Boeing Awarded $17.9M for F-15 Longerons, Extending Production Through 2028
Contract Overview
Contract Amount: $17,916,878 ($17.9M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2019-09-26
End Date: 2028-02-29
Contract Duration: 3,078 days
Daily Burn Rate: $5.8K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: F-15 SLEP LONGERON PRODUCTION KITS
Place of Performance
Location: SAINT LOUIS, SAINT LOUIS County, MISSOURI, 63134
State: Missouri Government Spending
Plain-Language Summary
Department of Defense obligated $17.9 million to THE BOEING COMPANY for work described as: F-15 SLEP LONGERON PRODUCTION KITS Key points: 1. Significant contract value for aircraft component production. 2. Sole-source award to Boeing raises competition concerns. 3. Long-term contract duration may impact price flexibility. 4. Aircraft manufacturing sector sees continued defense investment.
Value Assessment
Rating: fair
The contract value of $17.9M for F-15 SLEP longeron production kits appears reasonable given the specialized nature of aircraft components and the long-term delivery schedule. However, without specific per-unit cost data or comparison to similar sole-source procurements, a definitive value assessment is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award to The Boeing Company. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive bidding process.
Taxpayer Impact: The lack of competition in this sole-source award may result in higher costs for taxpayers, as there was no market pressure to drive down prices.
Public Impact
Ensures continued readiness and modernization of the F-15 fleet. Supports critical defense manufacturing capabilities within the US. Potential for job creation and economic activity in Missouri.
Waste & Efficiency Indicators
Waste Risk Score: 58 / 10
Warning Flags
- Lack of competition
- Long contract duration
- Sole-source award
Positive Signals
- Supports critical defense asset
- Long-term production commitment
Sector Analysis
This contract falls within the Aircraft Manufacturing sector, a key area of defense spending. Benchmarks for similar sole-source component procurements are difficult to establish due to the unique nature of each contract, but the value is substantial for specialized parts.
Small Business Impact
The contract was awarded to The Boeing Company, a large prime contractor. There is no indication of subcontracting opportunities for small businesses within this specific award notice, which could limit their participation in this defense production effort.
Oversight & Accountability
The Department of the Air Force is the awarding agency. Oversight will focus on contract performance, delivery schedules, and adherence to the firm fixed price terms. The long duration necessitates ongoing monitoring to ensure continued value.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award limits competition and price discovery.
- Long contract duration may reduce flexibility and increase risk.
- Lack of transparency on per-unit costs hinders value assessment.
- Potential for cost overruns due to non-competitive nature.
Tags
aircraft-manufacturing, department-of-defense, mo, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.9 million to THE BOEING COMPANY. F-15 SLEP LONGERON PRODUCTION KITS
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
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 $17.9 million.
What is the period of performance?
Start: 2019-09-26. End: 2028-02-29.
What is the rationale for the sole-source award, and were any attempts made to solicit competitive bids?
The rationale for the sole-source award is not explicitly detailed in the provided data. Typically, sole-source awards are justified by factors such as unique technical capabilities, urgent needs, or the unavailability of other qualified sources. Further investigation into the contracting officer's justification would be required to understand the specific reasons and confirm if competitive solicitations were deemed impractical or unsuccessful.
How does the per-unit cost of these longeron production kits compare to historical data or industry benchmarks for similar aircraft components?
The provided data does not include per-unit cost information, making a direct comparison impossible. To assess value, one would need to obtain detailed cost breakdowns or benchmark against previous F-15 component procurements, or similar structural components for other military aircraft. The absence of this data hinders a thorough cost-effectiveness analysis.
What is the potential impact of this long-term contract on the overall sustainment costs and modernization roadmap for the F-15 fleet?
This contract ensures the availability of critical components for the F-15 fleet's Service Life Extension Program (SLEP) through 2028, contributing to the aircraft's continued operational readiness. While securing production is positive, the long duration and sole-source nature warrant scrutiny to ensure it aligns with evolving modernization strategies and doesn't lock the Air Force into suboptimal long-term sustainment costs.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6200 JS MCDONNELL BLVD, SAINT LOUIS, MO, 63134
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: $57,980,764
Exercised Options: $57,980,764
Current Obligation: $17,916,878
Subaward Activity
Number of Subawards: 33
Total Subaward Amount: $9,042,154
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA863417D2696
IDV Type: IDC
Timeline
Start Date: 2019-09-26
Current End Date: 2028-02-29
Potential End Date: 2028-02-29 00:00:00
Last Modified: 2025-11-07
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