Army Awards $70.7M Engineering Services Contract to General Electric for Corpus Christi Depot
Contract Overview
Contract Amount: $70,742,930 ($70.7M)
Contractor: General Electric Company
Awarding Agency: Department of Defense
Start Date: 2019-01-01
End Date: 2020-03-31
Contract Duration: 455 days
Daily Burn Rate: $155.5K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: AWARD ARMY MATERIAL FOR THE IV TELSS CONTRACT. IN SUPPORT OF THE CORPUS CHRISTI ARMY DEPOT.
Place of Performance
Location: CINCINNATI, HAMILTON County, OHIO, 45215
State: Ohio Government Spending
Plain-Language Summary
Department of Defense obligated $70.7 million to GENERAL ELECTRIC COMPANY for work described as: AWARD ARMY MATERIAL FOR THE IV TELSS CONTRACT. IN SUPPORT OF THE CORPUS CHRISTI ARMY DEPOT. Key points: 1. The contract, valued at $70.7 million, supports the Corpus Christi Army Depot. 2. General Electric Company is the sole awardee, indicating a lack of competition. 3. The contract type is Firm Fixed Price, which can help control costs. 4. This award falls under Engineering Services, a critical sector for military readiness.
Value Assessment
Rating: fair
The award amount of $70.7 million for a 455-day duration appears substantial. Benchmarking against similar engineering services contracts for depot support would be necessary to definitively assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, suggesting a sole-source award. The lack of competition limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The absence of competition for a significant contract value raises concerns about potential overspending and inefficient use of taxpayer funds.
Public Impact
Impacts military readiness by providing essential engineering support to a key Army depot. Potential for higher costs due to the sole-source nature of the award. Supports a major defense contractor, General Electric Company.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for inflated pricing
Positive Signals
- Firm Fixed Price contract type
- Supports critical military infrastructure
Sector Analysis
This award is within the Engineering Services sector, which is vital for maintaining and upgrading military equipment and facilities. The contract value is significant for this type of service.
Small Business Impact
The data indicates that small business participation was not a factor in this award, as the 'sb' field is false.
Oversight & Accountability
Further oversight is needed to understand why this contract was not competed and to ensure fair pricing was achieved despite the lack of competition.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Sole-source award
- Lack of competitive bidding
- Potential for overpricing
- Limited transparency in price negotiation
Tags
engineering-services, department-of-defense, oh, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $70.7 million to GENERAL ELECTRIC COMPANY. AWARD ARMY MATERIAL FOR THE IV TELSS CONTRACT. IN SUPPORT OF THE CORPUS CHRISTI ARMY DEPOT.
Who is the contractor on this award?
The obligated recipient is GENERAL ELECTRIC COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $70.7 million.
What is the period of performance?
Start: 2019-01-01. End: 2020-03-31.
What was the justification for awarding this contract on a sole-source basis?
The provided data does not specify the justification for the sole-source award. Typically, sole-source contracts are awarded when only one responsible source can provide the required supplies or services, or in cases of urgent and compelling need. Further investigation into the contract file would be required to determine the specific rationale.
How does the awarded price compare to industry benchmarks for similar engineering services?
Without specific details on the scope of work and the specific engineering services provided, a direct comparison to industry benchmarks is challenging. However, the absence of competition for a $70.7 million contract raises a red flag, suggesting the price might be higher than if it had been competitively bid. A detailed cost analysis would be needed.
What is the potential impact on the Corpus Christi Army Depot's operational efficiency due to this contract?
The contract is intended to support the Corpus Christi Army Depot, implying it is crucial for the depot's operations. Assuming General Electric Company delivers the required engineering services effectively, the contract should enhance or maintain the depot's operational efficiency. However, the sole-source nature could introduce risks if performance is subpar or if the pricing is not optimal.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1 NEUMANN WAY, CINCINNATI, OH, 45215
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $70,742,930
Exercised Options: $70,742,930
Current Obligation: $70,742,930
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W58RGZ18D0023
IDV Type: IDC
Timeline
Start Date: 2019-01-01
Current End Date: 2020-03-31
Potential End Date: 2020-03-31 00:00:00
Last Modified: 2025-04-24
More Contracts from General Electric Company
- 200607!387702!1700!n00019!naval AIR Systems Command !N0001906C0088 !A!N! !N! ! !20060424!20090131!001408509!001408509!001367960!n!general Electric Company !1000 Western AVE !lynn !ma!01905!37490!009!25!lynn !essex !mass !+000018238000!n!n!000000000000!2840!gas Turbines and JET Engines, Acft & Comps !a1b!aircraft Engines and Spares !000 !NOT Discernable !336412!E! !3! ! ! ! ! !99990909!B! ! !A! !d!u!j!1!001!n!1a!z!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!b!y! ! ! !Y!1719!N00019!0001! ! — $2.4B (Department of Defense)
- Adaptive Engine Transition Program (aetp) — $2.1B (Department of Defense)
- 200608!001069!2100!w58rgz!usa Aviation and Missile Command!w58rgz06c0038 !A!N! !Y! ! !20051215!20101231!137488664!137488664!001367960!n!general Electric Company !1 Neumann WAY !cincinnati !oh!45215!15000!061!39!cincinnati !hamilton !ohio !+000177879422!n!n!000000000000!r706!logistics Support Services !a1b!aircraft Engines and Spares !000 !NOT Discernable !541330!E! !3! ! ! ! ! !99990909!B! ! !A! !d!n!j!1!001!n!1g!z!n!z! ! !Y!C!N! ! ! !a!a!a!a!000!a!d!n! ! ! ! ! ! !0001! ! — $1.6B (Department of Defense)
- 200210!004379!1700!AA427 !naval AIR Systems Command !N0001901C0147 !A!N! !N!P00001 !20020508!20031130!001408509!001408509!001367960!n!general Electric Company Inc !1000 Western AVE !lynn !ma!01910!37490!009!25!lynn !essex !mass !+000060619860!n!n!000000000000!2840!gas Turbines and JET Engines, Acft & Comps !a1b!aircraft Engines and Spares !2bjn!f414-Ge-400 !336412!E! !1! ! !C! ! !99990909!B! ! !A! !d!n!j!1!001!n!1a!a!w!f! ! !N!C!N! ! ! !a!a!a!a!000!a!b!y! ! ! ! ! ! !0001! — $1.5B (Department of Defense)
- F414-GE-400 Engines — $1.2B (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)