DoD awards $22.2M for BWOA engineering services to Qorvo, citing no competition

Contract Overview

Contract Amount: $22,251,233 ($22.3M)

Contractor: Qorvo California, Inc.

Awarding Agency: Department of Defense

Start Date: 2014-09-23

End Date: 2021-03-31

Contract Duration: 2,381 days

Daily Burn Rate: $9.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::OT::IGF ENGINEERING SERVICES FOR FORM, FIT AND FUNCTION INTERFACE (FFFI), REDESIGN, DEVELOPMENT OF DATA, MANUFACTURING, AND DELIVERING PROTOTYPES THAT WILL MEET LEGACY LRU SPECIFICATION REQUIREMENT FOR THE BACKWARD WAVE OSCILLATOR ASSEMBLY (BWOA) APPLICABLE TO THE ALQ-155 SYSTEM

Place of Performance

Location: NEWBURY PARK, VENTURA County, CALIFORNIA, 91320

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $22.3 million to QORVO CALIFORNIA, INC. for work described as: IGF::OT::IGF ENGINEERING SERVICES FOR FORM, FIT AND FUNCTION INTERFACE (FFFI), REDESIGN, DEVELOPMENT OF DATA, MANUFACTURING, AND DELIVERING PROTOTYPES THAT WILL MEET LEGACY LRU SPECIFICATION REQUIREMENT FOR THE BACKWARD WAVE OSCILLATOR ASSEMBLY (BWOA) APPLICABLE TO THE ALQ-155 SY… Key points: 1. Contract awarded for complex engineering services related to the ALQ-155 system's Backward Wave Oscillator Assembly (BWOA). 2. Significant funding allocated for form, fit, function interface redesign, and prototype delivery. 3. Sole-source award raises questions about price discovery and potential for better value. 4. Engineering services sector sees substantial investment, but competition is key for efficiency.

Value Assessment

Rating: questionable

The contract value of $22.2M for engineering services is substantial. Without competitive bidding, it's difficult to assess if this price reflects fair market value compared to similar specialized engineering contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning no other vendors were considered. This significantly limits price discovery and may lead to higher costs for taxpayers.

Taxpayer Impact: The lack of competition for this $22.2M contract means taxpayers may have paid a premium for these specialized engineering services.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding for critical defense system components. Limited transparency in the procurement process for the ALQ-155 system's BWOA. Potential for future sole-source awards if this is not re-competed, impacting long-term cost-effectiveness.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Lack of competition
  • Potential for overpayment

Positive Signals

  • Addresses critical system need
  • Long-term contract duration

Sector Analysis

This contract falls within the Engineering Services sector (NAICS 541330), which is crucial for defense systems. Spending in this area is often high due to specialized expertise required, but competitive processes are vital for cost control.

Small Business Impact

The contract was awarded to Qorvo California, Inc., a large business. There is no indication that small businesses were involved as subcontractors or partners in this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the government received the best possible value. Further review by oversight bodies may be necessary to confirm the justification for not competing.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Lack of competition
  • Potential for inflated pricing
  • Limited transparency
  • No small business participation noted

Tags

engineering-services, department-of-defense, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.3 million to QORVO CALIFORNIA, INC.. IGF::OT::IGF ENGINEERING SERVICES FOR FORM, FIT AND FUNCTION INTERFACE (FFFI), REDESIGN, DEVELOPMENT OF DATA, MANUFACTURING, AND DELIVERING PROTOTYPES THAT WILL MEET LEGACY LRU SPECIFICATION REQUIREMENT FOR THE BACKWARD WAVE OSCILLATOR ASSEMBLY (BWOA) APPLICABLE TO THE ALQ-155 SYSTEM

Who is the contractor on this award?

The obligated recipient is QORVO CALIFORNIA, INC..

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 $22.3 million.

What is the period of performance?

Start: 2014-09-23. End: 2021-03-31.

What was the specific justification for awarding this contract on a sole-source basis, and were alternative solutions or vendors considered?

The provided data indicates a sole-source award with no competition. A thorough review would be needed to understand the government's justification, such as unique capabilities or urgent needs. Without this information, it's impossible to definitively assess if alternative solutions were explored or if this was the only viable option.

How does the $22.2M cost compare to industry benchmarks for similar engineering services, especially considering the lack of competition?

Benchmarking this $22.2M contract is challenging due to its specialized nature and sole-source award. Typically, competitive bidding drives down costs. Without comparable competitive contracts for the BWOA or similar complex defense system components, it's difficult to determine if the price is fair. Further analysis of the cost breakdown and independent cost estimates would be required.

What is the long-term strategy for ensuring cost-effectiveness and innovation for the ALQ-155 system's BWOA, given this sole-source award?

The long-term strategy should involve exploring opportunities to introduce competition for future requirements related to the BWOA. This could include market research for alternative technologies or vendors, breaking down future work into smaller, more competitive packages, or establishing clear performance metrics and timelines for the current contractor to encourage efficiency.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Qorvo, Inc.

Address: 950 LAWRENCE DR, NEWBURY PARK, CA, 91320

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: $22,251,233

Exercised Options: $22,251,233

Current Obligation: $22,251,233

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2014-09-23

Current End Date: 2021-03-31

Potential End Date: 2021-03-31 00:00:00

Last Modified: 2023-08-14

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