DoD Awards Northrop Grumman $22.9M for LAIRCM AAQ-24 Repairs
Contract Overview
Contract Amount: $22,930,639 ($22.9M)
Contractor: Northrop Grumman Systems Corp
Awarding Agency: Department of Defense
Start Date: 2016-07-27
End Date: 2020-12-31
Contract Duration: 1,618 days
Daily Burn Rate: $14.2K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: IGF::OT::IGF LAIRCM AAQ-24 REPAIRS
Place of Performance
Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31088
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $22.9 million to NORTHROP GRUMMAN SYSTEMS CORP for work described as: IGF::OT::IGF LAIRCM AAQ-24 REPAIRS Key points: 1. Contract awarded to a single, large defense contractor. 2. Focus on aircraft system repairs suggests ongoing operational needs. 3. Fixed-price contract type aims to control costs. 4. Limited competition raises questions about price discovery.
Value Assessment
Rating: fair
The contract value of $22.9M for repairs over approximately 4 years appears reasonable for specialized aircraft systems. However, without specific per-unit cost data or comparison to similar repair contracts, a definitive assessment is challenging.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.
Taxpayer Impact: The lack of competition may result in higher expenditures for taxpayers than if the contract had been subject to multiple bids.
Public Impact
Ensures continued operational readiness of critical Air Force aircraft. Supports advanced threat detection and countermeasures systems. Maintains specialized technical expertise within the defense industrial base.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Sole-source award
Positive Signals
- Fixed-price contract
- Supports critical defense systems
Sector Analysis
This contract falls within the aerospace and defense sector, specifically focusing on the manufacturing and repair of navigation and guidance systems. Spending in this area is often characterized by high technical barriers to entry and long-term sustainment requirements.
Small Business Impact
The awardee is a large corporation, and there is no indication of small business participation in this specific contract. Opportunities for small businesses in this specialized repair and manufacturing segment are likely limited.
Oversight & Accountability
The contract was awarded as a sole-source delivery order, suggesting that oversight may have focused on justification for non-competition. Further review would be needed to confirm the adequacy of justification and price reasonableness.
Related Government Programs
- Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award limits competition.
- Potential for higher costs due to lack of price discovery.
- Limited transparency on justification for non-competition.
- No clear indication of small business involvement.
Tags
search-detection-navigation-guidance-aer, department-of-defense, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $22.9 million to NORTHROP GRUMMAN SYSTEMS CORP. IGF::OT::IGF LAIRCM AAQ-24 REPAIRS
Who is the contractor on this award?
The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORP.
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 $22.9 million.
What is the period of performance?
Start: 2016-07-27. End: 2020-12-31.
What was the justification for the sole-source award, and how was price reasonableness determined without competition?
The justification for a sole-source award typically involves factors like unique capabilities, urgent needs, or lack of available alternatives. Price reasonableness is often assessed through historical pricing, comparison to similar government contracts, or independent cost estimates. Without the specific justification document, it's difficult to ascertain the exact rationale and validation methods used.
What is the typical cost range for similar LAIRCM AAQ-24 repair services from other potential providers?
Determining a typical cost range for similar LAIRCM AAQ-24 repair services is challenging without access to proprietary data or a broader market analysis. Given the specialized nature of military avionics and the sole-source award, it's probable that costs are higher than if multiple vendors competed. Benchmarking against other sole-source contracts for similar complex systems might offer some insight, but direct comparisons are difficult.
How does the performance of Northrop Grumman on this contract compare to their performance on other similar DoD contracts?
Assessing Northrop Grumman's performance on this specific contract requires access to performance metrics, delivery records, and quality reports. Without this data, a comparison is not possible. Generally, large defense contractors have established performance histories, but individual contract performance can vary based on program specifics, funding, and management.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Northrop Grumman Corporation (UEI: 967356127)
Address: 101 INDUSTRIAL PARK BLVD, WARNER ROBINS, GA, 31088
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $22,930,639
Exercised Options: $22,930,639
Current Obligation: $22,930,639
Contract Characteristics
Consolidated Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA853912D0003
IDV Type: IDC
Timeline
Start Date: 2016-07-27
Current End Date: 2020-12-31
Potential End Date: 2020-12-31 00:00:00
Last Modified: 2019-09-13
More Contracts from Northrop Grumman Systems Corp
- Ground-Based Strategic Deterrent (gbsd) Engineering and Manufacturing Development (EMD) and Early Production and Deployment (P&D) — $11.7B (Department of Defense)
- Acat 1D B-2 Dms-M EMD — $863.7M (Department of Defense)
- 200411!000088!5700!GU22 !asc/Ysk !F3365799D0028 !A!N! !N!0023 ! !20040827!20081230!362686958!008255408!016435559!n!northrop Grumman Systems Corpo!3520 East Avenue M !palmdale !ca!93550!55156!037!06!palmdale !LOS Angeles !california!+000000400000!n!n!000000000000!ac65!rdte/Electronics&communication Eq-Eng/Manuf DEV !a1c!other Aircraft Equipment !376 !B-2 RMP !336411!E! !5!B!S! ! ! !99990909!B! ! !n!z!d!n!r!1!001!n!1a!z!y!z! ! !N!C!N! ! ! !a!a!a!a!000!a!d!n! ! ! !Y! ! !0001! ! — $542.1M (Department of Defense)
- Acat 1, B2 UCA for DMS TD Phase 2 — $536.3M (Department of Defense)
- Enhanced Polar System Recapitalization - TWO Payloads (P6&P7) — $472.1M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)