DoD Awards $26.3M for Technical Data Development to Defense Systems and Solutions
Contract Overview
Contract Amount: $26,260,272 ($26.3M)
Contractor: Defense Systems and Solutions
Awarding Agency: Department of Defense
Start Date: 2019-09-17
End Date: 2026-09-15
Contract Duration: 2,555 days
Daily Burn Rate: $10.3K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: THIS STATEMENT OF WORK DEFINES THE EFFORT REQUIRED TO DEVELOP AND DELIVER THE TECHNICAL DATA TIME COMPLIANCE TECHNICAL ORDERS TCTOS ENGINEERING AND PROVISIONING RELATING TO THE ESTS AND ALLOW THE UPGRADE OF THE ESTS TO A31U182403 AND A31U182404
Place of Performance
Location: HUNTSVILLE, MADISON County, ALABAMA, 35808
State: Alabama Government Spending
Plain-Language Summary
Department of Defense obligated $26.3 million to DEFENSE SYSTEMS AND SOLUTIONS for work described as: THIS STATEMENT OF WORK DEFINES THE EFFORT REQUIRED TO DEVELOP AND DELIVER THE TECHNICAL DATA TIME COMPLIANCE TECHNICAL ORDERS TCTOS ENGINEERING AND PROVISIONING RELATING TO THE ESTS AND ALLOW THE UPGRADE OF THE ESTS TO A31U182403 AND A31U182404 Key points: 1. Contract focuses on developing technical data for ESTS upgrades. 2. Competition method was 'Full and Open Competition After Exclusion of Sources'. 3. Risk of cost overruns due to Cost Plus Fixed Fee contract type. 4. Sector is Other Aircraft Parts and Auxiliary Equipment Manufacturing.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which offers less price certainty than fixed-price contracts. Benchmarking per-unit cost is not feasible without more detailed product information.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The competition was 'Full and Open Competition After Exclusion of Sources', suggesting a limited initial pool of bidders. This method may impact price discovery and potentially lead to higher costs compared to broader competition.
Taxpayer Impact: Taxpayer funds are being used for the development of critical technical data, with potential for cost efficiencies to be realized through effective oversight.
Public Impact
Ensures availability of essential technical data for military equipment upgrades. Supports the modernization of ESTS systems for improved operational capabilities. Contributes to the defense industrial base and associated supply chains.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type increases cost risk.
- Limited competition method may impact price.
- Long contract duration (2019-2026) increases exposure to changing requirements.
Positive Signals
- Addresses critical need for technical data.
- Supports military modernization efforts.
- Awarded to a company with relevant expertise.
Sector Analysis
This contract falls within the Other Aircraft Parts and Auxiliary Equipment Manufacturing sector. Spending in this sector is driven by defense procurement and the need for specialized components and data for aircraft systems.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this larger award.
Oversight & Accountability
Oversight will be crucial given the Cost Plus Fixed Fee contract type to ensure costs remain reasonable and deliverables meet specifications. The Department of the Army's contracting activity suggests established oversight processes.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Cost overrun risk due to CPFF contract.
- Potential for limited competition impacting price.
- Long contract duration increases risk exposure.
- Lack of small business participation noted.
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, al, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $26.3 million to DEFENSE SYSTEMS AND SOLUTIONS. THIS STATEMENT OF WORK DEFINES THE EFFORT REQUIRED TO DEVELOP AND DELIVER THE TECHNICAL DATA TIME COMPLIANCE TECHNICAL ORDERS TCTOS ENGINEERING AND PROVISIONING RELATING TO THE ESTS AND ALLOW THE UPGRADE OF THE ESTS TO A31U182403 AND A31U182404
Who is the contractor on this award?
The obligated recipient is DEFENSE SYSTEMS AND SOLUTIONS.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $26.3 million.
What is the period of performance?
Start: 2019-09-17. End: 2026-09-15.
What specific technical data is being developed, and how will it directly enhance ESTS capabilities?
The contract focuses on developing Technical Data and Time Compliance Technical Orders (TCTOs) for ESTS. This data is essential for enabling upgrades to specific configurations (A31U182403 and A31U182404), which likely involve enhancements to the system's functionality, performance, or maintainability, thereby improving overall operational effectiveness.
What are the primary risks associated with the Cost Plus Fixed Fee contract structure for this development effort?
The primary risk with a Cost Plus Fixed Fee (CPFF) contract is that the contractor has less incentive to control costs compared to fixed-price contracts. The government bears the risk of cost overruns, as the fee is fixed. This necessitates robust oversight to ensure the contractor exercises due diligence in managing expenses and that the final cost aligns with the value of the delivered technical data.
How does the 'Full and Open Competition After Exclusion of Sources' method impact the overall value proposition for taxpayers?
This competition method, while allowing for broad participation initially, excludes specific sources from the final bidding stage. This can limit the number of competitive bids received, potentially reducing downward pressure on prices. While it aims to ensure qualified bidders, it may not achieve the best possible price for taxpayers compared to a truly unrestricted full and open competition.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 631 DISCOVERY DR, HUNTSVILLE, AL, 35806
Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $26,260,272
Exercised Options: $26,260,272
Current Obligation: $26,260,272
Actual Outlays: $1,046,455
Subaward Activity
Number of Subawards: 28
Total Subaward Amount: $13,428,880
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W58RGZ18D0001
IDV Type: IDC
Timeline
Start Date: 2019-09-17
Current End Date: 2026-09-15
Potential End Date: 2026-09-15 00:00:00
Last Modified: 2025-12-04
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