DoD Awards L3Harris $101M for R&D on Generic Gear, Aiming for Global GEO Capabilities

Contract Overview

Contract Amount: $10,120,731 ($10.1M)

Contractor: L3harris Technologies Integrated Systems L.P.

Awarding Agency: Department of Defense

Start Date: 2021-03-01

End Date: 2028-10-31

Contract Duration: 2,801 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: LEVERAGING LOWER LATENCIES AND HARDENING FOR GREAT GLOBAL GEO ON GENERIC GEAR (L3H-5GS)

Place of Performance

Location: GREENVILLE, HUNT County, TEXAS, 75402

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $10.1 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P. for work described as: LEVERAGING LOWER LATENCIES AND HARDENING FOR GREAT GLOBAL GEO ON GENERIC GEAR (L3H-5GS) Key points: 1. Contract focuses on research and development for advanced global geostationary capabilities. 2. L3Harris Technologies is the sole awardee, raising questions about competition. 3. The contract's cost-plus-fixed-fee structure requires careful oversight to manage expenses. 4. Spending is categorized under R&D in Physical, Engineering, and Life Sciences.

Value Assessment

Rating: questionable

The Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed tightly. Benchmarking is difficult without specific deliverables and comparable R&D projects.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Although the contract is listed as full and open competition, only one awardee, L3Harris Technologies, is identified. This suggests potential limitations in the bidding process or a highly specialized requirement.

Taxpayer Impact: Taxpayer funds are allocated for advanced research, with the ultimate value dependent on the successful development of the intended global capabilities.

Public Impact

Advancement in satellite technology for global communication and surveillance. Potential for enhanced national security through improved geostationary capabilities. Investment in cutting-edge research and development within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency in full and open competition with a single awardee.
Cost-plus-fixed-fee contract type necessitates stringent oversight to prevent overspending.
Long contract duration (2028) increases exposure to potential scope creep or changing technological needs.

Positive Signals

Focus on critical R&D for national defense.
Leveraging generic hardware could potentially reduce long-term sustainment costs.
Awardee has a strong track record in aerospace and defense.

Sector Analysis

This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector. Defense R&D spending is a significant portion of the federal budget, with a focus on technological superiority.

Small Business Impact

The contract does not indicate any specific set-asides or subcontracting goals for small businesses. The nature of advanced R&D may limit direct small business participation.

Oversight & Accountability

The Cost Plus Fixed Fee structure requires robust oversight from the Department of the Air Force to ensure cost control and adherence to research objectives. Regular performance reviews and audits are crucial.

Related Government Programs

Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Department of Defense Contracting
Department of the Air Force Programs

Risk Flags

Potential lack of true competition despite 'full and open' designation.
Cost-plus-fixed-fee contract is susceptible to cost overruns without strict oversight.
Long contract duration increases risk of obsolescence or changing requirements.
Limited visibility into specific R&D deliverables and success metrics.
No clear indication of small business participation goals.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.1 million to L3HARRIS TECHNOLOGIES INTEGRATED SYSTEMS L.P.. LEVERAGING LOWER LATENCIES AND HARDENING FOR GREAT GLOBAL GEO ON GENERIC GEAR (L3H-5GS)

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 $10.1 million.

What is the period of performance?

Start: 2021-03-01. End: 2028-10-31.

What specific technological advancements are anticipated from this R&D effort, and how will they translate into tangible operational benefits for the Air Force?

The contract aims to leverage lower latencies and hardening for global geostationary (GEO) operations on generic gear. This suggests improvements in satellite communication speed, reliability, and resilience against interference or attack. Tangible benefits could include faster data transmission, more secure command and control, and enhanced persistent surveillance capabilities, ultimately bolstering national security and operational effectiveness.

Given the 'full and open competition' designation but a single awardee, what steps were taken to ensure a competitive process and fair pricing?

While designated as 'full and open,' the single award to L3Harris Technologies warrants scrutiny. Agencies typically justify sole-source or limited competition awards. It's crucial to examine the solicitation documents, evaluation criteria, and any pre-award market research to understand why other potential bidders were not selected or did not bid, ensuring the government received fair value despite the apparent lack of direct competition.

How will the effectiveness of the R&D be measured, and what are the key performance indicators to ensure the $101 million investment yields desired outcomes?

Effectiveness will likely be measured against specific technical milestones and performance benchmarks outlined in the contract's Statement of Work. Key indicators could include achieved latency reductions, demonstrated hardening capabilities against simulated threats, successful integration with existing systems, and the overall cost-efficiency of using generic hardware. Regular technical reviews and prototype testing will be essential to track progress and validate outcomes.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Solicitation ID: FA875019S7002

Offers Received: 2

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: $17,678,488

Exercised Options: $17,678,488

Current Obligation: $10,120,731

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline