DoD's $29.8M 'BIG SAFARI' Contract Awarded to L3Harris for Aircraft Parts, Lacking Competition

Contract Overview

Contract Amount: $29,823,522 ($29.8M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2021-05-13

End Date: 2023-11-30

Contract Duration: 931 days

Daily Burn Rate: $32.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

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 $29.8 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. Significant contract value of $29.8 million awarded. 2. Sole-source award to L3Harris Technologies raises competition concerns. 3. Potential for higher costs due to lack of competitive bidding. 4. Contract falls under the 'Other Aircraft Parts' manufacturing sector.

Value Assessment

Rating: questionable

The $29.8 million award for aircraft parts lacks a clear benchmark for value assessment due to its sole-source nature. Without competitive bids, it's difficult to determine if this price represents fair market value compared to similar contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning only one vendor was solicited. This significantly limits price discovery and may lead to inflated costs for taxpayers.

Taxpayer Impact: The lack of competition in this sole-source award could result in taxpayers paying more than necessary for these aircraft parts.

Public Impact

Taxpayers may be overpaying for critical aircraft components due to the absence of competitive bidding. The Department of Defense relies on L3Harris for specialized aircraft parts, highlighting potential supply chain risks if competition is not fostered. The 'BIG SAFARI' designation suggests a specialized or urgent need, but the procurement method warrants scrutiny for future acquisitions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

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

Positive Signals

  • Contract awarded to established vendor
  • Supports Department of Defense needs

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector. Spending in this sector can vary widely based on defense needs and technological advancements. Benchmarks are difficult without specific part details, but sole-source awards often deviate from competitive norms.

Small Business Impact

The data indicates this contract was not awarded to a small business. There is no information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The sole-source nature of this award warrants further oversight to ensure the Department of Defense obtained the best possible value. Accountability for the justification of a sole-source procurement should be clearly documented.

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 lacks transparency
  • Potential for inflated pricing
  • Limited opportunity for innovation from other vendors
  • Risk of vendor lock-in
  • Insufficient data for robust value assessment

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 $29.8 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 $29.8 million.

What is the period of performance?

Start: 2021-05-13. End: 2023-11-30.

What specific justification was provided for awarding this contract on a sole-source basis, and does it align with federal procurement regulations for such exceptions?

The provided data does not include the specific justification for the sole-source award. Federal regulations typically require stringent justification for sole-source contracts, such as unique capabilities, urgent needs, or lack of market competition. A review of the contract file would be necessary to confirm the validity and adherence to these regulations.

What is the estimated cost savings that could have been achieved if this contract had been competed?

Without a competitive bidding process, it is impossible to provide an exact figure for potential cost savings. However, historical data and industry analyses often suggest that competitive procurements can yield savings ranging from 10% to 30% or more compared to sole-source awards, depending on the complexity and market dynamics of the goods or services.

How does the unit cost of these aircraft parts compare to similar items procured competitively by the Department of Defense or other federal agencies?

The provided data does not include unit cost information or comparable contract data. To assess this, one would need to identify the specific parts procured under 'BIG SAFARI' and then research publicly available contract databases for similar items awarded competitively. This comparison is crucial for evaluating the value for money in this sole-source transaction.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

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: $29,823,522

Exercised Options: $29,823,522

Current Obligation: $29,823,522

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: 2021-05-13

Current End Date: 2023-11-30

Potential End Date: 2023-11-30 00:00:00

Last Modified: 2024-02-09

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