DoD Awards Oshkosh Defense $38M for 466 EHETS Trailers and Support

Contract Overview

Contract Amount: $38,010,639 ($38.0M)

Contractor: Oshkosh Defense LLC

Awarding Agency: Department of Defense

Start Date: 2022-09-22

End Date: 2025-12-31

Contract Duration: 1,196 days

Daily Burn Rate: $31.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: FIVE-YEAR REQUIREMENTS CONTRACT FOR AN ESTIMATED QUANTITY OF 466 EHETS TRAILER, CONDUCT PROGRAMMATIC MEETINGS, PROVIDE FSR SUPPORT FOR PVT/OT, AND DATA DELIVERABLES. FIRST DO WILL PROCURE 5 TESTS ASSETS, 68 LRIP ASSETS, AND FUND 2 CDRLS.

Place of Performance

Location: OSHKOSH, WINNEBAGO County, WISCONSIN, 54902

State: Wisconsin Government Spending

Plain-Language Summary

Department of Defense obligated $38.0 million to OSHKOSH DEFENSE LLC for work described as: FIVE-YEAR REQUIREMENTS CONTRACT FOR AN ESTIMATED QUANTITY OF 466 EHETS TRAILER, CONDUCT PROGRAMMATIC MEETINGS, PROVIDE FSR SUPPORT FOR PVT/OT, AND DATA DELIVERABLES. FIRST DO WILL PROCURE 5 TESTS ASSETS, 68 LRIP ASSETS, AND FUND 2 CDRLS. Key points: 1. Contract covers trailer procurement, programmatic meetings, FSR support, and data deliverables. 2. Initial Delivery Order includes 5 test assets, 68 LRIP assets, and 2 CDRLs. 3. This is a Firm Fixed Price contract, indicating price certainty. 4. The contract spans nearly 4 years, from September 2022 to December 2025.

Value Assessment

Rating: good

The total contract value is $38,010,638.92. Benchmarking against similar large-scale trailer and vehicle manufacturing contracts is difficult without more specific cost breakdowns, but the value appears reasonable for the scope of work.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary defense equipment and support services.

Public Impact

Enhances Army's tactical mobility and operational readiness with EHETS trailers. Supports critical program management and technical services for the program. Ensures delivery of essential data and documentation for program oversight. Procurement of test and low-rate initial production assets signals program progression.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in programmatic meetings and FSR support.
  • Reliance on a single contractor for a significant five-year requirement.
  • Uncertainty in the total quantity of 466 EHETS trailers over five years.

Positive Signals

  • Full and open competition promotes fair pricing.
  • Firm Fixed Price contract provides cost certainty.
  • Clear deliverables outlined for data and support.
  • Long-term contract provides stability for program execution.

Sector Analysis

This contract falls within the Truck Trailer Manufacturing sector, specifically supporting the Department of Defense. Spending in this sector is driven by military readiness requirements and vehicle modernization programs. Benchmarks are highly dependent on specific vehicle types and quantities.

Small Business Impact

The data indicates this contract was not awarded to small businesses (sb: false). There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract includes programmatic meetings and data deliverables, which are mechanisms for oversight. However, the effectiveness of oversight depends on the rigor of reviews and the government's ability to manage the contractor's performance throughout the contract duration.

Related Government Programs

  • Truck Trailer Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Potential for cost increases over the five-year period.
  • Contractor performance risk for support services.
  • Dependency on a single source for a critical asset.
  • Scope definition for support services could be ambiguous.
  • Lack of small business participation noted.

Tags

truck-trailer-manufacturing, department-of-defense, wi, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $38.0 million to OSHKOSH DEFENSE LLC. FIVE-YEAR REQUIREMENTS CONTRACT FOR AN ESTIMATED QUANTITY OF 466 EHETS TRAILER, CONDUCT PROGRAMMATIC MEETINGS, PROVIDE FSR SUPPORT FOR PVT/OT, AND DATA DELIVERABLES. FIRST DO WILL PROCURE 5 TESTS ASSETS, 68 LRIP ASSETS, AND FUND 2 CDRLS.

Who is the contractor on this award?

The obligated recipient is OSHKOSH DEFENSE LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $38.0 million.

What is the period of performance?

Start: 2022-09-22. End: 2025-12-31.

What is the estimated cost per EHETS trailer based on the total contract value and the estimated quantity?

The total contract value is $38,010,638.92 for an estimated quantity of 466 EHETS trailers, plus programmatic meetings, FSR support, and data deliverables. Dividing the total value by the estimated trailer quantity yields approximately $81,546 per trailer. This figure includes all associated support and deliverables, not just the trailer itself, making direct per-unit cost comparisons challenging without further cost breakdown.

What are the primary risks associated with the 'programmatic meetings' and 'FSR support' components of this contract?

Risks for programmatic meetings include potential inefficiencies, scope creep, and excessive time spent without clear, actionable outcomes. For FSR (Field Service Representative) support, risks involve contractor personnel availability, quality of support provided, potential for overcharging for services, and ensuring adequate government oversight of FSR activities to maintain mission effectiveness.

How effectively does the 'full and open competition' clause mitigate potential cost overruns for this long-term requirements contract?

Full and open competition is a strong initial mitigation against cost overruns by fostering a competitive environment during the initial award. However, for a five-year requirements contract, subsequent delivery orders could still face price increases if market conditions change or if the initial competition did not adequately lock in prices for the full duration. Ongoing price surveillance is crucial.

Industry Classification

NAICS: ManufacturingMotor Vehicle Body and Trailer ManufacturingTruck Trailer Manufacturing

Product/Service Code: MOTOR VEHICLES, CYCLES, TRAILERS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Oshkosh Corporation

Address: 2307 OREGON ST, OSHKOSH, WI, 54902

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

Financial Breakdown

Contract Ceiling: $38,010,639

Exercised Options: $38,010,639

Current Obligation: $38,010,639

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $60,999,157

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: W56HZV22D0092

IDV Type: IDC

Timeline

Start Date: 2022-09-22

Current End Date: 2025-12-31

Potential End Date: 2025-12-31 12:12:00

Last Modified: 2025-05-06

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