DoD's $26.7M contract for resisting panels awarded to RRDS INC shows fair competition and good value

Contract Overview

Contract Amount: $26,740,459 ($26.7M)

Contractor: Rrds Inc

Awarding Agency: Department of Defense

Start Date: 2017-09-11

End Date: 2019-09-30

Contract Duration: 749 days

Daily Burn Rate: $35.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RFAC BULLET RESISTING PANELS

Place of Performance

Location: OMAHA, DOUGLAS County, NEBRASKA, 68102

State: Nebraska Government Spending

Plain-Language Summary

Department of Defense obligated $26.7 million to RRDS INC for work described as: RFAC BULLET RESISTING PANELS Key points: 1. The contract demonstrates a commitment to full and open competition, suggesting a competitive pricing environment. 2. The firm-fixed-price structure helps mitigate cost overrun risks for the government. 3. The delivery order model allows for flexibility in meeting evolving needs. 4. The contract duration of 749 days indicates a substantial, long-term requirement. 5. The North American Industry Classification System (NAICS) code 337215 points to a specialized manufacturing sector.

Value Assessment

Rating: good

The total contract value of $26.7 million for resisting panels appears reasonable given the duration and the nature of the product. Without specific per-unit cost data or direct comparisons to similar, recent contracts for identical items, a precise value-for-money assessment is challenging. However, the firm-fixed-price award type suggests that the contractor assumed the risk of cost fluctuations, which is generally favorable for the government. The absence of reported overruns or significant modifications further supports a 'good' value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The specific number of bidders is not provided, but the designation suggests a robust competitive process. This level of competition is generally expected to drive prices down and encourage innovation, leading to better value for the government.

Taxpayer Impact: A full and open competition ensures that taxpayer dollars are used efficiently by leveraging market forces to secure the best possible pricing and quality for the required resisting panels.

Public Impact

The Department of the Army benefits from the acquisition of essential resisting panels for its operations. These panels likely serve critical functions in military installations, potentially related to security, infrastructure, or operational readiness. The contract supports manufacturing activities within the United States, contributing to the domestic industrial base. The workforce implications are tied to the manufacturing sector, specifically in the production of partitions, shelving, and lockers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific bidder count limits full assessment of competitive intensity.
Per-unit cost data is not available for granular value benchmarking.
The specific application and performance requirements of the panels are not detailed, making it difficult to assess suitability.
Geographic impact of manufacturing and delivery is not specified.

Positive Signals

Awarded under full and open competition, indicating broad market access.
Firm-fixed-price contract type mitigates cost escalation risk for the government.
Contract duration suggests a stable, long-term need being met.
Contractor is RRDS INC, whose track record would need further investigation for a complete risk profile.

Sector Analysis

The manufacturing of partitions, shelving, and lockers falls under the broader industrial manufacturing sector, specifically within the fabricated metal product manufacturing subsector (NAICS 337215). This sector is characterized by its role in supplying essential components and finished goods for construction, infrastructure, and various institutional needs. The market size for such fabricated metal products is substantial, driven by both government and commercial demand. This contract represents a specific procurement within this sector, likely for a specialized application within the Department of Defense.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of subcontracting requirements specifically aimed at small businesses. This suggests that the primary award went to a larger entity or that small business participation was not a mandated component of this particular procurement. Further analysis would be needed to determine if small businesses were involved as suppliers or subcontractors indirectly.

Oversight & Accountability

The contract is subject to standard federal procurement oversight mechanisms. As a delivery order under a larger contract vehicle, its execution is monitored by the Department of the Army. Transparency is provided through contract databases like FPDS. Accountability rests with the contracting officer and the contractor, RRDS INC. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Department of Defense Procurement
Fabricated Metal Product Manufacturing
Military Infrastructure Support
General Services Administration (GSA) Schedules (potential vehicle)
Defense Logistics Agency (DLA) Procurements

Risk Flags

Potential for obsolescence over contract duration.
Unknown specific performance requirements.
Limited data on bidder count for competition assessment.
Contractor performance history not detailed.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $26.7 million to RRDS INC. RFAC BULLET RESISTING PANELS

Who is the contractor on this award?

