DoD's $43.9M BIG SAFARI contract awarded to L3Harris for aircraft parts, with no competition

Contract Overview

Contract Amount: $43,902,878 ($43.9M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2025-02-01

End Date: 2027-03-31

Contract Duration: 788 days

Daily Burn Rate: $55.7K/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 $43.9 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. The contract value of $43.9 million represents a significant investment in specialized aircraft components. 2. The sole-source nature of this award raises questions about potential price inflation and limited market engagement. 3. A lack of competition could indicate unique technical requirements or a potential gap in available suppliers. 4. The contract duration of approximately 2.6 years suggests a need for sustained supply of these critical parts. 5. Performance will be monitored by the Department of the Air Force, with a focus on delivery and quality. 6. The award is situated within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, highlighting specialized industrial capabilities.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging due to its sole-source nature and the specific nature of 'BIG SAFARI' components. Without competitive bids, it's difficult to ascertain if the $43.9 million represents a fair market price. Comparisons to similar sole-source awards for specialized aerospace parts would be necessary for a more robust value assessment. The fixed-price contract type offers some cost certainty, but the absence of competition limits the ability to confirm optimal value for taxpayer dollars.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning L3Harris Technologies Integrated Systems L.P. was the only bidder considered. This approach is typically employed when only one responsible source can provide the required supplies or services. The lack of a competitive bidding process means that the government did not benefit from the price discovery and innovation that typically arises from multiple offers. This can sometimes lead to higher prices than might be achieved in a fully competed scenario.

Taxpayer Impact: Taxpayers may be paying a premium for these specialized aircraft parts due to the absence of competitive pressure. The government's ability to negotiate the best possible price is diminished when only one vendor is available.

Public Impact

The primary beneficiaries are likely the Department of Defense and specifically the Air Force, ensuring operational readiness through the supply of critical aircraft components. The services delivered include the provision of specialized aircraft parts under the 'BIG SAFARI' program, essential for maintaining and operating specific aircraft systems. The geographic impact is primarily within Texas, where L3Harris Technologies Integrated Systems L.P. is located, though the ultimate operational use of the parts will be global for the Air Force. Workforce implications may include continued employment for specialized manufacturing and technical roles at L3Harris, supporting the defense industrial base.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potentially increases costs for taxpayers.
Lack of transparency in the procurement process due to no-bid award.
Potential for vendor lock-in if alternative suppliers are not developed or considered.
Dependence on a single contractor for critical aircraft components could pose supply chain risks.

Positive Signals

Award to an established contractor (L3Harris) suggests a degree of confidence in their capability.
Fixed-price contract type provides cost predictability for the government.
The 'BIG SAFARI' program indicates a focus on advanced or specialized aerospace technology.
Contract duration suggests a stable, long-term need for these components.

Sector Analysis

The 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector is a specialized segment of the aerospace industry focused on producing components beyond engines and airframes. This contract falls within a niche market where specific technical expertise and certifications are often required. The defense sector is a major consumer of these specialized parts, driving demand for high-reliability and performance-driven manufacturing. Comparable spending benchmarks are difficult to establish without more detail on the specific 'BIG SAFARI' components, but the overall aerospace parts manufacturing market is substantial, with significant government procurement.

Small Business Impact

This contract was not set aside for small businesses, nor does it appear to have specific subcontracting requirements for small businesses mentioned in the provided data. The award to a large prime contractor like L3Harris suggests that the primary focus is on direct fulfillment rather than leveraging the small business ecosystem for this particular procurement. Further analysis of the contract details would be needed to determine if any subcontracting opportunities for small businesses are mandated or likely to arise.

Oversight & Accountability

Oversight for this contract will be managed by the Department of the Air Force, a component of the Department of Defense. Accountability measures will likely include performance monitoring against delivery schedules and quality standards outlined in the contract. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to this contract.

Related Government Programs

BIG SAFARI Program
Air Force Aircraft Maintenance and Sustainment
Specialized Aerospace Component Manufacturing
Defense Logistics Agency (DLA) Procurement

Risk Flags

Sole-source award
Lack of competition
Potential for cost overruns
Supply chain dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $43.9 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 $43.9 million.

