DoD's $240M BIG SAFARI contract with L3Harris for aircraft parts faces limited competition
Contract Overview
Contract Amount: $240,159,601 ($240.2M)
Contractor: L3harris Technologies Integrated Systems L.P.
Awarding Agency: Department of Defense
Start Date: 2019-03-28
End Date: 2026-12-30
Contract Duration: 2,834 days
Daily Burn Rate: $84.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: BIG SAFARI
Place of Performance
Location: GREENVILLE, HUNT County, TEXAS, 75402
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $240.2 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. Significant contract value of $240M. 2. Sole-source award to L3Harris Technologies. 3. Long performance period extending to late 2026. 4. Focus on 'Other Aircraft Parts' manufacturing.
Value Assessment
Rating: questionable
The contract is Cost Plus Fixed Fee, which can lead to cost overruns. Without competitive bidding, it's difficult to assess if the pricing is optimal compared to market rates for similar aircraft parts.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This significantly limits price discovery and potentially leads to higher costs for taxpayers as there is no market pressure to reduce prices.
Taxpayer Impact: The lack of competition may result in inflated costs, meaning taxpayers are likely paying more than necessary for these aircraft parts.
Public Impact
Potential for higher costs due to sole-source award. Impacts readiness and modernization of Air Force assets. Limited visibility into the justification for sole-source procurement.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Cost-plus contract type
- Long contract duration
Positive Signals
- Supports critical Air Force mission needs
- Established contractor with relevant expertise
Sector Analysis
This contract falls under the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this area is crucial for maintaining and upgrading military aviation fleets. Benchmarks are difficult to establish due to the sole-source nature.
Small Business Impact
The contract data indicates that small businesses were not involved in this specific award, as it was a sole-source procurement with a large prime contractor.
Oversight & Accountability
The justification for a sole-source award needs thorough review to ensure it aligns with federal procurement regulations and serves the best interest of the government. Post-award oversight should focus on cost control and performance.
Related Government Programs
- Other Aircraft Parts and Auxiliary Equipment Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Lack of competition
- Potential for cost overruns (CPFF)
- Long contract duration
- Limited transparency on sole-source justification
Tags
other-aircraft-parts-and-auxiliary-equip, department-of-defense, tx, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $240.2 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P.. 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 $240.2 million.
What is the period of performance?
Start: 2019-03-28. End: 2026-12-30.
What was the specific justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. Without detailed documentation, it's impossible to confirm if alternative competitive strategies were explored. Agencies must demonstrate that competition is not feasible or would not be in the government's best interest.
How does the Cost Plus Fixed Fee structure impact the government's ability to control costs and ensure value for money in this contract?
Cost Plus Fixed Fee contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. While it incentivizes cost control by fixing the profit, it can still lead to higher overall costs if the base costs are not well-managed or if scope creep occurs. Government oversight is critical to scrutinize costs.
What are the potential risks associated with a long-term, sole-source contract for critical aircraft parts, particularly regarding technological obsolescence or price escalation?
Long-term sole-source contracts risk technological obsolescence if the contractor does not innovate or if newer technologies emerge. Price escalation is also a concern, as the absence of competition removes market pressure to keep prices competitive over the contract's life. This can lead to the government paying above-market rates.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
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: $241,519,925
Exercised Options: $241,519,925
Current Obligation: $240,159,601
Subaward Activity
Number of Subawards: 203
Total Subaward Amount: $139,681,297
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: FA862016G3027
IDV Type: BOA
Timeline
Start Date: 2019-03-28
Current End Date: 2026-12-30
Potential End Date: 2026-12-30 00:00:00
Last Modified: 2025-12-23
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