Air Force awards $16.1M for B-52 VLF receivers, a sole-source contract to Rockwell Collins

Contract Overview

Contract Amount: $16,095,823 ($16.1M)

Contractor: Rockwell Collins, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-12-19

End Date: 2028-04-15

Contract Duration: 848 days

Daily Burn Rate: $19.0K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CVRI1 DELIVERY ORDER 3, PRODUCTION FOR VERY LOW FREQUENCY (VLF) RECEIVERS FOR B-52 PLATFORMS.

Place of Performance

Location: RICHARDSON, COLLIN County, TEXAS, 75082

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $16.1 million to ROCKWELL COLLINS, INC. for work described as: CVRI1 DELIVERY ORDER 3, PRODUCTION FOR VERY LOW FREQUENCY (VLF) RECEIVERS FOR B-52 PLATFORMS. Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Long-term contract duration of 848 days suggests a sustained need. 3. Focus on specialized VLF receivers for B-52 platforms indicates a niche requirement. 4. Firm Fixed Price contract type shifts cost risk to the contractor. 5. Contract awarded to Rockwell Collins, a known defense contractor. 6. No small business set-aside, indicating potential for large business prime. 7. Delivery order under an unspecified basic contract.

Value Assessment

Rating: fair

Benchmarking the value of this specific delivery order is challenging without knowing the terms of the parent contract or comparable VLF receiver costs. The firm fixed price structure is generally favorable for cost control. However, the lack of competition inherently limits the ability to assess if the price represents the best value achievable in a competitive market. Further analysis would require understanding the unit costs and comparing them to industry standards for similar specialized electronic components.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This typically occurs when only one vendor possesses the necessary technical capabilities, proprietary technology, or when urgent needs preclude a competitive process. The absence of multiple bidders means there was no direct price comparison or negotiation against alternatives, potentially leading to a higher price than if competition had been solicited.

Taxpayer Impact: Taxpayers may not be receiving the most cost-effective solution due to the lack of competitive bidding. The government's ability to negotiate favorable terms is diminished in a sole-source scenario.

Public Impact

The primary beneficiaries are the U.S. Air Force and the B-52 bomber fleet, ensuring operational readiness. Services delivered include the production of Very Low Frequency (VLF) receivers, critical for long-range communication. Geographic impact is national, supporting a key strategic asset of the U.S. Air Force. Workforce implications are likely within Rockwell Collins' manufacturing and engineering divisions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price discovery and potentially increases cost to taxpayers.
Lack of competition raises questions about the urgency or justification for not seeking alternative vendors.
Contract duration could lead to long-term reliance on a single supplier.

Positive Signals

Firm Fixed Price contract shifts cost overrun risk to the contractor.
Award to an established contractor like Rockwell Collins may indicate reliability and existing expertise.
Focus on specialized equipment for a critical platform like the B-52 suggests a well-defined and necessary requirement.

Sector Analysis

This contract falls within the 'Other Communications Equipment Manufacturing' sector, a niche within the broader aerospace and defense industry. The market for highly specialized components like VLF receivers for legacy platforms such as the B-52 is likely limited, with few manufacturers possessing the required expertise. Spending in this area is driven by sustainment and modernization efforts for aging military assets, where unique technological requirements often lead to less competitive contracting environments.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of VLF receivers and the sole-source award to Rockwell Collins, it is unlikely that small businesses will be directly involved as prime contractors. Subcontracting opportunities for small businesses may exist, but would depend on Rockwell Collins' sourcing strategy and the specific components required for production.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Air Force's contracting and program management offices. As a delivery order, it is likely governed by the terms of a larger indefinite-delivery/indefinite-quantity (IDIQ) or other basic contract, which would have its own oversight mechanisms. Transparency is limited due to the sole-source nature and lack of publicly available details on the parent contract. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

B-52 Bomber Sustainment Programs
Air Force Communications Equipment Procurement
Specialized Electronic Warfare Systems
Defense Production Act Title III Programs

Risk Flags

Sole-source award
Lack of competition
Specialized equipment

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.1 million to ROCKWELL COLLINS, INC.. CVRI1 DELIVERY ORDER 3, PRODUCTION FOR VERY LOW FREQUENCY (VLF) RECEIVERS FOR B-52 PLATFORMS.

