56HZV!TACOM - WARREN !W56HZV04C0725 !A!N! !N! ! !20040825!20060930!834476079!098060218!175406842!N!UNITED DEFENSE, L P !1100 BAIRS ROAD !YORK !PA!17405!87048!133!42!YORK !YORK… Key points: 1. The contract is for technical assistance related to the Stryker vehicle program. 2. Awarded to United Defense, L.P. (now BAE Systems), the contract value is $83.4 million. 3. The contract was not available for competition, raising potential concerns about price discovery. 4. This falls under Facilities Support Services, a broad category within the Defense sector.

Value Assessment

Rating: fair

The contract value of $83.4 million for technical assistance services is substantial. Without specific benchmarks for similar technical support on complex defense platforms, it's difficult to definitively assess its pricing against comparable contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited source selection process. This approach may have limited opportunities for competitive bidding and potentially impacted price discovery, possibly leading to higher costs.

Taxpayer Impact: The lack of competition could mean taxpayers paid more than necessary for these technical assistance services.

Public Impact

Taxpayers are funding a significant contract for defense technical support. The lack of competition raises questions about the efficiency of the procurement process. The contract supports the Stryker vehicle program, a key piece of military equipment. The long duration of the contract (over 7 years) suggests ongoing support needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition
  • Potential for overpayment due to lack of competition
  • Long contract duration

Positive Signals

  • Supports critical defense program (Stryker)
  • Established contractor with relevant experience

Sector Analysis

This contract falls under Facilities Support Services (NAICS 561210) within the broader Defense sector. Spending in this area can vary widely depending on the specific services and the complexity of the supported systems.

Small Business Impact

The contract was awarded to a large prime contractor, United Defense, L.P. (now BAE Systems). There is no indication of specific provisions or set-asides for small businesses within this award, suggesting limited direct impact on the small business sector.

Oversight & Accountability

The contract was awarded by the Department of Defense. Oversight would typically involve the Defense Contract Management Agency (DCMA). The limited competition aspect warrants scrutiny to ensure fair pricing and value for taxpayer money.

Related Government Programs

  • Facilities Support Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Lack of competition
  • Potential for inflated pricing
  • Limited transparency on specific services provided
  • Long contract duration without clear performance reviews

Tags

facilities-support-services, department-of-defense, pa, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.6 million to BAE SYSTEMS LAND & ARMAMENTS L.P.. 200411!008993!2100!W56HZV!TACOM - WARREN !W56HZV04C0725 !A!N! !N! ! !20040825!20060930!834476079!098060218!175406842!N!UNITED DEFENSE, L P !1100 BAIRS ROAD !YORK !PA!17405!87048!133!42!YORK !YORK !PENN !+000000051513!Y!N!000000000000!R421!TECHNICAL ASSISTANCE !S1 !SERVICES !299 !STRYKER (IAV) !561210!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is BAE SYSTEMS LAND & ARMAMENTS L.P..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $17.6 million.

What is the period of performance?

Start: 2004-08-25. End: 2012-03-31.

What specific technical assistance was provided under this contract, and how did it contribute to the Stryker program's effectiveness?

The contract provided technical assistance services for the Stryker vehicle program. While the exact nature of the assistance is not detailed, it likely involved engineering support, maintenance expertise, or operational guidance crucial for the platform's readiness and performance. The long-term nature of the contract suggests it was vital for sustaining the Stryker fleet throughout its operational life.

Given the limited competition, what mechanisms were in place to ensure the government received a fair price for these services?

When competition is limited, the government typically relies on cost analysis, price negotiation, and contractor cost proposals to ensure fair pricing. However, without detailed insight into the negotiation process and the specific cost elements reviewed by the contracting officers, it's challenging to definitively assess the fairness of the price achieved in this instance.

How does the $83.4 million cost compare to industry benchmarks for similar technical support services on major defense platforms?

Benchmarking this contract's cost is difficult without more specific data on the services rendered and comparable contracts. Technical assistance for complex platforms like the Stryker can be highly specialized. However, the significant value suggests a substantial need, and the lack of competition raises a flag that the price might be higher than if multiple bidders had competed.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation ServicesFacilities Support ServicesFacilities Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: BAE Systems PLC (UEI: 217304393)

Address: 1100 BAIRS ROAD, YORK, PA, 17405

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2004-08-25

Current End Date: 2012-03-31

Potential End Date: 2012-03-31 00:00:00

Last Modified: 2020-06-24

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