Army Awards $7.98M for Stryker Sustainment Services, General Dynamics Holds Contract

Contract Overview

Contract Amount: $7,977,529 ($8.0M)

Contractor: General Dynamics Land Systems Inc.

Awarding Agency: Department of Defense

Start Date: 2025-12-16

End Date: 2026-12-16

Contract Duration: 365 days

Daily Burn Rate: $21.9K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: STRYKER SUSTAINMENT SERVICES OEM MAINTENANCE

Place of Performance

Location: STERLING HEIGHTS, MACOMB County, MICHIGAN, 48310

State: Michigan Government Spending

Plain-Language Summary

Department of Defense obligated $8.0 million to GENERAL DYNAMICS LAND SYSTEMS INC. for work described as: STRYKER SUSTAINMENT SERVICES OEM MAINTENANCE Key points: 1. Contract value of $7.98 million for sustainment services. 2. General Dynamics Land Systems Inc. is the incumbent contractor. 3. Full and open competition was utilized. 4. The contract is for General Automotive Repair services.

Value Assessment

Rating: good

The contract value of $7.98 million for a 365-day period appears reasonable given the specialized nature of OEM maintenance for military vehicles. Benchmarking against similar sustainment contracts would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was employed, suggesting a robust process for price discovery. The award to General Dynamics Land Systems Inc. indicates they offered the best value under this competitive approach.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for service providers.

Public Impact

Ensures continued operational readiness of Stryker vehicles. Supports the U.S. Army's maintenance and repair capabilities. Provides specialized OEM maintenance, crucial for complex military equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in cost-plus contracts.
  • Dependence on a single OEM for specialized parts and expertise.

Positive Signals

  • Full and open competition drives value.
  • Clear contract duration and end date.

Sector Analysis

This contract falls within the Defense sector, specifically focusing on vehicle maintenance and sustainment. Spending in this area is critical for maintaining military readiness and operational effectiveness.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the incumbent is General Dynamics Land Systems Inc. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The contract is managed by the Department of the Army, a component of the Department of Defense. Standard oversight mechanisms for defense contracts are expected to be in place.

Related Government Programs

  • General Automotive Repair
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Cost Plus Fixed Fee structure carries inherent cost overrun risk.
  • Dependence on a single OEM for specialized maintenance.
  • Potential for performance issues if contractor's historical performance is weak.
  • Long-term sustainment needs may require future competitive procurements.

Tags

general-automotive-repair, department-of-defense, mi, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $8.0 million to GENERAL DYNAMICS LAND SYSTEMS INC.. STRYKER SUSTAINMENT SERVICES OEM MAINTENANCE

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS LAND 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 $8.0 million.

What is the period of performance?

Start: 2025-12-16. End: 2026-12-16.

What is the historical performance of General Dynamics Land Systems Inc. on similar sustainment contracts?

Historical performance data for General Dynamics Land Systems Inc. on similar sustainment contracts is crucial for assessing reliability and efficiency. Past contract awards, performance reviews, and any documented issues or successes would provide valuable insights into their capability to meet the requirements of this Stryker sustainment contract, ultimately informing future procurement decisions and risk assessments.

How does the cost-plus-fixed-fee structure impact potential cost overruns for this contract?

The Cost Plus Fixed Fee (CPFF) structure means the contractor is reimbursed for allowable costs plus a fixed fee representing profit. While the fee is fixed, the total cost can fluctuate, potentially leading to overruns if costs exceed initial estimates. Robust oversight and clear definition of allowable costs are essential to mitigate this risk and ensure taxpayer value.

What mechanisms are in place to ensure the quality and timeliness of the automotive repair services provided?

Quality assurance surveillance plans (QASPs) and performance metrics are typically established within defense contracts to monitor the quality and timeliness of services. The Department of the Army would likely have specific inspection protocols and performance standards to ensure the Stryker vehicles are repaired effectively and returned to service promptly, meeting all operational requirements.

Industry Classification

NAICS: Other Services (except Public Administration)Automotive Repair and MaintenanceGeneral Automotive Repair

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 38500 MOUND RD, STERLING HEIGHTS, MI, 48310

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: $7,977,529

Exercised Options: $7,977,529

Current Obligation: $7,977,529

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: W56HZV20D0075

IDV Type: IDC

Timeline

Start Date: 2025-12-16

Current End Date: 2026-12-16

Potential End Date: 2026-12-16 12:12:00

Last Modified: 2025-12-16

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