DoD's $31.1M 'BIG SAFARI' Contract Awarded to L3Harris for Aircraft Parts, Raising Oversight Questions

Contract Overview

Contract Amount: $31,123,068 ($31.1M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2021-09-24

End Date: 2024-03-31

Contract Duration: 919 days

Daily Burn Rate: $33.9K/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: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $31.1 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. Significant contract value of $31.1M for aircraft parts. 2. Awarded to a single, large contractor, L3Harris Technologies. 3. Potential for limited competition due to the 'NOT COMPETED' status. 4. The sector is Other Aircraft Parts and Auxiliary Equipment Manufacturing.

Value Assessment

Rating: fair

The contract value of $31.1M is substantial. Benchmarking against similar contracts for specialized aircraft parts is difficult without more detailed scope information. The awarded price of $31.1M needs further scrutiny against market rates for comparable components.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'NOT COMPETED', indicating a limited competition approach. This method may not have resulted in the best possible price discovery for the government, potentially leading to higher costs than a fully competitive process.

Taxpayer Impact: The lack of full and open competition raises concerns about taxpayer value. Without competitive bidding, there's a risk that the $31.1M awarded could be higher than necessary.

Public Impact

Taxpayers may be paying a premium due to the lack of competitive bidding. The 'BIG SAFARI' program's specific needs might justify limited competition, but transparency is key. Oversight is crucial to ensure the $31.1M spent delivers maximum value for national defense.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises cost concerns.
Lack of transparency in sole-source justification.
Potential for price inflation without competitive pressure.

Positive Signals

Award to established defense contractor.
Contract duration suggests ongoing need.
Specific program name implies strategic importance.

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a critical component of the defense industrial base. Spending in this area is often driven by specialized requirements and long lead times, making competitive benchmarking challenging.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as 'sb' is false. The focus on a large prime contractor like L3Harris suggests that subcontracting opportunities for small businesses may exist but are not directly captured in this award data.

Oversight & Accountability

The 'NOT COMPETED' status warrants close oversight to ensure the justification for limited competition is sound and that the government is receiving fair value for the $31.1M expenditure. Accountability for price and performance is essential.

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 price inflation.
Limited transparency on justification.
No small business participation indicated.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.1 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 $31.1 million.

What is the period of performance?

Start: 2021-09-24. End: 2024-03-31.

What specific factors justified the 'NOT COMPETED' award for the 'BIG SAFARI' program, and how was the $31.1M price determined to be fair and reasonable in the absence of competition?

The justification for a 'NOT COMPETED' award typically involves factors such as urgent and compelling needs, unique capabilities of a specific contractor, or national security concerns that preclude a competitive process. The determination of fair and reasonable pricing without competition often relies on historical pricing data, independent government cost estimates, or comparisons to similar commercial items, though these methods can be less precise than competitive bidding.

What are the potential risks associated with awarding a $31.1M contract without full and open competition, particularly concerning cost overruns and suboptimal performance?

The primary risk of non-competitive awards is the potential for inflated costs due to the absence of market pressure to offer the lowest price. Without competition, there's less incentive for the contractor to optimize performance or efficiency. This can lead to cost overruns and potentially lower quality outcomes if robust oversight and stringent contract management are not in place.

How does the Department of Defense ensure effective oversight and accountability for large, non-competitively awarded contracts like 'BIG SAFARI' to maximize taxpayer value?

Effective oversight involves rigorous contract administration, including regular performance reviews, cost monitoring, and compliance checks. Accountability is fostered through clear performance metrics, defined deliverables, and potential penalties for non-performance. For non-competed contracts, agencies often employ enhanced scrutiny and require detailed justification for pricing and scope to ensure fair value is achieved.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, 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, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $31,123,068

Exercised Options: $31,123,068

Current Obligation: $31,123,068

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA862021G4027

IDV Type: BOA

Timeline