DoD's $43.7M 'BIG SAFARI' Contract Awarded to L3Harris for Aircraft Parts, Raising Competition Concerns

Contract Overview

Contract Amount: $43,742,536 ($43.7M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2023-11-15

End Date: 2025-09-30

Contract Duration: 685 days

Daily Burn Rate: $63.9K/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 $43.7 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. The Department of the Air Force awarded a $43.7 million contract for 'BIG SAFARI'. 2. L3Harris Technologies Integrated Systems L.P. is the sole awardee, indicating a lack of competition. 3. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns. 4. The sector is Other Aircraft Parts and Auxiliary Equipment Manufacturing, a critical defense area.

Value Assessment

Rating: questionable

The $43.7 million award for 'BIG SAFARI' is a significant sum. Without competitive bidding, it's difficult to assess if this price is fair or if taxpayers received the best value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning no other vendors were considered. This significantly limits price discovery and potentially leads to higher costs for the government.

Taxpayer Impact: The lack of competition on this $43.7 million contract means taxpayers may be paying a premium for these aircraft parts and auxiliary equipment.

Public Impact

Taxpayers may be overpaying for essential aircraft parts due to the sole-source award. The Department of Defense relies on a competitive market to ensure cost-effectiveness in its procurements. This contract's structure could set a precedent for future sole-source awards in the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition and price discovery.
  • Cost Plus Fixed Fee contract type can incentivize higher costs.
  • Lack of small business participation noted.

Positive Signals

  • Award supports critical Department of the Air Force needs.
  • Contract duration extends to September 2025, ensuring supply continuity.

Sector Analysis

This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a vital component of the aerospace and defense industry. Spending in this area is crucial for maintaining military readiness, but competitive procurement is key to ensuring efficiency.

Small Business Impact

The data indicates that small businesses were not involved in this specific contract award. Efforts to include small businesses in defense supply chains are important for economic growth and innovation.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny from oversight bodies to ensure the government received fair value and that the justification for not competing was sound.

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)
  • No small business participation
  • Limited transparency in pricing

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 $43.7 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 $43.7 million.

What is the period of performance?

Start: 2023-11-15. End: 2025-09-30.

What specific justification was provided for awarding this contract on a sole-source basis, and how does it align with federal procurement regulations aimed at maximizing competition?

Federal procurement regulations generally require full and open competition. A sole-source award is typically justified only when specific conditions are met, such as the existence of a unique capability or a critical need that cannot be fulfilled by other sources. The justification must be thoroughly documented and approved by appropriate authorities to ensure it is valid and serves the government's best interest.

Given the Cost Plus Fixed Fee (CPFF) contract type, what mechanisms are in place to control costs and prevent potential overruns, especially in the absence of competitive pressure?

CPFF contracts require robust government oversight to manage costs effectively. This includes detailed monitoring of contractor expenditures, regular audits, and clear performance metrics. The government must actively manage the scope of work and ensure that the fixed fee remains appropriate for the effort involved, mitigating the risk of cost escalation.

How does the Department of the Air Force assess the long-term value and necessity of the 'BIG SAFARI' program, particularly when procured through a sole-source mechanism?

Assessing long-term value in sole-source procurements relies heavily on the government's internal program management and requirements definition. This involves rigorous analysis of the program's strategic importance, potential alternatives, and the contractor's unique ability to meet evolving needs. Regular reviews and performance evaluations are crucial to ensure continued alignment with mission objectives.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingOther 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: $43,742,536

Exercised Options: $43,742,536

Current Obligation: $43,742,536

Subaward Activity

Number of Subawards: 124

Total Subaward Amount: $12,575,986

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA862021G4027

IDV Type: BOA

Timeline

Start Date: 2023-11-15

Current End Date: 2025-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2025-09-26

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