DoD awards $16.9M for 6 pumps to Bowhead Manufacturing, citing limited competition
Contract Overview
Contract Amount: $16,910,889 ($16.9M)
Contractor: Bowhead Manufacturing Company, LLC
Awarding Agency: Department of Defense
Start Date: 2007-05-21
End Date: 2011-08-09
Contract Duration: 1,541 days
Daily Burn Rate: $11.0K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: THIS IS AN 8A AWARD TO BOWHEAD FOR 6 EACH 600 GPM PUMPS WITH OPTIONS FOR LOGISTICS DATA AND TRAINING
Place of Performance
Location: PORT ARTHUR, JEFFERSON County, TEXAS, 77642
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $16.9 million to BOWHEAD MANUFACTURING COMPANY, LLC for work described as: THIS IS AN 8A AWARD TO BOWHEAD FOR 6 EACH 600 GPM PUMPS WITH OPTIONS FOR LOGISTICS DATA AND TRAINING Key points: 1. Awarded to a single entity, raising questions about competitive pricing. 2. Focus on pump manufacturing and associated logistics/training services. 3. Potential for higher costs due to lack of competitive bidding. 4. Sector is Defense, with specific NAICS code 333911.
Value Assessment
Rating: questionable
The contract value of $16.9M for 6 pumps is difficult to assess without per-unit cost data. The firm-fixed-price contract type suggests price certainty, but the lack of competition limits benchmarking.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a sole-source or limited competition award. This significantly impacts price discovery, potentially leading to less favorable pricing for the government.
Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these pumps and associated services.
Public Impact
Ensures operational readiness for specific DoD equipment requiring these pumps. Supports a specific manufacturer, potentially impacting market dynamics for similar equipment. Logistics and training components suggest a focus on long-term support and user proficiency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Limited price discovery
- Potential for cost overruns
Positive Signals
- Firm-fixed-price contract
- Specific equipment procurement
Sector Analysis
This contract falls within the Defense sector, specifically related to the manufacturing of industrial pumps. Spending benchmarks for pump manufacturing can vary widely based on complexity and volume, but the lack of competition here makes direct comparison challenging.
Small Business Impact
The awardee is Bowhead Manufacturing Company, LLC. While the data indicates the awardee is not a small business (sb: false), further analysis would be needed to determine if small business subcontracting opportunities were pursued or mandated.
Oversight & Accountability
The Defense Contract Management Agency (DCMA) likely provided oversight for this contract. The firm-fixed-price nature suggests a focus on delivery and quality, but the limited competition aspect warrants scrutiny regarding fair and reasonable pricing.
Related Government Programs
- Pump and Pumping Equipment Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Sole-source justification unclear
- Potential for inflated pricing
- Limited market research evident
- Lack of transparency in award process
Tags
pump-and-pumping-equipment-manufacturing, department-of-defense, tx, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $16.9 million to BOWHEAD MANUFACTURING COMPANY, LLC. THIS IS AN 8A AWARD TO BOWHEAD FOR 6 EACH 600 GPM PUMPS WITH OPTIONS FOR LOGISTICS DATA AND TRAINING
Who is the contractor on this award?
The obligated recipient is BOWHEAD MANUFACTURING COMPANY, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $16.9 million.
What is the period of performance?
Start: 2007-05-21. End: 2011-08-09.
What was the justification for limiting competition on this significant pump procurement?
The justification for limiting competition is not provided in the data. Typically, such limitations are based on factors like unique technical requirements, urgent needs, or the unavailability of other sources. Without this information, it's difficult to assess if the government received the best possible value or if alternative solutions were adequately explored.
How does the per-unit cost of these pumps compare to similar government or commercial procurements?
Direct per-unit cost comparison is not possible with the provided data. The total award is $16.9M for 6 pumps, averaging $2.8M per pump. However, this includes options for logistics and training. Without a breakdown of these costs and access to comparable contract data, a precise benchmark is unavailable.
What is the long-term cost implication of procuring pumps with limited competition?
Procuring with limited competition can lead to higher initial costs and potentially lock the government into a single supplier for future needs, including maintenance and spare parts. This can reduce leverage for future negotiations and may result in sustained above-market pricing over the equipment's lifecycle.
Industry Classification
NAICS: Manufacturing › Other General Purpose Machinery Manufacturing › Pump and Pumping Equipment Manufacturing
Product/Service Code: PUMPS AND COMPRESSORS
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Ukpeagvik Inupiat Corporation (UEI: 079253902)
Address: 6648 GULFWAY DR, PORT ARTHUR, TX, 14
Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $16,910,889
Exercised Options: $16,910,889
Current Obligation: $16,910,889
Contract Characteristics
Cost or Pricing Data: NO
Timeline
Start Date: 2007-05-21
Current End Date: 2011-08-09
Potential End Date: 2011-08-09 00:00:00
Last Modified: 2010-08-09
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