Who is the contractor on this award?

The obligated recipient is ROCKWELL COLLINS, INC..

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 $16.1 million.

What is the period of performance?

Start: 2025-12-19. End: 2028-04-15.

What is the historical spending by the Air Force on VLF receivers for the B-52 platform?

Detailed historical spending specifically on VLF receivers for the B-52 platform is not readily available in public databases. However, the B-52 has undergone numerous sustainment and modernization programs over its long service life, which would have included various communication and electronic warfare system upgrades. Spending on such specialized components is often bundled within larger platform sustainment contracts or specific system upgrade initiatives. The current $16.1 million award suggests a significant, albeit potentially infrequent, investment in maintaining or enhancing this critical communication capability for the aging bomber fleet. Further analysis would require access to detailed Air Force procurement history and program budgets.

How does the unit cost of these VLF receivers compare to similar components in the market?

Direct comparison of the unit cost for these specific VLF receivers is difficult without knowing the exact specifications and the total quantity ordered under this delivery order. The 'Other Communications Equipment Manufacturing' category is broad, and VLF receivers for military platforms are highly specialized, often involving proprietary technology and stringent performance requirements. This specialization, coupled with a sole-source award, typically leads to higher unit costs compared to mass-produced commercial communication equipment. Benchmarking would require access to Rockwell Collins' pricing structure for this specific item and comparison with any available data on similar military-grade VLF receiver systems, which is not publicly accessible.

What are the specific risks associated with a sole-source award for critical defense components?

Sole-source awards for critical defense components carry several risks. Primarily, the lack of competition can lead to inflated prices, as the government does not benefit from the price discovery mechanisms inherent in a competitive bidding process. This can result in a higher cost to taxpayers. Secondly, it can foster complacency in the awarded contractor, potentially reducing incentives for innovation or efficiency improvements. There's also a risk of vendor lock-in, making it difficult and costly to switch suppliers in the future. Furthermore, if the sole-source contractor faces production issues or financial instability, it can create significant supply chain disruptions for critical military assets, impacting national security readiness.

What is Rockwell Collins' track record in supplying communication equipment to the U.S. Air Force?

Rockwell Collins, now part of Collins Aerospace (a Raytheon Technologies company), has a long and extensive track record of supplying communication, navigation, and avionics systems to the U.S. Air Force and other military branches. They are a well-established prime contractor known for providing sophisticated electronic systems for various aircraft platforms, including the B-52. Their history includes numerous contracts for upgrades, sustainment, and new system integration. While specific performance metrics for every contract are not always public, their continued selection for significant programs indicates a generally positive performance history and established trust within the defense acquisition community.

What is the strategic importance of VLF receivers for the B-52 platform?

Very Low Frequency (VLF) receivers are crucial for the B-52 bomber's strategic communication capabilities, particularly for maintaining command and control over long distances and in challenging environments where other radio frequencies may be unreliable. VLF signals can penetrate the ionosphere and travel vast distances, making them suitable for communicating with dispersed assets, including submarines and aircraft operating globally. For the B-52, which serves as a long-range strategic bomber, reliable and secure communication is paramount for mission execution, coordination with other forces, and receiving updated orders or intelligence. Ensuring the operational readiness of these VLF receivers is therefore vital for the B-52's enduring role in strategic deterrence and power projection.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Other Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: RTX Corp

Address: 400 COLLINS RD NE, CEDAR RAPIDS, IA, 52498

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,095,823

Exercised Options: $16,095,823

Current Obligation: $16,095,823

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: FA873523DB003

IDV Type: IDC

Timeline