DoD Awards $24.15M C-130 Aircraft Contract to L3Harris Technologies for PDM

Contract Overview

Contract Amount: $24,152,494 ($24.2M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2021-11-30

End Date: 2024-07-03

Contract Duration: 946 days

Daily Burn Rate: $25.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: C-130 UDLM/PDM OVERFLOW CONTRACT - PDM

Place of Performance

Location: WACO, MCLENNAN County, TEXAS, 76705

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $24.2 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: C-130 UDLM/PDM OVERFLOW CONTRACT - PDM Key points: 1. Contract awarded to L3Harris Technologies for C-130 PDM services. 2. Full and open competition was utilized for this award. 3. The contract duration is 946 days. 4. The total award amount is $24,152,493.62. 5. This falls under the Aircraft Manufacturing sector.

Value Assessment

Rating: good

The award amount of $24.15M for C-130 PDM services appears reasonable given the contract duration and the nature of aircraft modification and overhaul. Benchmarking against similar contracts for large aircraft maintenance and upgrade programs would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust process for soliciting bids and ensuring fair pricing. This method typically leads to competitive pricing as multiple vendors have the opportunity to propose their best offers.

Taxpayer Impact: The use of full and open competition is expected to yield a fair price for taxpayers, maximizing value for the government's investment in critical aircraft sustainment.

Public Impact

Ensures continued operational readiness of the C-130 fleet. Supports critical military airlift capabilities. Contributes to the aerospace manufacturing and maintenance industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized
Firm fixed price contract type
Long-term sustainment focus

Sector Analysis

This contract falls within the aerospace and defense sector, specifically aircraft manufacturing and sustainment. Spending in this area is crucial for maintaining military readiness and technological superiority. Benchmarks for similar aircraft modification and overhaul contracts vary widely based on aircraft type and scope of work.

Small Business Impact

While the prime contractor is L3Harris Technologies, a large business, the contract details do not specify any subcontracting goals or participation from small businesses. Further analysis would be needed to determine if small businesses are involved in the supply chain for this contract.

Oversight & Accountability

The Department of the Air Force is responsible for overseeing this contract. Standard oversight mechanisms for defense contracts, including performance monitoring and financial audits, should be in place to ensure compliance and accountability.

Related Government Programs

Aircraft Manufacturing
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential for cost overruns if unforeseen issues arise during PDM.
Dependence on a single contractor for critical sustainment.
Need for clear performance metrics to ensure quality and timeliness.
Lack of explicit small business subcontracting goals.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.2 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P.. C-130 UDLM/PDM OVERFLOW CONTRACT - PDM

Who is the contractor on this award?

The obligated recipient is L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $24.2 million.

What is the period of performance?

Start: 2021-11-30. End: 2024-07-03.

What is the specific scope of work for the C-130 PDM (Program Depot Maintenance) and how does it compare to previous PDM cycles?

The PDM for the C-130 typically involves comprehensive inspection, repair, overhaul, and modification of the aircraft to restore it to a specified service life or condition. This includes structural repairs, engine overhauls, avionics upgrades, and system checks. The scope can vary based on the specific needs identified during inspections and the planned service life extension of the aircraft. Comparing it to previous cycles would reveal if new technologies or more extensive repairs are being implemented.

What are the key performance metrics and deliverables expected from L3Harris Technologies under this contract?

Key performance metrics likely include on-time delivery of aircraft, adherence to quality standards during maintenance and repair, and successful completion of all specified PDM tasks. Deliverables would encompass detailed inspection reports, completed repair logs, updated aircraft maintenance records, and the final returned-to-service aircraft. Performance will be monitored against contractual requirements to ensure the C-130s are fully mission-capable.

How does the $24.15M award compare to the estimated cost or budget for this PDM requirement?

The award amount of $24.15M represents the total value obligated under this delivery order. To assess its alignment with the budget, one would need to compare it against the government's independent cost estimate or the ceiling value of the broader indefinite-delivery/indefinite-quantity (IDIQ) contract from which this order was placed. If the award is significantly below the estimate, it suggests strong competition or favorable pricing; if it's above, it might warrant further scrutiny.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: FA850420R0001

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: L3harris Technologies, Inc

Address: 7500 MAEHR RD, WACO, TX, 76705

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $24,152,494

Exercised Options: $24,152,494

Current Obligation: $24,152,494

Subaward Activity

Number of Subawards: 25

Total Subaward Amount: $2,452,896

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA850421D0001

IDV Type: IDC

Timeline