DoD's $24.9M BIG SAFARI Contract Awarded to L3Harris for Aircraft Parts
Contract Overview
Contract Amount: $24,893,441 ($24.9M)
Contractor: L3harris Technologies Integrated Systems L.P.
Awarding Agency: Department of Defense
Start Date: 2017-12-14
End Date: 2019-01-14
Contract Duration: 396 days
Daily Burn Rate: $62.9K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: IGF::CT::IGF ACAT III BIG SAFARI
Place of Performance
Location: GREENVILLE, HUNT County, TEXAS, 75402
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $24.9 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: IGF::CT::IGF ACAT III BIG SAFARI Key points: 1. Contract awarded to L3Harris Technologies for "Other Aircraft Parts and Auxiliary Equipment Manufacturing". 2. Significant award value of $24.9 million. 3. Contract was not competed, raising questions about price discovery. 4. The sector is Defense, specifically supporting the Air Force.
Value Assessment
Rating: questionable
The contract type is Cost Plus Fixed Fee, which can lead to higher costs if not managed carefully. Without a competitive bidding process, it's difficult to assess if the $24.9 million price is optimal.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source or limited competition award. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: The lack of competition may result in the government paying more than necessary for these aircraft parts and auxiliary equipment.
Public Impact
Taxpayers may be overpaying due to the lack of competitive bidding. The Department of the Air Force received critical aircraft parts. L3Harris Technologies secured a substantial contract award.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
Positive Signals
- Awarded to established defense contractor
Sector Analysis
This contract falls within the Defense sector, specifically related to aircraft parts. Spending in this area is critical for military readiness, but competitive procurement is essential to ensure value for money.
Small Business Impact
There is no indication that small businesses were involved in this specific contract award, as it was awarded directly to L3Harris Technologies.
Oversight & Accountability
The contract was awarded by the Department of the Air Force. Oversight would focus on ensuring the contractor delivers the specified parts and that costs are reasonable under the Cost Plus Fixed Fee structure.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award
- Potential for cost overruns
- Lack of price transparency
- Limited small business participation
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $24.9 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P.. IGF::CT::IGF ACAT III BIG SAFARI
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 $24.9 million.
What is the period of performance?
Start: 2017-12-14. End: 2019-01-14.
What was the justification for awarding this contract on a sole-source basis?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of viable alternative sources. Without further details on the specific requirements of the BIG SAFARI program, it's difficult to ascertain the precise reason. However, sole-source contracts often bypass competitive processes, potentially leading to higher costs and reduced transparency for taxpayers.
How does the Cost Plus Fixed Fee structure impact the overall cost-effectiveness of this contract?
Cost Plus Fixed Fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. While CPFF can be useful for research and development or when cost uncertainty is high, it offers less incentive for cost control compared to fixed-price contracts. This structure can lead to higher overall costs if the contractor's expenses are not rigorously monitored and controlled by the government.
What is the potential impact of this non-competitive award on future procurements for similar aircraft parts?
A pattern of sole-source awards for similar parts could signal a lack of market competition or a preference for specific vendors. This may discourage other potential suppliers from entering the market or bidding on future opportunities. Consequently, the government might continue to face higher prices and reduced innovation due to the absence of a competitive environment.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT 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: L3harris Technologies, Inc
Address: 10001 JACK FINNEY BLVD, GREENVILLE, TX, 75402
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: $25,956,491
Exercised Options: $25,013,009
Current Obligation: $24,893,441
Subaward Activity
Number of Subawards: 20
Total Subaward Amount: $6,421,666
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: FA862016G3027
IDV Type: BOA
Timeline
Start Date: 2017-12-14
Current End Date: 2019-01-14
Potential End Date: 2019-01-14 00:00:00
Last Modified: 2023-08-03
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