DoD Awards $31.2M for BIG SAFARI Aircraft Parts to L3Harris Technologies
Contract Overview
Contract Amount: $31,223,090 ($31.2M)
Contractor: L3harris Technologies Integrated Systems L.P.
Awarding Agency: Department of Defense
Start Date: 2023-03-01
End Date: 2024-03-31
Contract Duration: 396 days
Daily Burn Rate: $78.8K/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 $31.2 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. Significant contract value of $31.2 million awarded. 2. L3Harris Technologies is the sole awardee, raising competition concerns. 3. The contract is for 'Other Aircraft Parts,' a critical defense sector. 4. Risk of overpayment due to lack of competition needs assessment.
Value Assessment
Rating: questionable
The award amount of $31.2 million is substantial. Without competitive bidding, it's difficult to assess if this price is optimal compared to similar contracts for aircraft parts.
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 potentially leads to higher costs for the government.
Taxpayer Impact: The lack of competition raises concerns about taxpayer value, as a more competitive process could have secured better pricing.
Public Impact
Ensures continued availability of critical aircraft parts for the Air Force. Supports a major defense contractor, potentially impacting jobs and supply chains. Highlights potential for increased costs due to non-competitive awards.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of price competition
- Potential for cost overruns
Positive Signals
- Supports critical defense needs
- Award to established contractor
Sector Analysis
This contract falls within the aerospace and defense manufacturing sector, specifically focusing on aircraft parts. Spending in this area is crucial for national security but requires careful oversight to ensure cost-effectiveness.
Small Business Impact
The awardee, L3Harris Technologies, is a large corporation, and there is no indication that small businesses were involved in this specific contract as subcontractors.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure the pricing is fair and reasonable, and that future procurements explore competitive options.
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 limits competition.
- Potential for inflated pricing.
- Lack of transparency in price justification.
- Dependency on a single supplier.
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 $31.2 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 $31.2 million.
What is the period of performance?
Start: 2023-03-01. End: 2024-03-31.
What is the justification for the sole-source award, and what steps are being taken to ensure fair pricing?
The justification for a sole-source award typically involves unique capabilities or urgent needs. The Department of Defense should provide documentation supporting this decision. To ensure fair pricing, they may rely on historical pricing data, independent cost estimates, or direct negotiation with the contractor, though competitive benchmarking remains the most robust method.
What are the potential risks associated with awarding a contract of this size on a sole-source basis?
The primary risk is paying a premium due to the absence of competition. This can lead to inefficient use of taxpayer funds. Additionally, it may stifle innovation from other potential suppliers and create a dependency on a single vendor, which could be problematic if that vendor faces production issues or significant price increases in the future.
How does this contract contribute to the overall effectiveness of Air Force operations?
This contract is likely essential for maintaining the operational readiness and effectiveness of Air Force aircraft by ensuring the availability of necessary parts. The timely delivery of these components directly supports flight schedules, maintenance operations, and overall mission capability, preventing potential disruptions.
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: 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: $32,199,793
Exercised Options: $32,199,793
Current Obligation: $31,223,090
Subaward Activity
Number of Subawards: 3
Total Subaward Amount: $148,683
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: FA862021G4027
IDV Type: BOA
Timeline
Start Date: 2023-03-01
Current End Date: 2024-03-31
Potential End Date: 2024-03-31 00:00:00
Last Modified: 2024-08-25
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