What is the period of performance?

Start: 2025-02-01. End: 2027-03-31.

What is the 'BIG SAFARI' program, and why is this contract awarded on a sole-source basis?

The 'BIG SAFARI' (System, Acquisition, Fielding, and Program Integration) program is an Air Force initiative focused on rapidly acquiring and fielding specialized intelligence, surveillance, and reconnaissance (ISR) capabilities. Contracts under this umbrella often involve unique, cutting-edge technologies or highly customized modifications to existing platforms. The sole-source award to L3Harris Technologies Integrated Systems L.P. for this $43.9 million contract likely stems from the highly specialized nature of the required aircraft parts, potentially involving proprietary technology, unique integration requirements, or a demonstrated sole capability possessed by L3Harris that meets the specific, urgent needs of the BIG SAFARI program. This approach prioritizes speed and specific expertise over broad competition when unique requirements cannot be met by multiple sources.

How does the $43.9 million contract value compare to historical spending on similar 'BIG SAFARI' components or L3Harris's defense contracts?

Comparing the $43.9 million value requires specific data on 'BIG SAFARI' program spending and L3Harris's contract history, which is not fully detailed here. However, L3Harris is a major defense contractor, and contracts in the tens of millions are common for specialized aerospace and defense systems. The 'BIG SAFARI' program itself often involves significant investments in unique ISR capabilities, so a $43.9 million award for specialized parts is plausible within this context. Without access to detailed historical spending databases for this specific program or comparable sole-source awards for similar components, a precise benchmark is difficult. However, the value suggests a substantial procurement of critical, likely non-standard, aircraft components.

What are the primary risks associated with a sole-source award of this magnitude?

The primary risks associated with a sole-source award of $43.9 million include potential overpricing due to the lack of competitive bidding, reduced incentive for the contractor to innovate or offer cost efficiencies, and a heightened risk of vendor lock-in. Taxpayers may not be receiving the best possible value for their money. Furthermore, reliance on a single supplier for critical components can create supply chain vulnerabilities. If L3Harris faces production issues or decides to discontinue the product line, the Air Force could face significant challenges in securing replacements or alternative solutions, potentially impacting operational readiness.

What performance metrics and oversight mechanisms are likely in place for this contract?

Given this is a Department of Defense contract for specialized aircraft parts, performance metrics will likely focus on on-time delivery, adherence to stringent quality control standards (e.g., AS9100 certification), and compliance with technical specifications. Oversight will be conducted by the Department of the Air Force contracting and engineering personnel. This typically involves regular progress reviews, inspections of manufactured parts, and audits of quality management systems. The fixed-price nature of the contract means the contractor bears the risk of cost overruns, but the government retains the right to inspect and reject non-conforming goods, ensuring accountability for performance.

What is L3Harris Technologies Integrated Systems L.P.'s track record with the Department of Defense, particularly on sole-source contracts?

L3Harris Technologies Integrated Systems L.P. is a well-established and significant defense contractor with a long history of providing a wide range of products and services to the Department of Defense. They frequently engage in complex, high-value contracts, including those for aircraft components, avionics, and integrated systems. While specific data on their sole-source contract history isn't provided, large defense primes often receive sole-source awards when their unique capabilities or existing system integration expertise are critical. Their track record generally indicates a capacity to deliver complex defense solutions, though the specifics of performance on any given contract, especially sole-source ones, would require detailed review.

How does this contract fit into the broader context of Air Force modernization and readiness efforts?

This contract directly supports Air Force modernization and readiness by ensuring the availability of critical components for specific aircraft, likely those involved in intelligence, surveillance, and reconnaissance (ISR) missions under the BIG SAFARI program. Maintaining and upgrading these specialized aircraft requires a steady supply of high-quality parts. By awarding this contract, the Air Force is investing in the sustainment of its current fleet and potentially enabling future upgrades or operational enhancements. The focus on specialized parts underscores the complexity and evolving technological needs of modern air power, ensuring that these vital assets remain operational and effective.

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: $43,902,878

Exercised Options: $43,902,878

Current Obligation: $43,902,878

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $43,440

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA862021G4027

IDV Type: BOA

Timeline