Coast Guard awards $192K for radar repairs on MH-60T helicopters, a sole-source purchase order

Contract Overview

Contract Amount: $192,285 ($192.3K)

Contractor: Honeywell International Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2026-04-03

End Date: 2026-06-27

Contract Duration: 85 days

Daily Burn Rate: $2.3K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: REPAIR OF COLOR WEATHER RADARS TO BE USED ON USCG MH-60T HELICOPTERS.

Place of Performance

Location: OLATHE, JOHNSON County, KANSAS, 66061

State: Kansas Government Spending

Plain-Language Summary

Department of Homeland Security obligated $192,284.52 to HONEYWELL INTERNATIONAL INC. for work described as: REPAIR OF COLOR WEATHER RADARS TO BE USED ON USCG MH-60T HELICOPTERS. Key points: 1. The contract focuses on essential repair services for critical radar components. 2. Limited competition is noted, suggesting potential for higher costs or reduced innovation. 3. The fixed-price contract type aims to control costs, but the sole-source nature warrants scrutiny. 4. Performance is tied to specific helicopter models, indicating a niche but vital support role. 5. The contract duration is relatively short, suggesting a focused scope of work. 6. Geographic location of the contractor (Kansas) may influence logistics and response times.

Value Assessment

Rating: fair

The contract value of $192,284.52 for radar repairs appears reasonable for specialized aviation components. However, without direct comparisons to similar sole-source procurements for MH-60T radar systems, a definitive value-for-money assessment is challenging. The fixed-price nature provides cost certainty, but the lack of competition could mean the government is not achieving the best possible price. Benchmarking against industry standards for similar electronic repair services would be beneficial.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP) and is listed as 'NOT COMPETED UNDER SAP'. The data indicates a sole-source award, meaning only one vendor, Honeywell International Inc., was solicited. This approach bypasses the competitive process, which typically drives down prices and encourages innovation. The justification for a sole-source award would need to be thoroughly reviewed to ensure it aligns with federal procurement regulations.

Taxpayer Impact: Sole-source awards limit the government's ability to leverage competition to secure the best pricing for taxpayers. This can lead to higher overall expenditures compared to a fully competed contract.

Public Impact

The U.S. Coast Guard benefits from the repair of essential radar systems for its MH-60T helicopter fleet. This ensures the operational readiness and safety of critical aviation assets used for search and rescue, maritime law enforcement, and other missions. The services delivered directly support the Coast Guard's ability to conduct its statutory missions effectively. The impact is primarily on the operational capabilities of the Coast Guard, with potential indirect benefits to public safety through enhanced mission performance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and limited vendor options.
Sole-source awards can reduce transparency and accountability in the procurement process.
Reliance on a single contractor may create long-term dependency and limit future flexibility.

Positive Signals

Fixed-price contract type helps to establish cost certainty for the government.
The contractor, Honeywell International Inc., is a known entity in aerospace and defense, suggesting potential for reliable service.
The contract addresses a specific, critical need for aviation equipment maintenance.

Sector Analysis

The aerospace and defense sector is characterized by complex, high-value contracts often involving specialized technology. Repair and maintenance services are a significant segment, ensuring the longevity and operational effectiveness of military and civilian aircraft. Spending in this area is driven by the need to maintain aging fleets and incorporate technological upgrades. Comparable spending benchmarks would typically involve analyzing other service contracts for aviation electronics and component repair within government agencies.

Small Business Impact

This contract was awarded to Honeywell International Inc. and does not indicate any small business set-aside provisions. There is no information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem appears minimal for this specific award, as it was not designed to promote small business participation.

Oversight & Accountability

Oversight for this contract would primarily fall under the U.S. Coast Guard's contracting and program management offices. As a purchase order, it is subject to standard procurement regulations and internal review processes. Transparency is limited due to the sole-source nature. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise during the contract's performance or closeout.

Related Government Programs

USCG MH-60T Helicopter Maintenance
Aviation Radar Systems Repair
Aerospace Component Services
Defense Contractor Support
Homeland Security Aviation Procurement

Risk Flags

Sole-source award
Lack of competition
Potential for price escalation
Limited vendor options

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $192,284.52 to HONEYWELL INTERNATIONAL INC.. REPAIR OF COLOR WEATHER RADARS TO BE USED ON USCG 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 $192,284.52.

