DoD Awards $34.7M for Tank Rack Modules to Isometrics Inc. Amidst Full and Open Competition

Contract Overview

Contract Amount: $34,715,694 ($34.7M)

Contractor: Isometrics Inc

Awarding Agency: Department of Defense

Start Date: 2021-03-10

End Date: 2022-09-01

Contract Duration: 540 days

Daily Burn Rate: $64.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: TANK RACK MODULE PRODUCTION

Place of Performance

Location: REIDSVILLE, ROCKINGHAM County, NORTH CAROLINA, 27320

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $34.7 million to ISOMETRICS INC for work described as: TANK RACK MODULE PRODUCTION Key points: 1. Contract awarded for specialized tank rack modules, indicating a need for specific equipment. 2. Isometrics Inc. secured the contract, suggesting they are a key player in this niche manufacturing sector. 3. The contract was awarded under full and open competition, implying a competitive bidding process. 4. The total value of $34.7 million over 540 days highlights significant investment in this equipment.

Value Assessment

Rating: good

The contract value of $34.7 million for 540 days suggests a reasonable price for specialized production. Benchmarking against similar contracts for custom manufacturing equipment is difficult without more specific data, but the competitive award process implies a fair market price was likely achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition after exclusion of sources, indicating a robust process to solicit bids from all qualified vendors. This method generally leads to better price discovery and ensures the government receives competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely benefiting from a fair market price for the tank rack modules.

Public Impact

Ensures operational readiness for military vehicles requiring specialized fuel or fluid handling. Supports the manufacturing sector by providing work for Isometrics Inc. and its supply chain. The production of these modules contributes to the overall logistical capabilities of the Department of Defense. Potential for follow-on orders or similar contracts in the future, depending on military needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for supply chain disruptions affecting production timelines.
  • Dependence on a single manufacturer for specialized components.
  • Risk of cost overruns if material prices increase significantly.

Positive Signals

  • Awarded through full and open competition, maximizing potential for best value.
  • Clear delivery timeline of 540 days provides predictability.
  • Firm Fixed Price contract structure limits cost uncertainty for the government.

Sector Analysis

This contract falls within the 'Measuring, Dispensing, and Other Pumping Equipment Manufacturing' sector. Spending in this area is often driven by defense needs for specialized equipment, with benchmarks varying widely based on customization and volume.

Small Business Impact

While Isometrics Inc. is the prime contractor, the extent of small business participation in subcontracting is not detailed in this award. Further analysis would be needed to determine the impact on small businesses.

Oversight & Accountability

The award process under full and open competition suggests a degree of oversight. However, ongoing monitoring of production, quality, and delivery by the Department of the Army is crucial for accountability.

Related Government Programs

  • Measuring, Dispensing, and Other Pumping Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for supply chain vulnerabilities.
  • Dependence on specific manufacturing expertise.
  • Risk of scope creep or change orders impacting cost and schedule.
  • Ensuring quality control throughout the production process.

Tags

measuring-dispensing-and-other-pumping-e, department-of-defense, nc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $34.7 million to ISOMETRICS INC. TANK RACK MODULE PRODUCTION

Who is the contractor on this award?

The obligated recipient is ISOMETRICS 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 $34.7 million.

What is the period of performance?

Start: 2021-03-10. End: 2022-09-01.

What is the specific function and criticality of these tank rack modules for military operations?

The tank rack modules are likely critical components for the safe and efficient transport and dispensing of fuel or other essential fluids for military vehicles and equipment. Their specific function dictates their design and manufacturing requirements, directly impacting operational readiness and logistical support in diverse environments.

Are there any identified risks associated with the production capacity or technological capabilities of Isometrics Inc. for this contract?

Without specific details on Isometrics Inc.'s production capacity or technological expertise, it's difficult to assess risks. However, the use of full and open competition suggests the government vetted multiple potential suppliers, implying a level of confidence in the selected contractor's ability to meet requirements. Further due diligence might be warranted.

How does the $34.7 million expenditure compare to historical spending on similar equipment by the Department of Defense?

Comparing this $34.7 million expenditure requires access to historical procurement data for similar specialized modules. Factors like inflation, technological advancements, and specific military platform requirements influence historical costs. A direct comparison would necessitate a detailed analysis of past contracts for comparable equipment.

Industry Classification

NAICS: ManufacturingOther General Purpose Machinery ManufacturingMeasuring, Dispensing, and Other Pumping Equipment Manufacturing

Product/Service Code: MAINT/REPAIR SHOP EQPT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1266 N SCALES ST, REIDSVILLE, NC, 27320

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $34,715,694

Exercised Options: $34,715,694

Current Obligation: $34,715,694

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W56HZV19D0048

IDV Type: IDC

Timeline

Start Date: 2021-03-10

Current End Date: 2022-09-01

Potential End Date: 2022-09-01 12:09:00

Last Modified: 2021-09-30

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