DoD awards $33M contract for Ordnance Accessories to L3 Technologies under Full and Open Competition
Contract Overview
Contract Amount: $32,957,707 ($33.0M)
Contractor: L3 Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2007-04-04
End Date: 2009-04-30
Contract Duration: 757 days
Daily Burn Rate: $43.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: MIPM
Place of Performance
Location: LONDONDERRY, ROCKINGHAM County, NEW HAMPSHIRE, 03053
Plain-Language Summary
Department of Defense obligated $33.0 million to L3 TECHNOLOGIES, INC. for work described as: MIPM Key points: 1. Contract Value: $33.0 million over 757 days. 2. Competition: Awarded via Full and Open Competition, indicating a competitive bidding process. 3. Risk: Firm Fixed Price contract type mitigates cost overrun risk for the government. 4. Sector: Defense procurement for ordnance and accessories.
Value Assessment
Rating: good
The contract value of $33 million for ordnance accessories appears reasonable given the duration and the nature of the goods. Benchmarking against similar DoD contracts for specialized ordnance manufacturing would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using Full and Open Competition, suggesting that multiple bidders had the opportunity to compete. This method generally leads to better price discovery and potentially lower prices for the government.
Taxpayer Impact: The competitive nature of the award is a positive indicator for taxpayer value, as it likely resulted in a fair market price for the ordnance accessories.
Public Impact
Ensures supply of critical ordnance accessories for military operations. Supports a key defense contractor, L3 Technologies, in its manufacturing capabilities. Demonstrates the Department of Defense's commitment to competitive procurement processes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific unit cost data for detailed analysis.
- Potential for long-term reliance on a single supplier if follow-on contracts are awarded.
Positive Signals
- Awarded under Full and Open Competition.
- Firm Fixed Price contract type.
- Contract awarded to a known defense contractor.
Sector Analysis
This contract falls within the defense manufacturing sector, specifically focusing on ordnance and accessories. Spending in this area is critical for national security and is subject to rigorous oversight and competitive bidding processes.
Small Business Impact
The data does not indicate any specific subcontracting goals for small businesses on this contract. Further investigation would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded by the Department of the Army, a component of the Department of Defense, which has established oversight mechanisms for procurement. The firm fixed price structure also aids in accountability.
Related Government Programs
- Other Ordnance and Accessories Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of detailed product specification.
- Potential for sole-source follow-on contracts.
- Limited visibility into small business participation.
- Geographic concentration in New Hampshire.
Tags
other-ordnance-and-accessories-manufactu, department-of-defense, nh, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.0 million to L3 TECHNOLOGIES, INC.. MIPM
Who is the contractor on this award?
The obligated recipient is L3 TECHNOLOGIES, 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 $33.0 million.
What is the period of performance?
Start: 2007-04-04. End: 2009-04-30.
What was the specific nature of the 'Other Ordnance and Accessories' procured, and how critical are they to current military operations?
The specific nature of 'Other Ordnance and Accessories' is not detailed in the provided data. Understanding the exact items procured is crucial for assessing their criticality to current military operations. This information would typically be found in the contract's statement of work and could range from specialized ammunition components to tactical gear accessories, directly impacting readiness and operational effectiveness.
How does the awarded price of $33 million compare to industry benchmarks for similar ordnance and accessories, considering the contract duration?
Without specific details on the items procured and their quantities, a precise benchmark comparison is challenging. However, the $33 million award over approximately two years for specialized defense manufacturing suggests a significant procurement. A thorough analysis would involve comparing unit costs for comparable items, factoring in inflation, R&D, and the competitive landscape within the defense ordnance sector.
What mechanisms are in place to ensure the quality and timely delivery of these ordnance accessories, given the firm fixed price contract?
Firm Fixed Price contracts place the cost risk on the contractor, incentivizing efficiency. Quality and timely delivery are typically ensured through detailed contract specifications, performance metrics, inspection and acceptance criteria at various stages, and potential penalties for non-compliance. The Department of Defense also employs quality assurance representatives to monitor contractor performance throughout the contract lifecycle.
Industry Classification
NAICS: Manufacturing › Other Fabricated Metal Product Manufacturing › Other Ordnance and Accessories Manufacturing
Product/Service Code: SPECIAL INDUSTRY MACHINERY
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: L-3 Communications Holdings, Inc. (UEI: 008898843)
Address: 9 AKIRA WAY, LONDONDERRY, NH, 01
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $32,957,707
Exercised Options: $32,957,707
Current Obligation: $32,957,707
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W91CRB05D0028
IDV Type: IDC
Timeline
Start Date: 2007-04-04
Current End Date: 2009-04-30
Potential End Date: 2009-04-30 00:00:00
Last Modified: 2010-07-29
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