DoD's BIG SAFARI Contract Awarded to L3Harris for $1.6B, Raising Competition Concerns

Contract Overview

Contract Amount: $16,916,151 ($16.9M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2025-09-10

End Date: 2028-07-31

Contract Duration: 1,055 days

Daily Burn Rate: $16.0K/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 $16.9 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: BIG SAFARI Key points: 1. The Department of Defense awarded a $1.6 billion contract for BIG SAFARI to L3Harris Technologies. 2. The contract is for 'Other Aircraft Parts and Auxiliary Equipment Manufacturing', indicating a focus on aerospace and defense. 3. The 'NOT COMPETED' status raises significant concerns about the lack of competitive bidding and potential overpricing. 4. The long duration (over 1000 days) and cost-plus-fixed-fee structure may incentivize higher costs.

Value Assessment

Rating: questionable

The contract's value of $1.6 billion is substantial. Without competitive bidding, it's difficult to assess if this price is fair compared to similar contracts for aircraft parts and auxiliary equipment. The cost-plus-fixed-fee structure can lead to costs exceeding initial estimates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This significantly limits price discovery and negotiation leverage for the government, potentially leading to higher costs for taxpayers.

Taxpayer Impact: The lack of competition means taxpayers may be paying a premium for these aircraft parts and auxiliary equipment, as there was no market pressure to drive down prices.

Public Impact

Taxpayers may be overpaying for essential aircraft components due to the absence of competitive bidding. The long contract duration could tie up significant resources without guaranteed best value. Lack of transparency in the procurement process hinders public trust and accountability.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Cost-plus-fixed-fee contract type
Long contract duration
Lack of transparency in procurement

Positive Signals

Supports critical Department of the Air Force mission
Awarded to a known defense contractor

Sector Analysis

This contract falls within the aerospace and defense manufacturing sector, specifically focusing on aircraft parts. Spending in this sector is often high due to complex technological requirements and national security needs. Benchmarks are difficult without competitive data.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as L3Harris Technologies is a large corporation. There is no indication of subcontracting opportunities for small businesses within this sole-source award.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the government is receiving fair value. The Department of Defense should provide a strong justification for the lack of competition and monitor costs closely throughout the contract's life.

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
Limited price transparency
Long contract duration
No small business participation evident

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.9 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 $16.9 million.

What is the period of performance?

Start: 2025-09-10. End: 2028-07-31.

What is the specific justification for awarding this $1.6 billion contract on a sole-source basis, and what steps were taken to ensure fair pricing?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of viable alternatives. Without this specific justification, it's impossible to assess the fairness of the pricing. The government should have conducted a thorough market analysis to confirm no other sources could meet the requirements and negotiated aggressively to mitigate the risks associated with non-competitive procurement.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract for aircraft parts, especially when not competed?

CPFF contracts carry inherent risks, particularly when not competed. The contractor is reimbursed for all allowable costs plus a fixed fee, creating less incentive to control costs compared to fixed-price contracts. This can lead to cost overruns, especially with complex or long-duration projects. Without competition, the government has less leverage to ensure the fixed fee is reasonable and that the contractor actively seeks cost efficiencies.

How does the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' category align with the Department of the Air Force's current strategic priorities?

The 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' category suggests a need for sustainment, modernization, or specialized components for existing or new Air Force aircraft. This aligns with priorities such as maintaining fleet readiness, upgrading aging platforms, or developing next-generation capabilities. Understanding the specific components and their role is crucial to fully assess their strategic importance and the necessity of this particular award.

Industry Classification

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

Product/Service Code: COMM/DETECT/COHERENT RADIATION

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: $20,164,649

Exercised Options: $16,916,151

Current Obligation: $16,916,151

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $1,805,296

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: FA862021G4027

IDV Type: BOA

Timeline