DoD Awards $28.6M Delivery Order to Sun Test Systems for AGPU FMS Support

Contract Overview

Contract Amount: $28,648,890 ($28.6M)

Contractor: SUN Test Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-04-29

End Date: 2027-05-24

Contract Duration: 755 days

Daily Burn Rate: $37.9K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: THE PURPOSE OF THIS DELIVERY ORDER IS FOR PURCHASING SEVERAL LINE ITEMS IN SUPPORT OF AGPU FMS.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35824

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $28.6 million to SUN TEST SYSTEMS, INC. for work described as: THE PURPOSE OF THIS DELIVERY ORDER IS FOR PURCHASING SEVERAL LINE ITEMS IN SUPPORT OF AGPU FMS. Key points: 1. Significant investment in aircraft parts and auxiliary equipment manufacturing. 2. Sole source award raises questions about price discovery and competition. 3. Long contract duration (755 days) warrants close monitoring. 4. Focus on AGPU FMS suggests critical operational support.

Value Assessment

Rating: questionable

The award is a delivery order, making direct price comparison difficult without more context on the specific line items. The lack of competition suggests potential for overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This method limits price discovery and may result in higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The absence of competition could lead to suboptimal pricing, impacting taxpayer value.

Public Impact

Supports critical Department of the Army operations through specialized equipment. Potential for increased costs due to sole-source procurement method. Long-term contract ensures sustained support for AGPU FMS.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • High dollar value

Positive Signals

  • Supports critical defense systems
  • Long-term support planned

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this area is crucial for maintaining military readiness and operational capabilities.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was considered or feasible.

Oversight & Accountability

As a sole-source award, this contract warrants close oversight to ensure fair pricing and effective delivery of goods and services to the Department of the Army.

Related Government Programs

  • Other Aircraft Parts and Auxiliary Equipment Manufacturing
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Sole-source award limits price competition.
  • Potential for inflated pricing due to lack of competition.
  • Long contract duration increases exposure to market fluctuations.
  • No indication of small business participation.

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 $28.6 million to SUN TEST SYSTEMS, INC.. THE PURPOSE OF THIS DELIVERY ORDER IS FOR PURCHASING SEVERAL LINE ITEMS IN SUPPORT OF AGPU FMS.

Who is the contractor on this award?

The obligated recipient is SUN TEST SYSTEMS, 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 $28.6 million.

What is the period of performance?

Start: 2025-04-29. End: 2027-05-24.

What specific AGPU FMS components are being procured, and how was the necessity for a sole-source award determined?

The specific components are not detailed in the provided data. A sole-source award typically occurs when only one vendor can provide the required goods or services due to unique capabilities, proprietary technology, or urgent needs. Justification documentation would be required to validate this determination and ensure it was made appropriately.

What is the benchmark pricing for similar aircraft parts and auxiliary equipment in the current market?

Without detailed line-item information and market research data, establishing a precise benchmark is challenging. However, given the sole-source nature, the price paid is likely higher than if it had been competitively bid. Independent market analysis or comparison with previously awarded contracts for similar items would be necessary.

How will the effectiveness of Sun Test Systems, Inc. in delivering these critical parts be measured and ensured over the contract period?

Effectiveness will likely be measured through performance metrics outlined in the delivery order, such as on-time delivery, quality of parts, and adherence to specifications. The Department of the Army's contracting officer and quality assurance personnel will be responsible for monitoring performance and ensuring accountability throughout the contract's duration.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: AEROSPACE CRAFT LAUNCHING, LANDING, GROUND HANDLING AND SERVICING EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2903 WALL TRIANA HWY SW, HUNTSVILLE, AL, 35824

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Self-Certified Small Disadvantaged Business, Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $28,648,890

Exercised Options: $28,648,890

Current Obligation: $28,648,890

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W58RGZ25D0019

IDV Type: IDC

Timeline

Start Date: 2025-04-29

Current End Date: 2027-05-24

Potential End Date: 2027-05-24 00:00:00

Last Modified: 2025-07-18

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