The obligated recipient is RRDS 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 $26.7 million.

What is the period of performance?

Start: 2017-09-11. End: 2019-09-30.

What is the specific function and performance requirement of these 'resisting panels'?

The provided data indicates the contract is for 'RFAC BULLET RESISTING PANELS'. While the term 'resisting' suggests a protective quality, the specific threat or environment they are designed to withstand (e.g., ballistic, impact, environmental) is not detailed in the summary data. These panels likely serve a security or structural integrity function within Department of Defense facilities. Without further technical specifications, it's difficult to ascertain the precise performance requirements or compare them to industry standards for similar protective materials. Further investigation into the contract's statement of work or technical exhibits would be necessary to fully understand their intended application and performance benchmarks.

How does the $26.7 million total value compare to similar procurements for ballistic or resisting panels by the DoD?

Benchmarking the $26.7 million contract value against similar procurements requires access to a broader dataset of comparable contracts. Factors such as panel specifications (material, thickness, protection level), quantity, delivery location, and contract type significantly influence pricing. While this contract was awarded under full and open competition, the absence of specific bidder counts and per-unit costs limits direct comparison. Generally, large-scale procurements for specialized protective materials can range from tens to hundreds of millions of dollars depending on the scope and threat level. To provide a precise comparison, one would need to identify contracts with similar NAICS codes (337215), similar product descriptions, and awarded within a comparable timeframe, ideally with detailed specifications for performance.

What is the track record of RRDS INC in fulfilling government contracts, particularly for specialized manufacturing?

The provided data identifies RRDS INC as the contractor for this $26.7 million award. A comprehensive assessment of RRDS INC's track record would involve reviewing their past performance on federal contracts, including delivery timeliness, quality of goods, adherence to contract terms, and any history of disputes or contract terminations. Databases like the Federal Awardee Performance and Integrity Information System (FAPIIS) can provide insights into past performance issues. For specialized manufacturing, it's crucial to evaluate their experience with similar materials and production processes. Without access to this detailed performance history, it's difficult to fully assess the risk associated with this contractor for this specific requirement.

What are the potential risks associated with a firm-fixed-price contract for specialized manufacturing like resisting panels?

Firm-fixed-price (FFP) contracts are generally advantageous for the government as they shift cost-risk to the contractor. However, for specialized manufacturing, potential risks can arise if the initial cost estimates by the contractor were inaccurate or if unforeseen production challenges emerge. If the contractor underestimated material costs, labor, or production complexities, they might face financial strain, potentially impacting delivery schedules or quality. Conversely, if the FFP price was set too high due to a lack of robust competition or inaccurate market intelligence, the government might overpay. The 'full and open competition' aspect here suggests a competitive pricing environment, which should mitigate the risk of overpayment, but unforeseen production issues remain a contractor risk.

How does the duration of 749 days (approximately 2 years) impact the assessment of this contract's value and risk?

A contract duration of 749 days indicates a significant and sustained requirement for the resisting panels. This longer duration can be beneficial for both the government and the contractor. For the government, it ensures a consistent supply over a defined period, potentially stabilizing costs and reducing the administrative burden of frequent re-procurement. For the contractor, it provides a predictable revenue stream, allowing for better production planning and resource allocation. From a value perspective, longer-term contracts can sometimes achieve economies of scale, leading to lower per-unit costs compared to shorter, piecemeal orders. However, it also increases the risk of the procured items becoming technologically obsolete or the government's needs changing significantly over the contract period.

Industry Classification

NAICS: Manufacturing › Office Furniture (including Fixtures) Manufacturing › Showcase, Partition, Shelving, and Locker Manufacturing

Product/Service Code: FURNITURE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9128F17R0043

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12 GOODYEAR STE 100, IRVINE, CA, 92618

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

Financial Breakdown

Contract Ceiling: $26,740,459

Exercised Options: $26,740,459

Current Obligation: $26,740,459

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9128F17D0058

IDV Type: IDC

Timeline