Boeing Awarded $112.5M for Air Force R&D in Electronics and Communication Equipment
Contract Overview
Contract Amount: $11,249,668 ($11.2M)
Contractor: THE Boeing Company
Awarding Agency: Department of Defense
Start Date: 2003-10-23
End Date: 2009-05-31
Contract Duration: 2,047 days
Daily Burn Rate: $5.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: 200406!000001!5700!GQ05 !AFRL/IFKRF !FA875004C0007 !A!N! !N! ! !20031023!20040730!039267141!039267141!009256819!N!THE BOEING COMPANY !7755 E MARGINAL WAY !SEATTLE !WA!98124!63000!033!53!SEATTLE !KING !WASHINGTON!+000001195010!N!N!000001195010!AD92!RDTE/OTHER DEFENSE-APPLIED RESEARCH !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541710!E! !3! ! ! ! ! !99990909!B! ! !A! !A!N!U!2!001!E! !Z!Y!Z! ! !N!C!N! ! ! !Z!Z!A!A!000!A!C!N! ! ! !Y! ! !0001! !
Place of Performance
Location: KENT, KING County, WASHINGTON, 98032
Plain-Language Summary
Department of Defense obligated $11.2 million to THE BOEING COMPANY for work described as: 200406!000001!5700!GQ05 !AFRL/IFKRF !FA875004C0007 !A!N! !N! ! !20031023!20040730!039267141!039267141!009256819!N!THE BOEING COMPANY !7755 E MARGINAL WAY !SEATTLE !WA!98124!63000!033!53!SEATTLE !KING… Key points: 1. The contract focuses on applied research in electronics and communication equipment, a critical area for defense. 2. Boeing, a major aerospace and defense contractor, is the sole awardee, indicating specialized capabilities. 3. The contract's duration of over 5 years suggests a long-term research and development effort. 4. The 'Research and Development in the Physical, Engineering, and Life Sciences' sector is a significant area of government spending.
Value Assessment
Rating: fair
The contract is a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed carefully. The total award amount is substantial for R&D.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific awardee is Boeing, implying they were the most competitive.
Taxpayer Impact: Taxpayer funds are being invested in advanced research and development, which could yield long-term technological benefits but carries inherent risks.
Public Impact
Investment in advanced electronics and communication technology could enhance national security capabilities. The contract supports high-tech jobs within the aerospace and defense industry. Long-term R&D projects can lead to technological advancements with potential civilian applications.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contracts can be susceptible to cost growth.
- Long contract duration increases exposure to changing technological landscapes and requirements.
- Sole awardee may limit broader industry innovation if competition was not robust.
Positive Signals
- Focus on critical R&D for national defense.
- Award to a reputable and experienced contractor like Boeing.
- Potential for significant technological advancements.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on applied research in electronics and communication equipment. Defense R&D spending is a significant portion of the federal budget, aimed at maintaining technological superiority.
Small Business Impact
There is no explicit indication of small business participation in this award. As a large prime contractor, Boeing may subcontract, but this data does not provide details.
Oversight & Accountability
The contract is managed by the Department of the Air Force, which has established oversight mechanisms for R&D contracts. The duration and value suggest regular reporting and milestone reviews.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for cost overruns due to CPFF structure.
- Long contract duration may lead to obsolescence or changing requirements.
- Limited visibility into specific R&D outcomes and their direct impact.
- Reliance on a single contractor for critical technology development.
Tags
research-and-development-in-the-physical, department-of-defense, wa, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $11.2 million to THE BOEING COMPANY. 200406!000001!5700!GQ05 !AFRL/IFKRF !FA875004C0007 !A!N! !N! ! !20031023!20040730!039267141!039267141!009256819!N!THE BOEING COMPANY !7755 E MARGINAL WAY !SEATTLE !WA!98124!63000!033!53!SEATTLE !KING !WASHINGTON!+000001195010!N!N!000001195010!AD92!RDTE/OTHER DEFENSE-APPLIED RESEARCH !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541710!E! !3! ! ! ! ! !999
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
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 $11.2 million.
What is the period of performance?
Start: 2003-10-23. End: 2009-05-31.
What specific technological advancements are expected from this R&D contract, and how will they be measured?
The specific technological advancements are not detailed in this summary. However, R&D contracts typically outline key performance indicators and deliverables related to innovation in electronics and communication. The Air Force Research Laboratory (AFRL) would have defined objectives for improved signal processing, enhanced communication security, or novel sensor technologies. Progress would be tracked through regular technical reviews, prototype demonstrations, and final reports assessing the achievement of these objectives.
What is the risk of cost overruns with this Cost Plus Fixed Fee (CPFF) contract, and what mitigation strategies are in place?
CPFF contracts carry inherent risks of cost overruns as the government bears the cost plus a fixed fee. Mitigation strategies typically include stringent oversight, detailed cost tracking, performance-based milestones, and clear scope definition. The Air Force likely employs program managers to monitor expenditures closely, conduct regular audits, and ensure that Boeing adheres to the agreed-upon budget and technical objectives to minimize potential overruns.
How does this investment in electronics and communication R&D align with current and future Air Force operational needs?
This investment likely aligns with the Air Force's strategic goals for modernizing its communication and electronic warfare capabilities. Advancements in this area are crucial for maintaining situational awareness, ensuring secure command and control, and countering evolving threats in contested electromagnetic spectrums. The R&D aims to develop next-generation systems that will support future air and space operations, enhancing overall mission effectiveness and survivability.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: BASIC RESEARCH
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 7755 E MARGINAL WAY, SEATTLE, WA, 07
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Cost or Pricing Data: YES
Timeline
Start Date: 2003-10-23
Current End Date: 2009-05-31
Potential End Date: 2009-05-31 00:00:00
Last Modified: 2009-02-27
More Contracts from THE Boeing Company
- KC-X Modernization Program — $32.0B (Department of Defense)
- International Space Station — $22.4B (National Aeronautics and Space Administration)
- 200112!000108!9700!ZD60 !ballistic Missile Defense ORG. !HQ000601C0001 !A!N!*!N! !20001222!20080930!848025649!848025649!009256819!n!the Boeing Company !3370 E Miraloma AVE !anaheim !ca!92806!37000!089!01!huntsville !madison !alabama !+000383571022!n!n!000000000000!ad93!rdte/Other Defense-Adv Tech DEV !S1 !services !1caa!ballistic Missile Defense SYS !541710!*!*!3! ! ! !*!*!*!B!*!*!A! !A !U!R!2!001!B! !Z!Y!Z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! ! ! !0001! — $18.8B (Department of Defense)
- USN P-8A FRP II Long Lead Material — $18.1B (Department of Defense)
- 200512!010860!2100!w56hzv!tacom - Warren !w56hzv05c0724 !A!N! !Y! ! !20050923!20141231!016544780!016544780!009256819!n!the Boeing Company !J S Mcdonnell Blvd !saint Louis !mo!63166!65000!510!29!st. Louis !ST. Louis (city) !missouri !+000219245691!n!n!000000000000!az15!rdte/Other Research&development-Eng/Manuf Devel !S1 !services !301 !FCS !541330!E! !1! ! ! ! ! !20200930!B! ! !A! !d!u!u!1!001!n!1a!z!y!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! ! ! ! !0001! ! TAS::21 2040::TAS — $12.7B (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)