BAE Systems Awarded $160.7M for Bradley Fighting Vehicle Technical Support Services
Contract Overview
Contract Amount: $160,732,028 ($160.7M)
Contractor: BAE Systems Land & Armaments L.P.
Awarding Agency: Department of Defense
Start Date: 2012-12-18
End Date: 2017-12-15
Contract Duration: 1,823 days
Daily Burn Rate: $88.2K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: IGF::OT::IGF AS A RESULT OF SOLICITATION W56HZV-12-R-0294 AND SUBSEQUENT NEGOTIATIONS CONTRACT W56HZV-13-C-0018 IS HEREBY AWARDED TO BAE SYSTEMS,GROUND SYSTEMS DIVISION FOR THE ACQUISITION OF BRADLEY SYSTEMS TECHNICAL SUPPORT (STS) SERVICES. STS SERVICES CONSISTS OF: ENGINEERING,LOGISTICS, AND FIELDING SUPPORT FOR THE BRADLEY FIGHTING VEHICLE SYSTEMS (BFVS), OPERATION DESERT STORM-SITUATIONAL AWARENESS (ODS-SA), M7 BRADLEY FIRE SUPPORT TEAM SITUATIONAL AWARENESS (BFIST SA), A3 BFIST WITH FIRE SUPPORT SENSOR SYSTEM (FS3) INTEGRATION (A3 BFIST W/FS3), AND M7 BFIST SA WITH FS3 INTEGRATION (M7 BFIST SA WFS3).
Place of Performance
Location: SANTA CLARA, SANTA CLARA County, CALIFORNIA, 95050
Plain-Language Summary
Department of Defense obligated $160.7 million to BAE SYSTEMS LAND & ARMAMENTS L.P. for work described as: IGF::OT::IGF AS A RESULT OF SOLICITATION W56HZV-12-R-0294 AND SUBSEQUENT NEGOTIATIONS CONTRACT W56HZV-13-C-0018 IS HEREBY AWARDED TO BAE SYSTEMS,GROUND SYSTEMS DIVISION FOR THE ACQUISITION OF BRADLEY SYSTEMS TECHNICAL SUPPORT (STS) SERVICES. STS SERVICES CONSISTS OF: ENGINEERING,… Key points: 1. Contract awarded to BAE Systems for essential technical support of Bradley Fighting Vehicle Systems. 2. Services include engineering, logistics, and fielding support for various BFVS configurations. 3. The contract was not competed, raising potential concerns about price discovery. 4. This spending falls within the Engineering Services sector, supporting critical defense platforms.
Value Assessment
Rating: questionable
The contract value is substantial at $160.7 million. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar technical support services for complex military hardware.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to offer the best price.
Taxpayer Impact: The lack of competition may result in the government paying a premium for these critical technical support services, impacting overall taxpayer value.
Public Impact
Ensures continued operational readiness and maintenance for the Bradley Fighting Vehicle fleet. Supports advanced situational awareness systems crucial for battlefield effectiveness. Potential for increased costs due to sole-source award impacts taxpayer funds.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for cost overruns
- Sole-source award
Positive Signals
- Supports critical defense systems
- Long-term contract duration
Sector Analysis
This contract falls under Engineering Services, a sector vital for maintaining and upgrading complex military equipment. Benchmarks for similar long-term technical support contracts for major defense platforms can vary widely, but a lack of competition often inflates costs.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract. The award was made to a large prime contractor, BAE Systems.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure the contractor is delivering services efficiently and at a reasonable cost. Robust performance metrics and regular reviews are essential.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award limits price competition.
- Potential for inflated costs due to lack of market pressure.
- Requires strong government oversight to ensure value.
- No indication of small business participation.
Tags
engineering-services, department-of-defense, ca, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $160.7 million to BAE SYSTEMS LAND & ARMAMENTS L.P.. IGF::OT::IGF AS A RESULT OF SOLICITATION W56HZV-12-R-0294 AND SUBSEQUENT NEGOTIATIONS CONTRACT W56HZV-13-C-0018 IS HEREBY AWARDED TO BAE SYSTEMS,GROUND SYSTEMS DIVISION FOR THE ACQUISITION OF BRADLEY SYSTEMS TECHNICAL SUPPORT (STS) SERVICES. STS SERVICES CONSISTS OF: ENGINEERING,LOGISTICS, AND FIELDING SUPPORT FOR THE BRADLEY FIGHTING VEHICLE SYSTEMS (BFVS), OPERATION DESERT STORM-SITUATIONAL AWARENESS (ODS-SA), M7 BRADLEY FIRE SUPPORT TEAM SITUATIONAL AWARENESS (BFIST SA), A3 BFIST WITH FIRE SU
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 (Department of the Army).
What is the total obligated amount?
The obligated amount is $160.7 million.
What is the period of performance?
Start: 2012-12-18. End: 2017-12-15.
What was the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where only one contractor can fulfill the requirement. Without further documentation, it's unclear if these criteria were met, but it's a critical point for ensuring fair pricing and avoiding unnecessary expenditure.
How will the government ensure cost-effectiveness without competitive pressure?
The government must implement rigorous cost control measures, including detailed performance monitoring, independent cost estimates, and potentially negotiating specific cost-saving initiatives throughout the contract's life. Regular audits and reviews of BAE Systems' pricing and efficiency are crucial to mitigate the risks associated with a non-competed award.
What is the long-term strategy for technical support of the Bradley Fighting Vehicle Systems?
Understanding the long-term strategy is important to determine if this sole-source award aligns with future modernization plans or if future requirements will be competed. This ensures sustained platform readiness and potentially better value through competition on subsequent contracts.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W56HZV12R0294
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 1205 COLEMAN AVE, SANTA CLARA, CA, 95050
Business Categories: Category Business, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations
Financial Breakdown
Contract Ceiling: $160,732,028
Exercised Options: $160,732,028
Current Obligation: $160,732,028
Actual Outlays: $-9,632
Subaward Activity
Number of Subawards: 20
Total Subaward Amount: $4,407,677
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2012-12-18
Current End Date: 2017-12-15
Potential End Date: 2017-12-15 00:00:00
Last Modified: 2025-11-25
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