DoD's BIG SAFARI contract awards $86.6M to L3Harris for aircraft parts, with limited competition
Contract Overview
Contract Amount: $86,615,993 ($86.6M)
Contractor: L3harris Technologies Integrated Systems L.P.
Awarding Agency: Department of Defense
Start Date: 2021-10-08
End Date: 2024-09-30
Contract Duration: 1,088 days
Daily Burn Rate: $79.6K/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 $86.6 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. Significant award value of $86.6M for aircraft parts. 2. L3Harris Technologies is the sole awardee, indicating limited competition. 3. Contract spans over three years, suggesting ongoing support needs. 4. The 'Other Aircraft Parts' sector is critical for defense readiness.
Value Assessment
Rating: fair
The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Benchmarking against similar contracts for aircraft parts is difficult without more specific details on the services provided.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
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 likely results in a higher price than if multiple vendors had bid, impacting taxpayer funds.
Public Impact
Ensures continued availability of critical aircraft parts for the Air Force. Supports L3Harris Technologies' operations and workforce in Texas. Potential for increased costs due to limited competition impacts overall defense budget allocation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Long duration
Positive Signals
- Supports critical defense needs
- Award to established contractor
Sector Analysis
This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, which is vital for maintaining military aviation capabilities. Spending in this sector is directly tied to defense readiness and modernization efforts.
Small Business Impact
The data indicates this contract was not awarded to small businesses, as 'sb' is false. This represents a missed opportunity for small business participation in this significant defense contract.
Oversight & Accountability
The 'NOT COMPETED' status raises questions about the oversight process and justification for foregoing a competitive bidding process. Further review is needed to ensure fair pricing and value for taxpayer money.
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
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
- Limited small business participation
- Lack of transparency in award justification
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 $86.6 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 $86.6 million.
What is the period of performance?
Start: 2021-10-08. End: 2024-09-30.
What was the specific justification for not competing this contract, and what steps were taken to ensure fair pricing?
The justification for not competing this contract is not provided in the data. Typically, non-competitive awards require a detailed justification, such as the existence of a sole-source provider or urgent and compelling needs. Without this information, it's difficult to assess the fairness of the pricing or the effectiveness of the oversight in ensuring value for taxpayer money.
How does the Cost Plus Fixed Fee structure impact the risk of cost overruns for this specific contract?
The Cost Plus Fixed Fee (CPFF) structure means the contractor is reimbursed for allowable costs plus a fixed fee representing profit. While the fee is fixed, the total cost can escalate if actual costs exceed estimates. This structure shifts some cost risk to the government, making robust oversight and cost control crucial to prevent overruns and ensure the contract remains within budget.
What is the potential impact of this sole-source award on future competition and pricing for similar aircraft parts?
A sole-source award can stifle future competition by not allowing other vendors to demonstrate their capabilities or offer potentially lower prices. This can lead to a perception of a lack of market pressure, potentially resulting in higher prices for subsequent contracts if the same limited market conditions persist. It also limits opportunities for new entrants to gain a foothold.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL 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, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $86,615,993
Exercised Options: $86,615,993
Current Obligation: $86,615,993
Subaward Activity
Number of Subawards: 188
Total Subaward Amount: $24,258,990
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
Start Date: 2021-10-08
Current End Date: 2024-09-30
Potential End Date: 2024-09-30 00:00:00
Last Modified: 2024-12-17
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