What is the period of performance?

Start: 2026-04-03. End: 2026-06-27.

What is Honeywell International Inc.'s track record with the U.S. Coast Guard and similar aviation repair contracts?

Honeywell International Inc. is a major aerospace and defense contractor with extensive experience providing systems, components, and services to various government agencies, including the U.S. Coast Guard. Their track record typically includes a wide range of aviation support, from avionics and engines to software and maintenance. For the U.S. Coast Guard specifically, Honeywell has likely supplied or serviced components for various aircraft platforms. Analyzing past performance on similar contracts, particularly those involving radar systems or specific helicopter models like the MH-60T, would reveal their reliability, quality of work, and adherence to schedules and budgets. Publicly available contract databases and agency performance reports can offer insights into their history, though specific details on sole-source awards like this one might be less transparent.

How does the pricing of this radar repair contract compare to market rates for similar services?

Benchmarking the pricing of this $192,284.52 contract against market rates is challenging without more specific details on the nature of the repairs and the exact components involved. As a sole-source award to Honeywell International Inc., there's an inherent risk that the price may not reflect the most competitive market value. To perform a robust comparison, one would need to identify comparable repair services for MH-60T radar systems or similar advanced aviation radar units from other qualified vendors, if available. Industry pricing guides for aerospace maintenance, or data from previously competed contracts for similar services, could provide a reference point. The fixed-price nature offers some cost control, but the lack of competition means a direct, apples-to-apples comparison to determine optimal value is difficult.

What are the primary risks associated with this sole-source contract for radar repair?

The primary risk associated with this sole-source contract is the potential for inflated pricing due to the absence of competition. Without competing bids, Honeywell International Inc. may not have the same incentive to offer the most cost-effective solution. Another significant risk is vendor lock-in; if Honeywell is the sole provider of these specific repair services or parts, the Coast Guard could become dependent on them, potentially facing higher costs or supply chain issues in the future. Furthermore, the lack of competition can reduce transparency and make it harder to assess the true value received. There's also a risk related to the contractor's performance; while Honeywell is a large company, any sole-source award warrants careful monitoring to ensure quality and timely delivery meet the Coast Guard's operational needs.

How effective is the U.S. Coast Guard's procurement process in ensuring value for money on sole-source aviation contracts?

The effectiveness of the U.S. Coast Guard's procurement process in ensuring value for money on sole-source aviation contracts is variable and heavily dependent on the specific circumstances and justifications for the sole-source award. Federal regulations (like FAR Part 6) allow for sole-source procurements under specific conditions, such as when only one responsible source can provide the required supplies or services. When these conditions are legitimately met, and the government negotiates effectively, value for money can still be achieved. However, the inherent lack of competition generally makes it more challenging to guarantee the best possible price and terms compared to a fully competed process. Robust internal review, independent cost analysis, and strong negotiation tactics by the contracting officers are crucial to mitigating the risks associated with sole-source awards and maximizing taxpayer value.

What are the historical spending patterns for radar repair and maintenance for the U.S. Coast Guard's MH-60T helicopter fleet?

Analyzing historical spending patterns for radar repair and maintenance on the U.S. Coast Guard's MH-60T helicopter fleet would provide crucial context for this $192,284.52 contract. This would involve examining past contracts awarded for similar services, including their values, durations, and whether they were competed or sole-source. Understanding the frequency of repairs needed, the average cost per repair event, and the total annual expenditure on radar maintenance for this specific aircraft type would help determine if the current award is consistent with historical trends or represents an anomaly. Significant deviations from past spending could indicate changes in equipment condition, pricing, or procurement strategy, warranting further investigation into the underlying causes.

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: 70Z03826QJ0000138

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Honeywell Safety Products USA, Inc.

Address: 23500 W 105TH ST, OLATHE, KS, 66061

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: $192,285

Exercised Options: $192,285

Current Obligation: $192,285

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline