Coast Guard awards $1.18M contract for MH-60T helicopter EGI repair to Honeywell

Contract Overview

Contract Amount: $118,500 ($118.5K)

Contractor: Honeywell International Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2026-01-29

End Date: 2026-06-08

Contract Duration: 130 days

Daily Burn Rate: $912/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: REPAIR OF THE EGI 764+429+JAIC THAT WILL BE USED ON UNITED STATES COAST GUARD MH-60T HELICOPTERS.

Place of Performance

Location: CLEARWATER, PINELLAS County, FLORIDA, 33764

State: Florida Government Spending

Plain-Language Summary

Department of Homeland Security obligated $118,500 to HONEYWELL INTERNATIONAL INC. for work described as: REPAIR OF THE EGI 764+429+JAIC THAT WILL BE USED ON UNITED STATES COAST GUARD MH-60T HELICOPTERS. Key points: 1. Contract awarded for critical EGI repair services for MH-60T helicopters. 2. Sole-source award to Honeywell International Inc. raises questions about competition. 3. Fixed-price contract structure aims to control costs for repair services. 4. Short performance period suggests a focused, immediate need for the repair. 5. The contract supports the operational readiness of the U.S. Coast Guard's aviation assets. 6. Geographic location of performance is Florida, a key operational hub.

Value Assessment

Rating: fair

The contract value of $1.18 million for EGI repair appears reasonable for specialized aviation components. However, without specific details on the scope of work and the number of EGIs to be repaired, a direct comparison to similar contracts is challenging. The firm fixed-price nature of the award suggests an attempt to manage costs, but the lack of competition could lead to a less favorable price than if multiple vendors had bid.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP), indicating a sole-source award to Honeywell International Inc. The absence of a competitive bidding process means that the U.S. Coast Guard did not explore potential alternative suppliers or pricing structures. This approach may be justified if Honeywell is the sole authorized repair provider for this specific EGI component, but it limits the opportunity for price discovery and potentially higher costs for the government.

Taxpayer Impact: A sole-source award means taxpayers may not be receiving the best possible price, as competition is a key driver for cost savings in government procurement.

Public Impact

The U.S. Coast Guard's aviation fleet, specifically the MH-60T helicopters, will benefit from operational readiness. Essential repair services for the EGI (Embedded GPS/INS) navigation system will be provided. The contract's performance will occur in Florida, supporting regional aviation maintenance capabilities. This contract ensures the continued effectiveness of Coast Guard search and rescue, interdiction, and maritime law enforcement missions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may result in higher costs for taxpayers.
Sole-source award limits transparency in pricing and service delivery.
Dependence on a single contractor for critical component repair poses a supply chain risk.

Positive Signals

Firm fixed-price contract provides cost certainty for this specific repair.
Award to an established contractor like Honeywell suggests technical expertise.
Contract supports the operational readiness of vital Coast Guard assets.

Sector Analysis

The aerospace and defense sector is characterized by complex, high-value components requiring specialized maintenance. Contracts for aviation electronics repair, such as for the EGI system, are critical for maintaining fleet readiness. The market for such specialized repairs is often dominated by original equipment manufacturers (OEMs) or their authorized service centers due to proprietary knowledge and certification requirements. Benchmarking this contract's value is difficult without more detailed specifications, but it falls within the typical range for specialized aviation component repair services.

Small Business Impact

This contract was awarded directly to Honeywell International Inc. and does not appear to include any specific small business set-aside provisions. There is no indication of subcontracting opportunities for small businesses within the provided data. The focus is on a direct award for specialized repair, which typically involves large, established aerospace firms.

Oversight & Accountability

The U.S. Coast Guard, as part of the Department of Homeland Security, is subject to various oversight mechanisms. This contract, being a purchase order, would fall under the agency's internal procurement regulations and financial controls. Transparency regarding sole-source justifications and performance monitoring would be key areas for oversight. The Inspector General for the Department of Homeland Security may review such contracts for compliance and efficiency.

