Army Awards $14M for Combat Vehicles, Facing Limited Competition

Contract Overview

Contract Amount: $14,057,265 ($14.1M)

Contractor: Wilfred & Elizabeth PTY Limited

Awarding Agency: Department of Defense

Start Date: 2003-12-11

End Date: 2009-05-15

Contract Duration: 1,982 days

Daily Burn Rate: $7.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 200407!001933!2100!W56HZV!TACOM - WARREN !W56HZV04CB001 !A!N! !N! ! !20031211!20040413!751480526!751480526!751480526!N!W & E PLATT PTY LTD !10 STENNETT RD !INGLEBURN !AS!* !00000! !AS!* !* !AUSTRALIA !+000000468450!N!N!000000000000!2350!COMBAT ASSAULT & TACTICAL VEH, TRACKED !A4A!COMBAT VEHICLES !000 !* !332999!E! !3! ! ! ! ! !99990909!B! ! !N!A!D!N!J!1!001!N!2A!Z!N!Z!B!AS!N!L!N! ! ! ! ! !A!A!000!A!B!N! ! ! ! ! ! !0001! !

Plain-Language Summary

Department of Defense obligated $14.1 million to WILFRED & ELIZABETH PTY LIMITED for work described as: 200407!001933!2100!W56HZV!TACOM - WARREN !W56HZV04CB001 !A!N! !N! ! !20031211!20040413!751480526!751480526!751480526!N!W & E PLATT PTY LTD !10 STENNETT RD !INGLEBURN !AS!* !00000! !AS!* !* … Key points: 1. Contract awarded for Combat Assault & Tactical Vehicles. 2. Significant spending of $14M allocated. 3. Competition was limited, raising potential value concerns. 4. Fabricated Metal Product Manufacturing sector involved.

Value Assessment

Rating: questionable

The contract value of $14,057,264.80 for combat vehicles appears high given the limited competition. Benchmarking against similar contracts for specialized vehicle components is difficult without more detailed cost breakdowns.

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 restricted bidding process. This limited competition may have impacted price discovery and potentially led to a higher price than under full and open competition.

Taxpayer Impact: Taxpayer funds may have been used less efficiently due to the restricted competition, potentially resulting in a higher overall cost for the acquired assets.

Public Impact

Military readiness potentially impacted by specialized vehicle availability. Defense spending contributes to the fabricated metal products sector. Limited competition raises questions about fair pricing for taxpayers. Contract duration of nearly 6 years suggests long-term need.

Waste & Efficiency Indicators

Waste Risk Score: 70 / 10

Warning Flags

  • Limited competition
  • High contract value
  • Lack of detailed cost data

Positive Signals

  • Awarded to a specific company for specialized equipment
  • Supports defense industrial base

Sector Analysis

This contract falls within the Defense sector, specifically related to the manufacturing of combat vehicles. Spending benchmarks for such specialized military hardware are highly variable and depend on technological complexity and quantity.

Small Business Impact

The contract was not awarded to a small business. The prime contractor, WILFRED & ELIZABETH PTY LIMITED, is not identified as a small business, and there is no indication of subcontracting to small businesses in the provided data.

Oversight & Accountability

Oversight of this contract would typically involve the Department of Defense and Department of the Army, ensuring compliance with contract terms and performance standards. The 'exclusion of sources' aspect warrants scrutiny to confirm its necessity and justification.

Related Government Programs

  • All Other Miscellaneous Fabricated Metal Product Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Limited competition may inflate costs.
  • Lack of transparency in source exclusion.
  • Potential for vendor lock-in.
  • High dollar value requires thorough justification.
  • No small business participation noted.

Tags

all-other-miscellaneous-fabricated-metal, department-of-defense, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.1 million to WILFRED & ELIZABETH PTY LIMITED. 200407!001933!2100!W56HZV!TACOM - WARREN !W56HZV04CB001 !A!N! !N! ! !20031211!20040413!751480526!751480526!751480526!N!W & E PLATT PTY LTD !10 STENNETT RD !INGLEBURN !AS!* !00000! !AS!* !* !AUSTRALIA !+000000468450!N!N!000000000000!2350!COMBAT ASSAULT & TACTICAL VEH, TRACKED !A4A!COMBAT VEHICLES !000 !* !332999!E! !3! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is WILFRED & ELIZABETH PTY LIMITED.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $14.1 million.

What is the period of performance?

Start: 2003-12-11. End: 2009-05-15.

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

The justification for excluding other sources is critical for understanding the procurement's integrity. Without specific documentation, it's presumed that unique capabilities, proprietary technology, or specific national security requirements necessitated limiting the pool of eligible bidders. This exclusion directly impacts the competitive landscape and potential for cost savings.

How does the $14M contract value compare to industry benchmarks for similar combat vehicle components or systems?

Benchmarking this $14M contract is challenging without detailed specifications of the 'COMBAT ASSAULT & TACTICAL VEH, TRACKED' and its components. The fabricated metal product manufacturing sector is broad. However, for specialized military hardware, costs can be significantly higher than commercial equivalents due to stringent performance, durability, and security requirements.

What is the long-term strategic value of this contract for the Department of the Army, considering the limited competition?

The long-term strategic value hinges on the criticality of these specific combat vehicles to Army operations and the unique capabilities provided by WILFRED & ELIZABETH PTY LIMITED. If these vehicles fulfill an essential, unmet need and the supplier possesses irreplaceable expertise, the value is high despite limited competition. However, reliance on a single source can pose future risks.

Industry Classification

NAICS: ManufacturingOther Fabricated Metal Product ManufacturingAll Other Miscellaneous Fabricated Metal Product Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: W&E Platt PTY Ltd

Address: 10 STENNETT RD, INGLEBURN

Business Categories: Category Business, Not Designated a Small Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2003-12-11

Current End Date: 2009-05-15

Potential End Date: 2010-05-31 00:00:00

Last Modified: 2023-06-02

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