Related Government Programs

MH-60T Helicopter Maintenance
Aviation Electronics Repair
Navigation System Maintenance
Department of Homeland Security Aviation Contracts
U.S. Coast Guard Procurement

Risk Flags

Sole-source award
Lack of competition
Potential for inflated pricing
Supply chain dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $118,500 to HONEYWELL INTERNATIONAL INC.. REPAIR OF THE EGI 764+429+JAIC THAT WILL BE USED ON UNITED STATES COAST GUARD MH-60T HELICOPTERS.

Who is the contractor on this award?

The obligated recipient is HONEYWELL INTERNATIONAL INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $118,500.

What is the period of performance?

Start: 2026-01-29. End: 2026-06-08.

What is the specific nature of the EGI 764+429+JAIC repair and why is Honeywell the sole provider?

The EGI 764+429+JAIC refers to the Embedded GPS/INS (Inertial Navigation System) unit, a critical component for the navigation and positioning of the MH-60T helicopters. Honeywell International Inc. is likely the sole provider due to being the original equipment manufacturer (OEM) or having exclusive rights to repair and certify these specific units. Aviation components often require specialized knowledge, tooling, and certifications that only the OEM or authorized partners possess. This proprietary nature of the technology and repair process typically justifies sole-source awards to ensure airworthiness and maintain warranty compliance. Without this specific authorization, other entities may not be legally or technically capable of performing the required repairs.

How does the $1.18 million contract value compare to typical EGI repair costs for similar aircraft?

Benchmarking the $1.18 million contract value for EGI repair is challenging without detailed specifications on the scope of work, the number of units to be repaired, and the specific issues addressed. However, for complex avionics components like EGIs, repair costs can range significantly. Factors influencing cost include the extent of damage, the need for component replacement versus repair, and the required turnaround time. Given that this is a sole-source award to an OEM, the price might be at the higher end of the spectrum compared to a competitive market. Further analysis would require access to historical repair data for the MH-60T EGI or comparable systems on other platforms, as well as Honeywell's standard repair rates.

What are the potential risks associated with a sole-source award for critical aviation components?

Sole-source awards for critical aviation components like the EGI present several risks. Primarily, the lack of competition can lead to inflated prices, meaning the government (and taxpayers) may pay more than necessary. It also reduces transparency in the procurement process, making it harder to assess the fairness of the price. Furthermore, reliance on a single supplier creates a vulnerability in the supply chain; any disruption in the supplier's operations, such as production issues, financial instability, or geopolitical events, could directly impact the operational readiness of the aircraft. This dependence can also limit the government's leverage in negotiating future contracts or service level agreements.

What is the expected impact of this contract on the operational readiness of the U.S. Coast Guard's MH-60T fleet?

This contract is crucial for maintaining the operational readiness of the U.S. Coast Guard's MH-60T helicopter fleet. The EGI (Embedded GPS/INS) is a vital navigation system, and its proper functioning is essential for mission success, including search and rescue, maritime law enforcement, and interdiction operations. By ensuring these components are repaired and returned to service, the contract directly supports the Coast Guard's ability to deploy and operate its helicopters effectively. The short performance period (ending June 2026) suggests a focus on addressing immediate needs to prevent degradation of the fleet's operational capability.

Are there any historical spending patterns with Honeywell for similar aviation repair services by the U.S. Coast Guard or DHS?

Honeywell International Inc. is a major defense contractor and a frequent supplier of aviation components and services to various government agencies, including the Department of Homeland Security (DHS) and its components like the U.S. Coast Guard. Historical data would likely show a pattern of awards to Honeywell for avionics, engines, and other aircraft systems. Analyzing past contracts for similar repair services, particularly for the MH-60T or comparable platforms, would provide context on pricing trends, competition levels, and performance history. Without access to a comprehensive federal procurement database or specific historical contract details for the Coast Guard's aviation maintenance, it's difficult to provide precise spending patterns, but Honeywell's established presence suggests ongoing business relationships.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Air Transportation › Other Support Activities for Air Transportation

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

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70Z03826QJ0000050

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Resideo Technologies, Inc.

Address: 13350 US HIGHWAY 19 NORTH, CLEARWATER, FL, 33764

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: $118,500

Exercised Options: $118,500

Current Obligation: $118,500

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline